Helmerich & Payne, Inc. (HP) vs Noble Corporation PLC (NE)

Helmerich & Payne, Inc. and Noble Corporation PLC are both Oil & Gas Drilling companies. Noble Corporation PLC is the larger, with a market value of $7.0B against $4.0B — 1.8× the size. Helmerich & Payne, Inc. has negative trailing earnings, so its P/E is not meaningful; Noble Corporation PLC trades at 45.1×. Helmerich & Payne, Inc. grew revenue faster over the last twelve months: 16.6% against −11.1%. Noble Corporation PLC has the higher net margin (4.88% vs −3.43%) and the higher return on invested capital (3.68% vs 1.32%). Both pay a dividend; Helmerich & Payne, Inc. yields more (3.73% vs 1.43%). Across the 21 metrics below, Noble Corporation PLC leads on 12 and Helmerich & Payne, Inc. on 9.

Valuation

Metric HP NE Oil & Gas Drilling median
P/E n/m 45.07 —
P/S 0.97 2.23 1.37
P/B 1.45 1.52 1.35
Price to free cash flow 7.91 11.00 15.47
EV/EBITDA 6.61 8.99 8.26
EV/Sales 1.37 2.70 2.31
Earnings yield (3.64%) 2.22% (2.10%)
Free cash flow yield 12.65% 9.09% 3.40%

Profitability

Metric HP NE Oil & Gas Drilling median
Gross margin 28.82% 39.78% 39.29%
Operating margin 2.25% 11.37% 7.77%
Net margin (3.43%) 4.88% 0.00%
Free cash flow margin 12.25% 20.25% 4.46%
Return on equity (4.95%) 3.28% (2.78%)
Return on assets (2.08%) 2.01% (1.64%)
Return on invested capital 1.32% 3.68% 2.29%

Growth

Metric HP NE Oil & Gas Drilling median
Revenue growth (TTM) 16.57% (11.10%) 4.14%
EPS growth (last fiscal year) (148.40%) (54.39%) —
Revenue growth, 5-year CAGR 16.13% 27.79% 13.40%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric HP NE Oil & Gas Drilling median
Debt to equity 0.70 0.42 0.61
Current ratio 1.96 1.91 1.89
Net debt to EBITDA 2.87 1.52 0.90

Dividend

Metric HP NE Oil & Gas Drilling median
Dividend yield 3.73% 1.43% —
Payout ratio 0.45 0.00 0.00

Size

Metric HP NE Oil & Gas Drilling median
Market cap 3.98b 6.98b 3.98b

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