Contrasting NOV (NYSE:NOV) & MIND Technology (NASDAQ:MIND)

MIND Technology (NASDAQ:MIND) and NOV (NYSE:NOV) are both energy companies, but which is the better business? We will compare the two companies based on the strength of their dividends, profitability, valuation, institutional ownership, risk, earnings and analyst recommendations.

Insider & Institutional Ownership

9.8% of MIND Technology shares are held by institutional investors. Comparatively, 93.3% of NOV shares are held by institutional investors. 3.3% of MIND Technology shares are held by insiders. Comparatively, 1.1% of NOV shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Profitability

This table compares MIND Technology and NOV’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
MIND Technology	-6.77%	-5.77%	-4.85%
NOV	1.65%	4.23%	2.37%

Volatility and Risk

MIND Technology has a beta of 0.4, indicating that its stock price is 60% less volatile than the S&P 500. Comparatively, NOV has a beta of 0.96, indicating that its stock price is 4% less volatile than the S&P 500.

Dividends

MIND Technology pays an annual dividend of $2.25 per share and has a dividend yield of 68.3%. NOV pays an annual dividend of $0.36 per share and has a dividend yield of 2.1%. MIND Technology pays out -865.4% of its earnings in the form of a dividend. NOV pays out 90.0% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. NOV has raised its dividend for 1 consecutive years. MIND Technology is clearly the better dividend stock, given its higher yield and lower payout ratio.

Analyst Recommendations

This is a summary of recent ratings and recommmendations for MIND Technology and NOV, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
MIND Technology	1	0	0	0	1.00
NOV	2	9	4	0	2.13

NOV has a consensus target price of $21.67, suggesting a potential upside of 23.92%. Given NOV’s stronger consensus rating and higher probable upside, analysts plainly believe NOV is more favorable than MIND Technology.

Earnings & Valuation

This table compares MIND Technology and NOV”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
MIND Technology	$34.78 million	0.86	$750,000.00	($0.26)	-12.67
NOV	$8.69 billion	0.72	$145.00 million	$0.40	43.71

NOV has higher revenue and earnings than MIND Technology. MIND Technology is trading at a lower price-to-earnings ratio than NOV, indicating that it is currently the more affordable of the two stocks.

Summary

NOV beats MIND Technology on 13 of the 17 factors compared between the two stocks.

About MIND Technology

MIND Technology, Inc., together with its subsidiaries, provides technology to the oceanographic, hydrographic, defense, seismic, and maritime security industries worldwide. Its primary products include the GunLink seismic source acquisition and control systems that provide operators of marine seismic surveys with precise monitoring and control of energy sources; the BuoyLink RGPS tracking system, which is used to offer precise positioning of marine seismic energy sources and streamers; Sleeve Gun energy sources; SeaLink towed seismic streamer system; and Sea Serpent line of passive sonar arrays for maritime security and anti-submarine warfare applications. The company also provides streamer weight collars, depth and pressure transducers, air control valves, and source array systems; spare and replacement parts; and repair and engineering services, training and field service operations, and umbilical terminations. The company was formerly known as Mitcham Industries, Inc. MIND Technology, Inc. was incorporated in 1987 and is headquartered in The Woodlands, Texas.

About NOV

NOV Inc. designs, constructs, manufactures, and sells systems, components, and products for oil and gas drilling and production, and industrial and renewable energy sectors in the United States and internationally. It operates through two segments, Energy Equipment, and Energy Products and Services. The company provides solids control and waste management equipment and services, managed pressure drilling, drilling fluids, premium drillpipe, wired pipe, drilling optimization services, tubular inspection and coating services, instrumentation, downhole tools, and drill bits. It also offers equipment and technologies for hydraulic fracture stimulation, including downhole multistage fracturing tools, pressure pumping trucks, blenders, sanders, hydration and injection units, flowline, and manifolds; coiled tubing units, and wireline units and tools; connections and liner hangers; onshore production consists of composite pipe, surface transfer and progressive cavity pumps, and artificial lift systems; and offshore production, such as floating production systems and subsea production technologies, as well as manufactures industrial pumps and mixers. In addition, the company provides substructures, derricks, and masts; cranes; jacking systems; pipe lifting, racking, rotating, and assembly systems; mud pumps; pressure control equipment; drives and generators; rig instrumentation and control systems; mooring, anchor, and deck handling machinery; equipment components for offshore wind construction vessels; and pipelay and construction systems. Further, the company offers spare parts, repair, and rentals as well as comprehensive remote equipment monitoring, technical support, field service, and customer training. The company was formerly known as National Oilwell Varco, Inc. and changed its name to NOV Inc. in January 2021. NOV Inc. was founded in 1862 and is based in Houston, Texas.