Nabors Industries Operating Margin vs. Return On Asset
| NBRWF Stock | USD 3.46 0.26 8.12% |
For Nabors Industries profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Nabors Industries to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Nabors Industries utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Nabors Industries's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Nabors Industries over time as well as its relative position and ranking within its peers.
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Nabors Industries Return On Asset vs. Operating Margin Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Nabors Industries's current stock value. Our valuation model uses many indicators to compare Nabors Industries value to that of its competitors to determine the firm's financial worth. Nabors Industries is rated below average in operating margin category among its peers. It also is rated below average in return on asset category among its peers . The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the Nabors Industries' earnings, one of the primary drivers of an investment's value.Nabors Return On Asset vs. Operating Margin
Operating Margin shows how much operating income a company makes on each dollar of sales. It is one of the profitability indicators which helps analysts to understand whether the firm is successful or not making money from everyday operations.
Nabors Industries |
| = | (0.18) % |
A good Operating Margin is required for a company to be able to pay for its fixed costs or payout its debt, which implies that the higher the margin, the better. This ratio is most effective in evaluating the earning potential of a company over time when comparing it against a firm's competitors.
Return on Asset or ROA shows how effective is the management of the company in generating income from utilizing all of the assets at their disposal. It is a useful ratio to evaluate the performance of different departments of a company as well as to understand management performance over time.
Nabors Industries |
| = | -0.0359 |
Return on Asset measures overall efficiency of a company in generating profits from its total assets. It is expressed as the percentage of profits earned per dollar of Asset. A low ROA typically means that a company is asset-intensive and therefore will needs more money to continue generating revenue in the future.
Nabors Return On Asset Comparison
Nabors Industries is currently under evaluation in return on asset category among its peers.
Nabors Industries Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Nabors Industries, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Nabors Industries will eventually generate negative long term returns. The profitability progress is the general direction of Nabors Industries' change in net profit over the period of time. It can combine multiple indicators of Nabors Industries, where stable trends show no significant progress. An accelerating trend is seen as positive, while a decreasing one is unfavorable. A rising trend means that profits are rising, and operational efficiency may be rising as well. A decreasing trend is a sign of poor performance and may indicate upcoming losses.
Nabors Industries Ltd. provides drilling and drilling-related services for land-based and offshore oil and natural gas wells. Nabors Industries Ltd. was founded in 1952 and is headquartered in Hamilton, Bermuda. Nabors Industries is traded on OTC Exchange in the United States.
Nabors Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Nabors Industries. Investors often realize that things won't turn out the way they predict. There are maybe way too many unforeseen events and contingencies during the holding period of Nabors Industries position where the market behavior may be hard to predict, tax policy changes, gold or oil price hikes, calamities change, and many others. The question is, are you prepared for these unexpected events? Although some of these situations are obviously beyond your control, you can still follow the important profit indicators to know where you should focus on when things like this occur. Below are some of the Nabors Industries' important profitability drivers and their relationship over time.
Use Nabors Industries in pair-trading
One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Nabors Industries position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Nabors Industries will appreciate offsetting losses from the drop in the long position's value.Nabors Industries Pair Trading
Nabors Industries Pair Trading Analysis
The ability to find closely correlated positions to Nabors Industries could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Nabors Industries when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Nabors Industries - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Nabors Industries to buy it.
The correlation of Nabors Industries is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Nabors Industries moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Nabors Industries moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Nabors Industries can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.Use Investing Themes to Complement your Nabors Industries position
In addition to having Nabors Industries in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.Did You Try This Idea?
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Additional Information and Resources on Investing in Nabors OTC Stock
When determining whether Nabors Industries is a strong investment it is important to analyze Nabors Industries' competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact Nabors Industries' future performance. For an informed investment choice regarding Nabors OTC Stock, refer to the following important reports:Check out Correlation Analysis. For more detail on how to invest in Nabors OTC Stock please use our How to Invest in Nabors Industries guide.You can also try the Competition Analyzer module to analyze and compare many basic indicators for a group of related or unrelated entities.
To fully project Nabors Industries' future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Nabors Industries at a specified time, usually calculated after every quarter, six months, or one year. Three primary documents fall into the category of financial statements. These documents include Nabors Industries' income statement, its balance sheet, and the statement of cash flows.