Noble Corp plc (NE) stock analysis

P/E above its 5-year median

Noble's P/E of 120.6 is above its own 5-year median of 14.2.

P/E above the industry

Noble's P/E of 120.6 is above the Oil and Gas Field Services median of 18.9.

EV/EBITDA above its 5-year median

Noble's EV/EBITDA of 23.1 is above its 5-year median of 11.9.

P/B above the industry

Noble's price-to-book of 1.57 is above the Oil and Gas Field Services median of 1.29.

Trading above fair value

The share price of $42.22 is above our fair value estimate of $23.95.

Margin of safety under 20%

The price is 76.3% above fair value, so there is no margin of safety.

Revenue growing 10%+ a year

Revenue grew 32.5% a year over the last three fiscal years.

EPS growing under 10% a year

Diluted EPS grew -7.9% a year over the last three fiscal years.

Earnings acceleration

Needs positive net income now, a year ago and five years ago.

Growing slower than the industry

Revenue grew -13.0% over the last twelve months; the Oil and Gas Field Services median is 4.6%.

Guidance lowered

Noble lowered its full year 2026 Revenue outlook on Jul 27, 2026.

Gross margin trend

This company does not report gross profit.

Return on equity under 15%

Return on equity was 1.2% over the last twelve months and averaged 8.6% over five years; we look for 15% on both.

Return on capital under 10%

Return on invested capital was 3.0%, below the 10% that usually covers the cost of capital.

Return on equity below the industry

Noble's return on equity of 1.2% is below the Oil and Gas Field Services median of 1.2%.

Earnings over 5 years

Needs positive net income five years ago and in the latest year.

Net margin below its 5-year average

Net margin was 1.8% over the last twelve months, against a 5-year average of 13.0%.

Net margin above the industry

Noble's net margin of 1.8% is above the Oil and Gas Field Services median of 0.9%.

High debt

Debt is 44.0% of shareholders' equity, above the 40% we consider low.

Debt trend

Needs a balance sheet from five years ago with positive equity.

Debt covered by cash flow

Operating cash flow over the last twelve months equals 39.7% of total debt.

Interest not well covered

Operating income covers interest expense 2.3 times; we look for at least 5.

Short-term assets cover short-term debts

Current assets are 1.76 times current liabilities.

Bankruptcy risk in the grey zone

The Altman Z-score is 2.09; above 3 is the safe zone and below 1.8 the distress zone.

Pays a dividend

Noble paid dividends worth 4.7% of the share price over the last twelve months.

Yield above Treasuries

The 4.7% yield is above the 4.4% on a 1-year Treasury.

Yield in the top quarter

The top quarter of US dividend payers yield 3.8% or more; Noble yields 4.7%.

Dividend stability

Fewer than five years of dividend history.

Not covered by earnings

Dividends take 602% of net income, leaving little room.

Cash-flow cover

Needs dividends paid and free cash flow.