Mammoth Energy Services, Inc. (NASDAQ:TUSK) Financial Analysis

• Mammoth Energy Services, Inc. (NASDAQ:TUSK) struggles with a negative Return on Invested Capital (ROIC) of -21.61%, indicating inefficiency in generating returns to cover its cost of capital.
• NCS Multistage Holdings, Inc. (NASDAQ:NCSM) demonstrates the highest efficiency in generating returns relative to its cost of capital among the peers, suggesting a potentially more attractive investment.

Mammoth Energy Services, Inc. (NASDAQ:TUSK) is a company that provides a range of services to the energy sector, including infrastructure services, well completion, and natural sand proppant services. The company operates primarily in the United States and serves a variety of clients in the oil and gas industry.

In evaluating Mammoth Energy Services, the focus is on the Return on Invested Capital (ROIC) compared to the Weighted Average Cost of Capital (WACC). TUSK's ROIC is -21.61%, which is significantly lower than its WACC of 19.28%. This negative ROIC indicates that the company is not generating enough returns to cover its cost of capital, which is a concern for investors.

When comparing TUSK to its peers, KLX Energy Services Holdings, Inc. (NASDAQ:KLXE) also shows a negative ROIC of -11.77% against a WACC of 10.91%, resulting in a ROIC to WACC ratio of -1.08. This suggests that KLXE, like TUSK, is struggling to generate returns above its cost of capital.

NCS Multistage Holdings, Inc. (NASDAQ:NCSM) stands out with a ROIC of 6.40% and a WACC of 6.67%, achieving the highest ROIC to WACC ratio of 0.96 among the peers. This suggests that NCSM is the most efficient in generating returns relative to its cost of capital, making it a potentially more attractive investment compared to TUSK and others.