NOBLE CORP PLC (NE) Stock Fundamental Analysis
NYSE:NE - New York Stock Exchange, Inc. - GB00BMXNWH07 - Common Stock - Currency: USD
Taking everything into account, NE scores 5 out of 10 in our fundamental rating. NE was compared to 59 industry peers in the Energy Equipment & Services industry. NE scores excellent on profitability, but there are concerns on its financial health. NE is not overvalued while it is showing excellent growth. This is an interesting combination. Finally NE also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year NE was profitable.
NE had a positive operating cash flow in the past year.
NE had positive earnings in 4 of the past 5 years.
In the past 5 years NE always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 5.70%, NE is in the better half of the industry, outperforming 63.79% of the companies in the same industry.
NE has a Return On Equity (9.64%) which is in line with its industry peers.
NE has a Return On Invested Capital of 7.80%. This is in the better half of the industry: NE outperforms 60.34% of its industry peers.
NE had an Average Return On Invested Capital over the past 3 years of 7.22%. This is in line with the industry average of 8.11%.
The 3 year average ROIC (7.22%) for NE is below the current ROIC(7.80%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.7% | ||
| ROE | 9.64% | ||
| ROIC | 7.8% |
ROA(3y)5.89%
ROA(5y)-11.73%
ROE(3y)8.87%
ROE(5y)N/A
ROIC(3y)7.22%
ROIC(5y)N/A
1.3 Margins
Looking at the Profit Margin, with a value of 14.66%, NE belongs to the top of the industry, outperforming 84.48% of the companies in the same industry.
NE's Profit Margin has declined in the last couple of years.
Looking at the Operating Margin, with a value of 22.76%, NE belongs to the top of the industry, outperforming 87.93% of the companies in the same industry.
NE's Gross Margin of 41.38% is amongst the best of the industry. NE outperforms 86.21% of its industry peers.
NE's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 22.76% | ||
| PM (TTM) | 14.66% | ||
| GM | 41.38% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y-29.33%
PM growth 5YN/A
GM growth 3Y50.54%
GM growth 5Y-0.65%
2. Health
2.1 Basic Checks
NE has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for NE has been increased compared to 1 year ago.
NE has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, NE has a worse debt to assets ratio.
2.2 Solvency
The Debt to FCF ratio of NE is 24.70, which is on the high side as it means it would take NE, 24.70 years of fcf income to pay off all of its debts.
NE's Debt to FCF ratio of 24.70 is on the low side compared to the rest of the industry. NE is outperformed by 60.34% of its industry peers.
A Debt/Equity ratio of 0.43 indicates that NE is not too dependend on debt financing.
NE has a Debt to Equity ratio (0.43) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.43 | ||
| Debt/FCF | 24.7 | ||
| Altman-Z | N/A |
ROIC/WACC0.9
WACC8.65%
2.3 Liquidity
NE has a Current Ratio of 1.55. This is a normal value and indicates that NE is financially healthy and should not expect problems in meeting its short term obligations.
With a Current ratio value of 1.55, NE is not doing good in the industry: 63.79% of the companies in the same industry are doing better.
NE has a Quick Ratio of 1.55. This is a normal value and indicates that NE is financially healthy and should not expect problems in meeting its short term obligations.
With a Quick ratio value of 1.55, NE perfoms like the industry average, outperforming 58.62% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.55 | ||
| Quick Ratio | 1.55 |
3. Growth
3.1 Past
NE shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 26.23%, which is quite impressive.
The earnings per share for NE have been decreasing by -17.18% on average. This is quite bad
The Revenue has grown by 18.11% in the past year. This is quite good.
NE shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 18.56% yearly.
EPS 1Y (TTM)26.23%
EPS 3Y-17.18%
EPS 5YN/A
EPS Q2Q%43.59%
Revenue 1Y (TTM)18.11%
Revenue growth 3Y53.36%
Revenue growth 5Y18.56%
Sales Q2Q%44.23%
3.2 Future
NE is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 26.54% yearly.
Based on estimates for the next years, NE will show a quite strong growth in Revenue. The Revenue will grow by 11.19% on average per year.
EPS Next Y18.26%
EPS Next 2Y26.54%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year16.72%
Revenue Next 2Y11.19%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 10.41, the valuation of NE can be described as very reasonable.
77.59% of the companies in the same industry are more expensive than NE, based on the Price/Earnings ratio.
The average S&P500 Price/Earnings ratio is at 29.98. NE is valued rather cheaply when compared to this.
Based on the Price/Forward Earnings ratio of 8.80, the valuation of NE can be described as reasonable.
NE's Price/Forward Earnings ratio is rather cheap when compared to the industry. NE is cheaper than 82.76% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 22.66. NE is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.41 | ||
| Fwd PE | 8.8 |
4.2 Price Multiples
NE's Enterprise Value to EBITDA is on the same level as the industry average.
65.52% of the companies in the same industry are cheaper than NE, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 48.12 | ||
| EV/EBITDA | 5.23 |
4.3 Compensation for Growth
NE's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
NE has a very decent profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as NE's earnings are expected to grow with 26.54% in the coming years.
PEG (NY)0.57
PEG (5Y)N/A
EPS Next 2Y26.54%
EPS Next 3YN/A
5. Dividend
5.1 Amount
NE has a Yearly Dividend Yield of 7.72%, which is a nice return.
The stock price of NE dropped by -22.62% in the last 3 months. With lower prices the dividend yield is higher, but it may be a sign investors do not trust the long term dividend.
Compared to an average industry Dividend Yield of 3.68, NE pays a better dividend. On top of this NE pays more dividend than 94.83% of the companies listed in the same industry.
NE's Dividend Yield is rather good when compared to the S&P500 average which is at 2.30.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.72% |
5.2 History
The dividend of NE is nicely growing with an annual growth rate of 7.43%!
NE has been paying a dividend for over 5 years, so it has already some track record.
NE has decreased its dividend recently.
Dividend Growth(5Y)7.43%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
NE pays out 61.97% of its income as dividend. This is not a sustainable payout ratio.
The dividend of NE is growing, but earnings are growing more, so the dividend growth is sustainable.
DP61.97%
EPS Next 2Y26.54%
EPS Next 3YN/A
NYSE:NE (3/3/2025, 2:47:03 PM)
24.05
-1.85 (-7.14%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryEnergy Equipment & Services
Earnings (Last)
Earnings (Next)
Inst Owners74.76%
Inst Owner Change2420.79%
Ins Owners1.85%
Ins Owner Change6.19%
Market Cap3.86B
Analysts80.91
Price Target43.1 (79.21%)
Short Float %8.56%
Short Ratio6.73
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.72% |
Yearly Dividend1.85
Dividend Growth(5Y)7.43%
DP61.97%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-22.04%
Min EPS beat(2)-30.15%
Max EPS beat(2)-13.94%
EPS beat(4)1
Avg EPS beat(4)-11.88%
Min EPS beat(4)-30.15%
Max EPS beat(4)10.37%
EPS beat(8)3
Avg EPS beat(8)-10.58%
EPS beat(12)4
Avg EPS beat(12)-33.76%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)2
Avg Revenue beat(2)3.36%
Min Revenue beat(2)3.06%
Max Revenue beat(2)3.67%
Revenue beat(4)4
Avg Revenue beat(4)4.3%
Min Revenue beat(4)3.06%
Max Revenue beat(4)5.98%
Revenue beat(8)8
Avg Revenue beat(8)4.78%
Revenue beat(12)10
Avg Revenue beat(12)3.45%
Revenue beat(16)11
Avg Revenue beat(16)0.51%
PT rev (1m)-3.38%
PT rev (3m)-13.78%
EPS NQ rev (1m)-34%
EPS NQ rev (3m)-26.49%
EPS NY rev (1m)-0.81%
EPS NY rev (3m)-9.1%
Revenue NQ rev (1m)-0.16%
Revenue NQ rev (3m)-1.47%
Revenue NY rev (1m)-1.18%
Revenue NY rev (3m)-2.79%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.41 | ||
| Fwd PE | 8.8 | ||
| P/S | 1.26 | ||
| P/FCF | 48.12 | ||
| P/OCF | 5.88 | ||
| P/B | 0.83 | ||
| P/tB | 0.83 | ||
| EV/EBITDA | 5.23 |
EPS(TTM)2.31
EY9.6%
EPS(NY)2.73
Fwd EY11.36%
FCF(TTM)0.5
FCFY2.08%
OCF(TTM)4.09
OCFY16.99%
SpS19.07
BVpS29
TBVpS29
PEG (NY)0.57
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.7% | ||
| ROE | 9.64% | ||
| ROCE | 9.87% | ||
| ROIC | 7.8% | ||
| ROICexc | 8.08% | ||
| ROICexgc | 8.08% | ||
| OM | 22.76% | ||
| PM (TTM) | 14.66% | ||
| GM | 41.38% | ||
| FCFM | 2.62% |
ROA(3y)5.89%
ROA(5y)-11.73%
ROE(3y)8.87%
ROE(5y)N/A
ROIC(3y)7.22%
ROIC(5y)N/A
ROICexc(3y)7.73%
ROICexc(5y)N/A
ROICexgc(3y)7.76%
ROICexgc(5y)N/A
ROCE(3y)9.13%
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y-29.33%
PM growth 5YN/A
GM growth 3Y50.54%
GM growth 5Y-0.65%
F-Score5
Asset Turnover0.39
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.43 | ||
| Debt/FCF | 24.7 | ||
| Debt/EBITDA | 1.76 | ||
| Cap/Depr | 134.22% | ||
| Cap/Sales | 18.81% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 58.28% | ||
| Profit Quality | 17.88% | ||
| Current Ratio | 1.55 | ||
| Quick Ratio | 1.55 | ||
| Altman-Z | N/A |
F-Score5
WACC8.65%
ROIC/WACC0.9
Cap/Depr(3y)129.61%
Cap/Depr(5y)106.63%
Cap/Sales(3y)15.65%
Cap/Sales(5y)16.47%
Profit Quality(3y)38.4%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)26.23%
EPS 3Y-17.18%
EPS 5YN/A
EPS Q2Q%43.59%
EPS Next Y18.26%
EPS Next 2Y26.54%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)18.11%
Revenue growth 3Y53.36%
Revenue growth 5Y18.56%
Sales Q2Q%44.23%
Revenue Next Year16.72%
Revenue Next 2Y11.19%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y13.12%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year93.39%
EBIT Next 3Y30.56%
EBIT Next 5YN/A
FCF growth 1Y-51.35%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y14.13%
OCF growth 3Y373.66%
OCF growth 5Y28.54%