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NexTier Oilfield Solutions (NEX) Flat As Market Sinks: What You Should Know

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NexTier Oilfield Solutions (NEX - Free Report) closed the most recent trading day at $7.37, making no change from the previous trading session. This change was narrower than the S&P 500's daily loss of 2.11%. Elsewhere, the Dow lost 1.54%, while the tech-heavy Nasdaq lost 0.3%.

Coming into today, shares of the company had lost 21.35% in the past month. In that same time, the Oils-Energy sector lost 11.61%, while the S&P 500 lost 8.19%.

NexTier Oilfield Solutions will be looking to display strength as it nears its next earnings release, which is expected to be October 25, 2022. In that report, analysts expect NexTier Oilfield Solutions to post earnings of $0.49 per share. This would mark year-over-year growth of 545.45%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $922.4 million, up 134.61% from the year-ago period.

For the full year, our Zacks Consensus Estimates are projecting earnings of $1.35 per share and revenue of $3.24 billion, which would represent changes of +413.95% and +127.68%, respectively, from the prior year.

Investors might also notice recent changes to analyst estimates for NexTier Oilfield Solutions. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 0.82% higher. NexTier Oilfield Solutions currently has a Zacks Rank of #1 (Strong Buy).

Digging into valuation, NexTier Oilfield Solutions currently has a Forward P/E ratio of 5.46. For comparison, its industry has an average Forward P/E of 16.6, which means NexTier Oilfield Solutions is trading at a discount to the group.

The Oil and Gas - Field Services industry is part of the Oils-Energy sector. This industry currently has a Zacks Industry Rank of 18, which puts it in the top 8% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

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