WFRD Valuation

Weatherford International PLC

Add to Watchlist

Advanced Chart

64.490

+0.76(1.193%)1D

Overview
Forecast
Valuation
Earnings

WFRD Relative Valuation

WFRD's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, WFRD is overvalued; if below, it's undervalued.

Historical Valuation

Weatherford International PLC (WFRD) is now in the Fair zone, suggesting that its current forward PS ratio of 0.97 is considered Fairly compared with the five-year average of 25.21. The fair price of Weatherford International PLC (WFRD) is between 46.64 to 91.16 according to relative valuation methord.

Relative Value

Fair Zone

46.64-91.16

Current Price：64.49

Fair

13.09

Trailing

Forward

5.27

EV/EBITDA

Weatherford International PLC. (WFRD) has a current EV/EBITDA of 5.27. The 5-year average EV/EBITDA is 5.32. The thresholds are as follows: Strongly Undervalued below 3.68, Undervalued between 3.68 and 4.50, Fairly Valued between 6.15 and 4.50, Overvalued between 6.15 and 6.97, and Strongly Overvalued above 6.97. The current Forward EV/EBITDA of 5.27 falls within the Historic Trend Line -Fairly Valued range.

7.30

EV/EBIT

Weatherford International PLC. (WFRD) has a current EV/EBIT of 7.30. The 5-year average EV/EBIT is 12.90. The thresholds are as follows: Strongly Undervalued below -14.70, Undervalued between -14.70 and -0.90, Fairly Valued between 26.70 and -0.90, Overvalued between 26.70 and 40.50, and Strongly Overvalued above 40.50. The current Forward EV/EBIT of 7.30 falls within the Historic Trend Line -Fairly Valued range.

0.97

Weatherford International PLC. (WFRD) has a current PS of 0.97. The 5-year average PS is 0.75. The thresholds are as follows: Strongly Undervalued below -0.09, Undervalued between -0.09 and 0.33, Fairly Valued between 1.16 and 0.33, Overvalued between 1.16 and 1.58, and Strongly Overvalued above 1.58. The current Forward PS of 0.97 falls within the Historic Trend Line -Fairly Valued range.

5.92

P/OCF

Weatherford International PLC. (WFRD) has a current P/OCF of 5.92. The 5-year average P/OCF is 6.99. The thresholds are as follows: Strongly Undervalued below -1.52, Undervalued between -1.52 and 2.73, Fairly Valued between 11.24 and 2.73, Overvalued between 11.24 and 15.49, and Strongly Overvalued above 15.49. The current Forward P/OCF of 5.92 falls within the Historic Trend Line -Fairly Valued range.

8.47

P/FCF

Weatherford International PLC. (WFRD) has a current P/FCF of 8.47. The 5-year average P/FCF is 9.16. The thresholds are as follows: Strongly Undervalued below -18.28, Undervalued between -18.28 and -4.56, Fairly Valued between 22.88 and -4.56, Overvalued between 22.88 and 36.60, and Strongly Overvalued above 36.60. The current Forward P/FCF of 8.47 falls within the Historic Trend Line -Fairly Valued range.

Weatherford International PLC (WFRD) has a current Price-to-Book (P/B) ratio of 3.03. Compared to its 3-year average P/B ratio of 6.40 , the current P/B ratio is approximately -52.64% higher. Relative to its 5-year average P/B ratio of 4.84, the current P/B ratio is about -37.42% higher. Weatherford International PLC (WFRD) has a Forward Free Cash Flow (FCF) yield of approximately 10.31%. Compared to its 3-year average FCF yield of 8.48%, the current FCF yield is approximately 21.52% lower. Relative to its 5-year average FCF yield of 6.77% , the current FCF yield is about 52.24% lower.

3.03

P/B

Median3y

6.40

Median5y

4.84

10.31

FCF Yield

Median3y

8.48

Median5y

6.77

Competitors Valuation Multiple

The average P/S ratio for WFRD's competitors is 1.89, providing a benchmark for relative valuation. Weatherford International PLC Corp (WFRD) exhibits a P/S ratio of 0.97, which is -48.96% above the industry average. Given its robust revenue growth of -14.31%, this premium appears unsustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

P/S

Revenue Growth

Market Cap

WFRD.O

Weatherford International PLC

Kodiak Gas Services Inc

USA Compression Partners LP

2.81

6.29%

2.80B

Performance Decomposition

Market capitalization of WFRD decreased by 24.72% over the past 1 year. The primary factor behind the change was an increase in Margin Expansion from 9.75 to 12.04.

The secondary factor is the Revenue Growth, contributed -14.31%to the performance.

Overall, the performance of WFRD in the past 1 year is driven by Margin Expansion. Which is more sustainable.

-14.31%

1.41B → 1.20B

Revenue Growth

23.49%

9.75 → 12.04

Margin Expansion

-33.90%

14.83 → 9.81

P/E Change

-24.72%