NexTier Oilfield Solutions Inc (NEX) Fundamental Analysis & Valuation

NYSE:NEX • US65290C1053

Current stock price

10.61 USD
+0.1 (+0.95%)
At close:
10.69 USD
+0.08 (+0.75%)
Pre-Market:

This NEX fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

6

1. NEX Profitability Analysis

1.1 Basic Checks

  • NEX had positive earnings in the past year.
  • NEX had a positive operating cash flow in the past year.
NEX Yearly Net Income VS EBIT VS OCF VS FCFNEX Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 0 200M -200M 400M

1.2 Ratios

  • With an excellent Return On Assets value of 29.66%, NEX belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
  • NEX has a better Return On Equity (56.83%) than 96.83% of its industry peers.
  • With an excellent Return On Invested Capital value of 30.63%, NEX belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
Industry RankSector Rank
ROA 29.66%
ROE 56.83%
ROIC 30.63%
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
NEX Yearly ROA, ROE, ROICNEX Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 0 -50 -100

1.3 Margins

  • NEX has a better Profit Margin (17.59%) than 95.24% of its industry peers.
  • NEX has a better Operating Margin (16.19%) than 77.78% of its industry peers.
  • In the last couple of years the Operating Margin of NEX has grown nicely.
  • The Gross Margin of NEX (26.92%) is comparable to the rest of the industry.
  • NEX's Gross Margin has improved in the last couple of years.
Industry RankSector Rank
OM 16.19%
PM (TTM) 17.59%
GM 26.92%
OM growth 3Y390.97%
OM growth 5Y56.68%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.48%
GM growth 5Y6.55%
NEX Yearly Profit, Operating, Gross MarginsNEX Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 0 20 -20 -40

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ROAROEROICOperating and Profit MarginShow most profitable peers

7

2. NEX Health Analysis

2.1 Basic Checks

  • NEX has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
  • NEX has less shares outstanding than it did 1 year ago.
  • Compared to 1 year ago, NEX has an improved debt to assets ratio.
NEX Yearly Shares OutstandingNEX Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 50M 100M 150M 200M
NEX Yearly Total Debt VS Total AssetsNEX Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 500M 1B 1.5B

2.2 Solvency

  • NEX has an Altman-Z score of 4.14. This indicates that NEX is financially healthy and has little risk of bankruptcy at the moment.
  • Looking at the Altman-Z score, with a value of 4.14, NEX belongs to the top of the industry, outperforming 82.54% of the companies in the same industry.
  • The Debt to FCF ratio of NEX is 1.12, which is an excellent value as it means it would take NEX, only 1.12 years of fcf income to pay off all of its debts.
  • NEX has a Debt to FCF ratio of 1.12. This is amongst the best in the industry. NEX outperforms 87.30% of its industry peers.
  • A Debt/Equity ratio of 0.32 indicates that NEX is not too dependend on debt financing.
  • The Debt to Equity ratio of NEX (0.32) is comparable to the rest of the industry.
Industry RankSector Rank
Debt/Equity 0.32
Debt/FCF 1.12
Altman-Z 4.14
ROIC/WACC3.33
WACC9.21%
NEX Yearly LT Debt VS Equity VS FCFNEX Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 0 200M -200M 400M 600M 800M

2.3 Liquidity

  • NEX has a Current Ratio of 1.37. This is a normal value and indicates that NEX is financially healthy and should not expect problems in meeting its short term obligations.
  • NEX has a Current ratio of 1.37. This is in the lower half of the industry: NEX underperforms 76.19% of its industry peers.
  • NEX has a Quick Ratio of 1.26. This is a normal value and indicates that NEX is financially healthy and should not expect problems in meeting its short term obligations.
  • NEX has a worse Quick ratio (1.26) than 61.90% of its industry peers.
Industry RankSector Rank
Current Ratio 1.37
Quick Ratio 1.26
NEX Yearly Current Assets VS Current LiabilitesNEX Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 200M 400M 600M

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

6

3. NEX Growth Analysis

3.1 Past

  • The Earnings Per Share has grown by an impressive 456.82% over the past year.
  • The Earnings Per Share has been growing by 81.60% on average over the past years. This is a very strong growth
  • The Revenue has grown by 53.21% in the past year. This is a very strong growth!
  • NEX shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 16.04% yearly.
EPS 1Y (TTM)456.82%
EPS 3YN/A
EPS 5Y81.6%
EPS Q2Q%74.36%
Revenue 1Y (TTM)53.21%
Revenue growth 3Y21.22%
Revenue growth 5Y16.04%
Sales Q2Q%12.12%

3.2 Future

  • The Earnings Per Share is expected to grow by 4.79% on average over the next years.
  • Based on estimates for the next years, NEX will show a small growth in Revenue. The Revenue will grow by 4.32% on average per year.
EPS Next Y40.89%
EPS Next 2Y9.22%
EPS Next 3Y4.79%
EPS Next 5YN/A
Revenue Next Year10.1%
Revenue Next 2Y6.01%
Revenue Next 3Y4.32%
Revenue Next 5YN/A

3.3 Evolution

  • The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
  • When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
NEX Yearly Revenue VS EstimatesNEX Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 1B 2B 3B
NEX Yearly EPS VS EstimatesNEX Yearly EPS VS EstimatesYearly EPS VS Estimates 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 1 -1 2

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Find the best growth stocksShow best growing peers

9

4. NEX Valuation Analysis

4.1 Price/Earnings Ratio

  • A Price/Earnings ratio of 4.33 indicates a rather cheap valuation of NEX.
  • Based on the Price/Earnings ratio, NEX is valued cheaply inside the industry as 96.83% of the companies are valued more expensively.
  • The average S&P500 Price/Earnings ratio is at 25.23. NEX is valued rather cheaply when compared to this.
  • NEX is valuated cheaply with a Price/Forward Earnings ratio of 5.63.
  • Based on the Price/Forward Earnings ratio, NEX is valued cheaply inside the industry as 90.48% of the companies are valued more expensively.
  • NEX is valuated cheaply when we compare the Price/Forward Earnings ratio to 22.42, which is the current average of the S&P500 Index.
Industry RankSector Rank
PE 4.33
Fwd PE 5.63
NEX Price Earnings VS Forward Price EarningsNEX Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 20 40 60 80

4.2 Price Multiples

  • Based on the Enterprise Value to EBITDA ratio, NEX is valued cheaper than 95.24% of the companies in the same industry.
  • Based on the Price/Free Cash Flow ratio, NEX is valued cheaper than 93.65% of the companies in the same industry.
Industry RankSector Rank
P/FCF 5.87
EV/EBITDA 2.86
NEX Per share dataNEX EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 5 10 15

4.3 Compensation for Growth

  • NEX's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
  • NEX has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)0.11
PEG (5Y)0.05
EPS Next 2Y9.22%
EPS Next 3Y4.79%

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

0

5. NEX Dividend Analysis

5.1 Amount

  • NEX does not give a dividend.
Industry RankSector Rank
Dividend Yield N/A

More info and screens

Find the best dividend stocksShow peers with best dividend

NEX Fundamentals: All Metrics, Ratios and Statistics

NexTier Oilfield Solutions Inc

NYSE:NEX (8/31/2023, 8:09:30 PM)

Premarket: 10.69 +0.08 (+0.75%)

10.61

+0.1 (+0.95%)

Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryEnergy Equipment & Services
Earnings (Last)07-25
Earnings (Next)10-23
Inst Owners0%
Inst Owner Change0%
Ins Owners16.43%
Ins Owner Change0%
Market Cap2.25B
Revenue(TTM)3.65B
Net Income(TTM)641.78M
Analysts77.14
Price Target13.63 (28.46%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector Rank
Dividend Yield N/A
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)6.64%
Min EPS beat(2)6.63%
Max EPS beat(2)6.64%
EPS beat(4)4
Avg EPS beat(4)14.69%
Min EPS beat(4)6.63%
Max EPS beat(4)35.22%
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)0
Avg Revenue beat(2)-1.01%
Min Revenue beat(2)-1.99%
Max Revenue beat(2)-0.03%
Revenue beat(4)0
Avg Revenue beat(4)-1.81%
Min Revenue beat(4)-4.06%
Max Revenue beat(4)-0.03%
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)-2.59%
EPS NQ rev (1m)2.58%
EPS NQ rev (3m)-21.74%
EPS NY rev (1m)0%
EPS NY rev (3m)-15.95%
Revenue NQ rev (1m)-0.12%
Revenue NQ rev (3m)-11.49%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-8.05%
Valuation
Industry RankSector Rank
PE 4.33
Fwd PE 5.63
P/S 0.62
P/FCF 5.87
P/OCF 3.18
P/B 1.99
P/tB 2.53
EV/EBITDA 2.86
EPS(TTM)2.45
EY23.09%
EPS(NY)1.88
Fwd EY17.77%
FCF(TTM)1.81
FCFY17.05%
OCF(TTM)3.34
OCFY31.45%
SpS17.21
BVpS5.33
TBVpS4.19
PEG (NY)0.11
PEG (5Y)0.05
Graham NumberN/A
Profitability
Industry RankSector Rank
ROA 29.66%
ROE 56.83%
ROCE 38.78%
ROIC 30.63%
ROICexc 38.5%
ROICexgc 48.07%
OM 16.19%
PM (TTM) 17.59%
GM 26.92%
FCFM 10.51%
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3Y526.68%
ROICexgc growth 5Y70.24%
ROICexc growth 3Y509.03%
ROICexc growth 5Y71.08%
OM growth 3Y390.97%
OM growth 5Y56.68%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.48%
GM growth 5Y6.55%
F-Score9
Asset Turnover1.69
Health
Industry RankSector Rank
Debt/Equity 0.32
Debt/FCF 1.12
Debt/EBITDA 0.44
Cap/Depr 136.35%
Cap/Sales 8.88%
Interest Coverage N/A
Cash Conversion N/A
Profit Quality 59.73%
Current Ratio 1.37
Quick Ratio 1.26
Altman-Z 4.14
F-Score9
WACC9.21%
ROIC/WACC3.33
Cap/Depr(3y)79.46%
Cap/Depr(5y)83.31%
Cap/Sales(3y)10.04%
Cap/Sales(5y)10.9%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)456.82%
EPS 3YN/A
EPS 5Y81.6%
EPS Q2Q%74.36%
EPS Next Y40.89%
EPS Next 2Y9.22%
EPS Next 3Y4.79%
EPS Next 5YN/A
Revenue 1Y (TTM)53.21%
Revenue growth 3Y21.22%
Revenue growth 5Y16.04%
Sales Q2Q%12.12%
Revenue Next Year10.1%
Revenue Next 2Y6.01%
Revenue Next 3Y4.32%
Revenue Next 5YN/A
EBIT growth 1Y619.09%
EBIT growth 3Y495.16%
EBIT growth 5Y81.81%
EBIT Next Year124.4%
EBIT Next 3Y30.9%
EBIT Next 5YN/A
FCF growth 1Y369.29%
FCF growth 3Y32.48%
FCF growth 5YN/A
OCF growth 1Y1511.4%
OCF growth 3Y14.15%
OCF growth 5Y41.64%

NexTier Oilfield Solutions Inc / NEX Fundamental Analysis FAQ

What is the fundamental rating for NEX stock?

ChartMill assigns a fundamental rating of 6 / 10 to NEX.


What is the valuation status of NexTier Oilfield Solutions Inc (NEX) stock?

ChartMill assigns a valuation rating of 9 / 10 to NexTier Oilfield Solutions Inc (NEX). This can be considered as Undervalued.


Can you provide the profitability details for NexTier Oilfield Solutions Inc?

NexTier Oilfield Solutions Inc (NEX) has a profitability rating of 6 / 10.


What is the financial health of NexTier Oilfield Solutions Inc (NEX) stock?

The financial health rating of NexTier Oilfield Solutions Inc (NEX) is 7 / 10.


What is the expected EPS growth for NexTier Oilfield Solutions Inc (NEX) stock?

The Earnings per Share (EPS) of NexTier Oilfield Solutions Inc (NEX) is expected to grow by 40.89% in the next year.