Comparing Tenaris (NYSE:TS) & National Energy Services Reunited (NASDAQ:NESR)

Tenaris (NYSE:TS) and National Energy Services Reunited (NASDAQ:NESR) are both energy companies, but which is the superior stock? We will contrast the two businesses based on the strength of their dividends, valuation, risk, profitability, analyst recommendations, earnings and institutional ownership.

Institutional & Insider Ownership

10.4% of Tenaris shares are held by institutional investors. Comparatively, 15.5% of National Energy Services Reunited shares are held by institutional investors. 0.2% of Tenaris shares are held by company insiders. Comparatively, 9.7% of National Energy Services Reunited shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Profitability

This table compares Tenaris and National Energy Services Reunited’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Tenaris	15.88%	11.14%	9.40%
National Energy Services Reunited	5.77%	12.07%	6.22%

Volatility & Risk

Tenaris has a beta of 0.89, suggesting that its stock price is 11% less volatile than the S&P 500. Comparatively, National Energy Services Reunited has a beta of 0.48, suggesting that its stock price is 52% less volatile than the S&P 500.

Analyst Recommendations

This is a summary of recent recommendations for Tenaris and National Energy Services Reunited, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Tenaris	0	5	5	0	2.50
National Energy Services Reunited	0	1	9	0	2.90

Tenaris presently has a consensus price target of $63.67, suggesting a potential upside of 11.12%. National Energy Services Reunited has a consensus price target of $40.88, suggesting a potential upside of 79.43%. Given National Energy Services Reunited’s stronger consensus rating and higher probable upside, analysts plainly believe National Energy Services Reunited is more favorable than Tenaris.

Valuation & Earnings

This table compares Tenaris and National Energy Services Reunited”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Tenaris	$11.98 billion	2.56	$1.93 billion	$3.74	15.32
National Energy Services Reunited	$1.32 billion	1.74	$51.13 million	$0.92	24.76

Tenaris has higher revenue and earnings than National Energy Services Reunited. Tenaris is trading at a lower price-to-earnings ratio than National Energy Services Reunited, indicating that it is currently the more affordable of the two stocks.

About Tenaris

Tenaris S.A., together with its subsidiaries, produces and sells seamless and welded steel tubular products and related services for the oil and gas industry, and other industrial applications. The company offers steel casings, tubing products, mechanical and structural pipes, line pipes, cold-drawn pipes, and premium joints and couplings; and coiled tubing products for oil and gas drilling and workovers, and subsea pipelines. It also manufactures sucker rods used in oil extraction activities and tubes for plumbing and construction applications; and offers oilfield/hydraulic fracturing services and energy and raw materials, and financial services. The company operates in North America, South America, Europe, the Middle East and Africa, and the Asia Pacific. Tenaris S.A. was founded in 2001 and is based in Luxembourg. Tenaris S.A. operates as a subsidiary of Techint Holdings S.à r.l.

About National Energy Services Reunited

National Energy Services Reunited Corp. provides oilfield services in the Middle East and North Africa region. The company’s Production Services segment offers hydraulic fracturing services; coiled tubing services, including nitrogen lifting, fishing, milling, clean-out, scale removal, and other well applications; stimulation and pumping services; primary and remedial cementing services; nitrogen services; filtration services, as well as frac tanks and pumping units; and pipeline and industrial services, such as water filling and hydro testing, nitrogen purging, and de-gassing and pressure testing, as well as cutting/welding and cooling down piping/vessels systems. This segment also provides production assurance chemicals; integrated project management projects; artificial lift services; and surface and subsurface safety systems, high-pressure packer systems, flow controls, service tools, expandable liner technology, vacuum insulated tubing technology for steam applications, and engineering capabilities with manufacturing capacity and testing facilities, as well as sources and treats water for oil and gas, municipal, and industrial use. Its Drilling and Evaluation Services segment offers drilling and workover rigs; rigs and integrated services; fishing and remediation solutions; directional and turbines drilling; drilling fluid systems and related technologies; wireline logging; slickline services for removal of scale, wax and sand build-up, setting plugs, changing out gas lift valves, and fishing and other well applications; and well testing services to measure solids, gas, and oil and water produced from well, as well as rents drilling tools. This segment also provides oilfield solutions for thru-tubing intervention; tubular running services; and a range of wellhead products, flow control equipment, and frac equipment. National Energy Services Reunited Corp. was incorporated in 2017 and is headquartered in Houston, Texas.