Operating Margin

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Price: 226.2 NOK 2.08% Market Closed

Market Cap: 67.8B NOK

0.8%

Improving

by 0.4%

Operating Margin shows how much profit a company makes from its regular business activities after covering operating costs. It helps measure how efficiently the company turns sales into profit.

Operating Margin

0.8%

Operating Income

$576.8m

Revenue

$7B

Operating Margin shows how much profit a company makes from its regular business activities after covering operating costs. It helps measure how efficiently the company turns sales into profit.

Operating Margin

0.8%

Operating Income

kr576.8m

Revenue

$7B

Peer Comparison

Country		Company	Market Cap	Operating Margin
UK		Subsea 7 SA OSE:SUBC	66.1B NOK	Loading...
US		Schlumberger NV NYSE:SLB	72.3B USD	Loading...
US	B	Baker Hughes Co NASDAQ:BKR	52.6B USD	Loading...
US		Halliburton Co NYSE:HAL	28.2B USD	Loading...
LU		Tenaris SA MIL:TEN	19.3B EUR	Loading...
UK		TechnipFMC PLC NYSE:FTI	21.8B USD	Loading...
CN		Yantai Jereh Oilfield Services Group Co Ltd SZSE:002353	91.5B CNY	Loading...
US		Nov Inc NYSE:NOV	6.7B USD	Loading...
FR		Technip Energies NV PAR:TE	5.6B EUR	Loading...
IT		Saipem SpA MIL:SPM	5.5B EUR	Loading...
JP		Modec Inc TSE:6269	950.3B JPY	Loading...

Market Distribution

Min	-195 650%
30th Percentile	0%
Median	0.1%
70th Percentile	0.2%
Max	4 630.7%

Other Profitability Ratios

Subsea 7 SA
Glance View

Market Cap

67.8B NOK

Industry

N/A

Subsea 7 SA navigates the depths of the ocean floor with a prowess that underscores its position as a pivotal player in the energy sector, specifically focusing on the offshore installation and construction of energy projects. Rooted in a rich maritime engineering tradition, Subsea 7 combines advanced technology with a global footprint to execute complex projects the world over. The company primarily serves the oil and gas industry, providing a comprehensive suite of services that cover the engineering, procurement, installation, and commissioning (EPIC) of seabed-to-surface infrastructure. This includes intricate activities such as laying pipeline networks, installing subsea systems, and executing deepwater construction tasks—each project tailored to the unique demands of the underwater environment. The revenue streams of Subsea 7 manifest through long-term contracts awarded by major oil companies and national oil firms. These contracts are typically substantial, involving intricate contractual negotiations and partnerships that often span several years. As energy needs expand and renewable resources like offshore wind farms become more prevalent, Subsea 7 has adeptly diversified into these burgeoning sectors, leveraging its offshore expertise to capitalize on the growing demand for sustainable energy solutions. By positioning itself at the intersection of traditional and renewable projects, Subsea 7 not only ensures steady cash flows from existing oil and gas operations but also captures emerging opportunities in the energy transition landscape. Through this dual focus, the company secures profitability while supporting the world's evolving energy needs.

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SUBC Intrinsic Value

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What is Intrinsic Value?

Economic Moat is a concept popularized by Warren Buffett to describe a company's durable competitive advantage. It represents the 'moat' that protects a company from competitors and helps it sustain profitability over the long term. Our analysis of the past 10 years showed that companies with a wide economic moat significantly outperformed the market, delivering +645% returns compared to +189% for the S&P 500.

Our research into Economic Moat performance spans the past 10 years and focuses on companies with a wide economic moat. For this analysis, we calculated the average stock price returns of these companies, comparing them to the performance of the S&P 500 index over the same period.

The results were compelling: wide moat stocks achieved a remarkable +645% average return, compared to +188% for the broader market. This difference highlights the long-term benefits of investing in businesses that can maintain their market position and pricing power over time.

Note: This research does not account for survivorship bias. Past performance is not indicative of future results.

Determining whether a company has an economic moat requires both a deep dive into financial metrics and a qualitative assessment of its competitive position. Our analysts conduct a rigorous evaluation that focuses on identifying structural advantages that enable a company to sustain profitability and defend its market share over the long term.

The process begins with an analysis of a company’s historical financial performance. We assess how consistently the company has generated returns above its cost of capital and whether those returns have been stable or improving. However, financial performance alone doesn’t reveal the full picture. To understand the sources of these advantages, we evaluate five key drivers of economic moats:

Network Effect: We analyze whether the value of a company’s product or service grows as its user base expands. Platforms like payment systems or marketplaces benefit from this self-reinforcing.

Switching Costs: We assess whether customers face significant costs or disruptions when switching to a competitor’s product or service. High switching costs create customer stickiness and provide pricing power.

Intangible Assets: Strong brands, patents, and regulatory licenses can protect a company’s market position by creating barriers for competitors or enabling premium pricing. For example, a well-recognized consumer brand may command higher customer loyalty and margins.

Efficient scale: Occurs when a market is optimally served by one or a few players, making it unprofitable for new entrants to compete. This typically happens in industries with high fixed costs or geographic constraints, such as utilities or pipelines.

Cost Advantage: Companies with structural cost advantages can produce goods or services at a lower cost than their competitors, enabling them to offer competitive pricing or maintain higher margins. These advantages often arise from economies of scale, superior supply chain management, or proprietary technology. Firms like Walmart leverage their massive scale to negotiate better terms with suppliers, allowing them to undercut competitors on price.

By examining these factors in combination with a company’s financial performance and market positioning, we classify each company into one of three categories:

This rigorous evaluation ensures that our moat ratings are both comprehensive and reliable, giving investors the tools they need to make well-informed, long-term decisions.

The AI Assistant may sometimes provide inaccurate information.

Make your own investment decisions or consult a licensed financial advisor.

Subsea 7 SA
OSE:SUBC

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Market Distribution

Other Profitability Ratios

Subsea 7 SA
Glance View

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Subsea 7 SA OSE:SUBC