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NOG (Northern Oil & Gas) Degree of Operating Leverage : 2.49 (As of Mar. 2025)


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What is Northern Oil & Gas Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Northern Oil & Gas's Degree of Operating Leverage for the quarter that ended in Mar. 2025 was 2.49. The higher Degree of Operating Leverage, the higher operating risk the company will take.

The industry rank for Northern Oil & Gas's Degree of Operating Leverage or its related term are showing as below:

NOG's Degree of Operating Leverage is ranked worse than
66.34% of 906 companies
in the Oil & Gas industry
Industry Median: 0.93 vs NOG: 2.49

Northern Oil & Gas Degree of Operating Leverage Historical Data

The historical data trend for Northern Oil & Gas's Degree of Operating Leverage can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

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Northern Oil & Gas Degree of Operating Leverage Chart

Northern Oil & Gas Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
Degree of Operating Leverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 424.21 -0.54 11.63 -8.23 -1.95

Northern Oil & Gas Quarterly Data
Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25
Degree of Operating Leverage Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -14.92 -2.33 2.29 -1.95 2.49

Competitive Comparison of Northern Oil & Gas's Degree of Operating Leverage

For the Oil & Gas E&P subindustry, Northern Oil & Gas's Degree of Operating Leverage, along with its competitors' market caps and Degree of Operating Leverage data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Northern Oil & Gas's Degree of Operating Leverage Distribution in the Oil & Gas Industry

For the Oil & Gas industry and Energy sector, Northern Oil & Gas's Degree of Operating Leverage distribution charts can be found below:

* The bar in red indicates where Northern Oil & Gas's Degree of Operating Leverage falls into.


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Northern Oil & Gas Degree of Operating Leverage Calculation

Northern Oil & Gas's Degree of Operating Leverage for the quarter that ended in Mar. 2025 is calculated as:

Degree of Operating Leverage=% Change in EBIT**/% Change in Revenue
=( 1015.794 (Mar. 2025) / 817.757 (Mar. 2024) - 1 )/( 2209.22 (Mar. 2025) / 2013.33 (Mar. 2024) - 1 )
=0.2422/0.0973
=2.49***

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

** TTM data of EBIT and Revenue was used to calculate Degree of Operating Leverage.
*** Please be aware that the Degree of Operating Leverage calculations are based on company-level data using the primary share class. The calculated data provided is for demonstration purposes and may slightly differ from the results displayed in the title due to potential variations caused by currency exchange rate differences throughout the year.


Northern Oil & Gas  (NYSE:NOG) Degree of Operating Leverage Explanation

Degree of Operating Leverage (DOL) is a leverage ratio that measures the sensitivity of a company’s operting income, also referred to as Earnings Before Interest and Taxes (EBIT), to fluctuations in its Revenue. DOL is a method used to quantify a company’s operating risk. This risk is related to the company's structure of variable costs and fixed costs. Since the fixed costs do not allow the company to adjust the operating costs, the operating risk rises with a higher fixed-to-variable costs proportion.

A high Degree of Operating Leverage indicates that the company’s fixed costs exceed its variable costs. By increasing the sales, the company can earn more profits. In addition, the company must be able to maintain relatively high sales to cover all fixed costs.

Be Aware

The use of operating leverage varies across different industries and business sectors, and the application of Degree of Operating Leverage (DOL) should be adjusted accordingly.


Northern Oil & Gas Degree of Operating Leverage Related Terms

Thank you for viewing the detailed overview of Northern Oil & Gas's Degree of Operating Leverage provided by GuruFocus.com. Please click on the following links to see related term pages.


Northern Oil & Gas Business Description

Industry
Traded in Other Exchanges
Address
4350 Baker Road, Suite 400, Minnetonka, MN, USA, 55343
Northern Oil & Gas Inc is an independent energy company engaged in the acquisition, exploration, development, and production of crude oil and natural gas properties. Its principal business is crude oil and natural gas exploration, development, and production. The company's oil and natural gas sales come from three geographic areas in the United States: the Williston Basin (North Dakota and Montana), the Permian Basin (New Mexico and Texas), the Uinta Basin, and the Appalachian Basin (Pennsylvania and Ohio).
Executives
Robert B. Rowling 10 percent owner 4001 MAPLE AVE, SUITE 600, DALLAS TX 75219
William F Kimble director 6900 E. LAYTON AVE., SUITE 900, DENVER CO 80237
Jennifer S. Pomerantz director 4350 BAKER ROAD, SUITE 400, MINNETONKA MN 55343
Cresta Greenwood, Llc 10 percent owner 4001 MAPLE AVENUE, SUITE 600, DALLAS TX 75219
Rowling Family 2012 Long Term Trust other: See Remarks 4001 MAPLE AVENUE, SUITE 600, DALLAS TX 75219
James B. Evans officer: Executive VP & Chief Engineer 601 CARLSON PARKWAY, SUITE 990, MINNETONKA MN 55305
Foundation Rowling other: See Remarks 4001 MAPLE AVENUE, SUITE 600, DALLAS TX 75219
Stuart G. Lasher director 4931 NEW PROVIDENCE, TAMPA FL 33629
Ttbr Investments Llc 10 percent owner 4001 MAPLE AVE, SUITE 600, DALLAS TX 75219
Trbrjr Investments Llc 10 percent owner 4001 MAPLE AVE, SUITE 600, DALLAS TX 75219
Michael D. Kelly officer: EVP of Finance 3762 INGOLD STREET, HOUSTON TX 77005
Crestview Partners Iii Gp, L.p. 10 percent owner C/O CRESTVIEW PARTNERS, 590 MADISON AVENUE, 42ND FLOOR, NEW YORK NY 10022
Brandon R. Elliott officer: EVP, Corporate Devp & Strategy 315 MANITOBA AVENUE, SUITE 200, WAYZATA MN 55391
Roy Ernest Easley director 1048 TEXAN TRAIL, GRAPEVINE TX 76051
W Energy Partners Llc 10 percent owner 3811 TURTLE CREEK BLVD, SUITE 550, DALLAS TX 75219