NYSE:NOVEnergy Services
NOV (NOV) Margin Miss Reinforces Investor Concerns on Profitability and Dividend Sustainability
NOV (NOV) posted net profit margins of 4.4%, down from last year’s 12%. Earnings have surged by an impressive 73% per year over the past five years, and NOV has now achieved consistent profitability. While revenue is forecast to grow at a modest 1.2% annually, annual earnings are projected to increase by 9.6%. Investors are weighing the softer margins and dividend sustainability against NOV’s solid history of earnings growth and attractive valuation.
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