Halliburton Company (HAL) vs Tenaris S.A. (TS)

Halliburton Company and Tenaris S.A. are both Oil & Gas Equipment & Services companies. Tenaris S.A. is the larger, with a market value of $30.0B against $27.1B — 1.1× the size. Tenaris S.A. trades at the lower P/E: 14.8× against 17.2×. Tenaris S.A. grew revenue faster over the last twelve months: 2.31% against 0.63%. Tenaris S.A. has the higher net margin (15.9% vs 7.16%) and the lower return on invested capital (9.46% vs 9.89%). Both pay a dividend; Tenaris S.A. yields more (3.64% vs 1.95%). Across the 22 metrics below, Tenaris S.A. leads on 15 and Halliburton Company on 7.

Valuation

Metric HAL TS Oil & Gas Equipment & Services median
P/E 17.15 14.83 24.78
P/S 1.22 2.33 1.28
P/B 2.48 1.63 1.85
Price to free cash flow 14.10 16.49 15.03
EV/EBITDA 8.72 8.93 8.93
EV/Sales 1.45 2.12 1.40
Earnings yield 5.83% 6.74% 3.12%
Free cash flow yield 7.09% 6.07% 5.01%

Profitability

Metric HAL TS Oil & Gas Equipment & Services median
Gross margin 15.08% 33.90% 23.27%
Operating margin 11.44% 18.51% 9.34%
Net margin 7.16% 15.88% 4.69%
Free cash flow margin 8.68% 14.11% 5.05%
Return on equity 14.83% 11.24% 4.92%
Return on assets 6.26% 9.39% 2.37%
Return on invested capital 9.89% 9.46% 4.32%

Growth

Metric HAL TS Oil & Gas Equipment & Services median
Revenue growth (TTM) 0.63% 2.31% 6.08%
EPS growth (last fiscal year) (47.00%) 1.39% —
Revenue growth, 5-year CAGR 8.96% 18.41% 10.60%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric HAL TS Oil & Gas Equipment & Services median
Debt to equity 0.65 0.02 0.46
Current ratio 2.02 4.07 2.11
Net debt to EBITDA 1.46 (0.89) 0.76

Dividend

Metric HAL TS Oil & Gas Equipment & Services median
Dividend yield 1.95% 3.64% 2.12%
Payout ratio 0.21 0.16 0.00

Size

Metric HAL TS Oil & Gas Equipment & Services median
Market cap 27.12b 29.95b 1.81b

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