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 $28.5B against $6.2B — 4.6× the size. Tenaris S.A. trades at the lower P/E: 15.1× against 41.9×. Tenaris S.A. grew revenue faster over the last twelve months: 2.31% against −0.98%. Tenaris S.A. has the higher net margin (15.9% vs 1.65%) and the higher return on invested capital (9.46% vs 4.26%). Both pay a dividend; NOV Inc. yields more (1.98% vs 1.02%). Across the 22 metrics below, Tenaris S.A. leads on 17 and NOV Inc. on 5.

Valuation

Metric NOV TS Oil & Gas Equipment & Services median
P/E 41.94 15.14 20.53
P/S 0.72 2.37 1.08
P/B 0.99 1.66 1.64
Price to free cash flow 19.29 16.83 12.36
EV/EBITDA 7.54 9.14 8.00
EV/Sales 0.79 2.17 1.29
Earnings yield 2.38% 6.61% 3.88%
Free cash flow yield 5.18% 5.94% 5.18%

Profitability

Metric NOV TS Oil & Gas Equipment & Services median
Gross margin 20.73% 33.90% 22.88%
Operating margin 5.46% 18.51% 7.44%
Net margin 1.65% 15.88% 4.12%
Free cash flow margin 3.72% 14.11% 3.10%
Return on equity 2.26% 11.24% 5.46%
Return on assets 1.27% 9.39% 2.63%
Return on invested capital 4.26% 9.46% 4.26%

Growth

Metric NOV TS Oil & Gas Equipment & Services median
Revenue growth (TTM) (0.98%) 2.31% 4.65%
EPS growth (last fiscal year) (75.63%) 1.39% (13.00%)
Revenue growth, 5-year CAGR 7.50% 18.41% 12.57%
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 0.44
Current ratio 2.51 4.07 2.04
Net debt to EBITDA 0.18 (0.89) 1.12

Dividend

Metric NOV TS Oil & Gas Equipment & Services median
Dividend yield 1.98% 1.02% 1.49%
Payout ratio 0.83 0.16 0.36

Size

Metric NOV TS Oil & Gas Equipment & Services median
Market cap 6.20b 28.54b 1.44b

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