Why Nov Inc. (NOV) Went Up on Wednesday

We recently compiled a list of the 10 Companies Jump on Better Earnings, Outlook. In this article, we are going to take a look at where Nov Inc. (NYSE:NOV) stands against the other stocks.

The stock market extended its winning streak on Wednesday, closing firmer as investors seemed to have already priced in the news of tit-for-tat tariffs and uncertainties surrounding the Artificial Intelligence industry.

The Dow Jones gained another 0.71 percent, the S&P 500 grew 0.39 percent, and the tech-heavy Nasdaq increased by 0.19 percent.

Ten companies traded in line with the broader market sentiment, mostly on the back of record achievements in their latest earnings performance and optimistic outlook guidance.

To come up with Wednesday’s top gainers, we considered only the stocks with at least $2 billion in market capitalization and $5 million in daily trading volume.

An engineer inspecting a complete set of oil and gas components.

Nov Inc. (NYSE:NOV)

Oilfield equipment manufacturer Nov Inc. saw its share prices jump by 12.92 percent on Wednesday to close at $16.43 each after topping analyst expectations on its earnings performance.

While net profit and revenues both registered declines in the fourth quarter and full year of 2024, Nov Inc. was able to surpass consensus estimates.

According to the company, net income in the fourth quarter of the year decreased by 27 percent to $438 million from $598 million year-on-year, while also dropping by 36 percent in the full year at $635 million from $993 million in 2023.

Revenues for the fourth quarter alone dipped by 1 percent to $2.31 billion, surpassing analyst estimates of $2.26 billion.

Meanwhile, revenues for the full year 2024 increased by 3 percent to $8.87 billion from $8.58 billion in 2023.

For this year, Nov Inc. said it expects consolidated revenues to decrease between 1 to 3 percent year-on-year.

Overall NOV ranks 4th on our list of Wednesday’s top gainers. While we acknowledge the potential of NOV as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns and doing so within a shorter timeframe. If you are looking for an AI stock that is more promising than NOV but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

READ NEXT: 20 Best AI Stocks To Buy Now and Complete List of 59 AI Companies Under $2 Billion in Market Cap.

Disclosure: None. This article is originally published at Insider Monkey.