WallStSmart

NOV Inc. (NOV)vsValaris Ltd (VAL)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

NOV Inc. generates 269% more annual revenue ($8.74B vs $2.37B). VAL leads profitability with a 41.5% profit margin vs 1.7%. VAL trades at a lower P/E of 6.7x. VAL earns a higher WallStSmart Score of 62/100 (C+).

NOV

Buy

50

out of 100

Grade: C-

Growth: 3.3Profit: 5.0Value: 7.3Quality: 7.0
Piotroski: 3/9Altman Z: 1.95

VAL

Buy

62

out of 100

Grade: C+

Growth: 6.7Profit: 8.0Value: 8.3Quality: 5.8
Piotroski: 3/9Altman Z: 2.19
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

NOVSignificantly Overvalued (-634.7%)

Margin of Safety

-634.7%

Fair Value

$2.65

Current Price

$18.68

$16.03 premium

UndervaluedFair: $2.65Overvalued
VALUndervalued (+86.4%)

Margin of Safety

+86.4%

Fair Value

$648.65

Current Price

$92.52

$556.13 discount

UndervaluedFair: $648.65Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

NOV1 strengths · Avg: 10.0/10
Price/BookValuation
1.1x10/10

Reasonable price relative to book value

VAL5 strengths · Avg: 9.6/10
P/E RatioValuation
6.7x10/10

Attractively priced relative to earnings

Return on EquityProfitability
36.2%10/10

Every $100 of equity generates 36 in profit

Profit MarginProfitability
41.5%10/10

Keeps 42 of every $100 in revenue as profit

EPS GrowthGrowth
446.6%10/10

Earnings expanding 446.6% YoY

Price/BookValuation
2.0x8/10

Reasonable price relative to book value

Areas to Watch

NOV4 concerns · Avg: 3.3/10
Altman Z-ScoreHealth
1.954/10

Grey zone — moderate risk

Return on EquityProfitability
2.4%3/10

ROE of 2.4% — below average capital efficiency

Profit MarginProfitability
1.7%3/10

1.7% margin — thin

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

VAL3 concerns · Avg: 2.3/10
Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Revenue GrowthGrowth
-8.0%2/10

Revenue declined 8.0%

Free Cash FlowQuality
$-38.52M2/10

Negative free cash flow — burning cash

Comparative Analysis Report

WallStSmart Research

Bull Case : NOV

The strongest argument for NOV centers on Price/Book. PEG of 1.14 suggests the stock is reasonably priced for its growth.

Bull Case : VAL

The strongest argument for VAL centers on P/E Ratio, Return on Equity, Profit Margin. Profitability is solid with margins at 41.5% and operating margin at 10.5%.

Bear Case : NOV

The primary concerns for NOV are Altman Z-Score, Return on Equity, Profit Margin. A P/E of 47.9x leaves little room for execution misses. Thin 1.7% margins leave little buffer for downturns.

Bear Case : VAL

The primary concerns for VAL are Piotroski F-Score, Revenue Growth, Free Cash Flow.

Key Dynamics to Monitor

NOV profiles as a value stock while VAL is a declining play — different risk/reward profiles.

VAL carries more volatility with a beta of 1.07 — expect wider price swings.

VAL is growing revenue faster at -8.0% — sustainability is the question.

NOV generates stronger free cash flow (472M), providing more financial flexibility.

Bottom Line

VAL scores higher overall (62/100 vs 50/100), backed by strong 41.5% margins. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

NOV Inc.

ENERGY · OIL & GAS EQUIPMENT & SERVICES · USA

NOV Inc. is an American multinational corporation based in Houston, Texas. It is a leading worldwide provider of equipment and components used in oil and gas drilling and production operations, oilfield services, and supply chain integration services to the upstream oil and gas industry.

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Valaris Ltd

ENERGY · OIL & GAS EQUIPMENT & SERVICES · USA

Valaris Limited provides offshore contract drilling services in various water depths for the oil and gas industry globally. The company is headquartered in Hamilton, Bermuda.

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