Latest Ratios: P/E Ratio 4.4x · EV/EBITDA 3.0x · 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 | $1.1B | $783M | $526M | $748M | $1.4B | $617M | $411M | $1.0B | $669M | $1.9B | $4.5B |
| Enterprise Value | $2.8B | $2.4B | $2.7B | $2.9B | $3.5B | $2.9B | $2.9B | $4.0B | $3.8B | $5.6B | $7.8B |
| P/E Ratio → | 4.45 | 3.16 | — | — | — | — | — | — | — | — | — |
| P/S Ratio | 0.35 | 0.25 | 0.18 | 0.25 | 0.52 | 0.31 | 0.19 | 0.33 | 0.22 | 0.75 | 2.04 |
| P/B Ratio | 0.77 | 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 | 1.63 | 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 | 3.02 | 2.64 | 3.03 | 1.85 | 2.55 | 2.50 | 2.03 | 4.92 | 2.36 | 4.04 | 5.24 |
| EV / EBIT | 10.45 | 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% | 0.0% | 0.0% | 1.2% | 5.5% | 4.9% | 13.0% | 3.6% | 1.1% |
| Payout Ratio | 2.4% | 2.4% | — | — | — | — | — | — | — | — | — |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 22.5% | 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 |
High debt maturity pressure
Based on current market data, Nabors trades at an EV/EBITDA multiple of 3.12x, which appears to reflect a significant discount compared to peers like Helmerich & Payne, suggesting that investors are pricing in substantial execution risk and the company's historical reliance on high-leverage financing structures.
The low P/S ratio of 0.38x indicates that the market is heavily discounting the company's revenue base, likely due to the cyclical nature of drilling services and the volatility of the U.S. land market. This valuation suggests that the market remains skeptical of the company's ability to sustainably convert its technological investments into long-term shareholder value.
According to recent financial reports, Nabors' ROIC has struggled to maintain momentum, hovering near 1.2% in 2026Q1, which indicates that the company is failing to generate returns that meaningfully exceed its cost of capital in the current high-interest rate environment.
The persistent gap between invested capital and returns suggests that the company's heavy reliance on high-spec rig assets is not currently yielding the expected operational efficiencies. Investors should monitor whether the Drilling Solutions segment can eventually drive a structural improvement in ROIC, or if the asset-heavy nature of the business will continue to suppress returns.
As reported in quarterly filings, the cash conversion cycle has fluctuated significantly, reaching 16 days in 2026Q1 from a peak of 36 days in 2025Q3, highlighting the company's ongoing difficulty in managing receivables and inventory in a volatile demand environment.
The variability in the cash conversion cycle suggests that Nabors lacks consistent leverage over its customer base, leading to unpredictable cash inflows. This inefficiency complicates the company's ability to fund its operations internally and increases the necessity for external financing to bridge working capital gaps.
Based on reported figures, the company's D/EBITDA ratio of 10.39x in 2026Q1 underscores a precarious leverage position, which significantly limits the firm's ability to navigate cyclical downturns without facing substantial refinancing risks or potential covenant pressure.
The interest coverage ratio of 1.48x suggests that the company's ability to service its debt is becoming increasingly thin, leaving little margin for error should rig utilization rates decline further. This high leverage profile remains a primary concern for institutional investors, as it restricts the company's capacity to allocate capital toward growth initiatives.
As indicated by industry analysis, the P/E ratio is a fundamentally flawed metric for Nabors, as it obscures the company's massive depreciation charges and high debt service requirements, which are inherent to the capital-intensive nature of the contract drilling business model.
Investors should instead focus on EV/EBITDA or free cash flow yield to better understand the company's operational performance, as these metrics account for the capital structure and non-cash expenses that distort net income. Relying on P/E ratios in this context may lead to a false sense of value, ignoring the underlying cash burn and debt obligations.
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 4.4x. 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 3.0x. 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 4.4x. 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 0.55% with a payout ratio of 2.4%.
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.