Expro Group Holdings (XPRO) AI Stock Analysis

• Market Cap: $953.13M
• Dividend Yield: N/A
• Average Volume (3M): 1.15M
• Price to Earnings (P/E): 14.1
• Beta (1Y): 1.29
• Revenue Growth: 10.48%
• EPS Growth: N/A
• Country: US
• Employees: 8,500
• Sector: Energy
• Sector Strength: 43
• Industry: Oil & Gas Equipment & Services
• EPS (TTM): 0.12
• Shares Outstanding: 115,390,890
• 10 Day Avg. Volume: 974,160
• 30 Day Avg. Volume: 1,148,564
• PEG Ratio: 0.43
• Price to Book (P/B): 0.62
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 26.23
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $13.00
• Price Target Upside: 54.03% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 3

• Rating: 72 Outperform
• Price Target: $9.50 ▲(12.56%Upside)

Expro's strong financial performance and reasonable valuation support its stock score. However, technical indicators show bearish momentum, and market uncertainties from the earnings call contribute to a cautious outlook.

Positive Factors

Market Position

XPRO operates a formidable niche of proprietary technology, with strong moats in well test services and tubular running services that represent strategic assets within the broader OFS ecosystem.

Valuation

Despite the challenging 3Q results, the stock is now trading at just ~3.8x below-consensus '25 EBITDA forecast, which is considered too low for a company with differentiated businesses in offshore TRS and well testing.

Negative Factors

Investor Sentiment

Investors appear to be losing patience with XPRO after its 3Q EBITDA miss, FY24 EBITDA guide-down, and more subdued outlook for next year.

Revenue Target

White space concerns may limit the ability to drive similar pricing improvements in 2025, which will likely lead to the company falling short of reaching its $2bn mid-term revenue target on a run-rate basis.

Expro Group Holdings Business Overview & Revenue Model

Company Description

Expro Group Holdings (XPRO) is a leading provider of energy services, primarily catering to the oil and gas industry. The company specializes in offering well flow management services, which include well testing, subsea, completion, and production services. Expro operates across various geographical sectors, delivering innovative solutions and high-quality service delivery to optimize production, enhance operational efficiency, and ensure safety in challenging environments.

How the Company Makes Money

Expro Group Holdings generates revenue through its comprehensive range of services tailored for the oil and gas sector. The company earns money predominantly from contracts with oil and gas producers who require specialized well flow management services. Key revenue streams include well testing, subsea intervention, well completion, and production optimization services. Expro also engages in strategic partnerships and collaborations with major oil companies and engineering firms, enhancing its service offerings and expanding its market reach. Additionally, the company invests in technological advancements and innovations, which contribute to maintaining its competitive edge and securing long-term contracts with clients.

Expro Group Holdings Financial Statement Overview

Summary

Expro Group demonstrates strong revenue growth and improved profitability, with a significant rise in net profit margins. The balance sheet is robust with low debt and increasing equity. Cash flow improvement is notable, though further cash conversion optimization is needed.

Income Statement

Expro Group has shown robust revenue growth, moving from $675 million in 2020 to $1.72 billion TTM (Trailing-Twelve-Months) in 2025, marking a significant upward trajectory. The gross profit margin has improved significantly from negative in 2020 to 15.5% TTM. Net profit margins have turned positive, reaching 3.99% TTM, indicating a successful turnaround in profitability. However, EBIT and EBITDA margins suggest room for improvement in operating efficiency.

Balance Sheet

The balance sheet exhibits strong equity growth with stockholders' equity increasing from $612 million in 2020 to approximately $1.5 billion in 2025 TTM. The debt-to-equity ratio is favorably low at 0.05 TTM, highlighting prudent leverage management. However, the equity ratio remains stable but could improve to ensure financial stability under potential market fluctuations.

Cash Flow

Expro's cash flow statements reveal a positive shift, with free cash flow turning positive from a deficit in 2020 to $35 million TTM. Operating cash flow has grown consistently, supporting ongoing capital expenditures. Although free cash flow growth is notable, enhancing the free cash flow to net income ratio would indicate better cash profitability.

Breakdown
TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
1.72B	1.71B	1.51B	1.28B	825.76M	675.03M
	Gross Profit
221.07M	215.97M	99.21M	82.30M	731.00K	-5.54M
	EBIT
104.62M	94.17M	10.80M	45.35M	-18.73M	-322.29M
	EBITDA
282.01M	273.95M	197.15M	166.41M	17.04M	88.12M
	Net Income Common Stockholders
68.54M	51.92M	-23.36M	-20.14M	-131.89M	-307.05M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
179.31M	183.04M	151.74M	214.79M	235.39M	116.92M
	Total Assets
2.29B	2.33B	2.01B	1.94B	1.85B	1.04B
	Total Debt
202.63M	203.05M	110.88M	94.72M	110.30M	90.84M
	Net Debt
23.32M	20.01M	-40.86M	-120.06M	-125.09M	-26.09M
	Total Liabilities
793.34M	842.06M	717.13M	651.26M	557.07M	427.77M
	Stockholders Equity
1.50B	1.49B	1.30B	1.29B	1.30B	611.98M
Cash Flow		Free Cash Flow
35.10M	25.90M	16.20M	-9.70M	-65.37M	-42.00M
	Operating Cash Flow
181.05M	169.48M	138.31M	80.17M	16.14M	70.39M
	Investing Cash Flow
-167.52M	-165.14M	-148.23M	-71.21M	112.05M	-96.77M
	Financing Cash Flow
-423.00K	29.57M	-49.34M	-25.61M	-7.18M	-625.00K

Expro Group Holdings Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 8.44
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For XPRO, the sentiment is Positive. The current price of 8.44 is above the 20-day moving average (MA) of 8.21, below the 50-day MA of 8.69, and below the 200-day MA of 13.19, indicating a neutral trend. The MACD of -0.14 indicates Negative momentum. The RSI at 51.64 is Neutral, neither overbought nor oversold. The STOCH value of 54.79 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for XPRO.

Expro Group Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
RES	76 Outperform	$1.01B	12.95	7.06%	3.51%	-9.78%	-49.45%
OII	73 Outperform	$1.94B	10.78	26.17%	―	10.04%	68.14%
XPRO	72 Outperform	$953.13M	14.12	4.91%	―	10.48%	―
WTTR	69 Neutral	$1.00B	24.17	4.51%	3.12%	-4.91%	-46.51%
HLX	66 Neutral	$959.19M	11.42	5.64%	―	0.34%	―
MRC	65 Neutral	$1.09B	41.18	8.29%	―	-9.84%	-111.71%
Sector *	57 Neutral	$7.10B	3.09	-3.48%	5.73%	0.74%	-50.59%

Expro Group Holdings Corporate Events

Expro Group Reports Strong Q1 2025 Financials

Expro Group Holdings N.V. reported a solid financial performance for the first quarter of 2025, with revenue of $391 million and an adjusted EBITDA of $76 million, marking the highest first quarter adjusted EBITDA since its merger with Frank’s in 2021. Despite a decrease in revenue due to lower activity in several regions, the company achieved a net income of $14 million and continued to expand its adjusted EBITDA margin. Expro secured significant contracts, including a $50 million TRS contract in the Gulf of America and a $15 million intervention services contract in Indonesia, underscoring its commitment to delivering cost-effective, technology-driven solutions. The company remains optimistic about its medium- to long-term prospects, despite near-term uncertainties in the energy services industry.