Reviewing Innovex International (NYSE:INVX) & Weatherford International (OTCMKTS:WFTIF)

Weatherford International (OTCMKTS:WFTIF) and Innovex International (NYSE:INVX) are both small-cap oils/energy companies, but which is the superior investment? We will compare the two companies based on the strength of their risk, analyst recommendations, valuation, profitability, dividends, institutional ownership and earnings.

Institutional and Insider Ownership

85.7% of Weatherford International shares are held by institutional investors. 0.4% of Weatherford International shares are held by insiders. Comparatively, 3.1% of Innovex International shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Earnings & Valuation

This table compares Weatherford International and Innovex International”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Weatherford International	$5.74 billion	0.00	-$2.81 billion	($0.59)	N/A
Innovex International	$550.34 million	1.77	$600,000.00	$1.41	10.26

Innovex International has lower revenue, but higher earnings than Weatherford International. Weatherford International is trading at a lower price-to-earnings ratio than Innovex International, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a breakdown of recent recommendations for Weatherford International and Innovex International, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Weatherford International	0	0	0	0	0.00
Innovex International	1	0	0	0	1.00

Innovex International has a consensus price target of $15.00, indicating a potential upside of 3.66%. Given Innovex International’s stronger consensus rating and higher probable upside, analysts plainly believe Innovex International is more favorable than Weatherford International.

Volatility and Risk

Weatherford International has a beta of 2.81, indicating that its share price is 181% more volatile than the S&P 500. Comparatively, Innovex International has a beta of 0.88, indicating that its share price is 12% less volatile than the S&P 500.

Profitability

This table compares Weatherford International and Innovex International’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Weatherford International	-53.77%	N/A	-7.53%
Innovex International	12.31%	-0.73%	-0.61%

Summary

Innovex International beats Weatherford International on 8 of the 12 factors compared between the two stocks.

About Weatherford International

Weatherford International Plc provides equipment and services to the oil and natural gas exploration and production industry. It operates through two segments: Western Hemisphere and Eastern Hemispher. The company products and services are Drilling and Evaluation, Production, Completions, and Well Construction. Weatherford International was founded in 1941 and is headquartered in Baar, Switzerland.

About Innovex International

Innovex Downhole Solutions Inc. designs, manufactures and installs mission-critical drilling & deployment, well construction, completion, production and fishing & intervention solutions to support upstream onshore and offshore activities. Innovex Downhole Solutions Inc., formerly known as Dril-Quip, is based in HOUSTON.