NOV Inc. (NOV) vs Tenaris S.A. (TS)

NOV Inc. and Tenaris S.A. are both Oil & Gas Equipment & Services companies. Tenaris S.A. is the larger, with a market value of $30.0B against $7.1B — 4.2× the size. Tenaris S.A. trades at the lower P/E: 14.8× against 76.4×. Tenaris S.A. grew revenue faster over the last twelve months: 2.31% against −1.72%. Tenaris S.A. has the higher net margin (15.9% vs 1.10%) and the higher return on invested capital (9.46% vs 4.03%). Both pay a dividend; Tenaris S.A. yields more (3.64% vs 1.18%). Across the 22 metrics below, Tenaris S.A. leads on 16 and NOV Inc. on 6.

Valuation

Metric NOV TS Oil & Gas Equipment & Services median
P/E 76.38 14.83 24.78
P/S 0.83 2.33 1.28
P/B 1.14 1.63 1.85
Price to free cash flow 11.84 16.49 15.03
EV/EBITDA 8.79 8.93 8.93
EV/Sales 0.89 2.12 1.40
Earnings yield 1.31% 6.74% 3.12%
Free cash flow yield 8.44% 6.07% 5.01%

Profitability

Metric NOV TS Oil & Gas Equipment & Services median
Gross margin 20.53% 33.90% 23.27%
Operating margin 5.08% 18.51% 9.34%
Net margin 1.10% 15.88% 4.69%
Free cash flow margin 6.97% 14.11% 5.05%
Return on equity 1.48% 11.24% 4.92%
Return on assets 0.84% 9.39% 2.37%
Return on invested capital 4.03% 9.46% 4.32%

Growth

Metric NOV TS Oil & Gas Equipment & Services median
Revenue growth (TTM) (1.72%) 2.31% 6.08%
EPS growth (last fiscal year) (75.63%) 1.39% —
Revenue growth, 5-year CAGR 7.50% 18.41% 10.60%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric NOV TS Oil & Gas Equipment & Services median
Debt to equity 0.27 0.02 0.46
Current ratio 2.42 4.07 2.11
Net debt to EBITDA 0.18 (0.89) 0.76

Dividend

Metric NOV TS Oil & Gas Equipment & Services median
Dividend yield 1.18% 3.64% 2.12%
Payout ratio 0.19 0.16 0.00

Size

Metric NOV TS Oil & Gas Equipment & Services median
Market cap 7.09b 29.95b 1.81b

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