Helmerich & Payne, Inc. (HP) vs Nabors Industries Ltd. (NBR)

Helmerich & Payne, Inc. and Nabors Industries Ltd. are both Oil & Gas Drilling companies. Helmerich & Payne, Inc. is the larger, with a market value of $3.5B against $1.1B — 3.2× the size. Helmerich & Payne, Inc. grew revenue faster over the last twelve months: 16.6% against 4.42%. Nabors Industries Ltd. has the higher net margin (−1.78% vs −3.43%) and the higher return on invested capital (2.38% vs 1.32%). Across the 20 metrics below, Nabors Industries Ltd. leads on 11 and Helmerich & Payne, Inc. on 9.

Valuation

Metric HP NBR Oil & Gas Drilling median
P/E n/m n/m —
P/S 0.87 0.32 1.19
P/B 1.31 2.45 1.24
Price to free cash flow 7.12 26.40 14.65
EV/EBITDA 6.14 2.26 6.73
EV/Sales 1.27 0.90 2.12
Earnings yield (4.04%) (3.08%) (0.70%)
Free cash flow yield 14.04% 3.79% 3.79%

Profitability

Metric HP NBR Oil & Gas Drilling median
Gross margin 28.82% 38.38% 33.60%
Operating margin 2.25% 8.40% 8.58%
Net margin (3.43%) (1.78%) (0.52%)
Free cash flow margin 12.25% 0.00% 6.98%
Return on equity (4.95%) (8.57%) (0.79%)
Return on assets (2.08%) (1.26%) (0.45%)
Return on invested capital 1.32% 2.38% 2.81%

Growth

Metric HP NBR Oil & Gas Drilling median
Revenue growth (TTM) 16.57% 4.42% 3.33%
EPS growth (last fiscal year) (148.40%) 177.74% (46.88%)
Revenue growth, 5-year CAGR 16.13% 8.51% 13.40%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric HP NBR Oil & Gas Drilling median
Debt to equity 0.70 2.04 0.59
Current ratio 1.96 1.77 1.76
Net debt to EBITDA 2.87 1.10 0.90

Dividend

Metric HP NBR Oil & Gas Drilling median
Dividend yield 2.87% — —
Payout ratio — — —

Size

Metric HP NBR Oil & Gas Drilling median
Market cap 3.47b 1.08b 3.61b

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