18.17 USD
-0.28 (-1.52%)
18.17 USD
0 (0%)
We assign a fundamental rating of 4 out of 10 to NESR. NESR was compared to 62 industry peers in the Energy Equipment & Services industry. While NESR is still in line with the averages on profitability rating, there are concerns on its financial health. NESR is showing excellent growth while it is valued at reasonable prices. Keep and eye on this one!
1. Profitability
1.1 Basic Checks
- In the past year NESR was profitable.
- In the past year NESR had a positive cash flow from operations.
- In multiple years NESR reported negative net income over the last 5 years.
- Each year in the past 5 years NESR had a positive operating cash flow.
1.2 Ratios
- The Return On Assets of NESR (3.88%) is better than 62.90% of its industry peers.
- The Return On Equity of NESR (7.33%) is better than 61.29% of its industry peers.
- NESR's Return On Invested Capital of 5.18% is in line compared to the rest of the industry. NESR outperforms 51.61% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.88% | ||
| ROE | 7.33% | ||
| ROIC | 5.18% |
ROA(3y)1%
ROA(5y)0.49%
ROE(3y)1.8%
ROE(5y)0.57%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
- NESR has a Profit Margin (5.53%) which is in line with its industry peers.
- In the last couple of years the Profit Margin of NESR has remained more or less at the same level.
- NESR has a Operating Margin of 8.88%. This is comparable to the rest of the industry: NESR outperforms 53.23% of its industry peers.
- NESR's Operating Margin has been stable in the last couple of years.
- NESR has a worse Gross Margin (13.97%) than 79.03% of its industry peers.
- In the last couple of years the Gross Margin of NESR has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.88% | ||
| PM (TTM) | 5.53% | ||
| GM | 13.97% |
OM growth 3YN/A
OM growth 5Y-0.61%
PM growth 3YN/A
PM growth 5Y-0.41%
GM growth 3Y269.72%
GM growth 5Y-6.99%
2. Health
2.1 Basic Checks
- NESR has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
- Compared to 1 year ago, NESR has more shares outstanding
- The number of shares outstanding for NESR has been increased compared to 5 years ago.
- NESR has a better debt/assets ratio than last year.
2.2 Solvency
- NESR has an Altman-Z score of 2.28. This is not the best score and indicates that NESR is in the grey zone with still only limited risk for bankruptcy at the moment.
- Looking at the Altman-Z score, with a value of 2.28, NESR is in line with its industry, outperforming 54.84% of the companies in the same industry.
- The Debt to FCF ratio of NESR is 7.20, which is on the high side as it means it would take NESR, 7.20 years of fcf income to pay off all of its debts.
- The Debt to FCF ratio of NESR (7.20) is comparable to the rest of the industry.
- A Debt/Equity ratio of 0.28 indicates that NESR is not too dependend on debt financing.
- NESR has a better Debt to Equity ratio (0.28) than 66.13% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.28 | ||
| Debt/FCF | 7.2 | ||
| Altman-Z | 2.28 |
ROIC/WACC0.61
WACC8.53%
2.3 Liquidity
- A Current Ratio of 1.10 indicates that NESR should not have too much problems paying its short term obligations.
- NESR's Current ratio of 1.10 is on the low side compared to the rest of the industry. NESR is outperformed by 85.48% of its industry peers.
- A Quick Ratio of 0.92 indicates that NESR may have some problems paying its short term obligations.
- The Quick ratio of NESR (0.92) is worse than 80.65% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.1 | ||
| Quick Ratio | 0.92 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an impressive 500.23% over the past year.
- NESR shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 12.11% yearly.
- The Revenue has grown by 13.60% in the past year. This is quite good.
- NESR shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 14.61% yearly.
EPS 1Y (TTM)500.23%
EPS 3YN/A
EPS 5Y12.11%
EPS Q2Q%-27.27%
Revenue 1Y (TTM)13.6%
Revenue growth 3Y14.08%
Revenue growth 5Y14.61%
Sales Q2Q%-12.16%
3.2 Future
- The Earnings Per Share is expected to grow by 25.41% on average over the next years. This is a very strong growth
- Based on estimates for the next years, NESR will show a quite strong growth in Revenue. The Revenue will grow by 13.75% on average per year.
EPS Next Y-14.76%
EPS Next 2Y28.49%
EPS Next 3Y32.97%
EPS Next 5Y25.41%
Revenue Next Year0%
Revenue Next 2Y16.62%
Revenue Next 3Y14.82%
Revenue Next 5Y13.75%
3.3 Evolution
- The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
- The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- NESR is valuated rather expensively with a Price/Earnings ratio of 23.00.
- Based on the Price/Earnings ratio, NESR is valued a bit cheaper than the industry average as 61.29% of the companies are valued more expensively.
- NESR is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 27.38, which is the current average of the S&P500 Index.
- With a Price/Forward Earnings ratio of 12.02, NESR is valued correctly.
- NESR's Price/Forward Earnings ratio is rather cheap when compared to the industry. NESR is cheaper than 91.94% of the companies in the same industry.
- The average S&P500 Price/Forward Earnings ratio is at 24.29. NESR is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23 | ||
| Fwd PE | 12.02 |
4.2 Price Multiples
- NESR's Enterprise Value to EBITDA ratio is in line with the industry average.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of NESR is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 39.6 | ||
| EV/EBITDA | 7.86 |
4.3 Compensation for Growth
- NESR's earnings are expected to grow with 32.97% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)1.9
EPS Next 2Y28.49%
EPS Next 3Y32.97%
5. Dividend
5.1 Amount
- NESR does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
18.17
-0.28 (-1.52%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryEnergy Equipment & Services
Earnings (Last)11-13 2025-11-13/bmo
Earnings (Next)03-10 2026-03-10
Inst Owners47.55%
Inst Owner Change0.01%
Ins Owners1.18%
Ins Owner Change0%
Market Cap1.83B
Revenue(TTM)1.27B
Net Income(TTM)70.17M
Analysts83.64
Price Target22.1 (21.63%)
Short Float %4.81%
Short Ratio2.98
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)0.18%
Min EPS beat(2)-11.38%
Max EPS beat(2)11.74%
EPS beat(4)2
Avg EPS beat(4)1.21%
Min EPS beat(4)-11.38%
Max EPS beat(4)11.74%
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)1
Avg Revenue beat(2)-2.22%
Min Revenue beat(2)-5.83%
Max Revenue beat(2)1.38%
Revenue beat(4)1
Avg Revenue beat(4)-2.23%
Min Revenue beat(4)-5.83%
Max Revenue beat(4)1.38%
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)9.43%
PT rev (3m)54.76%
EPS NQ rev (1m)2.54%
EPS NQ rev (3m)-21.6%
EPS NY rev (1m)0%
EPS NY rev (3m)-15.93%
Revenue NQ rev (1m)0.43%
Revenue NQ rev (3m)2.7%
Revenue NY rev (1m)0.08%
Revenue NY rev (3m)-2.29%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23 | ||
| Fwd PE | 12.02 | ||
| P/S | 1.44 | ||
| P/FCF | 39.6 | ||
| P/OCF | 10.65 | ||
| P/B | 1.91 | ||
| P/tB | 7.05 | ||
| EV/EBITDA | 7.86 |
EPS(TTM)0.79
EY4.35%
EPS(NY)1.51
Fwd EY8.32%
FCF(TTM)0.46
FCFY2.53%
OCF(TTM)1.71
OCFY9.39%
SpS12.6
BVpS9.49
TBVpS2.58
PEG (NY)N/A
PEG (5Y)1.9
Graham Number12.99
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.88% | ||
| ROE | 7.33% | ||
| ROCE | 8.9% | ||
| ROIC | 5.18% | ||
| ROICexc | 5.47% | ||
| ROICexgc | 12.25% | ||
| OM | 8.88% | ||
| PM (TTM) | 5.53% | ||
| GM | 13.97% | ||
| FCFM | 3.64% |
ROA(3y)1%
ROA(5y)0.49%
ROE(3y)1.8%
ROE(5y)0.57%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5Y16.08%
ROICexc growth 3YN/A
ROICexc growth 5Y14.6%
OM growth 3YN/A
OM growth 5Y-0.61%
PM growth 3YN/A
PM growth 5Y-0.41%
GM growth 3Y269.72%
GM growth 5Y-6.99%
F-Score7
Asset Turnover0.7
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.28 | ||
| Debt/FCF | 7.2 | ||
| Debt/EBITDA | 1.04 | ||
| Cap/Depr | 86.02% | ||
| Cap/Sales | 9.9% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 66.42% | ||
| Profit Quality | 65.9% | ||
| Current Ratio | 1.1 | ||
| Quick Ratio | 0.92 | ||
| Altman-Z | 2.28 |
F-Score7
WACC8.53%
ROIC/WACC0.61
Cap/Depr(3y)75.74%
Cap/Depr(5y)77.93%
Cap/Sales(3y)9.16%
Cap/Sales(5y)10.1%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)500.23%
EPS 3YN/A
EPS 5Y12.11%
EPS Q2Q%-27.27%
EPS Next Y-14.76%
EPS Next 2Y28.49%
EPS Next 3Y32.97%
EPS Next 5Y25.41%
Revenue 1Y (TTM)13.6%
Revenue growth 3Y14.08%
Revenue growth 5Y14.61%
Sales Q2Q%-12.16%
Revenue Next Year0%
Revenue Next 2Y16.62%
Revenue Next 3Y14.82%
Revenue Next 5Y13.75%
EBIT growth 1Y70.63%
EBIT growth 3YN/A
EBIT growth 5Y13.91%
EBIT Next Year96.92%
EBIT Next 3Y47.14%
EBIT Next 5Y35.13%
FCF growth 1Y14.21%
FCF growth 3Y81.82%
FCF growth 5YN/A
OCF growth 1Y29.59%
OCF growth 3Y21.54%
OCF growth 5Y20.81%
NATIONAL ENERGY SERVICES REU / NESR FAQ
Can you provide the ChartMill fundamental rating for NATIONAL ENERGY SERVICES REU?
ChartMill assigns a fundamental rating of 4 / 10 to NESR.
What is the valuation status of NATIONAL ENERGY SERVICES REU (NESR) stock?
ChartMill assigns a valuation rating of 4 / 10 to NATIONAL ENERGY SERVICES REU (NESR). This can be considered as Fairly Valued.
Can you provide the profitability details for NATIONAL ENERGY SERVICES REU?
NATIONAL ENERGY SERVICES REU (NESR) has a profitability rating of 4 / 10.
What is the financial health of NATIONAL ENERGY SERVICES REU (NESR) stock?
The financial health rating of NATIONAL ENERGY SERVICES REU (NESR) is 3 / 10.
Is the dividend of NATIONAL ENERGY SERVICES REU sustainable?
The dividend rating of NATIONAL ENERGY SERVICES REU (NESR) is 0 / 10 and the dividend payout ratio is 0%.