Flowco Holdings Inc. (FLOC) vs National Energy Services Reunited (NESR)

Flowco Holdings Inc. and National Energy Services Reunited are both Oil & Gas Equipment & Services companies. National Energy Services Reunited is the larger, with a market value of $1.9B against $1.7B — 1.1× the size. Flowco Holdings Inc. trades at the lower P/E: 9.7× against 21.2×. National Energy Services Reunited grew revenue faster over the last twelve months: 23.6% against 20.4%. Flowco Holdings Inc. has the higher net margin (6.36% vs 5.77%) and the higher return on invested capital (13.4% vs 8.28%). Across the 20 metrics below, Flowco Holdings Inc. leads on 16 and National Energy Services Reunited on 4.

Valuation

Metric FLOC NESR Oil & Gas Equipment & Services median
P/E 9.71 21.17 20.63
P/S 0.99 1.24 0.99
P/B 1.63 1.93 1.63
Price to free cash flow 3.75 12.41 13.24
EV/EBITDA 3.15 7.24 7.99
EV/Sales 1.25 1.30 1.25
Earnings yield 10.30% 4.72% 3.85%
Free cash flow yield 26.65% 8.06% 5.14%

Profitability

Metric FLOC NESR Oil & Gas Equipment & Services median
Gross margin 53.88% 13.37% 22.46%
Operating margin 18.58% 9.34% 7.53%
Net margin 6.36% 5.77% 4.60%
Free cash flow margin 26.34% 9.99% 4.05%
Return on equity 12.50% 9.44% 5.24%
Return on assets 3.06% 4.76% 2.54%
Return on invested capital 13.37% 8.28% 4.27%

Growth

Metric FLOC NESR Oil & Gas Equipment & Services median
Revenue growth (TTM) 20.40% 23.55% 4.65%
EPS growth (last fiscal year) (88.09%) (35.00%) (13.00%)
Revenue growth, 5-year CAGR — 9.68% 12.57%
Net income growth, 5-year CAGR — 0.41% 0.00%

Health

Metric FLOC NESR Oil & Gas Equipment & Services median
Debt to equity 0.69 0.26 0.41
Current ratio 3.19 1.02 2.04
Net debt to EBITDA 0.57 0.77 1.12

Dividend

Metric FLOC NESR Oil & Gas Equipment & Services median
Dividend yield 1.69% — 1.44%
Payout ratio 0.25 — 0.35

Size

Metric FLOC NESR Oil & Gas Equipment & Services median
Market cap 1.70b 1.94b 1.34b

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