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Nabors Industries Q1 Earnings on Deck: Here's How It Will Fare
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Key Takeaways
Nabors Industries will report Q1 results on April 28, with consensus revenues at $778.8 million.
NBR revenues likely rose on stronger U.S., International Drilling and Drilling Solutions segment performance.
Higher costs and Middle East disruptions may hurt margins, with total expenses projected to rise sharply.
Nabors Industries Ltd. (NBR - Free Report) is set to report first-quarter 2026 earnings on April 28, after the closing bell. The Zacks Consensus Estimate for the top line is pegged at $778.8 million and the same for the bottom line is pinned at a loss of $2.4.
Let us delve into the factors that might have influenced NBR’s performance in the to-be-reported quarter. Before that, it is worth taking a look at the company’s performance in the last reported quarter.
Highlights of NBR’s Q4 Earnings & Surprise History
In the last reported quarter, the Hamilton-based oil and gas drilling service company’s adjusted profit was 17 cents per share, in contrast to the Zacks Consensus Estimate of a loss of $2.93. This was mainly driven by increased adjusted operating income in its International Drilling and Drilling Solutions segments. Moreover, operating revenues of $832.8 million marginally beat the Zacks Consensus Estimate of $831 million, driven by stronger revenue contributions from the aforementioned segments. Moreover, operating revenues of $797.5 million beat the Zacks Consensus Estimate of $797 million, driven by stronger revenue contributions from the aforementioned segments.
As for its surprise track record, NBR’s earnings missed the Zacks Consensus Estimate in three of the trailing four quarters and beat the mark once, delivering an average negative surprise of 41.34%.
The Zacks Consensus Estimate for first-quarter 2026 earnings has remained unchanged on the upside but recorded a downward revision in the past seven days. The estimated figure indicates a 68% year-over-year bottom-line increase. The Zacks Consensus Estimate for revenues indicates an increase of 5.8% from the year-ago period’s level.
Factors to Consider Ahead of NBR’s Q1 Release
NBR earns revenues by providing critical services to the oil and gas sector. The demand for these services — and thus their revenues — depends on factors such as commodity prices, exploration and production activity, competition and overall economic conditions.
The company’s revenues are likely to have improved in the quarter to be reported. The Zacks Consensus Estimate for first-quarter revenues is higher than the year-ago figure of $736.2 million, driven by stronger contributions from NBR’s U.S. Drilling, International Drilling and Drilling Solutions segments. Based on our model, revenues from the U.S. Drilling, International Drilling and Drilling Solutions segments are projected to increase 9.3%, 2% and 18% year over year, respectively.
On a bearish note, rising direct costs are likely to have weighed on NBR’s bottom-line performance. Nabors Industries is expected to have faced significant risks in its Middle East operations due to ongoing regional conflicts. These disruptions are likely to have hindered crew rotations, delayed the delivery of parts and caused shortages of essential supplies, all of which could increase costs and weigh on profitability.
We expect the company’s costs and other deductions to reach $$779 million in the first quarter, which is up $108.4 million from the year-ago quarter’s level of $670.6 million. According to our model, Direct Costs, General and Administrative Expenses, Research and Engineering, Depreciation and Amortization, and Interest Expense are expected to rise 3.1%, 8.1%, 7.6% and 0.3% year over year, respectively.
What Does Our Model Predict for NBR?
The proven Zacks model does not conclusively predict an earnings beat for Nabors Industries this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of beating estimates. However, that is not the case here.
You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Earnings ESP of NBR: Earnings ESP, which represents the difference between the Most Accurate Estimate and the Zacks Consensus Estimate, for this company, is 0.00%.
NBR’s Zacks Rank: NBR currently carries a Zacks Rank #2.
Stocks to Consider
Here are some firms from the energy space that you may want to consider, as these have the right combination of elements to post an earnings beat this reporting cycle.
The firm is scheduled to release earnings on April 29. Antero Resources is an independent exploration and production company focused on natural gas and natural gas liquids in the Appalachian Basin. Notably, the Zacks Consensus Estimate for Antero Resources’ 2026 earnings per share indicates 137.43% year-over-year growth. Valued at around $11.28 billion, Antero Resources’ shares have risen 16% in a year.
PBF Energy Inc. (PBF - Free Report) has an Earnings ESP of +5.38% and a Zacks Rank #3. The firm is scheduled to release earnings on April 30. PBF Energy is a downstream energy company that operates refineries and produces transportation fuels, heating oil and other petroleum products.
Notably, the Zacks Consensus Estimate for PBF Energy’s 2026 earnings per share indicates 209.69% year-over-year growth. Valued at around $4.41 billion, PBF Energy has gained 164.4% in a year.
Valero Energy Corporation (VLO - Free Report) has an Earnings ESP of +3.48% and a Zacks Rank #3. The firm is scheduled to release earnings on April 30. Valero Energy is a leading international manufacturer and marketer of transportation fuels, petrochemical products and renewable diesel.
Notably, the Zacks Consensus Estimate for Valero Energy’s 2026 earnings per share indicates 73.23% year-over-year growth. Valued at around $67.66 billion, Valero Energy has gained 113.4% in a year.
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Nabors Industries Q1 Earnings on Deck: Here's How It Will Fare
Key Takeaways
Nabors Industries Ltd. (NBR - Free Report) is set to report first-quarter 2026 earnings on April 28, after the closing bell. The Zacks Consensus Estimate for the top line is pegged at $778.8 million and the same for the bottom line is pinned at a loss of $2.4.
Let us delve into the factors that might have influenced NBR’s performance in the to-be-reported quarter. Before that, it is worth taking a look at the company’s performance in the last reported quarter.
Highlights of NBR’s Q4 Earnings & Surprise History
In the last reported quarter, the Hamilton-based oil and gas drilling service company’s adjusted profit was 17 cents per share, in contrast to the Zacks Consensus Estimate of a loss of $2.93. This was mainly driven by increased adjusted operating income in its International Drilling and Drilling Solutions segments. Moreover, operating revenues of $832.8 million marginally beat the Zacks Consensus Estimate of $831 million, driven by stronger revenue contributions from the aforementioned segments. Moreover, operating revenues of $797.5 million beat the Zacks Consensus Estimate of $797 million, driven by stronger revenue contributions from the aforementioned segments.
As for its surprise track record, NBR’s earnings missed the Zacks Consensus Estimate in three of the trailing four quarters and beat the mark once, delivering an average negative surprise of 41.34%.
This is depicted in the graph below:
Nabors Industries Ltd. Price and EPS Surprise
Nabors Industries Ltd. price-eps-surprise | Nabors Industries Ltd. Quote
Trend in NBR’s Estimate Revision
The Zacks Consensus Estimate for first-quarter 2026 earnings has remained unchanged on the upside but recorded a downward revision in the past seven days. The estimated figure indicates a 68% year-over-year bottom-line increase. The Zacks Consensus Estimate for revenues indicates an increase of 5.8% from the year-ago period’s level.
Factors to Consider Ahead of NBR’s Q1 Release
NBR earns revenues by providing critical services to the oil and gas sector. The demand for these services — and thus their revenues — depends on factors such as commodity prices, exploration and production activity, competition and overall economic conditions.
The company’s revenues are likely to have improved in the quarter to be reported. The Zacks Consensus Estimate for first-quarter revenues is higher than the year-ago figure of $736.2 million, driven by stronger contributions from NBR’s U.S. Drilling, International Drilling and Drilling Solutions segments. Based on our model, revenues from the U.S. Drilling, International Drilling and Drilling Solutions segments are projected to increase 9.3%, 2% and 18% year over year, respectively.
On a bearish note, rising direct costs are likely to have weighed on NBR’s bottom-line performance. Nabors Industries is expected to have faced significant risks in its Middle East operations due to ongoing regional conflicts. These disruptions are likely to have hindered crew rotations, delayed the delivery of parts and caused shortages of essential supplies, all of which could increase costs and weigh on profitability.
We expect the company’s costs and other deductions to reach $$779 million in the first quarter, which is up $108.4 million from the year-ago quarter’s level of $670.6 million. According to our model, Direct Costs, General and Administrative Expenses, Research and Engineering, Depreciation and Amortization, and Interest Expense are expected to rise 3.1%, 8.1%, 7.6% and 0.3% year over year, respectively.
What Does Our Model Predict for NBR?
The proven Zacks model does not conclusively predict an earnings beat for Nabors Industries this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of beating estimates. However, that is not the case here.
You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Earnings ESP of NBR: Earnings ESP, which represents the difference between the Most Accurate Estimate and the Zacks Consensus Estimate, for this company, is 0.00%.
NBR’s Zacks Rank: NBR currently carries a Zacks Rank #2.
Stocks to Consider
Here are some firms from the energy space that you may want to consider, as these have the right combination of elements to post an earnings beat this reporting cycle.
Antero Resources Corporation (AR - Free Report) has an Earnings ESP of +5.46% and a Zacks Rank #2. You can see the complete list of today’s Zacks #1 Rank stocks here.
The firm is scheduled to release earnings on April 29. Antero Resources is an independent exploration and production company focused on natural gas and natural gas liquids in the Appalachian Basin. Notably, the Zacks Consensus Estimate for Antero Resources’ 2026 earnings per share indicates 137.43% year-over-year growth. Valued at around $11.28 billion, Antero Resources’ shares have risen 16% in a year.
PBF Energy Inc. (PBF - Free Report) has an Earnings ESP of +5.38% and a Zacks Rank #3. The firm is scheduled to release earnings on April 30. PBF Energy is a downstream energy company that operates refineries and produces transportation fuels, heating oil and other petroleum products.
Notably, the Zacks Consensus Estimate for PBF Energy’s 2026 earnings per share indicates 209.69% year-over-year growth. Valued at around $4.41 billion, PBF Energy has gained 164.4% in a year.
Valero Energy Corporation (VLO - Free Report) has an Earnings ESP of +3.48% and a Zacks Rank #3. The firm is scheduled to release earnings on April 30. Valero Energy is a leading international manufacturer and marketer of transportation fuels, petrochemical products and renewable diesel.
Notably, the Zacks Consensus Estimate for Valero Energy’s 2026 earnings per share indicates 73.23% year-over-year growth. Valued at around $67.66 billion, Valero Energy has gained 113.4% in a year.