Head-To-Head Comparison: Weatherford International (WFRD) & The Competition

Weatherford International (NASDAQ:WFRD – Get Rating) is one of 23 public companies in the “Oil & gas field machinery” industry, but how does it weigh in compared to its competitors? We will compare Weatherford International to similar companies based on the strength of its institutional ownership, profitability, earnings, risk, analyst recommendations, valuation and dividends.

Analyst Recommendations

This is a breakdown of current ratings for Weatherford International and its competitors, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Weatherford International	0	0	2	0	3.00
Weatherford International Competitors	239	1420	1392	39	2.40

Weatherford International currently has a consensus target price of $47.00, indicating a potential upside of 43.34%. As a group, “Oil & gas field machinery” companies have a potential upside of 11.49%. Given Weatherford International’s stronger consensus rating and higher probable upside, research analysts clearly believe Weatherford International is more favorable than its competitors.

Profitability

This table compares Weatherford International and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Weatherford International	-11.04%	-36.94%	-4.35%
Weatherford International Competitors	-6.06%	-9.97%	-2.00%

Insider and Institutional Ownership

93.1% of Weatherford International shares are held by institutional investors. Comparatively, 60.0% of shares of all “Oil & gas field machinery” companies are held by institutional investors. 11.8% of shares of all “Oil & gas field machinery” companies are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Valuation & Earnings

This table compares Weatherford International and its competitors gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Weatherford International	$3.65 billion	-$450.00 million	-5.55
Weatherford International Competitors	$3.96 billion	-$425.06 million	24.99

Weatherford International’s competitors have higher revenue and earnings than Weatherford International. Weatherford International is trading at a lower price-to-earnings ratio than its competitors, indicating that it is currently more affordable than other companies in its industry.

Summary

Weatherford International competitors beat Weatherford International on 8 of the 12 factors compared.

Weatherford International Company Profile (Get Rating)

Weatherford International plc, an energy services company, provides equipment and services for the drilling, evaluation, completion, production, and intervention of oil, geothermal, and natural gas wells worldwide. The company operates in two segments, Western Hemisphere and Eastern Hemisphere. It offers artificial lift systems, including reciprocating rod, progressing cavity pumping, gas, hydraulic, plunger, and hybrid lift systems, as well as related automation and control systems; pressure pumping and reservoir stimulation services, such as acidizing, fracturing, cementing, and coiled-tubing intervention; and drill stem test tools, surface well testing, and multiphase flow measurement services. The company also provides safety, downhole reservoir monitoring, flow control, and multistage fracturing systems, as well as sand-control technologies, and production and isolation packers; liner hangers to suspend a casing string in high-temperature and high-pressure wells; cementing products, including plugs, float and stage equipment, and torque-and-drag reduction technology for zonal isolation; and pre-job planning and installation services. In addition, it offers directional drilling services, and logging and measurement services while drilling; services related to rotary-steerable systems, high-temperature and high-pressure sensors, drilling reamers, and circulation subs; rotating control devices and advanced automated control systems, as well as closed-loop drilling, air drilling, managed-pressure drilling, and underbalanced drilling services; open hole and cased-hole logging services; and intervention and remediation services. Further, the company provides tubular handling, management, and connection services; and re-entry, fishing, wellbore cleaning, and well abandonment services, as well as patented bottom hole, tubularhandling equipment, pressure-control equipment, and drill pipe and collars. The company was incorporated in 1972 and is based in Houston, Texas.