Analyzing National Oilwell Varco (NOV) & Cameron International (CAM)

National Oilwell Varco (NYSE: NOV) and Cameron International (NYSE:CAM) are both oils/energy companies, but which is the better business? We will compare the two businesses based on the strength of their profitability, risk, dividends, institutional ownership, analyst recommendations, earnings and valuation.

Dividends

National Oilwell Varco pays an annual dividend of $0.20 per share and has a dividend yield of 0.6%. Cameron International does not pay a dividend. National Oilwell Varco pays out -3.3% of its earnings in the form of a dividend.

Valuation and Earnings

This table compares National Oilwell Varco and Cameron International’s gross revenue, earnings per share (EPS) and valuation.

Gross Revenue Price/Sales Ratio EBITDA Earnings Per Share Price/Earnings Ratio
National Oilwell Varco $6.84 billion 1.96 -$440.00 million ($6.04) -5.83
Cameron International N/A N/A N/A N/A N/A

Cameron International has higher revenue, but lower earnings than National Oilwell Varco.

Profitability

This table compares National Oilwell Varco and Cameron International’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
National Oilwell Varco -33.24% -2.12% -1.41%
Cameron International 7.17% 11.16% 5.17%

Analyst Recommendations

This is a breakdown of current ratings and target prices for National Oilwell Varco and Cameron International, as reported by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
National Oilwell Varco 3 15 6 0 2.13
Cameron International 0 0 0 0 N/A

National Oilwell Varco currently has a consensus target price of $38.35, indicating a potential upside of 8.83%. Given National Oilwell Varco’s higher possible upside, equities analysts clearly believe National Oilwell Varco is more favorable than Cameron International.

Institutional and Insider Ownership

90.3% of National Oilwell Varco shares are owned by institutional investors. 0.6% of National Oilwell Varco shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Summary

National Oilwell Varco beats Cameron International on 7 of the 10 factors compared between the two stocks.

National Oilwell Varco Company Profile

National Oilwell Varco, Inc. is an oilfield equipment manufacturer and technology provider. The Company operates through four segments: Rig Systems, Rig Aftermarket, Wellbore Technologies and Completion & Production Solutions. The Rig Systems segment makes and supports the capital equipment and integrated systems needed to drill oil and gas wells on land and offshore. The Rig Systems segment designs, manufactures and sells land rigs, offshore drilling equipment packages, and drilling rig components. The Rig Aftermarket segment provides aftermarket products and services to support a large installed base of land and offshore rigs, and drilling rig components manufactured by the Company’s Rig Systems segment. The Wellbore Technologies segment designs, manufactures, rents and sells a range of equipment and technologies used to perform drilling operations. The Completion & Production Solutions segment integrates technologies for well completions and oil and gas production.

Cameron International Company Profile

Cameron International Corporation (Cameron), incorporated on November 10, 1994, provides flow equipment products, systems and services to worldwide oil, gas and process industries. The Company operates through four business segments: Subsea, Surface, Drilling and Valves & Measurement (V&M). The Subsea segment delivers integrated solutions, products, systems and services to the subsea oil and gas market, including integrated subsea production systems. Cameron’s Surface segment designs and manufactures wellhead and Christmas tree systemsfor onshore and offshore topside applications – from conventional to high-pressure, high temperature systems, to specialized systems for dry completions and heavy oil. The Drilling segment is a global supplier of integrated drilling systems. The V&M segment’s businesses provide valves and measurement systems. Its businesses serve portions of the upstream, midstream and downstream markets.

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