Oil States International (NYSE:OIS) Announces Quarterly Earnings Results

Oil States International (NYSE:OIS) posted its quarterly earnings data on Thursday. The oil and gas company reported $0.14 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.11 by $0.03, FiscalAI reports. Oil States International had a negative net margin of 16.78% and a positive return on equity of 4.28%. The firm had revenue of $255.41 million for the quarter, compared to the consensus estimate of $158.02 million. During the same period in the previous year, the firm earned $0.09 EPS. The business’s revenue for the quarter was down 5.3% compared to the same quarter last year.

Here are the key takeaways from Oil States International’s conference call:

• Second-quarter results improved sequentially, with revenue of $157 million up 8% and adjusted EBITDA of $19 million up 14%; growth was driven by Downhole Technologies, Completion and Production Services, favorable mix, and execution.
• Offshore Manufactured Products backlog reached a more-than-10-year high of $451 million, up 24% year over year, with a 1.2x book-to-bill ratio. Management reiterated expectations for full-year book-to-bill of at least 1.0x and said new orders carry margins accretive to the existing backlog.
• Downhole Technologies posted its highest revenue since the second quarter of 2023 as perforating and completion-product demand strengthened; management expects activity to remain near second-quarter levels through the rest of 2026.
• Geopolitical disruptions, particularly in the Middle East, have delayed offshore contract awards and will push some revenue recognition from 2026 into 2027. Downhole margins also remain pressured by elevated tungsten, charge-powder, copper, and other raw-material costs.
• Third-quarter guidance calls for revenue of $157 million-$167 million and adjusted EBITDA of $18 million-$20 million, while full-year guidance remains $640 million-$660 million of revenue and $77 million-$83 million of adjusted EBITDA. Management expects working-capital investments to unwind in the second half and forecasts full-year free cash flow of $35 million-$40 million, excluding potential additional asset-sale proceeds.

Oil States International Stock Performance

Shares of NYSE:OIS traded up $0.56 during midday trading on Friday, reaching $8.14. The company had a trading volume of 1,007,843 shares, compared to its average volume of 603,803. The stock has a market cap of $490.27 million, a P/E ratio of -4.31 and a beta of 1.08. The company’s 50 day moving average price is $8.23 and its 200 day moving average price is $9.68. The company has a current ratio of 2.35, a quick ratio of 1.15 and a debt-to-equity ratio of 0.03. Oil States International has a 52-week low of $4.75 and a 52-week high of $14.50.

Institutional Trading of Oil States International

Hedge funds have recently added to or reduced their stakes in the stock. Captrust Financial Advisors grew its stake in Oil States International by 19.5% in the 4th quarter. Captrust Financial Advisors now owns 14,262 shares of the oil and gas company’s stock valued at $97,000 after buying an additional 2,332 shares in the last quarter. NewEdge Advisors LLC lifted its position in shares of Oil States International by 20.5% during the third quarter. NewEdge Advisors LLC now owns 18,961 shares of the oil and gas company’s stock worth $115,000 after acquiring an additional 3,222 shares in the last quarter. EverSource Wealth Advisors LLC boosted its holdings in shares of Oil States International by 221.9% in the second quarter. EverSource Wealth Advisors LLC now owns 6,876 shares of the oil and gas company’s stock worth $37,000 after acquiring an additional 4,740 shares during the period. Russell Investments Group Ltd. boosted its holdings in shares of Oil States International by 1.7% in the fourth quarter. Russell Investments Group Ltd. now owns 292,652 shares of the oil and gas company’s stock worth $1,981,000 after acquiring an additional 4,989 shares during the period. Finally, BNP Paribas Financial Markets grew its position in shares of Oil States International by 98.8% in the third quarter. BNP Paribas Financial Markets now owns 11,626 shares of the oil and gas company’s stock valued at $70,000 after purchasing an additional 5,779 shares in the last quarter. Institutional investors own 97.44% of the company’s stock.

Analyst Upgrades and Downgrades

A number of research analysts recently weighed in on OIS shares. Wall Street Zen lowered shares of Oil States International from a “buy” rating to a “hold” rating in a research report on Saturday, May 9th. Susquehanna reduced their price objective on shares of Oil States International from $11.00 to $8.00 and set a “neutral” rating for the company in a research report on Wednesday, July 8th. Raymond James Financial decreased their price objective on shares of Oil States International from $14.00 to $12.00 and set an “outperform” rating for the company in a research note on Friday, July 10th. Weiss Ratings cut shares of Oil States International from a “sell (d+)” rating to a “sell (d)” rating in a research report on Thursday, June 11th. Finally, Stifel Nicolaus cut their target price on Oil States International from $15.00 to $14.00 and set a “buy” rating on the stock in a research note on Friday. Two research analysts have rated the stock with a Buy rating, one has assigned a Hold rating and one has assigned a Sell rating to the company’s stock. Based on data from MarketBeat.com, the stock has an average rating of “Hold” and a consensus target price of $11.33.

About Oil States International

Oil States International, Inc is a Houston-based provider of products and services to the global oil and gas industry. Through its well site solutions and flat steel solutions segments, the company supplies critical equipment and consumables used in drilling, completion and production operations. Its well site offerings include a broad range of rental products—such as coiled tubing, frac iron, pressure control equipment and downhole tool rentals—designed to support drilling rigs and well completion crews.

In addition to rental and service offerings, Oil States International’s flat steel solutions business manufactures and distributes steel pipeline and flowback products.