KLX Energy Services Holdings (KLXE) AI Stock Analysis

• Market Cap: $41.03M
• Dividend Yield: N/A
• Average Volume (3M): 92.21K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.44
• Revenue Growth: -12.57%
• EPS Growth: -45.75%
• Country: US
• Employees: 1,726
• Sector: Energy
• Sector Strength: 52
• Industry: Oil & Gas Equipment & Services
• EPS (TTM): -0.73
• Shares Outstanding: 17,838,125
• 10 Day Avg. Volume: 73,934
• 30 Day Avg. Volume: 92,206
• PEG Ratio: <0.01
• Price to Book (P/B): -7.68
• Price to Sales (P/S): 0.11
• P/FCF Ratio: -7.40
• Enterprise Value/Market Cap: 8.33
• Enterprise Value/Revenue: 0.53
• Enterprise Value/Gross Profit: 2.99
• Enterprise Value/Ebitda: 5.42
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 50 Neutral
• Price Target: $3.00 ▲(43.54% Upside)

The score is held down primarily by weak financial performance (losses, leverage with negative equity, and challenged cash flow trends). This is partially offset by strong technical momentum (price above major moving averages with positive MACD) and a generally constructive earnings update showing sequential growth and margin improvement, though valuation is not supportive due to the negative P/E.

Positive Factors

Diversified service model

KLXE’s integrated service offering across pressure pumping, logistics and well services creates multiple revenue streams and deeper customer relationships. This breadth supports contract stickiness, cross-selling and resilience to localized demand swings, improving long-term revenue stability.

Improving operational margins

Sequential revenue and adjusted EBITDA growth, with a 100bp margin expansion, indicate durable execution gains: better crew utilization, cost control and field efficiency. Sustained margin improvement enhances cash generation potential and structural competitiveness in services markets.

Positive free cash flow and liquidity

Generating positive unlevered free cash flow and citing working-capital tailwinds and asset-sale support signals improving cash conversion. Durable FCF enables debt paydown, disciplined capex and flexibility to fund operations or strategic investments amid industry cycles.

Negative Factors

Weak balance sheet and negative equity

High leverage and negative equity constrain financial flexibility, increase refinancing and covenant risk, and raise effective funding costs. Over a multi-month horizon this limits ability to invest, pursue growth or weather prolonged industry downturns without restructuring or equity support.

Sustained profitability pressures

Persistent negative margins and declining revenue undermine self-funding capacity and long-term competitiveness. Continued losses erode reserves, hinder reinvestment and necessitate external financing or cost cuts, making margin recovery essential for durable viability.

Exposure to lower activity and regional declines

Structural declines in rig and frac spread counts reduce addressable demand for completion and pumping services. Regional revenue drops in Rockies and Southwest show sensitivity; prolonged lower activity compresses utilization and pricing, pressuring long-term revenue and margins.

KLX Energy Services Holdings Business Overview & Revenue Model

Company Description

KLX Energy Services Holdings, Inc. provides drilling, completions, production, and well intervention services and products to the onshore oil and gas producing regions of the United States. The company operates through three segments: Southwest, Rocky Mountains, and Northeast/Mid-Con. It provides directional drilling services; and downhole navigational and rental tools businesses and support services, including well planning, site supervision, accommodation rentals, and other drilling rentals. The company also offers coiled tubing and nitrogen services; pressure control products and services; wellhead and hydraulic fracturing rental products and services; flowback and testing services; and wireline services. In addition, it offers toe sleeves; wet shoe cementing bypass subs; composite plugs; dissolvable plugs; liner hangers; stage cementing tools, inflatables, float and casing equipment; retrievable completion tools; cementing products and services; thru-tubing technologies and services; rig assist snubbing services; and acidizing and pressure pumping services. Further, the company provides production services comprising maintenance-related intervention services; production blow out presenters; mechanical wireline services; slick line services; hydro-testing services; premium tubulars; and other specialized production tools. It also provides intervention services consisting of technicians and equipment that are focused on providing customers engineered solutions to downhole complications. The company offers a range of technical services, and related tools and equipment to companies engaged in the exploration and development of North American onshore conventional and unconventional oil and natural gas reserves. KLX Energy Services Holdings, Inc. was incorporated in 2018 and is headquartered in Houston, Texas.

How the Company Makes Money

KLX Energy Services generates revenue primarily through the provision of its specialized services to oil and gas companies. The company's revenue model is centered on service contracts, where it charges clients for the execution of well services, pressure pumping, and logistical support. Key revenue streams include pressure pumping services, which involve hydraulic fracturing for well stimulation; logistical services that ensure timely delivery of equipment and materials; and well maintenance services. Additionally, KLXE benefits from strategic partnerships with major oil and gas operators, which enhance its market reach and enable it to secure long-term contracts. Factors contributing to its earnings include fluctuating oil prices, demand for energy services, and the overall economic environment of the energy sector.

KLX Energy Services Holdings Financial Statement Overview

Summary

Weak fundamentals dominate: declining TTM revenue (-3.33%), negative profitability (net margin -11.89%, EBIT margin -5.21%), pressured cash generation (free cash flow growth -13.27%), and high leverage with negative equity (debt-to-equity -5.16).

Income Statement

KLX Energy Services Holdings has faced declining revenue with a negative growth rate of -3.33% in the TTM period. The company struggles with profitability, evidenced by a negative net profit margin of -11.89% and an EBIT margin of -5.21%. The gross profit margin stands at 17.70%, indicating some ability to cover direct costs, but overall profitability remains a concern.

Balance Sheet

The balance sheet reveals significant financial leverage with a high debt-to-equity ratio of -5.16 in the TTM period, indicating more debt than equity. The negative stockholders' equity suggests financial instability. Return on equity is positive at 2.12%, but this is due to the negative equity base, which is not a healthy sign.

Cash Flow

Cash flow analysis shows challenges with a negative free cash flow growth rate of -13.27% in the TTM period. The operating cash flow to net income ratio is 0.15, indicating limited cash generation relative to net losses. The free cash flow to net income ratio is -1.62, reflecting cash flow difficulties.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	645.20M	709.30M	888.40M	781.60M	436.10M	276.80M
Gross Profit	114.20M	159.60M	215.90M	160.30M	-6.40M	-38.00M
EBITDA	63.10M	81.00M	131.50M	89.30M	-10.20M	-242.10M
Net Income	-76.70M	-53.00M	19.20M	-3.10M	-93.80M	-332.20M
Balance Sheet
Total Assets	358.20M	456.30M	539.80M	465.90M	387.70M	362.70M
Cash, Cash Equivalents and Short-Term Investments	8.30M	91.60M	112.50M	57.40M	28.00M	47.10M
Total Debt	311.70M	344.90M	365.40M	350.90M	336.90M	250.20M
Total Liabilities	418.60M	466.80M	501.00M	481.70M	439.10M	330.60M
Stockholders Equity	-60.40M	-10.50M	38.80M	-15.80M	-51.40M	32.10M
Cash Flow
Free Cash Flow	-34.00M	-10.90M	58.50M	-19.90M	-66.60M	-77.10M
Operating Cash Flow	21.00M	54.20M	115.60M	15.70M	-55.60M	-64.90M
Investing Cash Flow	-39.60M	-51.10M	-39.70M	-18.70M	4.50M	-11.90M
Financing Cash Flow	-55.70M	-24.00M	-20.80M	32.40M	32.00M	400.00K

KLX Energy Services Holdings Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 2.09
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For KLXE, the sentiment is Neutral. The current price of 2.09 is below the 20-day moving average (MA) of 2.39, above the 50-day MA of 2.01, and above the 200-day MA of 1.93, indicating a neutral trend. The MACD of 0.12 indicates Positive momentum. The RSI at 46.88 is Neutral, neither overbought nor oversold. The STOCH value of 11.74 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for KLXE.

KLX Energy Services Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
NCSM	71 Outperform	$95.64M	8.39	11.89%	―	16.61%	-72.29%
SND	69 Neutral	$202.91M	47.55	1.61%	―	18.98%	―
Sector *	65 Neutral	$15.17B	7.61	4.09%	5.20%	3.87%	-62.32%
DTI	52 Neutral	$132.70M	-20.30	-5.18%	―	7.46%	-165.76%
KLXE	50 Neutral	$41.03M	-0.50	―	―	-12.57%	-45.75%
DWSN	45 Neutral	$70.79M	-20.02	-19.81%	―	-22.31%	39.11%
NINE	40 Underperform	$1.81M	-0.03	―	―	2.59%	16.02%

KLX Energy Services Holdings Corporate Events

KLX Energy Appoints Geoffrey Stanford as Interim CFO

On December 10, 2025, KLX Energy Services Holdings announced the appointment of Geoffrey C. Stanford as Interim Chief Financial Officer, effective January 7, 2026, following the resignation of Keefer M. Lehner. Mr. Stanford, who has been with the company since its merger with Quintana Energy Services in 2020, brings extensive experience in corporate accounting and financial management, which is expected to support the company’s strategic goals during this transitional period.

The most recent analyst rating on (KLXE) stock is a Hold with a $1.50 price target. To see the full list of analyst forecasts on KLX Energy Services Holdings stock, see the KLXE Stock Forecast page.

KLX Energy Services Reports Q3 2025 Financial Results

KLX Energy Services Holdings presented its Q3 2025 financial results, reporting a last twelve months (LTM) revenue of $645 million, a net loss of $77 million, and an adjusted EBITDA of $76 million. The company emphasizes its role as a critical service provider in the oil and gas industry, highlighting its diversified business model and experienced leadership team, which positions it to handle the most technically demanding wells.

The most recent analyst rating on (KLXE) stock is a Hold with a $2.00 price target. To see the full list of analyst forecasts on KLX Energy Services Holdings stock, see the KLXE Stock Forecast page.

KLX Energy Services Reports Q3 2025 Financial Results

KLX Energy Services Holdings reported its third-quarter 2025 financial results, showing a 5% increase in revenue to $167 million and a 14% rise in Adjusted EBITDA to $21 million compared to the second quarter of 2025. Despite a net loss of $14 million, the company demonstrated resilience against market headwinds by improving asset and crew utilization, particularly in the Mid-Con/Northeast region. The company anticipates a slight moderation in activity in the fourth quarter due to typical seasonality and customer budget exhaustion, with a mid-single-digit revenue decline expected.

The most recent analyst rating on (KLXE) stock is a Hold with a $1.50 price target. To see the full list of analyst forecasts on KLX Energy Services Holdings stock, see the KLXE Stock Forecast page.