Nabors Q2 revenue misses estimates on lower rig activity
NBR•Full-year outlook
Nabors expects full-year adjusted EBITDA of $920 million to $930 million.
The company sees full-year capital spending at $710 million to $730 million, down $25 million at the midpoint.
Nabors expects full-year adjusted free cash flow of $20 million to $30 million.
Key figures and analyst coverage
| Metric | Actual | Consensus Estimate |
|---|---|---|
| Q2 Operating Revenue | $814.8 million | $814.96 million |
| Q2 Net Loss Attributable to Nabors | $22.3 million | — |
| Q2 Adjusted EBITDA | $221.7 million | — |
| Q2 Adjusted Operating Income | $61.1 million | — |
| Q2 Pretax Profit | $14.88 million | — |
The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 2 "strong buy" or "buy", 5 "hold" and 1 "sell" or "strong sell".
The average consensus recommendation for the oil & gas drilling peer group is "buy".
Wall Street's median 12-month price target for Nabors Industries Ltd is $115.00, about 46.2% above its July 27 closing price of $78.65.
Quarterly results miss on revenue
Nabors said second-quarter revenue rose 4% sequentially, but still slightly missed analyst expectations. The company posted a second-quarter net loss attributable to shareholders, while adjusted EBITDA rose from the prior quarter.
