KLX Energy Services Holdings (KLXE) AI Stock Analysis

• Market Cap: $34.79M
• Dividend Yield: N/A
• Average Volume (3M): 107.69K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.33
• Revenue Growth: -13.29%
• EPS Growth: -106.14%
• Country: US
• Employees: 1,726
• Sector: Energy
• Sector Strength: 59
• Industry: Oil & Gas Equipment & Services
• EPS (TTM): -0.88
• Shares Outstanding: 17,840,458
• 10 Day Avg. Volume: 98,559
• 30 Day Avg. Volume: 107,689
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 9.32
• Enterprise Value/Revenue: 0.47
• Enterprise Value/Gross Profit: 2.38
• Enterprise Value/Ebitda: 4.12
• 1Y Price Target: $2.00
• Price Target Upside: 5.82% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 47 Neutral
• Price Target: $2.00 ▲(5.82% Upside)

KLX Energy Services Holdings' overall stock score is primarily impacted by its weak financial performance, characterized by declining revenues, high leverage, and negative equity. While the earnings call provided some positive insights into revenue and EBITDA growth, ongoing challenges in certain segments and market volatility remain concerns. The technical analysis suggests mixed signals, with short-term momentum but longer-term bearish trends. Valuation metrics are unattractive due to negative earnings and lack of dividends.

KLX Energy Services Holdings Business Overview & Revenue Model

Company Description

KLX Energy Services Holdings (KLXE) is a leading provider of integrated energy services focused primarily on the oil and natural gas sector. The company offers a wide range of services including well construction, completion, and production enhancement, as well as logistics and other critical support services. KLXE operates within both the onshore and offshore markets, catering to various clients in the energy industry with a commitment to safety and operational efficiency.

How the Company Makes Money

KLX Energy Services generates revenue through multiple key streams, primarily from its service offerings related to well construction, completion, and production enhancement. The company typically charges customers based on service contracts and project-based fees, which can vary significantly depending on the complexity and scale of the projects. Additionally, KLXE benefits from partnerships with major oil and gas operators, which often lead to long-term contracts that provide consistent revenue. The company also capitalizes on market opportunities related to energy demand fluctuations and technological advancements in the industry, further enhancing its earnings potential.

KLX Energy Services Holdings Financial Statement Overview

Summary

KLX Energy Services Holdings faces significant financial challenges, characterized by declining revenues and profitability, high leverage, and negative equity. The company's cash flow generation is weak, with negative free cash flow, although operational cash flow remains positive. These factors point to potential financial instability and the need for strategic adjustments to improve financial health.

Income Statement

The company exhibits declining revenue with a decrease from $888.4M to $688.6M in TTM, a significant drop from the previous year. The gross profit margin is 19.75% in TTM, showing a decline from 22.5% in the previous year. Net profit margin is negative at -8.52% in TTM, indicating ongoing profitability challenges. The EBIT and EBITDA margins also show weak profitability with TTM figures at 0.84% and 11.43% respectively.

Balance Sheet

KLXE's balance sheet shows notable weaknesses with negative stockholders' equity standing at -$26.6M in TTM, indicating potential financial distress. The debt-to-equity ratio is not calculable due to negative equity, but the company's high total debt of $316.7M suggests significant leverage. The equity ratio is also negative, further highlighting financial instability.

Cash Flow

The company's cash flow statement reveals a concerning free cash flow of -$39.2M in TTM, though operating cash flow remains positive at $27.4M. The free cash flow to net income ratio is unfavorable due to negative net income. These factors imply cash generation struggles, although operating cash flow provides some cushion.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	688.60M	709.30M	888.40M	781.60M	436.10M	276.80M
Gross Profit	136.00M	159.60M	215.90M	160.30M	-6.40M	-38.00M
EBITDA	78.70M	81.00M	131.50M	89.30M	-10.20M	-242.10M
Net Income	-58.70M	-53.00M	19.20M	-3.10M	-93.80M	-332.20M
Balance Sheet
Total Assets	379.10M	456.30M	539.80M	465.90M	387.70M	362.70M
Cash, Cash Equivalents and Short-Term Investments	14.60M	91.60M	112.50M	57.40M	28.00M	47.10M
Total Debt	316.70M	344.90M	365.40M	350.90M	336.90M	250.20M
Total Liabilities	405.70M	466.80M	501.00M	481.70M	439.10M	330.60M
Stockholders Equity	-26.60M	-10.50M	38.80M	-15.80M	-51.40M	32.10M
Cash Flow
Free Cash Flow	-39.20M	-10.90M	58.50M	-19.90M	-66.60M	-77.10M
Operating Cash Flow	27.40M	54.20M	115.60M	15.70M	-55.60M	-64.90M
Investing Cash Flow	-51.10M	-51.10M	-39.70M	-18.70M	4.50M	-11.90M
Financing Cash Flow	-38.50M	-24.00M	-20.80M	32.40M	32.00M	400.00K

KLX Energy Services Holdings Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.89
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For KLXE, the sentiment is Negative. The current price of 1.89 is above the 20-day moving average (MA) of 1.88, above the 50-day MA of 1.86, and below the 200-day MA of 3.33, indicating a neutral trend. The MACD of 0.03 indicates Negative momentum. The RSI at 50.04 is Neutral, neither overbought nor oversold. The STOCH value of 36.64 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative 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	79 Outperform	$107.73M	8.89	12.76%	―	19.15%	-71.62%
Sector *	65 Neutral	$15.28B	7.48	3.19%	5.33%	4.10%	-60.58%
DTI	57 Neutral	$69.54M	26.47	-4.23%	―	9.74%	-132.61%
SND	49 Neutral	$84.94M	104.67	0.33%	―	3.43%	-36.73%
KLXE	47 Neutral	$34.79M	―	-375.26%	―	-13.29%	-106.14%
DWSN	47 Neutral	$49.68M	―	-38.69%	―	-38.69%	-30.53%
NINE	41 Neutral	$28.51M	―	73.91%	―	3.23%	31.76%

KLX Energy Services Holdings Corporate Events

KLX Energy Highlights Strategic Position Amid Losses

KLX Energy Services Holdings recently presented a company overview to analysts and investors, highlighting its financial performance and strategic positioning in the oilfield services industry. The company reported an LTM net loss of $71 million and an adjusted EBITDA of $78 million, reflecting its ongoing efforts to navigate the challenging market conditions. The presentation underscores KLX’s commitment to maintaining its market position through technological differentiation and strategic initiatives, despite the volatility in the oil and gas sector.

KLX Energy Services Reports Q2 2025 Financial Results

KLX Energy Services Holdings reported its second quarter 2025 financial results, showing a 3.2% increase in revenue to $159 million compared to the first quarter. Despite a net loss of $20 million, the company achieved a 34% rise in Adjusted EBITDA to $19 million, reflecting improved operational initiatives and strategic positioning. The Rocky Mountains segment saw significant growth, while the Southwest segment faced challenges due to decreased activity in the Permian basin.