NYSE
NOV
Last Price
US $18.10
KEY FIGURES
MKT CAP
$6.7B
EPS
TTM
$0.25
PEG
TTM
N/M
P/E
TTM
77.75x
P/S
TTM
0.77x
YIELD
2.25%
GROWTH
Revenue Y/Y
Profit margin
Current Ratio
Capital Returns
1.45%
Return on equity
ROIC: 1.72%
Valuation History
77.8X
Price to Earnings
EV/EBITDA: 10.5X
Cash flow
Profit margin
7.50%
(FY vs FY)
EBITDA Y/Y
-
(FY vs FY)
Cash flow Y/Y
4.30%
(FY vs FY)
Cash Flow (DCF)
Fair Value
Market $18.10
73.87%
Default assumptions
EBITDA Multiple
Fair Value
Market $18.10
-24.31%
Default assumptions
Base valuations use default assumptions. Customize in the Valuator.
Valuation
Financial
Performance
Financial stability - Cash flow debt coverage.
NOV Inc. cash flow to debt ratio of 52.95% indicates that the company generates enough cash to cover its debts. This level indicates strong financial health.
Financial risk - Healthy cash flow growth.
NOV Inc.'s free cash flow has decreased -9.34% from $953.00M last year to $864.00M, signaling decreasing performance
Financial stability - Healthy debt to equity ratio.
NOV Inc.'s debt to equity ratio is 0.38, which means that the company's assets are healthy financed, signaling financial stability. READ MORE: A ratio under 0.60 means the company finances its assets with own equity, signaling financial stability and good management.
Financial risk - Healthy debt to equity ratio development.
NOV Inc.'s debt has increased relative to shareholder equity from 0.37 last year to 0.38 today, signaling weakened financials
Financial stability - Net debt/EBITDA.
NOV Inc. has a net debt to EBITDA ratio of 0.96x, which is below the 3.00x threshold, indicating healthy leverage and financial stability
Financial stability - ICR.
NOV Inc.'s interest coverage ratio of 5.22 indicates that earnings with good margin can cover interest payments on company debt
Financial risk - Profit margin growth.
NOV Inc.'s profit margin has decreased (-85.22%) in the last year from 7.16% to 1.06%, signaling decreasing performance
Financial stability - Short term assets vs short term liabilities.
NOV Inc.'s short-term assets of $5.82G exceed its short-term liabilities of $2.41G
Decreasing performance - ROA.
NOV Inc.'s return on assets of 0.83% is lower than the 5.00% threshold, indicating inefficient asset utilization
Decreasing performance - Absolute return on equity.
NOV Inc.'s return on equity of 1.45%, is lower than 15.00%, indicating bad performance
Increasing performance - Earnings quality.
NOV Inc.'s operating cash flow exceeds its net income, indicating high-quality earnings backed by actual cash generation
Increasing performance - Earnings stability.
NOV Inc. had positive net income in 4.00 out of 5 years, indicating stable and consistent earnings
Increasing performance - Free cash flow.
NOV Inc. has positive free cash flow, indicating the company generates cash after capital expenditures
Increasing performance - FCF yield.
NOV Inc. has a free cash flow yield of 12.90%, which is above the 2.00% threshold, indicating strong cash generation relative to market value
Decreasing performance - Healthy earnings growth.
NOV Inc.'s yearly earnings has decreased -77.17% since last year from $635.00M to $145.00M, signaling decreasing performance
Decreasing performance - Healthy revenue growth.
NOV Inc.'s yearly revenue has decreased -1.42% since last year from $8.87G to $8.74G, signaling decreasing performance
Decreasing performance - ROIC.
ROIC 1.72% (Source: FMP key-metrics). Below the 5% partial-credit threshold. Score: 0 of 2. The 5% and 10% cutoffs anchor to typical US weighted-average cost of capital. Below 5% indicates the company is not generating returns above its likely cost of capital under this definition of invested capital. Invested capital here includes equity, non-current liabilities (pension obligations, deferred taxes, lease obligations), and short-term debt. Cash is not subtracted. Companies with substantial float, lease portfolios, or cash holdings will score lower under this definition than under narrower operating-capital definitions. See methodology.
Increasing performance - 3-year revenue CAGR.
NOV Inc.'s 3-year revenue CAGR of 6.51% is positive, indicating growing revenue over the past 3 years
Increasing performance - Revenue consistency.
NOV Inc. had revenue growth in 3.00 out of 5 years, indicating consistent revenue performance
Increasing performance - ROE consistency.
NOV Inc. had positive ROE in 4.00 out of 5 years, indicating consistent and reliable returns on equity
Undervalued - DCF valuation.
NOV Inc. is undervalued relative to its fair value price of 31.47 based on Discounted Cash Flow model
Overvalued - Earnings yield.
NOV Inc. has an earnings yield of 1.37%, which is below the 4.00% threshold, indicating the stock may be expensive relative to its earnings
Overvalued - EBITDA valuation.
NOV Inc. is overvalued relative to its fair value price of 13.70 based on EBITDA multiple model
Undervalued - EV/EBITDA.
NOV Inc. has an EV/EBITDA ratio of 10.47x, which is below the 20.00x threshold, indicating reasonable valuation relative to its operating earnings
Overvalued - PEG ratio value.
NOV Inc. has negative trailing-twelve-month earnings; this ratio is not meaningful and the check fails
Undervalued - P/B ratio.
NOV Inc. has a price-to-book ratio of 1.08x, which is below the 5.00x threshold, indicating reasonable valuation relative to its book value
Undervalued - P/S ratio.
NOV Inc. has a price-to-sales ratio of 0.77x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue