NOV Inc. (NOV) vs SLB Limited (SLB)

NOV Inc. and SLB Limited are both Oil & Gas Equipment & Services companies. SLB Limited is the larger, with a market value of $76.3B against $7.1B — 10.8× the size. SLB Limited trades at the lower P/E: 24.8× against 76.4×. SLB Limited grew revenue faster over the last twelve months: 2.50% against −1.72%. SLB Limited has the higher net margin (8.53% vs 1.10%) and the higher return on invested capital (8.18% vs 4.03%). Both pay a dividend; SLB Limited yields more (2.28% vs 1.18%). Across the 22 metrics below, SLB Limited leads on 12 and NOV Inc. on 10.

Valuation

Metric NOV SLB Oil & Gas Equipment & Services median
P/E 76.38 24.78 24.78
P/S 0.83 2.11 1.28
P/B 1.14 2.82 1.85
Price to free cash flow 11.84 17.02 15.03
EV/EBITDA 8.79 11.56 8.93
EV/Sales 0.89 2.36 1.40
Earnings yield 1.31% 4.04% 3.12%
Free cash flow yield 8.44% 5.88% 5.01%

Profitability

Metric NOV SLB Oil & Gas Equipment & Services median
Gross margin 20.53% 16.54% 23.27%
Operating margin 5.08% 12.35% 9.34%
Net margin 1.10% 8.53% 4.69%
Free cash flow margin 6.97% 12.41% 5.05%
Return on equity 1.48% 12.71% 4.92%
Return on assets 0.84% 5.95% 2.37%
Return on invested capital 4.03% 8.18% 4.32%

Growth

Metric NOV SLB Oil & Gas Equipment & Services median
Revenue growth (TTM) (1.72%) 2.50% 6.08%
EPS growth (last fiscal year) (75.63%) (24.44%) —
Revenue growth, 5-year CAGR 7.50% 8.63% 10.60%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric NOV SLB Oil & Gas Equipment & Services median
Debt to equity 0.27 0.41 0.46
Current ratio 2.42 1.44 2.11
Net debt to EBITDA 0.18 0.74 0.76

Dividend

Metric NOV SLB Oil & Gas Equipment & Services median
Dividend yield 1.18% 2.28% 2.12%
Payout ratio 0.19 0.31 0.00

Size

Metric NOV SLB Oil & Gas Equipment & Services median
Market cap 7.09b 76.33b 1.81b

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