Innovex International (INVX) AI Stock Analysis

• Market Cap: $1.13B
• Dividend Yield: N/A
• Average Volume (3M): 440.05K
• Price to Earnings (P/E): 6.3
• Beta (1Y): 0.94
• Revenue Growth: 72.10%
• EPS Growth: N/A
• Country: US
• Employees: 2,683
• Sector: Energy
• Sector Strength: 60
• Industry: Oil & Gas Equipment & Services
• EPS (TTM): 0.34
• Shares Outstanding: 68,978,730
• 10 Day Avg. Volume: 359,318
• 30 Day Avg. Volume: 440,051
• PEG Ratio: 0.22
• Price to Book (P/B): 1.15
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 19.11
• Enterprise Value/Market Cap: 0.98
• Enterprise Value/Revenue: 0.54
• Enterprise Value/Gross Profit: 5.38
• Enterprise Value/Ebitda: 4.17
• 1Y Price Target: $17.33
• Price Target Upside: 5.54% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 3

• Rating: 76 Outperform
• Price Target: $20.00 ▲(21.80%Upside)

Innovex International's overall score is bolstered by strong technical indicators and an attractive valuation, suggesting the stock is undervalued. Financial health is solid, with improvements in cash flow and revenue growth. However, market challenges in Mexico and the U.S. land market pose risks that temper the outlook.

Innovex International Business Overview & Revenue Model

Company Description

Innovex International (INVX) is a global leader in the technology and manufacturing sectors, specializing in advanced electronic components and solutions. The company focuses on delivering innovative products across various industries, including telecommunications, automotive, consumer electronics, and industrial automation. With a commitment to research and development, Innovex International offers state-of-the-art products such as integrated circuits, sensors, and connectivity solutions that enhance operational efficiency and performance for its clients worldwide.

How the Company Makes Money

Innovex International generates revenue primarily through the sale of its electronic components and systems to businesses across multiple sectors. The company operates on a business-to-business (B2B) model, where it provides tailored solutions that meet the specific needs of its clients. Key revenue streams include direct sales of products, long-term contracts with major manufacturers, and licensing agreements for proprietary technologies. Additionally, Innovex has established strategic partnerships with leading firms in the technology and manufacturing industries, allowing it to expand its market reach and enhance its product offerings. These collaborations play a significant role in driving sales and increasing profitability.

Innovex International Financial Statement Overview

Summary

Innovex International shows strong financial health with robust revenue growth of 49.25% and significant profit margin improvements. The balance sheet is solid with a low debt-to-equity ratio and impressive ROE. Cash flows are improving, with positive free cash flow generation, indicating effective cash management.

Income Statement

Innovex International shows a robust revenue growth of 49.25% in TTM compared to the previous year, indicating strong top-line expansion. The gross profit margin stands at a healthy 32.61%, and the net profit margin has improved significantly to 14.62%. EBIT and EBITDA margins are 2.46% and 20.23% respectively, showing operational efficiency improvements. The company has turned around from past losses to posting substantial net income, reflecting effective cost management.

Balance Sheet

The balance sheet is solid with a low debt-to-equity ratio of 0.095, indicating conservative financial leverage. Return on Equity (ROE) is impressive at 9.66%, a significant recovery from previous lows, showing effective use of shareholders' capital. The equity ratio is strong at 80.03%, highlighting a robust financial structure with adequate equity coverage for liabilities.

Cash Flow

Innovex International's cash flow is strengthening, with a notable improvement in free cash flow from negative in 2023 to positive in TTM, showcasing better cash management. The operating cash flow to net income ratio is 0.48, which implies that a substantial portion of net income is being converted into cash. The free cash flow to net income ratio is 0.26, indicating positive but moderate free cash flow generation relative to net income.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	660.80M	424.06M	467.19M	294.84M	364.97M
Gross Profit	232.63M	115.41M	157.15M	87.40M	95.09M
EBITDA	184.77M	129.93M	95.43M	33.59M	-29.04M
Net Income	140.32M	73.93M	63.28M	9.85M	-30.77M
Balance Sheet
Total Assets	1.20B	1.03B	436.29M	284.89M	1.15B
Cash, Cash Equivalents and Short-Term Investments	73.28M	7.41M	8.42M	9.74M	345.95M
Total Debt	91.07M	84.91M	81.40M	35.24M	1.25M
Total Liabilities	239.33M	146.38M	185.01M	104.34M	109.64M
Stockholders Equity	958.16M	328.92M	251.28M	180.55M	1.04B
Cash Flow
Free Cash Flow	79.84M	-24.90M	-15.39M	-8.47M	-33.03M
Operating Cash Flow	93.44M	75.86M	-5.81M	-2.02M	-21.09M
Investing Cash Flow	78.44M	-79.81M	-37.52M	-22.06M	-5.63M
Financing Cash Flow	-103.07M	-124.00K	42.28M	10.05M	-25.18M

Innovex International Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 16.42
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For INVX, the sentiment is Positive. The current price of 16.42 is above the 20-day moving average (MA) of 16.27, above the 50-day MA of 15.73, and above the 200-day MA of 15.84, indicating a bullish trend. The MACD of 0.34 indicates Negative momentum. The RSI at 51.82 is Neutral, neither overbought nor oversold. The STOCH value of 63.97 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for INVX.

Innovex International Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
XPRO	77 Outperform	$1.25B	17.74	4.78%	―	2.67%	―
INVX	76 Outperform	$1.13B	6.28	13.87%	―	72.10%	―
MRC	71 Outperform	$1.25B	41.18	8.29%	―	-9.84%	-111.71%
WTTR	71 Outperform	$1.18B	28.38	4.51%	2.80%	-4.91%	-46.51%
RES	69 Neutral	$1.09B	19.77	4.92%	3.44%	-2.74%	-54.52%
HLX	68 Neutral	$940.71M	19.33	3.27%	―	-8.19%	―
Sector *	67 Neutral	$15.32B	10.21	6.62%	5.48%	4.82%	-57.74%

Innovex International Corporate Events

Innovex International Approves New Executive Incentive Plan

On May 30, 2025, Innovex International‘s Board of Directors approved new forms of restricted stock unit (RSU) and performance unit award agreements under its 2025 Long-Term Incentive Plan. These awards, which vest over three years, were granted to key executives and are designed to align their interests with company performance goals, potentially impacting shareholder returns and executive retention.

The most recent analyst rating on (INVX) stock is a Sell with a $13.00 price target. To see the full list of analyst forecasts on Innovex International stock, see the INVX Stock Forecast page.

Innovex International Holds Annual Stockholders Meeting

On May 14, 2025, Innovex International, Inc. held its Annual Meeting of Stockholders where several key proposals were approved. The stockholders approved the 2025 Long-Term Incentive Plan, which allows for the issuance of up to 5,000,000 shares of common stock, and an amendment to the company’s Restated Certificate of Incorporation to increase the number of authorized shares of common stock from 100,000,000 to 200,000,000. Additionally, the election of directors, the appointment of PricewaterhouseCoopers LLP as the independent registered public accounting firm, and an advisory vote on executive compensation were also ratified. These decisions are expected to impact the company’s operations by expanding its capacity for stock issuance and strengthening its governance structure.

The most recent analyst rating on (INVX) stock is a Buy with a $40.00 price target. To see the full list of analyst forecasts on Innovex International stock, see the INVX Stock Forecast page.

Innovex International Reports Q1 2025 Financial Results

On May 6, 2025, Innovex International announced its financial results for the first quarter of 2025, reporting a revenue of $240 million, which is a 4% decrease from the previous quarter. The company also highlighted its strategic moves, including the acquisition of SCF Machining Corporation and the planned sale of the Dril-Quip Eldridge facility for $95 million, which is expected to enhance margins and operational performance. Despite lower-than-expected activity in Mexico, Innovex maintained its margins and continued to focus on market opportunities and synergies to support growth. The company also initiated a $100 million share repurchase program and reported a net cash balance of $43 million at the end of the quarter.