olivLaw · US equity research
Innovex International, Inc. INVX
Oil & Gas Field Machinery & Equipment · SIC 3533 · Vertical: Oil & Gas Field Machinery & Equipment (SIC 3533)
Innovex International (INVX) designs, manufactures and rents mission critical engineered products for the global oil and natural gas industry, with a focus on consumable downhole equipment. The company is in a phase of expansion through acquisitions and growth in international and offshore markets, while the North American market remains its main reference point.
The AI analysis may be outdated: new filings came after its sources (see the «AI analysis» section).
At the close of 04 Nov 2026, Innovex International, Inc. (INVX) stock was 25.59 USD (−1.08% on the day), with market capitalisation 1.8 bn USD, P/E 37.1 on diluted EPS of 0.69 USD over the last 12 months, dividend yield 0.00%, beta 1.07, 52-week range 19.52–31.63 USD. Latest reported quarter (Q3 2026): revenue of 265.1 m USD (+10.4% YoY), net income of 26.3 m USD (−33.0% YoY), diluted EPS 0.37 USD.
Data as of · AI analysis dated · Source: SEC filings and closing prices, computed by olivLaw.
Price history
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Technical reading
- RSI (14)
- 36.7
- weak (30–45)
- Bollinger (20, 2)
- 25.39 – 31.39
- in the lower half of the band · %B 0.03 · band width 21.1%
- SMA 50 / 200
- 28.73 / 27.19
- mixed trend
- MACD (12, 26, 9)
- -0.38 / 0.01
- MACD below signal
Indicators describe past prices; on their own they do not predict direction. On our history the RSI ≤ 40 filter added no return (see the signals methodology).
Performance
| Company | S&P 500 | vs S&P 500 | Vertical median | |
|---|---|---|---|---|
| 1 month | −9.9% | −1.1% | −8.8 pp | — |
| 3 months | −15.9% | −0.5% | −15.5 pp | — |
| 6 months | −5.7% | +4.4% | −10.1 pp | — |
| Year to date | +17.0% | +12.3% | +4.7 pp | — |
| 1 year | +30.5% | +13.5% | +17.0 pp | +15.0% |
| 3 years | +11.2% | +76.4% | −65.2 pp | +36.7% |
| 5 years | +8.3% | +63.7% | −55.4 pp | — |
Price returns, dividends excluded.
Quarterly results
Latest quarter: Q3 2026 · 30 Sept 2026
Quarterly margins
Quarterly statements · USD
| Fiscal year | Q4 '24 | Q1 '25 | Q2 '25 | Q3 '25 | Q4 '25 | Q1 '26 | Q2 '26 | Q3 '26 |
|---|---|---|---|---|---|---|---|---|
| Revenue | 250.7 m | 240.4 m | 224.2 m | 240.0 m | 273.6 m | 239.0 m | 244.9 m | 265.1 m |
| Cost of revenue | 165.8 m | 163.9 m | 152.5 m | 164.1 m | 194.5 m | 154.5 m | 161.2 m | 169.2 m |
| SG&A | 38.3 m | 32.3 m | 28.8 m | 35.6 m | 32.0 m | 41.7 m | 39.1 m | 44.4 m |
| Operating income | 26.9 m | 21.9 m | 22.7 m | 62.3 m | 25.8 m | -21.8 m | 33.8 m | 32.3 m |
| Depreciation & amortisation | 12.0 m | 14.9 m | 15.0 m | 15.4 m | 15.5 m | 16.2 m | 16.2 m | 16.5 m |
| Interest expense | 375.0 k | 700.0 k | 551.0 k | -677.0 k | 4.5 m | -388.0 k | -653.0 k | 192.0 k |
| Pre-tax income | 27.4 m | 21.4 m | 22.2 m | 58.0 m | 27.0 m | -21.6 m | 35.4 m | 34.8 m |
| Income tax | -4.4 m | 6.6 m | 6.9 m | 18.7 m | 13.0 m | -4.9 m | 10.4 m | 8.5 m |
| Net income | 31.8 m | 14.8 m | 15.3 m | 39.2 m | 14.0 m | -16.7 m | 25.0 m | 26.3 m |
| Diluted EPS | 0.33 ≈ | 0.21 | 0.22 | 0.57 | 0.20 ≈ | -0.24 | 0.36 | 0.37 |
| Operating cash flow | 36.3 m | 31.1 m | 59.2 m ≈ | 48.4 m ≈ | 52.2 m | 19.8 m | 37.0 m ≈ | 38.8 m ≈ |
| Dividends paid | 0 | — | — | — | 0 | — | — | — |
≈ derived quarter (cumulative difference / share-days average)
E/P over time
E/P = trailing-12-month diluted EPS / price at quarter end. E/P is the inverse of P/E and stays defined when earnings are negative.
Today's P/E sits at the 85 percentile of its own 20-quarter history (min 4.4, median 13.8, max 938.2; quarters with earnings only).
Fiscal years
| Fiscal year | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|---|---|---|
| Revenue | 384.6 m | 414.8 m | 365.0 m | 322.4 m | 361.9 m | 424.1 m | 660.8 m | 978.3 m |
| Revenue YoY | −15.6% | +7.8% | −12.0% | −11.7% | +12.2% | +17.2% | +55.8% | +48.0% |
| Net income | -95.7 m | 1.7 m | -30.8 m | -128.5 m | 63.3 m | 73.9 m | 140.3 m | 83.3 m |
| Net income YoY | unavailable | unavailable | −1,888.8% | unavailable | unavailable | +16.8% | +89.8% | −40.6% |
| Diluted EPS | -2.58 | 0.05 | -0.87 | -3.63 | 2.01 | 2.29 | 2.77 | 1.20 |
| Diluted EPS YoY | unavailable | unavailable | −1,840.0% | unavailable | unavailable | +13.9% | +21.0% | −56.7% |
| net % | -24.9% | 0.4% | -8.4% | -39.8% | 17.5% | 17.4% | 21.2% | 8.5% |
| Free cash flow | 13.4 m | 3.2 m | -33.0 m | 28.4 m | -24.7 m | 43.2 m | unavailable | unavailable |
Reported results vs expectations
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Balance sheet & financial health
Fiscal year 2025 · 31 Dec 2025
- Cash
- 203.4 m USD
- Financial debt
- 6.7 m USD
- Net debt
- -196.7 m USD
- Equity
- 1.1 bn USD
- Total assets
- 1.3 bn USD
- Debt / equity
- 0.01x
- Current ratio
- 4.91x
- ROE
- 8.3%
- ROA
- 6.8%
- FCF margin
- unavailable
Financial statements (source on every figure)
Revenue and net income (USD)
Margins
Income statement · USD
| Line | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Revenue | 365.0 m | 322.4 m | 361.9 m | 424.1 m | 660.8 m | 978.3 m | SEC (XBRL)· 24 Feb 2026verified |
| Cost of revenue | 269.7 m | 309.3 m | 309.1 m | 360.1 m | 428.2 m | 675.0 m | SEC (XBRL)· 24 Feb 2026verified |
| Gross profit | 95.3 m ≈ | 13.2 m ≈ | 52.9 m ≈ | 64.0 m ≈ | 232.6 m ≈ | 303.3 m ≈ | SEC (XBRL)· 24 Feb 2026derived |
| Research & development | — | — | 2.5 m | 3.0 m | 3.7 m | 6.7 m | SEC (XBRL)· 24 Feb 2026verified |
| SG&A | 95.1 m | 115.0 m | 59.2 m | 72.8 m | 116.2 m | 128.8 m | SEC (XBRL)· 24 Feb 2026verified |
| Operating income | -63.6 m | -125.3 m | 75.8 m | 97.3 m | 49.1 m | 132.6 m | SEC (XBRL)· 24 Feb 2026verified |
| Depreciation & amortisation | 32.4 m | 30.4 m | 18.5 m | 22.7 m | 31.2 m | 60.7 m | SEC (XBRL)· 24 Feb 2026verified |
| EBITDA | -31.2 m ≈ | -95.0 m ≈ | 94.3 m ≈ | 119.9 m ≈ | 80.3 m ≈ | 193.4 m ≈ | SEC (XBRL)· 24 Feb 2026derived |
| Interest expense | 621.0 k | 787.0 k | 4.0 m | 5.5 m | 2.4 m | 2.6 m | SEC (XBRL)· 24 Feb 2026verified |
| Pre-tax income | -62.0 m | -125.5 m | 72.9 m | 94.4 m | 142.8 m | 128.5 m | SEC (XBRL)· 24 Feb 2026verified |
| Income tax | -31.3 m | 2.9 m | 9.7 m | 20.4 m | 2.5 m | 45.2 m | SEC (XBRL)· 24 Feb 2026verified |
| Net income | -30.8 m | -128.5 m | 63.3 m | 73.9 m | 140.3 m | 83.3 m | SEC (XBRL)· 24 Feb 2026verified |
| Diluted EPS | -0.87 | -3.63 | 2.01 | 2.29 | 2.77 | 1.20 | SEC (XBRL)· 24 Feb 2026verified |
| Weighted average diluted shares | 35.3 m | 35.3 m | 31.4 m | 32.3 m | 50.6 m | 69.4 m | SEC (XBRL)· 24 Feb 2026verified |
≈ computed by olivLaw from the reported lines of the same year: Revenue − Cost of revenue; Operating income + Depreciation & amortisation.
Balance sheet · USD
| Line | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Cash | 346.0 m | 355.5 m | 259.4 m | 187.3 m | 73.3 m | 203.4 m | SEC (XBRL)· 24 Feb 2026verified |
| Receivables | 116.2 m | 100.5 m | 90.9 m | 118.4 m | 239.5 m | 237.8 m | SEC (XBRL)· 24 Feb 2026verified |
| Inventories | 212.5 m | 145.7 m | 146.0 m | 141.2 m | 271.2 m | 248.4 m | SEC (XBRL)· 24 Feb 2026verified |
| Current assets | 863.2 m | 745.1 m | 750.0 m | 288.3 m | 641.4 m | 728.0 m | SEC (XBRL)· 24 Feb 2026verified |
| Property, plant & equipment, net | 234.8 m | 216.2 m | 181.3 m | 52.4 m | 190.8 m | 158.9 m | SEC (XBRL)· 24 Feb 2026verified |
| Goodwill | — | — | 23.9 m | 23.9 m | 60.2 m | 99.7 m | SEC (XBRL)· 24 Feb 2026verified |
| Intangibles (excl. goodwill) | 29.4 m | 26.4 m | 23.3 m | 41.9 m | 108.4 m | 116.2 m | SEC (XBRL)· 24 Feb 2026verified |
| Total assets | 1.2 bn | 1.0 bn | 970.0 m | 475.3 m | 1.2 bn | 1.3 bn | SEC (XBRL)· 24 Feb 2026verified |
| Accounts payable | 37.4 m | 35.2 m | 43.0 m | 32.0 m | 65.2 m | 60.7 m | SEC (XBRL)· 24 Feb 2026verified |
| Short-term debt | — | — | — | 9.8 m | 10.5 m | 6.7 m | SEC (XBRL)· 24 Feb 2026verified |
| Long-term debt | — | — | — | — | 25.4 m | — | SEC (XBRL)· 03 Mar 2025verified |
| Current liabilities | 85.5 m | 93.7 m | 87.6 m | 78.6 m | 162.7 m | 148.2 m | SEC (XBRL)· 24 Feb 2026verified |
| Total liabilities | 109.6 m | 113.3 m | 97.6 m | 146.4 m | 239.3 m | 210.6 m | SEC (XBRL)· 24 Feb 2026verified |
| Equity | 1.0 bn † | 180.6 m † | 251.3 m † | 328.9 m † | 958.2 m † | 1.1 bn † | SEC (XBRL)· 24 Feb 2026verified |
† equity attributable to the parent's shareholders: in these years the issuer no longer reports the total including non-controlling interests.
Cash flow · USD
| Line | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Operating cash flow | -21.1 m | 38.4 m | -5.8 m | 75.9 m | 93.4 m | 190.9 m | SEC (XBRL)· 24 Feb 2026verified |
| Capex | 11.9 m | 10.0 m | 18.9 m | 32.6 m | — | — | SEC (XBRL)· 27 Feb 2024verified |
| Free cash flow | -33.0 m ≈ | 28.4 m ≈ | -24.7 m ≈ | 43.2 m ≈ | — | — | SEC (XBRL)· 03 Mar 2025derived |
| Investing cash flow | -5.6 m | -3.2 m | -37.5 m | -32.4 m | 78.4 m | -18.7 m | SEC (XBRL)· 24 Feb 2026verified |
| Financing cash flow | -25.2 m | -24.3 m | 42.3 m | -44.6 m | -103.1 m | -44.9 m | SEC (XBRL)· 24 Feb 2026verified |
| Dividends paid | — | — | 0 | 0 | 75.0 m | 0 | SEC (XBRL)· 24 Feb 2026verified |
| Share repurchases | 25.0 m | 24.2 m | 20.8 m | 0 | — | — | SEC (XBRL)· 27 Feb 2024verified |
≈ computed by olivLaw from the reported lines of the same year: Operating cash flow − Capex.
Computed indicators
Growth
Profitability
Returns
Balance sheet
Liquidity
Cash
Efficiency
Market and valuation
Risk
Valuation
olivLaw classification
Score: 49 / 100
A scoring methodology on indicators and valuation, not investment advice.
Closing price
04 Nov 2026Source: olivLaw, closing series
Market cap: 1.8 bn USD
Key indicators
Coverage and freshness
Score by group
- Balance sheet100
- Valuation15
- Quality46
- Growth50
- Returns0
Estimated value range
The combined range = the median of the valid methods' low, central and high values; it is not a probability interval and does not cover every result. Envelope of all methods: 11.90 – 28.41 USD.
Valuation assumptions are editorial choices, not measured; beta is not measured.
Method ranges (USD per share)
— — Mid · ▏ Price
Valuation methods
- DCF (discounted cash flow)unavailable · the input exists, but its latest figure is far older than the latest reported period: not used
- Peers: EV/EBITDA18.74 – 21.61 (Mid 20.97)5 companies used · median multiple 9.6x · quartiles 8.4x – 9.9xFET, FTI, NOV, WFRD, WHD
- Peers: P/E11.90 – 28.41 (Mid 15.17)10 companies used · median multiple 22.0x · quartiles 17.2x – 41.1xBKR, FET, FLOC, FTI, LSE, NOV, OMSE, STAK, WFRD, WHD
- Dividend discount (DDM)unavailable · input data missing
Classification (SIC) comparables group by industry code, not by economic activity; the direct group is an editorial selection by activity. Members' multiples are on their own trailing twelve months, at their own latest close.
Assumptions (illustrative, editorial)
- Risk-free rate
- 4.3%
- Equity risk premium
- 5.0%
- Beta (default)
- 1.00
- Cost of equity
- 9.3%
- Terminal growth
- 2.5%
Factor scorecard
Neutral profile · Score 49/100
| Factor | Value | Score | Weight used |
|---|---|---|---|
| ROIC · Quality | 5.0% | 42 (vs peers) | 13% |
| Net margin · Quality | 4.8% | 53 (vs peers) | 8% |
| FCF conversion · Quality | unavailable | unavailable | — |
| Revenue CAGR 3Y · Growth | 39.3% | 100 (on a fixed band) | 10% |
| EPS CAGR 3Y · Growth | -15.8% | 0 (on a fixed band) | 10% |
| Net debt / EBITDA · Balance sheet | -1.4x | 100 (vs peers) | 13% |
| Interest coverage · Balance sheet | 19.1x | 100 (on a fixed band) | 8% |
| Current ratio · Balance sheet | 4.4x | 100 (on a fixed band) | 5% |
| P/E (TTM) · Valuation | 37.1x | 30 (vs peers) | 13% |
| EV/EBITDA · Valuation | 12.0x | 0 (vs peers) | 13% |
| FCF yield · Valuation | unavailable | unavailable | — |
| Shareholder yield (distributions) · Returns | 0.0% | 0 (on a fixed band) | 8% |
| Payout ratio (FCF) · Returns | unavailable | unavailable | — |
Factors without a value were dropped; the remaining weights were renormalised.
Score groups
- Balance sheet100/100 · 3/3 factors with a value
- Growth50/100 · 2/2 factors with a value
- Quality46/100 · 2/3 factors with a value
- Returns· partial0/100 · 1/2 factors with a value
- Valuation15/100 · 2/3 factors with a value
A «partial» group is computed from under half of its weight or from one factor: it is not a full assessment of the group.
Memo
INNOVEX INTERNATIONAL, INC. (INVX). Latest full fiscal year: 2025; data up to 2026-09-30.
Figures computed from the financial statements: revenue 978.3 m USD in 2025; YoY growth 48.0%; net margin 4.8%; ROE 4.5%; net debt/EBITDA -1.4x.
The estimated value range is 15.32–25.01 USD per share (median of 2 methods, agreement: same basis (multiples on one peer group, not independent confirmations)); assumptions are illustrative. Against the central value of 18.07 USD, the price of 25.59 USD leaves a potential of -29.4% (value / price − 1) and a margin of safety of -41.6% (1 − price / value). The range is the median of the methods' low, central and high values, not a probability interval.
olivLaw score 49/100, methodological classification: neutral profile (score, margin of safety and method agreement together; not a judgement of the right price). Groups assessed only in part: returns. Not investment advice.
Text generated deterministically from the figures shown; no language model. Not investment advice.
What supports the thesis
- Revenue CAGR 3Y: 39.3%
- Net debt / EBITDA: -1.4x
- Interest coverage: 19.1x
- Current ratio: 4.4x
What contradicts it
- EPS CAGR 3Y: -15.8%
- P/E (TTM): 37.1x
- EV/EBITDA: 12.0x
- Shareholder yield (distributions): 0.0%
- The price is above the estimated value range
Not assessed (insufficient data or a ratio without meaning): FCF conversion, FCF yield, Payout ratio (FCF).
Versus the vertical median
Oil & Gas Field Machinery & Equipment (SIC 3533) · same industry (4-digit SIC) · compared with 15 companies
Multiples and returns vs the median
Price rebased to 100 (monthly, 5 years)
Companies in the vertical
| Market cap | P/E | ROE | Net margin | Revenue YoY | 1A / 3A | |
|---|---|---|---|---|---|---|
| BKRBaker Hughes Company | 49.5 bn | 17.1 | 15.1% | 10.1% | −0.3% | −1% / +48% |
| FTITechnipFMC plc | 25.1 bn | 20.3 | 38.6% | 12.0% | +9.4% | +43% / +211% |
| NOVNov Inc. | 6.4 bn | 45.2 | 2.3% | 1.6% | −1.4% | +17% / −4% |
| WFRDWeatherford International plc | 6.2 bn | 15.3 | 23.0% | 8.6% | −10.8% | +15% / −5% |
| WHDCactus, Inc. | 4.3 bn | 23.6 | 14.7% | 12.0% | −4.5% | +35% / +37% |
| DNOWDnow Inc. | 2.8 bn | — | -12.4% | -4.9% | +18.8% | +10% / +54% |
| INVXInnovex International, Inc. | 1.8 bn | 37.1 | 4.5% | 4.8% | +48.0% | +30% / +11% |
| FETForum Energy Technologies, Inc. | 845.3 m | 28.8 | 9.8% | 3.5% | −3.1% | +135% / +238% |
| OISOil States International, Inc | 510.2 m | — | -16.8% | -16.5% | −3.4% | +35% / +24% |
| OMSEOMS Energy Technologies Inc. | 167.2 m | 3.3 | 43.5% | 22.0% | unavailable | −16% / unavailable |
| LSELeishen Energy Holding Co., Ltd. | 75.4 m | 55.4 | 2.9% | 2.6% | −30.0% | −14% / unavailable |
| DTIDrilling Tools International Corporation | 52.9 m | — | -2.5% | -2.0% | +3.4% | −38% / −56% |
| STAKSTAK Inc. | 27.5 m | 71.5 | 2.9% | 1.5% | +13.2% | +202% / unavailable |
| GPUSHyperscale Data, Inc. | 247.1 k | — | -159.8% | -71.0% | −4.3% | −89% / −100% |
| SEISolaris Energy Infrastructure, Inc. | — | — | 8.4% | 7.2% | +98.7% | +20% / +573% |
| FLOCFlowco Holdings Inc. | — | 17.7 | 12.5% | 6.4% | +41.9% | +15% / unavailable |
1- and 3-year price returns: for INVX from daily closes (the same as the performance table), for the other companies from month-end closes.
olivLaw engine forecast
The world engine ran after the company's latest material disclosure. Probabilities are of TOUCHING a level within the horizon (not closing there) and sit next to the random walk (p_rw), the no-information benchmark.
The engine has no published run for this company yet.
Valuation scenarios (editable assumptions)
Illustrative scenarios
Illustrative: not forecasts and without probabilities. Each case is one coherent set of assumptions, computed on today's figures.
Estimated price (USD)
| Estimated price | Bear | Base | Bull |
|---|---|---|---|
| 1 years | 16.79 Total return -34% · Per year -34% | 29.55 Total return 15% · Per year 15% | 44.32 Total return 73% · Per year 73% |
| 3 years | 19.91 Total return -22% · Per year -8% | 39.07 Total return 53% · Per year 15% | 63.82 Total return 149% · Per year 36% |
| 5 years | 23.62 Total return -8% · Per year -2% | 51.68 Total return 102% · Per year 15% | 91.90 Total return 259% · Per year 29% |
- Exit P/E± 9.77
- Net margin± 6.84
- Annual revenue growth± 5.10
- Annual dilution± 0.57
AI analysis
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
Possibly outdated: the newest document it read is from 04 Aug 2026; since then the company filed 10-Q (04 Nov 2026), 8-K (29 Oct 2026 · results).
In brief
Innovex International (INVX) designs, manufactures and rents mission critical engineered products for the global oil and natural gas industry, with a focus on consumable downhole equipment. The company is in a phase of expansion through acquisitions and growth in international and offshore markets, while the North American market remains its main reference point 123.
SWOT
Strengths
- A broad portfolio of proprietary products and a substantial base of intellectual property, supported by a large number of patents and registered trademarks 1.
- A conservative capital structure, with no bank debt at the end of the second quarter of 2026, giving flexibility for acquisitions 3.
- A capital-light business model with solid returns on capital employed over the last twelve months, according to the company's own measures 3.
Weaknesses
- Dependence on activity in the oil and gas industry makes revenue vulnerable to price declines and cuts in customer spending 1.
- Net margin in the first half of 2026 was hit by a legal provision tied to a jury verdict, showing how sensitive results are to one-off events 2.
- Customer concentration is significant, with a meaningful share of revenue generated by a small number of large accounts 1.
Opportunities
- Growth in international and offshore markets, where cycles are longer and subsea projects show positive prospects 13.
- Integration of recent acquisitions such as TCO Group could extend the product offering and international presence 3.
- Extending existing technologies into new markets and applications, including Asia Pacific and the Middle East, if qualification processes succeed 13.
Threats
- A prolonged fall in oil and gas prices could reduce customer activity and the company's revenue 1.
- International sanctions, export controls and tariffs could affect global operations and the supply chain 1.
- A decline in North American investment could hit the market that generates a large part of revenue 1.
Risks
- Dependence on oil and gas priceshigh
Customer activity is closely tied to hydrocarbon prices, and a prolonged decline could reduce demand for the company's products 1.
- Legal risk and litigationhigh
A recent jury verdict led to a legal provision, and further developments in the litigation could affect results and liquidity 2.
- Sanctions and export controlsmedium
The company faces complex sanctions and export obligations, and violations could result in fines and loss of licenses needed to operate 1.
- Exposure to international marketsmedium
Operations abroad carry political, currency, tax and project-timing risks that could affect the growth strategy 1.
- Acquisition integrationlow
Recent acquisitions and their integration into the platform could create operational or financial difficulties if expected benefits do not materialize 13.
Investment thesis
What would need to be true (bull case)
- The company holds a solid position in North America, a significant market share and expected growth in international and offshore markets, supported by recent contracts and acquisitions 13.
- A capital structure with no bank debt and free cash flow generation provide room for acquisitions and investment, which could accelerate growth if attractive opportunities are found 3.
- Third-quarter guidance points to higher revenue and adjusted EBITDA, and if these targets are met, they could support confidence in the business model 3.
What would break the thesis
- The business remains tied to oil and gas price cycles, and a drop in North American investment could reduce revenue from its most important market 1.
- Net income in the first half of 2026 fell from the prior year because of a legal provision, showing that unexpected events can hit profitability 2.
- Integrating several acquisitions in a short period could strain execution, and financial benefits could arrive later than expected 13.
What to watch
- Third-quarter results and delivery against revenue and adjusted EBITDA guidanceQ3 2026
- Contribution of TCO Group to revenue and marginsQ3 2026
- Development of the legal dispute and its effect on provisionsnext 10-Q
- Evolution of North American upstream investment against Rystad forecasts2026
Products, market & competition
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
Possibly outdated: the newest document it read is from 04 Aug 2026; since then the company filed 10-Q (04 Nov 2026), 8-K (29 Oct 2026 · results).
The business
Innovex designs, manufactures, sells and rents mission critical engineered products for the oil and natural gas industry, used across the well lifecycle from construction and completion through production and intervention 1. The company describes its value proposition as 'Big Impact, Small Ticket', meaning low-priced products that significantly affect a well's performance and economics 1. Formed in September 2024 through the merger of Dril-Quip and Innovex Downhole Solutions, the company has continued to grow through acquisitions including Citadel and TCO Group 123.
Revenue comes mainly from product sales, which accounted for approximately 70% of 2025 revenue, with the rest generated from tool rentals and services connected to on-site deployment of products 1. The company sells directly to the end operator, with customers including Saudi Aramco, the largest end user in 2025, as well as international and independent producers 1. Its integrated model covers design, engineering, manufacturing, sales, rental and supervision of on-site deployment 1.
Recent acquisitions have broadened the portfolio, including Citadel Casing Solutions in May 2025 and Drilling Innovative Solutions in April 2026, and the closing of TCO Group on July 1, 2026 added completion, perforating and chemical injection products 123. By its own description the company does not depend on any single technology, which lets it serve several phases of the well 1.
Segments
North America onshore (NAM)
The U.S. and Canadian onshore market made up approximately 52% of 2025 revenue and 55% in the first six months of 2026, and is described as the core of the business 12. The products have particular applicability to horizontal and unconventional wells 1.
International and offshore markets
This area generated approximately 48% of 2025 revenue and 45% in the first half of 2026, and the company is focused on growing it because these markets have longer investment cycles and are less cyclical than North America 12. The Middle East, and Saudi Arabia in particular, has been an important growth source 12.
Subsea and offshore solutions
The subsea division provides equipment and engineered systems for offshore applications, and the company reported commercial momentum including a contract in Malaysia and first installations in Brazil 3. The sale of the subsea tree product line in July 2025 focused the portfolio on core lines 1.
Market context
The company estimates its total addressable market for its applicable products at approximately 8.0 billion USD in 2025, of which 3.5 billion USD is North America and 4.5 billion USD is international and offshore 1. Its own estimates imply a market share of about 15% in NAM and about 10% in international and offshore markets 1. Rystad Energy spending forecasts cited in the annual report point to a slight global upstream increase in 2026, a decline in NAM and a modest rise elsewhere 1.
Demand depends on the number of wells drilled and on exploration and production spending, which are shaped by oil and gas prices, OPEC+ decisions and geopolitical factors 12. The company believes historical under-investment in oil and gas development could support prices and a sustained spending cycle in the near and medium term, although these developments remain uncertain 1.
Trends
- Higher activity in international marketstailwind
Rystad projects a moderate rise in upstream investment outside North America in 2026, and the company reports improvement in Mexico and the Middle East, which could support demand for its products 13.
- Projected decline in North Americaheadwind
Rystad expects upstream investment in NAM to fall in 2026, which could weigh on revenue from the company's largest market if the decline materializes 1.
- Offshore and subsea demandtailwind
Offshore market fundamentals and subsea projects appear to be improving, and the company points to its competitive position, alliance with OneSubsea and new contracts as sources of growth 3.
- Price volatility and geopolitical uncertaintymixed
Oil and gas prices remain volatile, and conflicts in Ukraine and the Middle East along with sanctions could quickly change customer demand and projects, adding quarter-to-quarter variability 13.
Competitive position
The company competes with oilfield service and equipment providers, including multinational service firms such as SLB and Baker Hughes, which it names among customers and industry peers 1. Innovex argues it is more agile than larger competitors thanks to its 'No Barriers' culture and ability to innovate quickly 12.
Competition is intense across product categories, and the company acknowledges that price, reputation and the ability to qualify products with large customers are key factors 1. Qualification with IOCs and NOCs can take several years, which can give early qualifiers a temporary advantage 1.
- SLBSLB
Multinational oilfield services company named in the source as both a customer and a competitor in products and services for wells 1.
- Baker HughesBKR
Multinational oilfield services company named in the source among important customers and as a service provider in the industry 1.
- OneSubsea
Subsea partner of the company, cited in the results release as a source of competitive advantage in offshore projects 3.
- Regional oilfield service providers
Regional and local companies competing in North American and international markets, referenced in the source as part of the competitive environment 1.
Links, dependencies and risks
Who the company is tied to, from its own SEC filings (customers, suppliers, production, partners, competitors, countries, regulation), from the 5 %+ holders' statements (13D/13G) and from what other companies say about it. Click a node for its evidence; on a listed company the graph moves to it.
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News & filings
In the press
No news in our archive over the last 180 days.
SEC filings
- Quarterly report04 Nov 2026
- Current report29 Oct 2026Results of operations · Regulation FD disclosure · Financial statements and exhibits
- Current report10 Aug 2026Material agreement · Financial statements and exhibits
- Quarterly report04 Aug 2026
- Current report03 Aug 2026Results of operations · Regulation FD disclosure · Financial statements and exhibits
- Current report (amendment)01 Jul 2026Item 3.02
- Current report15 Jun 2026Item 3.02
- Current report11 May 2026Shareholder vote
- Quarterly report05 May 2026
- Current report04 May 2026Results of operations · Regulation FD disclosure · Financial statements and exhibits
Sources
- [1] Form 10-K, fiscal year ended 2025-12-31 · SEC / Innovex International, Inc. · 24 Feb 2026
- [2] Form 10-Q, quarter ended 2026-06-30 · SEC / Innovex International, Inc. · 04 Aug 2026
- [3] Form 8-K, results release (exhibit 99.1) · SEC / Innovex International, Inc. · 03 Aug 2026
Figures computed by olivLaw from SEC filings and closing prices; the qualitative analysis is AI-generated from cited sources. Not investment advice.