Nabors Industries Ltd (NBR) Fair Value & Analysis

Energy · US · Market cap $1.5B

Below-average quality, screening 118% undervalued on our models.

What matters now

• The large discount to fair value meets weak quality (41/100). That raises the risk this is a value trap rather than a bargain.
• The price is below even our cautious bear case ($124.47). The market is more pessimistic than our downside scenario.
• A fairly wide model range ($124.47 to $249.67) leaves room in how you read the outcome.

Price vs Fair Value (5 years)

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 24, 2026.

How to read this chart

60‑month range $24.60 – $200.02 · fair‑value band $124.47 – $249.67 · the $81.59 price screens below the $177.82 fair value. Dashed = 300-day average. As of Jul 24, 2026.

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Analysis

Nabors Industries Ltd (NBR) currently trades at $81.59, while our model-based Fair Value estimate is $177.82, implying the stock looks roughly 117.9% undervalued today. The Quality Score stands at 41/100 (below-average quality), in the Energy sector. Bull case: trading below our estimate, it may offer upside if the fundamentals hold. Bear case: a low price can be a value trap when quality is weak or the data is thin (evidence: medium), always confirm before acting.

Over the trailing twelve months, Nabors Industries Ltd generated revenue of $3.2B at a net margin of 7.4%. Revenue grew 6.4% year over year. It earns a return on equity of 22.3%. Net debt stands at $1.6B. Fundamentals as of Jul 24, 2026

Our scenario range runs from $124.47 (bear case) to $249.67 (bull case); at $81.59, the current price sits below that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 28% below its 52-week high and 200% above its 52-week low, currently above its 200-day average. For context, the median of 10 Energy peers we cover trades at -55% fair-value upside, at 118%, NBR screens cheaper than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.

Widest divergence: Growth Earnings ($209.20) versus Economic Profit ($1.42). Highest evidence: Residual Income (76).

Key figures & financial health

Quality Score breakdown

About the company

Nabors Industries Ltd. provides drilling and drilling-related services for land-based and offshore oil and natural gas wells in the United States and internationally. The company operates through four segments: U.S. Drilling, International Drilling, Drilling Solutions, and Rig Technologies.

Full company description

Nabors Industries Ltd. provides drilling and drilling-related services for land-based and offshore oil and natural gas wells in the United States and internationally. The company operates through four segments: U.S. Drilling, International Drilling, Drilling Solutions, and Rig Technologies. The company offers tubular running services, including casing and tubing running, and torque monitoring; managed pressure drilling services; and drilling-bit steering systems and rig instrumentation software. The company also offers drilling systems comprising ROCKit, a directional steering control system; SmartNAV, a collaborative guidance and advisory platform; SmartSLIDE, a directional steering control system; and RigCLOUD, a digital infrastructure that integrate applications to deliver real-time insight into operations across the rig fleet. In addition, it operates a fleet of land-based drilling rigs and marketed platforms rigs; manufactures and sells top drives, catwalks, wrenches, drawworks, and other drilling related equipment, such as robotic systems and downhole tools; and provides aftermarket sales and services for the installed base of its equipment. Nabors Industries Ltd. was founded in 1952 and is based in Hamilton, Bermuda.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Nabors Industries Ltd reported revenue of $3.2B in FY2025 versus $2.0B in FY2021, a compound +12.1%/yr. Reported net income was $248M in FY2025.

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Peer Group

Oil & Gas Drilling · 31 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Valuation Multiples vs Oil & Gas Drilling median · lower = cheaper

Snowflake

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

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Frequently asked questions

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.