Noble Corporation PLC (NE) vs Sable Offshore Corp. (SOC)

Noble Corporation PLC and Sable Offshore Corp. are both Oil & Gas Drilling companies. Noble Corporation PLC is the larger, with a market value of $6.4B against $349.2M — 18.2× the size. Sable Offshore Corp. has negative trailing earnings, so its P/E is not meaningful; Noble Corporation PLC trades at 116×. Noble Corporation PLC has the higher net margin (1.79% vs 0.00%) and the higher return on invested capital (3.84% vs −18.9%). Across the 13 metrics below, Noble Corporation PLC leads on 10 and Sable Offshore Corp. on 3.

Valuation

Metric NE SOC Oil & Gas Drilling median
P/E 116.05 n/m —
P/S 2.14 n/m 1.19
P/B 1.50 0.71 1.24
Price to free cash flow 17.95 n/m 14.65
EV/EBITDA 8.63 n/m 6.73
EV/Sales 2.67 n/m 2.12
Earnings yield 0.86% (186.35%) (0.70%)
Free cash flow yield 5.57% (197.87%) 3.79%

Profitability

Metric NE SOC Oil & Gas Drilling median
Gross margin 38.77% — 33.60%
Operating margin 11.95% 0.00% 8.58%
Net margin 1.79% 0.00% (0.52%)
Free cash flow margin 11.95% 0.00% 6.98%
Return on equity 1.22% (103.21%) (0.79%)
Return on assets 0.73% (24.55%) (0.45%)
Return on invested capital 3.84% (18.87%) 2.81%

Growth

Metric NE SOC Oil & Gas Drilling median
Revenue growth (TTM) (13.05%) — 3.33%
EPS growth (last fiscal year) (54.39%) 55.47% (46.88%)
Revenue growth, 5-year CAGR 27.79% — 13.40%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric NE SOC Oil & Gas Drilling median
Debt to equity 0.44 2.45 0.59
Current ratio 1.76 0.24 1.76
Net debt to EBITDA 1.52 (2.10) 0.90

Dividend

Metric NE SOC Oil & Gas Drilling median
Dividend yield 4.97% — —
Payout ratio 6.12 — —

Size

Metric NE SOC Oil & Gas Drilling median
Market cap 6.37b 349.20m 3.61b

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