Financial Survey: Innovex International (NYSE:INVX) versus Tetra Technologies (NYSE:TTI)

Tetra Technologies (NYSE:TTI) and Innovex International (NYSE:INVX) are both energy companies, but which is the superior business? We will compare the two businesses based on the strength of their institutional ownership, valuation, earnings, profitability, analyst recommendations, dividends and risk.

Insider & Institutional Ownership

70.2% of Tetra Technologies shares are held by institutional investors. 6.3% of Tetra Technologies shares are held by company insiders. Comparatively, 34.9% of Innovex International shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Earnings and Valuation

This table compares Tetra Technologies and Innovex International”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Tetra Technologies	$630.93 million	1.62	$3.01 million	$0.04	172.50
Innovex International	$978.25 million	2.19	$83.30 million	$0.89	34.46

Innovex International has higher revenue and earnings than Tetra Technologies. Innovex International is trading at a lower price-to-earnings ratio than Tetra Technologies, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Tetra Technologies and Innovex International’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Tetra Technologies	0.97%	9.11%	4.14%
Innovex International	6.17%	7.12%	5.80%

Risk & Volatility

Tetra Technologies has a beta of 1.23, suggesting that its stock price is 23% more volatile than the S&P 500. Comparatively, Innovex International has a beta of 0.87, suggesting that its stock price is 13% less volatile than the S&P 500.

Analyst Ratings

This is a breakdown of recent recommendations and price targets for Tetra Technologies and Innovex International, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Tetra Technologies	0	2	3	0	2.60
Innovex International	0	3	2	1	2.67

Tetra Technologies presently has a consensus target price of $11.50, suggesting a potential upside of 66.67%. Innovex International has a consensus target price of $32.75, suggesting a potential upside of 6.78%. Given Tetra Technologies’ higher probable upside, equities analysts clearly believe Tetra Technologies is more favorable than Innovex International.

Summary

Innovex International beats Tetra Technologies on 9 of the 15 factors compared between the two stocks.

About Tetra Technologies

TETRA Technologies, Inc., together with its subsidiaries, operates as an energy services and solutions company. It operates through two segments, Completion Fluids & Products Division and Water & Flowback Services. The Completion Fluids & Products segment manufactures and markets clear brine fluids, additives, and associated products and services to the oil and gas industry for use in well drilling, completion, and workover operations in the United States, as well as in Latin America, Europe, Asia, the Middle East, and Africa. This segment also markets liquid and dry calcium chloride products; and TETRA PureFlow ultra-pure zinc bromide to battery technology companies. The Water & Flowback Services segment provides water management services for onshore oil and gas operators. This segment also offers frac flowback, production well testing, and other associated services in oil and gas producing regions in the United States, as well as in various basins in Latin America, Africa, Europe, and the Middle East. TETRA Technologies, Inc. was incorporated in 1981 and is headquartered in The Woodlands, Texas.

About Innovex International

Innovex International, Inc. engages in the provision of solutions for both onshore and offshore applications within the oil and gas industry. The company was founded on September 15, 2016 and is headquartered in Humble, TX.