Provide pressure pumping and fracturing services for oil and gas wells. Offer rental tools for onshore and offshore drilling activities. Now — the numbers.
That much dependence is a risk in itself: if this one line weakens, the whole company feels it directly.
This is an established company with proven profits.
Average growth of 17% a year over the last 4 years. Every year shown ended in profit.
If every debt were paid off today, $114.8M would still be left in the vault — a solid cushion for hard times.
We compared this company with its own sector across five subjects.
A score of 50 means class average.
Clearly below the class average.
Debt is low and cash is strong; the finances stand solid.
The price looks reasonable next to what the company earns.
Clearly below the class average.
Clearly below the class average.
Price Momentum: The stock has lagged the market in recent months; investor interest is weak right now.
Business Quality: Profit power and business quality trail similar companies in the sector.
The stock trades 49% below its peak. The market has trimmed its expectations for the company.
Over the last 4 years, sales grew about 17% a year on average.
There is $210.0M in the vault; even if every debt were paid off, $114.8M would remain.
It pays out $0.16 per share each year — regular cash for whoever holds the stock.
The company’s market value is 45 times its annual profit. Even a small disappointment could hit the price hard.
Buyers haven’t stepped back in yet; the price hasn’t found its footing. Report-card grade: 36/100. For a turnaround signal, the stock first needs to close the gap with the market.
Measured against its sector, the quality of the business sits below the class average. Report-card grade: 38/100.
On our five-subject report card, RES sits in the middle of the class: some subjects shine, others don’t. The grade moves as the numbers move.
The takeaway: RES is an established business that has proven its profits for years. The real debate here isn’t the price — it’s whether the company can keep up this pace.