Latest Ratios: P/E Ratio 4.8x · EV/EBITDA 3.1x · ROE 18.8%. (1996–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $1.2B | $783M | $526M | $748M | $1.4B | $617M | $411M | $1.0B | $669M | $1.9B | $4.5B |
| Enterprise Value | $2.9B | $2.4B | $2.7B | $2.9B | $3.5B | $2.9B | $2.9B | $4.0B | $3.8B | $5.6B | $7.8B |
| P/E Ratio → | 4.84 | 3.16 | — | — | — | — | — | — | — | — | — |
| P/S Ratio | 0.39 | 0.25 | 0.18 | 0.25 | 0.52 | 0.31 | 0.19 | 0.33 | 0.22 | 0.75 | 2.04 |
| P/B Ratio | 0.83 | 0.54 | 0.44 | 0.58 | 1.13 | 0.44 | 0.24 | 0.41 | 0.21 | 0.61 | 1.39 |
| P/FCF | — | — | 38.93 | 7.71 | 10.80 | 3.17 | 2.67 | 3.94 | — | — | 33.23 |
| P/OCF | 1.77 | 1.13 | 0.90 | 1.17 | 2.75 | 1.44 | 1.18 | 1.48 | 2.05 | 30.54 | 8.52 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 0.76 | 0.91 | 0.96 | 1.32 | 1.45 | 1.37 | 1.30 | 1.25 | 2.19 | 3.52 |
| EV / EBITDA | 3.13 | 2.64 | 3.03 | 1.85 | 2.55 | 2.50 | 2.03 | 4.92 | 2.36 | 4.04 | 5.24 |
| EV / EBIT | 10.83 | 3.20 | 14.85 | 10.70 | 78.95 | — | — | — | — | — | — |
| EV / FCF | — | — | 197.63 | 29.77 | 27.41 | 15.05 | 18.90 | 15.41 | — | — | 57.52 |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 19.5% | 19.5% | 18.9% | 40.4% | 37.2% | 36.2% | 37.4% | 7.8% | 35.3% | 33.0% | 39.7% |
| Operating Margin | 8.3% | 8.3% | 8.5% | 30.4% | 26.7% | 23.8% | 26.1% | -2.3% | 24.4% | 21.2% | 27.9% |
| Net Profit Margin | 7.8% | 7.8% | -6.0% | -0.4% | -13.2% | -28.2% | -37.8% | -23.8% | -21.0% | -21.3% | -46.2% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 18.8% | 18.8% | -14.2% | -0.9% | -26.8% | -36.8% | -38.6% | -25.7% | -20.4% | -17.1% | -27.3% |
| ROA | 5.3% | 5.3% | -3.6% | -0.2% | -6.8% | -10.3% | -13.1% | -9.9% | -7.9% | -6.6% | -11.6% |
| ROIC | 6.2% | 6.2% | 5.5% | 20.3% | 15.1% | 9.1% | 8.7% | -0.9% | 8.5% | 6.1% | 6.5% |
| ROCE | 6.8% | 6.8% | 6.2% | 22.3% | 15.5% | 9.6% | 10.1% | -1.1% | 10.3% | 7.3% | 7.8% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 1.78 | 1.78 | 2.10 | 2.50 | 2.12 | 2.37 | 1.75 | 1.37 | 1.14 | 1.28 | 1.10 |
| Debt / EBITDA | 2.81 | 2.81 | 2.88 | 2.05 | 1.87 | 2.81 | 2.07 | 4.20 | 2.22 | 2.90 | 2.39 |
| Net Debt / Equity | — | 1.13 | 1.78 | 1.67 | 1.75 | 1.66 | 1.47 | 1.19 | 0.99 | 1.17 | 1.02 |
| Net Debt / EBITDA | 1.78 | 1.78 | 2.43 | 1.37 | 1.54 | 1.97 | 1.74 | 3.66 | 1.95 | 2.66 | 2.21 |
| Debt / FCF | — | — | 158.70 | 22.06 | 16.62 | 11.88 | 16.24 | 11.46 | — | — | 24.29 |
| Interest Coverage | 3.50 | 3.50 | 0.85 | 1.46 | 0.25 | -1.24 | -1.54 | -1.88 | -0.48 | -1.34 | -1.35 |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 1.56 | 1.56 | 1.75 | 1.36 | 1.68 | 2.89 | 2.20 | 1.90 | 1.92 | 1.57 | 1.41 |
| Quick Ratio | 1.47 | 1.47 | 1.52 | 1.23 | 1.46 | 2.65 | 1.88 | 1.63 | 1.72 | 1.39 | 1.28 |
| Cash Ratio | 0.95 | 0.95 | 0.69 | 0.88 | 0.76 | 1.89 | 0.93 | 0.69 | 0.58 | 0.40 | 0.36 |
| Asset Turnover | — | 0.66 | 0.65 | 0.57 | 0.56 | 0.37 | 0.39 | 0.45 | 0.39 | 0.31 | 0.27 |
| Inventory Turnover | 27.05 | 27.05 | 18.28 | 12.11 | 13.02 | 10.18 | 8.32 | 15.91 | 11.94 | 10.33 | 12.98 |
| Days Sales Outstanding | — | 44.89 | 48.33 | 42.24 | 45.03 | 52.03 | 62.08 | 54.33 | 90.28 | 99.42 | 83.29 |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 0.5% | 0.8% | — | — | 0.0% | 1.2% | 5.5% | 4.9% | 13.0% | 3.6% | 1.1% |
| Payout Ratio | — | — | — | — | — | — | — | — | — | — | — |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 20.7% | 31.6% | — | — | — | — | — | — | — | — | — |
| FCF Yield | — | — | 2.6% | 13.0% | 9.3% | 31.6% | 37.5% | 25.4% | — | — | 3.0% |
| Buyback Yield | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.4% | 0.0% | 0.0% | 0.9% | 0.0% |
| Total Shareholder Yield | 0.5% | 0.8% | 0.0% | 0.0% | 0.0% | 1.2% | 5.9% | 4.9% | 13.0% | 4.5% | 1.2% |
| Shares Outstanding | — | $14M | $9M | $9M | $9M | $8M | $7M | $7M | $7M | $6M | $6M |
Includes 30+ ratios · 30 years · Updated daily
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Quick answers to the most common questions about buying NBR stock.
Nabors Industries Ltd.'s current P/E ratio is 4.8x. The historical average is 33.6x. This places it at the 6th percentile of its historical range.
Nabors Industries Ltd.'s current EV/EBITDA is 3.1x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 8.7x.
Nabors Industries Ltd.'s return on equity (ROE) is 18.8%. The historical average is -0.3%.
Based on historical data, Nabors Industries Ltd. is trading at a P/E of 4.8x. This is at the 6th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
Nabors Industries Ltd.'s current dividend yield is 0.51%.
Nabors Industries Ltd. has 19.5% gross margin and 8.3% operating margin.
Nabors Industries Ltd.'s Debt/EBITDA ratio is 2.8x, indicating moderate leverage. A ratio between 2-4x is manageable but warrants monitoring.
Key Metrics
Top Statement Risk
Debt/Equity data discrepancy
Metrics are mathematically derived from official filings.
Deep Value with Leverage Discount
Nabors trades at 3.05x EV/EBITDA and 0.79x book value, per recent filings, a steep discount to peers like HP at 6.32x, suggesting the market prices in elevated financial risk despite operational momentum.
The single-digit P/E of 4.58 and EV/EBITDA of 3.05 imply the market is valuing Nabors on trough earnings, not the recent guidance raise. Compared to HP's 6.32x EV/EBITDA, the discount likely reflects the unresolved debt/equity discrepancy and perceived balance sheet fragility. Investors should monitor whether the Drilling Solutions segment can command a software-like multiple, which would support a sum-of-the-parts re-rating.
Margin Volatility Masks Underlying Earning Power
Gross margin swung from 43.5% in 2026Q2 to 17.1% in 2026Q1, per financial statements, while operating margin averaged 8.3% over the last year, indicating that one-time items and cost timing distort true profitability.
The wide quarterly swings in gross margin—from 40%+ to 17%—suggest that reactivation costs and contract mix are heavily influencing reported profitability. The operating margin of 7.5% in 2026Q2, down from 29.8% in 2025Q2, appears to reflect a return to normalized levels after a quarter with unusual gains. Net margin remains negative at -3.6%, indicating that interest expense and non-operating charges continue to erode bottom-line results, a trend that warrants monitoring for any improvement in debt service costs.
ROIC Stagnant Despite Asset Base Shrinkage
ROIC has hovered near 1.5% over the past year, per reported data, while ROE turned negative in 2026Q2 at -2.0%, indicating that the company is not generating returns above its cost of capital.
Despite a shrinking asset base—total assets fell from $5.0B to $4.4B—ROIC has not improved, suggesting that margin expansion is being offset by high capital intensity and depreciation. The negative ROE in recent quarters reflects thin equity and persistent net losses, which may indicate that the company is destroying value at the operating level. Investors should assess whether the SANAD JV and Drilling Solutions can lift returns above the cost of capital over the next cycle.
Working Capital Efficiency Improves but Asset Turnover Lags
Cash conversion cycle turned negative at -2 days in 2026Q2, per financial statements, as DPO stretched to 68 days, while asset turnover remains low at 0.19, indicating efficient payables management but heavy asset intensity.
The negative CCC is driven by a DPO of 68 days versus DSO of 48 days, suggesting Nabors is using supplier financing effectively, though this may not be sustainable if suppliers tighten terms. Asset turnover of 0.19 is consistent with the capital-heavy drilling business, but it remains below peers like HP, which may reflect a larger idle fleet or lower utilization. The improvement in CCC from 33 days in 2025Q4 to -2 days in 2026Q2 is notable, but investors should monitor whether it stems from operational efficiency or delayed payments.
Leverage Elevated Despite Debt Reduction
Debt-to-EBITDA stands at 9.6x in 2026Q2, per reported figures, with interest coverage of only 1.43x, indicating that debt service consumes most operating income and leaves little cushion for downturns.
Although total debt fell from $2.5B to $2.1B over the past year, the D/EBITDA ratio remains high at 9.6x, reflecting depressed EBITDA levels. Interest coverage of 1.43x means operating income barely covers interest expense, leaving the company vulnerable to any rise in rates or decline in cash flow. The reported D/E of 1.48 in the latest quarter contradicts the snapshot's 1.78%, a discrepancy that warrants immediate verification, as it could signal undisclosed liabilities or a data error.
Liquidity Buffer Adequate but Cyclical
Current ratio improved to 1.89 in 2026Q2 from 1.78 a year earlier, per financial statements, with cash of $509.8M, suggesting a sufficient short-term cushion against operational shocks.
The quick ratio of 1.75 indicates that inventory is not a major liquidity concern, which is typical for a service company. However, the cash flow statement shows erratic FCF, swinging from $83.8M in 2025Q4 to -$51.6M in 2026Q1, implying that the liquidity position could deteriorate quickly if working capital swings persist. Investors should monitor whether the current ratio remains above 1.5 during a downturn, as the high fixed-cost structure could rapidly consume cash.
Misapplied EV/EBITDA in Capital-Intensive Drilling
EV/EBITDA is commonly used for Nabors but obscures the impact of high depreciation and reactivation costs, per analyst interpretation, making EV/EBITDAR or EV/EBITDA minus maintenance capex a more accurate measure of cash generation.
In a business with heavy fixed assets and cyclical reactivation expenses, EBITDA can be misleading because it ignores the capital required to maintain the fleet. For Nabors, the reported EV/EBITDA of 3.05x appears cheap, but when adjusting for maintenance capex—which has averaged 20.4% of revenue—the effective multiple is much higher. Investors should use EV/EBITDAR or a normalized free cash flow yield to compare Nabors with peers like HP, as this better captures the true economic cost of the rig fleet.