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

Oil States International (NYSE:OIS) announced its quarterly earnings results on Thursday. The oil and gas company reported $0.14 earnings per share for the quarter, beating analysts’ consensus estimates of $0.11 by $0.03, FiscalAI reports. The firm had revenue of $255.41 million for the quarter, compared to analyst estimates of $158.02 million. Oil States International had a negative net margin of 17.03% and a positive return on equity of 3.62%. The business’s revenue was down 5.3% on a year-over-year basis. During the same quarter in the previous year, the firm posted $0.09 earnings per share.

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 Down 2.3%

Shares of OIS stock traded down $0.18 on Thursday, reaching $7.57. The stock had a trading volume of 1,009,264 shares, compared to its average volume of 579,474. The firm’s 50-day moving average is $8.25 and its two-hundred day moving average is $9.69. The firm has a market capitalization of $455.58 million, a price-to-earnings ratio of -3.90 and a beta of 1.08. Oil States International has a 12 month low of $4.75 and a 12 month high of $14.50.

Analysts Set New Price Targets

A number of equities research analysts recently commented on OIS shares. Weiss Ratings lowered shares of Oil States International from a “sell (d+)” rating to a “sell (d)” rating in a report on Thursday, June 11th. Raymond James Financial cut their price target on shares of Oil States International from $14.00 to $12.00 and set an “outperform” rating on the stock in a research report on Friday, July 10th. Wall Street Zen downgraded Oil States International from a “buy” rating to a “hold” rating in a research report on Saturday, May 9th. Finally, Susquehanna dropped their target price on Oil States International from $11.00 to $8.00 and set a “neutral” rating on the stock in a report on Wednesday, July 8th. Two investment analysts have rated the stock with a Buy rating, one has issued a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat, the stock has a consensus rating of “Hold” and an average price target of $11.67.

Hedge Funds Weigh In On Oil States International

A number of hedge funds and other institutional investors have recently bought and sold shares of the business. Captrust Financial Advisors boosted its stake in shares of Oil States International by 19.5% during the 4th quarter. Captrust Financial Advisors now owns 14,262 shares of the oil and gas company’s stock worth $97,000 after acquiring an additional 2,332 shares during the period. NewEdge Advisors LLC lifted its holdings in Oil States International by 20.5% during the 3rd quarter. NewEdge Advisors LLC now owns 18,961 shares of the oil and gas company’s stock valued at $115,000 after purchasing an additional 3,222 shares during the last quarter. EverSource Wealth Advisors LLC lifted its holdings in Oil States International by 221.9% during the 2nd quarter. EverSource Wealth Advisors LLC now owns 6,876 shares of the oil and gas company’s stock valued at $37,000 after purchasing an additional 4,740 shares during the last quarter. Russell Investments Group Ltd. boosted its position in Oil States International by 1.7% during 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 purchasing an additional 4,989 shares during the period. Finally, BNP Paribas Financial Markets boosted its position in Oil States International by 98.8% during the third quarter. BNP Paribas Financial Markets now owns 11,626 shares of the oil and gas company’s stock worth $70,000 after purchasing an additional 5,779 shares during the period. Institutional investors own 97.44% of the company’s stock.

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.