National Energy Services Reunited Corp Ordinary Shares (NESR) fair value

ACCE thesis

National Energy Services Reunited provides drilling services, including directional drilling, rental tools and well construction support, mostly to Middle East and North African oil operators, with a meaningful share of revenue from Iraq, Algeria and Kuwait. Its edge is a regional footprint and long-term contracts with national oil companies, which lock in activity in markets where Western service firms have less scale. Revenue growth of 59.1% over the period is the headline, though it reflects a rapidly expanding top line from a smaller base rather than margin expansion. Operating margin of 12.4% against a gross margin of 13.3% shows the business is converting that growth into only modest profit, so the thesis rests on whether new contract wins keep lifting volumes while costs stay in check. At a trailing P/E of 20.8 and a 9.4% return on equity, the valuation is not stretched on earnings, but the forward P/E figure in the data is unavailable, so the earnings trajectory needs to be checked directly before going further.