NOV (NYSE:NOV) and Innovex International (NYSE:INVX) Head-To-Head Contrast

NOV (NYSE:NOV) and Innovex International (NYSE:INVX) are both oils/energy companies, but which is the better investment? We will compare the two companies based on the strength of their earnings, valuation, institutional ownership, risk, profitability, analyst recommendations and dividends.

Institutional & Insider Ownership

93.3% of NOV shares are owned by institutional investors. 1.9% of NOV shares are owned by company insiders. Comparatively, 3.1% of Innovex International shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Analyst Recommendations

This is a summary of current ratings and price targets for NOV and Innovex International, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
NOV	2	9	7	0	2.28
Innovex International	1	0	0	1	2.50

NOV presently has a consensus price target of $19.53, indicating a potential upside of 22.08%. Innovex International has a consensus price target of $15.00, indicating a potential downside of 8.98%. Given NOV’s higher possible upside, research analysts clearly believe NOV is more favorable than Innovex International.

Risk and Volatility

NOV has a beta of 1.64, suggesting that its share price is 64% more volatile than the S&P 500. Comparatively, Innovex International has a beta of 0.89, suggesting that its share price is 11% less volatile than the S&P 500.

Earnings & Valuation

This table compares NOV and Innovex International”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
NOV	$8.87 billion	0.70	$993.00 million	$1.61	9.94
Innovex International	$424.06 million	2.61	$600,000.00	$1.41	11.69

NOV has higher revenue and earnings than Innovex International. NOV is trading at a lower price-to-earnings ratio than Innovex International, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares NOV and Innovex International’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
NOV	7.16%	9.88%	5.60%
Innovex International	12.31%	-0.73%	-0.61%

Summary

NOV beats Innovex International on 9 of the 15 factors compared between the two stocks.

About NOV

NOV Inc. designs, constructs, manufactures, and sells systems, components, and products for oil and gas drilling and production, and industrial and renewable energy sectors in the United States and internationally. It operates through two segments, Energy Equipment, and Energy Products and Services. The company provides solids control and waste management equipment and services, managed pressure drilling, drilling fluids, premium drillpipe, wired pipe, drilling optimization services, tubular inspection and coating services, instrumentation, downhole tools, and drill bits. It also offers equipment and technologies for hydraulic fracture stimulation, including downhole multistage fracturing tools, pressure pumping trucks, blenders, sanders, hydration and injection units, flowline, and manifolds; coiled tubing units, and wireline units and tools; connections and liner hangers; onshore production consists of composite pipe, surface transfer and progressive cavity pumps, and artificial lift systems; and offshore production, such as floating production systems and subsea production technologies, as well as manufactures industrial pumps and mixers. In addition, the company provides substructures, derricks, and masts; cranes; jacking systems; pipe lifting, racking, rotating, and assembly systems; mud pumps; pressure control equipment; drives and generators; rig instrumentation and control systems; mooring, anchor, and deck handling machinery; equipment components for offshore wind construction vessels; and pipelay and construction systems. Further, the company offers spare parts, repair, and rentals as well as comprehensive remote equipment monitoring, technical support, field service, and customer training. The company was formerly known as National Oilwell Varco, Inc. and changed its name to NOV Inc. in January 2021. NOV Inc. was founded in 1862 and is based in Houston, Texas.

About Innovex International

Innovex International, Inc. engages in the provision of solutions for both onshore and offshore applications within the oil and gas industry. The company was founded on September 15, 2016 and is headquartered in Humble, TX.