Nextier Story

NEX -- USA Stock

USD 4.85 0.17 3.63%

Macroaxis Story

Nextier Oilfield Sol is scheduled to announce its earnings tomorrow. The upcoming quarterly report is expected on the 15th of February 2021. Nextier Oilfield Cash and Equivalents Turnover is fairly stable at the moment as compared to the past year. Nextier Oilfield reported Cash and Equivalents Turnover of 10.59 in 2020. Revenue to Assets is likely to rise to 0.82 in 2021, whereas Net Income Per Employee is likely to drop 2,283 in 2021. As many millenniums are trying to avoid energy space, it makes sense to break down Nextier Oilfield Solutions a little further and try to understand its current market patterns.

Published over two weeks ago

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How much will Nextier Oilfield owe in March?

The company has 396.03 M in debt with debt to equity (D/E) ratio of 0.65, which is OK given its current industry classification. Nextier Oilfield Sol has a current ratio of 2.28, demonstrating that it is liquid and is capable to disburse its financial commitments when the payables are due.

Nextier Oilfield financial leverage ratio helps determine the effect of debt on the overall profitability of the company. It measures the total debt position of Nextier Oilfield, including all of Nextier Oilfield's outstanding debt obligations, and compares it with the equity. In simple terms, the high financial leverage means the cost of production, together with running the business day-to-day, is high, whereas, lower financial leverage implies lower fixed cost investment in the business and generally considered by investors to be a good sign. So if creditors own a majority of Nextier Oilfield assets, the company is considered highly leveraged. Understanding the composition and structure of overall Nextier Oilfield debt and outstanding corporate bonds gives a good idea of how risky the capital structure of a business is and if it is worth investing in it.

Please read more on our technical analysis page.

Understanding Nextier Total Debt

Nextier Oilfield Sol liabilities are broken down into two parts on the balance sheet. These are short-term (or current) obligations and long-term debt. Nextier Oilfield Sol has to fulfill its short-term liabilities in this reporting year and should be no more than 12 months old. Long-term debt, on the other hand, is anything beyond the 12-month payment timeframe. Common short-term liabilities found on Nextier Oilfield balance sheet include debt obligations and money owed to different Nextier Oilfield vendors, workers, and loan providers. Below is the chart of Nextier main long-term debt accounts currently reported on its balance sheet.

You can use Nextier Oilfield Solutions financial leverage analysis tool to get a better grip on understanding its financial position

How important is Nextier Oilfield's Liquidity

Nextier Oilfield financial leverage refers to using borrowed capital as a funding source to finance Nextier Oilfield Solutions ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. Nextier Oilfield financial leverage is typically calculated by taking the company's all interest-bearing debt and dividing it by total capital. So the higher the debt-to-capital ratio (i.e., financial leverage), the riskier the company. Please check the breakdown between Nextier Oilfield's total debt and its cash.

What do experts say?

Stock analysis is a method for investors and traders to make buying and selling decisions. By studying and evaluating past and current data, investors and traders attempt to gain an edge in the markets by making informed decisions.

It is good to see analyst projects for Nextier Oilfield, but it might be worth checking our own buy vs. sell analysis

Exercise or conversion by Richard Vaclavik of 18905 shares of Nextier Oilfield subject to Rule 16b-3

Legal trades by Nextier Oilfield insiders are very common, as founders, directors, or employees of any publicly traded firm often have stock or stock options. These trades are made public in the United States through the filing of Form 4 of the Securities and Exchange Commission. Below entry was recorded recently and is publicly available as an insider trade:

Nextier insider trading alert for exercise of restricted stock units by Richard Vaclavik, SVP & CCO, on 12th of January 2021. This event was filed by Nextier Oilfield Solution with SEC on 2021-01-12. Statement of changes in beneficial ownership - SEC Form 4. Richard Vaclavik currently serves as senior vice president and chief commercial officer of Nextier Oilfield Sol [view details]

Note, although insider trading is legal, in the United States, Canada, Australia, and Germany, for mandatory reporting purposes, corporate insiders are defined as a company's officers, directors, and any beneficial owners of more than 10% of a class of the company's equity securities.

Breaking down the case for Nextier Oilfield

The current price rise of Nextier Oilfield Solutions may encourage investors to take a closer look at the firm as it is trading at a share price of 3.97 on very low momentum in trading volume. The company directors and management may have good odds in positioning the firm resources to exploit market volatility in March. The stock standard deviation of daily returns for 30 days investing horizon is currently 4.6. This high volatility is attributed to the latest market swings and not so good earnings reports for some of the Nextier Oilfield Sol partners.

Liabilities Breakdown

363.5 M

Current Liabilities

397 M

Long-Term Liabilities

	Total Liabilities	760.52 Million
	Current Liabilities	363.55 Million
	Long-Term Liabilities	396.98 Million

Are Nextier Oilfield technical ratios showing a reversion?

Value At Risk just dropped to -5.34, may suggest upcoming price depreciation. Nextier Oilfield Solutions shows above-average downside volatility for the selected time horizon. We advise investors to inspect Nextier Oilfield Solutions further and ensure that all market timing and asset allocation strategies are consistent with the estimation of Nextier Oilfield future alpha.

Our Conclusion on Nextier Oilfield

While many of the other players under the oil & gas equipment & services industry are still a bit expensive, Nextier Oilfield may offer a potential longer-term growth to investors. To conclude, as of the 14th of February 2021, our analysis shows that Nextier Oilfield hyperactively responds to market trends. The company is undervalued and projects below average chance of bankruptcy for the next 2 years. Our ongoing 30 days recommendation on the company is Strong Buy.

About Contributor

Raphi Shpitalnik is a Junior Member of Macroaxs Editorial Board. Raphael is a young entrepreneur who joined Macroaxis on a part-time base at the beginning of the pandemic and eventually acquired a real test for investing and fintech. He likes to analyze different equity instruments across a wide range of industries, focusing primarily on consumer products, sports, fintech, cannabis, and AI. View Profile

This story should be regarded as informational only and should not be considered a solicitation to sell or buy any financial products. Macroaxis does not express any opinion as to the present or future value of any investments referred to in this post. This post may not be reproduced without the consent of Macroaxis LLC. Macroaxis LLC and Raphi Shpitalnik do not own shares of Nextier Oilfield Solutions. Please refer to our Terms of Use for any information regarding our disclosure principles.

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