Drilling Tools International (NASDAQ:DTI – Get Free Report) and NPK International (NYSE:NPKI – Get Free Report) are both small-cap energy companies, but which is the superior business? We will compare the two companies based on the strength of their risk, analyst recommendations, valuation, profitability, earnings, institutional ownership and dividends.
Analyst Recommendations
This is a breakdown of recent ratings and recommmendations for Drilling Tools International and NPK International, as reported by MarketBeat.
Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
Drilling Tools International | 0 | 0 | 1 | 0 | 3.00 |
NPK International | 0 | 0 | 1 | 1 | 3.50 |
Drilling Tools International currently has a consensus price target of $5.50, suggesting a potential upside of 175.00%. NPK International has a consensus price target of $11.50, suggesting a potential upside of 98.28%. Given Drilling Tools International’s higher possible upside, analysts plainly believe Drilling Tools International is more favorable than NPK International.
Earnings & Valuation
Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
Drilling Tools International | $154.45 million | 0.46 | $14.75 million | $0.11 | 18.18 |
NPK International | $217.49 million | 2.31 | $14.52 million | ($1.72) | -3.37 |
Drilling Tools International has higher earnings, but lower revenue than NPK International. NPK International is trading at a lower price-to-earnings ratio than Drilling Tools International, indicating that it is currently the more affordable of the two stocks.
Institutional & Insider Ownership
2.8% of Drilling Tools International shares are owned by institutional investors. Comparatively, 80.8% of NPK International shares are owned by institutional investors. 14.7% of Drilling Tools International shares are owned by company insiders. Comparatively, 4.9% of NPK International shares are owned 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.
Risk & Volatility
Drilling Tools International has a beta of -0.66, suggesting that its stock price is 166% less volatile than the S&P 500. Comparatively, NPK International has a beta of 2.42, suggesting that its stock price is 142% more volatile than the S&P 500.
Profitability
This table compares Drilling Tools International and NPK International’s net margins, return on equity and return on assets.
Net Margins | Return on Equity | Return on Assets | |
Drilling Tools International | 5.46% | 15.38% | 8.89% |
NPK International | -28.47% | 5.93% | 4.08% |
Summary
Drilling Tools International beats NPK International on 8 of the 14 factors compared between the two stocks.
About Drilling Tools International
Drilling Tools International Corporation provides oilfield equipment and services to oil and natural gas sectors in North America, Europe, and the Middle East. It offers downhole tool rentals, machining, and inspection services to support the global drilling and wellbore construction industry. The company also provides products are bottom hole assembly components, such as stabilizers, subs, non-magnetic and steel drill collars, hole openers, and roller reamers, as well as drill pipe and drill pipe accessories; ancillary equipment and handling tools to support its rental platform, including float valves, ring gauges, tool baskets, lift bail, lift subs, mud magnets, elevators, bracket and bail assemblies, slips, tongs, stabbing guides and safety clamps; and blowout preventers, and pressure control accessory equipment. In addition, it offers tool rental services, which consists of rental, inspection, machining, and repair services; rents downhole drilling tools used in horizontal and directional drilling of oil and natural gas; rents kellys, pip joints, work strings; maintains a fleet of rental equipment consisting of drill collars, stabilizers, crossover subs, wellbore conditioning tools, drill pipe, hevi-wate drill pipe, and tubing; rents surface control equipment, such as blowout preventers and handling tools; and provides downhole products for producing wells. Drilling Tools International Corporation is headquartered in Houston, Texas.
About NPK International
NPK International Inc. provides products, rentals, and services primarily to the oil and natural gas exploration and production (E&P) industry. It operates through two segments, Fluids Systems and Industrial Solutions. The Fluids Systems segment provides drilling, completion, and stimulation fluids products and related technical services to customers primarily in the North America, Europe, the Middle East, and Africa, as well as other countries in the Asia Pacific and Latin America. The Industrial Solutions segment offers composite matting system rentals utilized for temporary worksite access; related site construction and services to customers in various markets, including power transmission, E&P, pipeline, renewable energy, petrochemical, construction, and other industries primarily in the United States and Europe; recyclable composite mats to customers worldwide; and access road construction, site planning and preparation, environmental protection, erosion control, and site restoration services. The company was formerly known as Newpark Resources, Inc. and changed its name to NPK International Inc. in December 2024. The company was incorporated in 1932 and is headquartered in The Woodlands, Texas.
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