ChampionX (CHX) AI Stock Analysis

• Market Cap: $4.94B
• Dividend Yield: 1.84%
• Average Volume (3M): 2.81M
• Price to Earnings (P/E): 17.0
• Beta (1Y): 0.91
• Revenue Growth: -4.17%
• EPS Growth: -17.99%
• Country: US
• Employees: 7,100
• Sector: Energy
• Sector Strength: 41
• Industry: Oil & Gas Equipment & Services
• EPS (TTM): N/A
• Shares Outstanding: 199,742,000
• 10 Day Avg. Volume: 2,539,774
• 30 Day Avg. Volume: 2,808,435
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: 1.19
• Enterprise Value/Revenue: 1.65
• Enterprise Value/Gross Profit: 4.97
• Enterprise Value/Ebitda: 8.23
• 1Y Price Target: $40.00
• Price Target Upside: 54.98% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 66 Neutral
• Price Target: $28.00 ▲(8.49% Upside)

ChampionX's overall score is driven by strong financial performance and moderate valuation. However, mixed technical signals and a slight decline in revenue and cash flow impact the overall attractiveness.

ChampionX Business Overview & Revenue Model

Company Description

ChampionX (CHX) is a global leader in providing chemistry solutions, artificial lift systems, and automation technologies to the oil and gas industry. The company operates in several sectors, including upstream oil and gas production, where it delivers innovative solutions aimed at enhancing productivity, reducing operational costs, and ensuring environmental sustainability. ChampionX's core products and services include chemical solutions for oilfield operations, equipment for artificial lift systems, and various digital technologies for production optimization.

How the Company Makes Money

ChampionX makes money primarily through the sale of its chemical solutions, artificial lift equipment, and digital technologies to oil and gas companies around the world. Its revenue streams are generated from long-term service contracts, product sales, and recurring service agreements. The company's key revenue sources include the production and sale of specialty chemicals used in oil extraction and processing, as well as the provision of equipment and support services for artificial lift systems, which help in the extraction of oil from wells. Significant partnerships with major oil and gas producers and ongoing investments in research and development to improve product offerings further contribute to its earnings.

ChampionX Financial Statement Overview

Summary

ChampionX demonstrates strong profitability and operational efficiency with a robust EBIT margin and prudent leverage management. However, a slight decline in revenue and free cash flow may require attention.

Income Statement

ChampionX shows strong profitability with a gross profit margin of 33.15% and a net profit margin of 8.20% for the TTM period. However, revenue has slightly decreased by 1.59% from the previous year, indicating some pressure on top-line growth. The company has maintained a robust EBIT margin of 12.94% and an EBITDA margin of 18.25%, reflecting good operational efficiency.

Balance Sheet

The balance sheet displays a solid debt-to-equity ratio of 0.28, indicating prudent leverage management. Return on equity stands at 13.80%, showcasing effective use of shareholder capital. However, the equity ratio of 60.70% suggests a strong reliance on equity financing, which is generally a positive indicator of financial stability.

Cash Flow

Cash flow analysis reveals a decline in free cash flow by 23.62%, which may raise concerns about cash generation capabilities. The operating cash flow to net income ratio of 1.65 suggests healthy cash earnings, while the free cash flow to net income ratio of 1.17 indicates adequate conversion of earnings into free cash.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	3.63B	3.76B	3.81B	3.07B	1.90B
Gross Profit	1.19B	1.14B	898.66M	743.27M	409.17M
EBITDA	750.97M	719.36M	616.36M	441.89M	-496.66M
Net Income	320.27M	314.24M	154.97M	113.30M	-742.35M
Balance Sheet
Total Assets	3.47B	3.24B	3.39B	3.53B	3.48B
Cash, Cash Equivalents and Short-Term Investments	507.68M	288.56M	250.19M	251.68M	201.42M
Total Debt	695.79M	665.75M	627.95M	724.51M	932.61M
Total Liabilities	1.64B	1.58B	1.71B	1.78B	1.86B
Stockholders Equity	1.85B	1.68B	1.69B	1.77B	1.63B
Cash Flow
Free Cash Flow	448.37M	397.95M	310.55M	243.75M	264.88M
Operating Cash Flow	589.68M	540.27M	413.36M	328.22M	310.04M
Investing Cash Flow	-215.34M	-127.78M	-87.99M	-37.41M	22.13M
Financing Cash Flow	-150.46M	-373.17M	-324.81M	-234.35M	-175.37M

ChampionX Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 25.81
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CHX, the sentiment is Neutral. The current price of 25.81 is above the 20-day moving average (MA) of 25.77, above the 50-day MA of 25.47, and below the 200-day MA of 27.72, indicating a neutral trend. The MACD of 0.17 indicates Positive momentum. The RSI at 49.67 is Neutral, neither overbought nor oversold. The STOCH value of 12.78 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for CHX.

ChampionX Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
FTI	82 Outperform	$14.63B	16.86	29.27%	0.57%	12.15%	91.88%
WFRD	78 Outperform	$4.06B	8.68	35.14%	1.81%	-5.35%	-4.15%
HAL	75 Outperform	$18.20B	9.99	18.16%	3.22%	-4.08%	-29.26%
SLB	75 Outperform	$49.86B	11.38	19.78%	3.39%	0.94%	-4.63%
NOV	71 Outperform	$4.52B	10.00	7.31%	4.19%	-1.21%	-54.44%
CHX	66 Neutral	$4.94B	17.04	16.16%	1.84%	-4.17%	-17.99%
Sector *	56 Neutral	C$4.19B	2.00	16.25%	5.63%	10.50%	-54.55%

ChampionX Corporate Events

ChampionX Completes Merger with SLB, Delists from Nasdaq

ChampionX has completed a merger with SLB, resulting in the termination of its existing credit agreement and the conversion of its common stock into SLB shares. As part of the merger, ChampionX’s stock was delisted from Nasdaq, and its directors and officers resigned, with new leadership from Merger Sub taking over. The merger also involved amendments to ChampionX’s corporate structure, including changes to its certificate of incorporation and bylaws.

The most recent analyst rating on (CHX) stock is a Buy with a $37.00 price target. To see the full list of analyst forecasts on ChampionX stock, see the CHX Stock Forecast page.

ChampionX Holds Annual Meeting with Key Approvals

On June 10, 2025, ChampionX held its Annual Meeting where 89.8% of eligible voting shares were represented. During the meeting, eight directors were elected to serve until the 2026 annual meeting, PricewaterhouseCoopers LLP was ratified as the independent registered public accounting firm, and the compensation of the company’s named executive officers for 2024 was approved on an advisory basis.

The most recent analyst rating on (CHX) stock is a Buy with a $37.00 price target. To see the full list of analyst forecasts on ChampionX stock, see the CHX Stock Forecast page.