Archrock, Inc. (AROC) vs Oceaneering International, Inc. (OII)

Archrock, Inc. and Oceaneering International, Inc. are both Oil & Gas Equipment & Services companies. Archrock, Inc. is the larger, with a market value of $5.4B against $4.7B — 1.2× the size. Oceaneering International, Inc. trades at the lower P/E: 13.3× against 16.4×. Archrock, Inc. grew revenue faster over the last twelve months: 11.5% against 3.84%. Archrock, Inc. has the higher net margin (21.8% vs 12.2%) and the lower return on invested capital (8.96% vs 18.1%). Across the 21 metrics below, Oceaneering International, Inc. leads on 11 and Archrock, Inc. on 10.

Valuation

Metric AROC OII Oil & Gas Equipment & Services median
P/E 16.36 13.29 24.78
P/S 3.53 1.61 1.28
P/B 3.42 3.95 1.85
Price to free cash flow 13.07 19.86 15.03
EV/EBITDA 8.80 11.37 8.93
EV/Sales 5.09 1.60 1.40
Earnings yield 6.11% 7.52% 3.12%
Free cash flow yield 7.65% 5.03% 5.01%

Profitability

Metric AROC OII Oil & Gas Equipment & Services median
Gross margin 67.34% 19.82% 23.27%
Operating margin 37.15% 10.37% 9.34%
Net margin 21.84% 12.19% 4.69%
Free cash flow margin 26.99% 8.08% 5.05%
Return on equity 22.19% 34.71% 4.92%
Return on assets 7.40% 13.96% 2.37%
Return on invested capital 8.96% 18.09% 4.32%

Growth

Metric AROC OII Oil & Gas Equipment & Services median
Revenue growth (TTM) 11.54% 3.84% 6.08%
EPS growth (last fiscal year) 74.29% 142.36% —
Revenue growth, 5-year CAGR 11.23% 8.78% 10.60%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric AROC OII Oil & Gas Equipment & Services median
Debt to equity 1.51 0.42 0.46
Current ratio 1.39 2.18 2.11
Net debt to EBITDA 2.84 (0.50) 0.76

Dividend

Metric AROC OII Oil & Gas Equipment & Services median
Dividend yield 3.84% — 2.12%
Payout ratio 1.40 0.00 0.00

Size

Metric AROC OII Oil & Gas Equipment & Services median
Market cap 5.38b 4.66b 1.81b

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