NextDecade Corporation (NEXT) vs Select Water Solutions, Inc. (WTTR)

NextDecade Corporation and Select Water Solutions, Inc. are both Oil & Gas Equipment & Services companies. Select Water Solutions, Inc. is the larger, with a market value of $2.7B against $1.8B — 1.5× the size. NextDecade Corporation has negative trailing earnings, so its P/E is not meaningful; Select Water Solutions, Inc. trades at 73.7×. Select Water Solutions, Inc. has the higher net margin (2.24% vs 0.00%) and the higher return on invested capital (2.30% vs −1.12%). Across the 14 metrics below, Select Water Solutions, Inc. leads on 11 and NextDecade Corporation on 3.

Valuation

Metric NEXT WTTR Oil & Gas Equipment & Services median
P/E n/m 73.67 24.78
P/S n/m 1.88 1.28
P/B 0.62 2.37 1.85
Price to free cash flow n/m n/m 15.03
EV/EBITDA n/m 11.96 8.93
EV/Sales n/m 2.04 1.40
Earnings yield (20.73%) 1.36% 3.12%
Free cash flow yield (329.40%) (2.74%) 5.01%

Profitability

Metric NEXT WTTR Oil & Gas Equipment & Services median
Gross margin 0.00% 16.15% 23.27%
Operating margin 0.00% 3.51% 9.34%
Net margin 0.00% 2.24% 4.69%
Free cash flow margin 0.00% (5.17%) 5.05%
Return on equity (15.32%) 3.10% 4.92%
Return on assets (3.11%) 1.92% 2.37%
Return on invested capital (1.12%) 2.30% 4.32%

Growth

Metric NEXT WTTR Oil & Gas Equipment & Services median
Revenue growth (TTM) — (1.95%) 6.08%
EPS growth (last fiscal year) (387.50%) (30.00%) —
Revenue growth, 5-year CAGR — 18.39% 10.60%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric NEXT WTTR Oil & Gas Equipment & Services median
Debt to equity 3.70 0.23 0.46
Current ratio 0.37 1.58 2.11
Net debt to EBITDA (58.53) 1.41 0.76

Dividend

Metric NEXT WTTR Oil & Gas Equipment & Services median
Dividend yield — 2.75% 2.12%
Payout ratio 0.00 0.25 0.00

Size

Metric NEXT WTTR Oil & Gas Equipment & Services median
Market cap 1.78b 2.68b 1.81b

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