| Factor | Score | Distribution | Value | Avg | Rank |
|---|---|---|---|---|---|
Valuation | 53 | 33.9x | 17.8x | Around median | |
Growth | 61 | 11.5% | 7.1% | Around median | |
Quality | 59 | 5.6% | 4.5% | Around median | |
Safety | 93 | — | 2.6x | Top tier | |
Capital Return | 31 | 0.00% | 2.12% | Bottom tier | |
Momentum | 87 | 84.5% | 2.9% | Top tier | |
Sentiment | 21 | 2 | 3 | Bottom tier |
Estimates — analyst targets and a simplified DCF, not investment advice.
Ten ratios that matter, each compared against its sector median and average — so you can see whether a number is rich or cheap relative to peers in the same sector.
Innovex International provides technologies and equipment for well construction and completion in onshore and offshore markets, including wellhead systems, expandable liner hangers, cementing equipment, and subsea tools. Its model relies on differentiated technical products, many of which are consumable and capital-light, and then expanding their sales through the company's global relationships; examples include XPak, ArgoLATCH, and the laminated glass barrier technologies added through the TCO Group transaction.
In Q2 of fiscal year 2026, revenue was $244.9 million, gross profit was $83.6 million, equivalent to a gross margin of approximately 34.1%, while net income was $25.0 million and earnings per share were $0.36. Management reported rounded revenue of $245 million, up 2% from the previous quarter and 9% year over year, along with adjusted EBITDA of $48 million and a 20% margin, with revenue and adjusted EBITDA at the high end of their guidance ranges.
North American onshore operations accounted for $131 million, or approximately 53% of Q2 fiscal year 2026 revenue, after declining 4% from the previous quarter, while international and offshore revenue totaled $113 million, or approximately 46%, and increased 11% sequentially. The company generated free cash flow of $30 million, equal to 63% of adjusted EBITDA, spent $7 million on capital expenditures, and ended the quarter with approximately $222 million in cash and cash equivalents and no bank debt.
Automated analysis for informational purposes only — not investment advice.
The average analyst price target is $31.67, within a range of $27 to $34, and the stock carries a consensus “Buy” rating; the average is close to the upper end of the 52-week range of $33.71, compared with a low of $16.29. The available data does not include a valid comparable price-to-earnings ratio despite reported trailing earnings per share of $0.8854, making it difficult to assess valuation through an earnings multiple, while margin sensitivity to Middle East costs and the timing of offshore projects remain important factors when evaluating the consensus target.
Figures in the text are as of 2026-09-01; the live price is shown at the top of the page.
Quarterly revenue was $244.9 million, gross profit was $83.6 million, and net income was $25.0 million. According to management's rounded presentation, revenue increased 2% sequentially and 9% year over year, while adjusted EBITDA reached $48 million at a 20% margin. The primary support came from international and offshore revenue increasing 11% to $113 million, despite North American onshore operations declining 4% to $131 million.
Innovex completed the acquisition of TCO Group on July 1, 2026 for $95 million, consisting of $65 million in cash and $30 million in Innovex shares. TCO provides gas-tight laminated glass barriers that can later be opened without intervention and are used in completions, well suspension, and casing or liner deployment. Q3 fiscal year 2026 guidance includes a contribution of $15 million in revenue and approximately $3 million in EBITDA from TCO.
The company won three major projects in Asia with total expected revenue ranging from $60 million to $80 million, with a meaningful contribution expected to begin during fiscal year 2027. It also secured an additional $20 million package for a riser tensioning system in Malaysia, with follow-on wellhead orders expected. Innovex completed its first XPak trial with a major international operator in Asia-Pacific, and management says offshore awards provide growth visibility extending from one to two years, while project timing remains volatile between quarters.
Management expects revenue of between $260 million and $270 million and adjusted EBITDA of between $51 million and $57 million. The guidance includes $15 million of TCO revenue and approximately $3 million of EBITDA, implying around $250 million of revenue from Innovex's pre-acquisition operations. The company expects growth in U.S. and Canadian onshore operations and an initial contribution from offshore opportunities, while it expects the Middle East to remain approximately stable compared with Q2 fiscal year 2026.
The company ended Q2 fiscal year 2026 with approximately $222 million in cash and cash equivalents and no bank debt. Free cash flow was $30 million, or 63% of adjusted EBITDA, while capital expenditures were $7 million, or approximately 2.7% of revenue. After the end of the quarter, it used $65 million in cash as part of the TCO transaction, while return on capital employed for the twelve months ended June 30, 2026 was approximately 12% compared with a long-term target in the high teens.
The adjusted EBITDA margin declined to 20% in Q2 fiscal year 2026 from 21% in the previous quarter, and the company incurred approximately $1.5 million in additional freight costs related to the Middle East. North American onshore revenue also declined 4% sequentially, and the offshore growth boost depends on the timing of projects that may vary from one quarter to another. In addition to the risks of integrating TCO and completing the enterprise resource planning system conversion associated with the Dril-Quip integration, insiders recorded net sales of $287.7 million over the three months through August 10, 2026, although those sales may have been prearranged.
