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Helix Energy Solutions (HLX)
NYSE:HLX
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Helix Energy (HLX) AI Stock Analysis

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HLX

Helix Energy

(NYSE:HLX)

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Neutral 64 (OpenAI - 5.2)
Rating:64Neutral
Price Target:
$10.00
▲(0.91% Upside)
Action:Reiterated
Date:07/29/26
HLX scores as moderately attractive primarily on improving fundamentals and strong cash generation with manageable leverage, reinforced by maintained 2026 guidance, high liquidity, and sizable backlog highlighted on the earnings call. Offsetting these positives are weak near-term technicals (below key short/intermediate moving averages) and a stretched valuation (high P/E with no dividend support), along with acknowledged near-term margin pressure and merger integration/leverage risks.
Positive Factors
Cash generation
Helix’s strong trailing-twelve-month operating and free cash flow, with notable FCF growth, supports durable capital allocation flexibility. Consistent cash generation funds vessel reactivations, capex, and merger integration without relying solely on external financing, cushioning cyclical downturns.
Negative Factors
Thin profitability
Low gross and net margins limit Helix’s ability to convert revenue into shareholder returns and build retained capital. In a capital-intensive, cyclical industry, thin profitability reduces resilience to cost inflation, docking or one-off events and constrains reinvestment or deleveraging pace.
Read all positive and negative factors
Positive Factors
Negative Factors
Cash generation
Helix’s strong trailing-twelve-month operating and free cash flow, with notable FCF growth, supports durable capital allocation flexibility. Consistent cash generation funds vessel reactivations, capex, and merger integration without relying solely on external financing, cushioning cyclical downturns.
Read all positive factors

Helix Energy (HLX) vs. SPDR S&P 500 ETF (SPY)

Helix Energy Business Overview & Revenue Model

Company Description
Helix Energy Solutions Group, Inc., founded in 1979 and based in Houston, Texas, (and known as Cal Dive International, Inc., until its name change in March 2006) is an offshore energy services firm. It provides an array of specialized solutions to...
How the Company Makes Money
Helix primarily makes money by providing offshore services and charging customers under day-rate, project-based, and/or integrated service contracts tied to vessel time, equipment usage, and scope of work. A major revenue stream is well interventi...

Helix Energy Earnings Call Summary

Earnings Call Date:Jul 29, 2026
(Q2-2026)
|
% Change Since: |
Next Earnings Date:Oct 26, 2026
Earnings Call Sentiment Positive
The call balanced near-term operational headwinds (seasonal softness, a Q1 net loss and one-time costs) with multiple strategic positives: strong liquidity, maintained full-year guidance, a meaningful backlog (~$2 billion combined), operational wins (Thunder Hawk restart, Seawell reactivation), and a transformational all-stock merger that materially scales the business (combined revenue +56%, EBITDA +106%) and targets $75M+ in synergies within three years. While integration and leverage will need careful management and there is some short-term margin pressure, the scale, cross-selling potential, asset optionality (23 vessels for reactivation, 2 MPSVs) and cash generation prospects lead the call to be viewed favorably overall.
Positive Updates
Quarterly Financials — Revenue and Profitability
Q1 FY26 revenue of $288 million; gross profit $9 million (gross margin ~3.1%); adjusted EBITDA $32 million (adjusted EBITDA margin ~11.1%); operating cash flow $62 million; free cash flow for the quarter $9 million.
Negative Updates
Seasonal Weakness and Segment Impact
Q1 performance was affected by expected seasonal winter weakness in the North Sea and U.S. shelf, which impacted well intervention, robotics, and shallow water abandonment activity and contributed to lower margins in the quarter.
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Q2-2026 Updates
Negative
Quarterly Financials — Revenue and Profitability
Q1 FY26 revenue of $288 million; gross profit $9 million (gross margin ~3.1%); adjusted EBITDA $32 million (adjusted EBITDA margin ~11.1%); operating cash flow $62 million; free cash flow for the quarter $9 million.
Read all positive updates
Company Guidance
Helix reiterated 2026 guidance supported by Q1 results: Q1 revenue $288M, gross profit $9M, net loss $13M, adjusted EBITDA $32M, operating cash flow $62M and free cash flow $9M; ending quarter cash $501M, liquidity $612M and funded debt ~$10M (Helix backlog ≈$1B). For 2026 management maintained revenue guidance of $1.2B–$1.4B, EBITDA $230M–$290M (noting Q1 Thunder Hawk workover and the upcoming Siem Helix 1 docking as headwinds), CapEx $70M–$80M, and free cash flow $100M–$160M, with continued meaningful FCF generation but variability driven by working capital. They expect 2026 quarterly cadence to mirror prior years (Q2–Q3 most active; Q1 and Q4 seasonally softer), and cited key drivers including second‑half utilization of the Q4k and Q7k, strong robotics/ROV markets, and stable shallow‑water abandonment.

Helix Energy Financial Statement Overview

Summary
Financials reflect an improving but still cyclical profile: TTM revenue is up sharply (+76.5%) and the company has moved from prior losses (2022–2023) to positive earnings, supported by manageable leverage (~0.40x debt/equity). Strength is most evident in cash generation (TTM operating cash flow ~$182M; free cash flow ~$167M; FCF growth +39.1%), but profitability remains thin (~12.3% gross margin; ~2.4% net margin) and ROE is low (~2%), with year-to-year variability.
Income Statement
66
Positive
Balance Sheet
72
Positive
Cash Flow
74
Positive
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue1.30B1.29B1.36B1.29B873.10M674.73M
Gross Profit140.43M159.14M219.56M200.36M50.62M15.39M
EBITDA217.13M252.64M253.17M192.99M87.68M94.36M
Net Income14.35M30.83M55.64M-10.84M-87.78M-61.68M
Balance Sheet
Total Assets2.57B2.70B2.60B2.56B2.39B2.33B
Cash, Cash Equivalents and Short-Term Investments501.27M445.20M368.03M332.19M186.60M253.51M
Total Debt625.76M629.75M661.12M540.57M469.68M410.95M
Total Liabilities1.01B1.12B1.08B1.06B872.63M678.56M
Stockholders Equity1.56B1.58B1.52B1.50B1.52B1.65B
Cash Flow
Free Cash Flow167.43M120.41M162.72M132.87M17.60M131.79M
Operating Cash Flow182.09M136.75M186.03M152.46M51.11M140.12M
Investing Cash Flow-14.66M-16.34M-22.84M-18.66M-138.29M-8.27M
Financing Cash Flow-38.33M-45.06M-125.31M25.11M-44.84M-96.00M

Helix Energy Technical Analysis

Technical Analysis Sentiment
Negative
Last Price9.91
Price Trends
50DMA
9.31
Negative
100DMA
9.53
Negative
200DMA
8.45
Positive
Market Momentum
MACD
0.04
Positive
RSI
48.35
Neutral
STOCH
33.93
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HLX, the sentiment is Negative. The current price of 9.91 is above the 20-day moving average (MA) of 9.39, above the 50-day MA of 9.31, and above the 200-day MA of 8.45, indicating a neutral trend. The MACD of 0.04 indicates Positive momentum. The RSI at 48.35 is Neutral, neither overbought nor oversold. The STOCH value of 33.93 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HLX.

Helix Energy Peers Comparison

Overall Rating
UnderperformOutperform
Sector (65)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
77
Outperform
$2.72B41.016.70%8.99%-19.14%
76
Outperform
$4.86B14.0232.92%3.84%75.32%
65
Neutral
$15.17B7.614.09%5.20%3.87%-62.32%
64
Neutral
$1.40B92.780.91%-2.91%-82.51%
59
Neutral
$1.13B113.402.51%4.09%-93.54%
55
Neutral
$1.24B56.381.91%2.93%25.36%-59.73%
* Energy Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HLX
Helix Energy
9.60
3.53
58.15%
OII
Oceaneering International
50.43
28.33
128.19%
RES
RPC
5.93
1.48
33.29%
TTI
Tetra Technologies
8.67
4.67
116.75%
NESR
National Energy Services Reunited
28.77
22.09
330.69%

Helix Energy Corporate Events

Business Operations and StrategyM&A TransactionsRegulatory Filings and Compliance
Helix Energy Advances Hornbeck Offshore Merger After FTC Clearance
Positive
Jun 12, 2026
Helix Energy Solutions Group and Hornbeck Offshore Services entered into a merger agreement on April 22, 2026, under which a two-step merger structure will ultimately combine Hornbeck into a Helix subsidiary that will survive as a limited liabilit...
Executive/Board ChangesShareholder Meetings
Helix Energy Shareholders Back Directors, Auditor and Pay Practices
Positive
May 13, 2026
Helix Energy Solutions Group, Inc. reported the results of its Annual Meeting of Shareholders held on May 13, 2026, at which shareholders elected three Class III directors — Paula Harris, Amy H. Nelson and William L. Transier — to thre...
Business Operations and StrategyM&A Transactions
Helix Energy Divests Shallow Water Asset to Refocus Deepwater
Positive
May 5, 2026
On May 1, 2026, Helix’s subsidiary Helix Alliance Decom sold all equity interests in its Gulf of America-focused Shallow Water Abandonment business, known collectively as Alliance, to C-Dive, a Chouest group company, for $107.5 million in ca...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jul 29, 2026