NABORS INDUSTRIES LTD (NBR) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:NBR - BMG6359F1370 - Common Stock
54.3 USD
-0.91 (-1.65%)
54.3 USD
0 (0%)
NBR gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 62 industry peers in the Energy Equipment & Services industry. While NBR is still in line with the averages on profitability rating, there are concerns on its financial health. NBR does not seem to be growing, but still is valued expensively.
1. Profitability
1.1 Basic Checks
In the past year NBR has reported negative net income.
In the past year NBR had a positive cash flow from operations.
In the past 5 years NBR always reported negative net income.
In the past 5 years NBR always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of NBR (3.77%) is comparable to the rest of the industry.
Looking at the Return On Equity, with a value of 31.44%, NBR belongs to the top of the industry, outperforming 96.77% of the companies in the same industry.
NBR has a Return On Invested Capital (4.70%) which is in line with its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for NBR is significantly below the industry average of 13.08%.
The last Return On Invested Capital (4.70%) for NBR is above the 3 year average (3.54%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.77% | ||
| ROE | 31.44% | ||
| ROIC | 4.7% |
ROA(3y)-4.38%
ROA(5y)-7.78%
ROE(3y)-88.52%
ROE(5y)-87.38%
ROIC(3y)3.54%
ROIC(5y)N/A
1.3 Margins
NBR has a Profit Margin (5.85%) which is in line with its industry peers.
NBR's Operating Margin of 7.93% is in line compared to the rest of the industry. NBR outperforms 45.16% of its industry peers.
NBR has a Gross Margin of 40.28%. This is amongst the best in the industry. NBR outperforms 80.65% of its industry peers.
In the last couple of years the Gross Margin of NBR has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.93% | ||
| PM (TTM) | 5.85% | ||
| GM | 40.28% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y3.82%
GM growth 5Y2.06%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so NBR is destroying value.
NBR has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, NBR has more shares outstanding
The debt/assets ratio for NBR has been reduced compared to a year ago.
2.2 Solvency
NBR has an Altman-Z score of 0.58. This is a bad value and indicates that NBR is not financially healthy and even has some risk of bankruptcy.
With a Altman-Z score value of 0.58, NBR is not doing good in the industry: 80.65% of the companies in the same industry are doing better.
NBR has a Debt/Equity ratio of 4.05. This is a high value indicating a heavy dependency on external financing.
NBR's Debt to Equity ratio of 4.05 is on the low side compared to the rest of the industry. NBR is outperformed by 90.32% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 4.05 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.58 |
ROIC/WACC0.6
WACC7.78%
2.3 Liquidity
A Current Ratio of 2.09 indicates that NBR has no problem at all paying its short term obligations.
NBR has a Current ratio (2.09) which is comparable to the rest of the industry.
NBR has a Quick Ratio of 1.93. This is a normal value and indicates that NBR is financially healthy and should not expect problems in meeting its short term obligations.
NBR's Quick ratio of 1.93 is fine compared to the rest of the industry. NBR outperforms 70.97% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.09 | ||
| Quick Ratio | 1.93 |
3. Growth
3.1 Past
NBR shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -4.78%.
Looking at the last year, NBR shows a small growth in Revenue. The Revenue has grown by 6.52% in the last year.
Measured over the past years, NBR shows a decrease in Revenue. The Revenue has been decreasing by -0.76% on average per year.
EPS 1Y (TTM)-4.78%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-122.41%
Revenue 1Y (TTM)6.52%
Revenue growth 3Y13.25%
Revenue growth 5Y-0.76%
Sales Q2Q%11.06%
3.2 Future
Based on estimates for the next years, NBR will show a quite strong growth in Earnings Per Share. The EPS will grow by 18.42% on average per year.
Based on estimates for the next years, NBR will show a small growth in Revenue. The Revenue will grow by 4.82% on average per year.
EPS Next Y114.69%
EPS Next 2Y29.17%
EPS Next 3Y24.2%
EPS Next 5Y18.42%
Revenue Next Year8%
Revenue Next 2Y4.33%
Revenue Next 3Y4.03%
Revenue Next 5Y4.82%
3.3 Evolution
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
NBR reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
Besides the negative Price/Earnings Ratio, also the Forward Price/Earnings Ratio is negative for NBR. No positive earnings are expected for the next year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of NBR indicates a rather cheap valuation: NBR is cheaper than 98.39% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 3.05 |
4.3 Compensation for Growth
NBR's earnings are expected to grow with 24.20% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y29.17%
EPS Next 3Y24.2%
5. Dividend
5.1 Amount
NBR does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
54.3
-0.91 (-1.65%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryEnergy Equipment & Services
Earnings (Last)
Earnings (Next)
Inst Owners101.9%
Inst Owner Change8.02%
Ins Owners4.37%
Ins Owner Change-0.75%
Market Cap790.61M
Revenue(TTM)3.12B
Net Income(TTM)182.26M
Analysts49.33
Price Target57.63 (6.13%)
Short Float %13.28%
Short Ratio4.86
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
Yearly Dividend0.01
Dividend Growth(5Y)-73.53%
DP3.32%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-339.45%
Min EPS beat(2)-526.79%
Max EPS beat(2)-152.11%
EPS beat(4)1
Avg EPS beat(4)-198.87%
Min EPS beat(4)-526.79%
Max EPS beat(4)171.33%
EPS beat(8)1
Avg EPS beat(8)-162.59%
EPS beat(12)2
Avg EPS beat(12)-727.24%
EPS beat(16)3
Avg EPS beat(16)-550.69%
Revenue beat(2)0
Avg Revenue beat(2)-2.49%
Min Revenue beat(2)-2.57%
Max Revenue beat(2)-2.41%
Revenue beat(4)1
Avg Revenue beat(4)-0.96%
Min Revenue beat(4)-2.57%
Max Revenue beat(4)2.22%
Revenue beat(8)2
Avg Revenue beat(8)-1%
Revenue beat(12)3
Avg Revenue beat(12)-1.1%
Revenue beat(16)6
Avg Revenue beat(16)-0.75%
PT rev (1m)11.88%
PT rev (3m)43.49%
EPS NQ rev (1m)-15.61%
EPS NQ rev (3m)-19.98%
EPS NY rev (1m)1244.71%
EPS NY rev (3m)162.12%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-1.57%
Revenue NY rev (1m)0.34%
Revenue NY rev (3m)-1.08%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A | ||
| P/S | 0.25 | ||
| P/FCF | N/A | ||
| P/OCF | 1.33 | ||
| P/B | 1.36 | ||
| P/tB | 1.36 | ||
| EV/EBITDA | 3.05 |
EPS(TTM)-16.43
EYN/A
EPS(NY)-6.51
Fwd EYN/A
FCF(TTM)-11.37
FCFYN/A
OCF(TTM)40.96
OCFY75.43%
SpS214.08
BVpS39.82
TBVpS39.82
PEG (NY)N/A
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.77% | ||
| ROE | 31.44% | ||
| ROCE | 5.95% | ||
| ROIC | 4.7% | ||
| ROICexc | 5.24% | ||
| ROICexgc | 5.24% | ||
| OM | 7.93% | ||
| PM (TTM) | 5.85% | ||
| GM | 40.28% | ||
| FCFM | N/A |
ROA(3y)-4.38%
ROA(5y)-7.78%
ROE(3y)-88.52%
ROE(5y)-87.38%
ROIC(3y)3.54%
ROIC(5y)N/A
ROICexc(3y)4.37%
ROICexc(5y)N/A
ROICexgc(3y)4.37%
ROICexgc(5y)N/A
ROCE(3y)4.47%
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y3.82%
GM growth 5Y2.06%
F-Score7
Asset Turnover0.64
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 4.05 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 2.63 | ||
| Cap/Depr | 117.87% | ||
| Cap/Sales | 24.44% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 66.73% | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.09 | ||
| Quick Ratio | 1.93 | ||
| Altman-Z | 0.58 |
F-Score7
WACC7.78%
ROIC/WACC0.6
Cap/Depr(3y)76.54%
Cap/Depr(5y)57.36%
Cap/Sales(3y)17.15%
Cap/Sales(5y)14.48%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-4.78%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-122.41%
EPS Next Y114.69%
EPS Next 2Y29.17%
EPS Next 3Y24.2%
EPS Next 5Y18.42%
Revenue 1Y (TTM)6.52%
Revenue growth 3Y13.25%
Revenue growth 5Y-0.76%
Sales Q2Q%11.06%
Revenue Next Year8%
Revenue Next 2Y4.33%
Revenue Next 3Y4.03%
Revenue Next 5Y4.82%
EBIT growth 1Y-1.66%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year253.31%
EBIT Next 3Y54.82%
EBIT Next 5Y43.32%
FCF growth 1Y-211.96%
FCF growth 3Y-58.66%
FCF growth 5Y-44.51%
OCF growth 1Y-9.08%
OCF growth 3Y10.68%
OCF growth 5Y-3.21%
NABORS INDUSTRIES LTD / NBR FAQ
What is the ChartMill fundamental rating of NABORS INDUSTRIES LTD (NBR) stock?
ChartMill assigns a fundamental rating of 3 / 10 to NBR.
Can you provide the valuation status for NABORS INDUSTRIES LTD?
ChartMill assigns a valuation rating of 1 / 10 to NABORS INDUSTRIES LTD (NBR). This can be considered as Overvalued.
What is the profitability of NBR stock?
NABORS INDUSTRIES LTD (NBR) has a profitability rating of 5 / 10.
How financially healthy is NABORS INDUSTRIES LTD?
The financial health rating of NABORS INDUSTRIES LTD (NBR) is 3 / 10.