Want to see RES full AI Analyst Report?
Top Page
RPC
(NYSE:RES)
Select Model
Select Model
Rating:59Neutral
Price Target:
$5.50
▼(-15.77% Downside)
Action:Reiterated
Date:07/08/26
RES scores as a mid-range setup primarily because strong balance-sheet strength and continued positive operating cash flow are offset by materially weaker profitability/returns and soft cash conversion. Technicals further pressure the score due to pronounced bearish trend signals and weak momentum. Valuation is constrained by a very high P/E despite a supportive dividend, while earnings-call commentary points to cautious demand/pricing and near-term margin and free-cash-flow pressure.
Positive Factors
Very low leverage
A debt-to-equity near 0.07 and modest total debt provide durable financial flexibility. This structural strength reduces refinancing and liquidity risk, supports maintaining the dividend and opportunistic capex, and enables the company to fund operations or weather cyclical troughs without material leverage stress.
Negative Factors
Compressed margins and returns
Material margin compression and very low net margin indicate limited profitability buffer. Persistently thin returns constrain reinvestment, reduce ability to self-fund growth, and make dividends and capital allocation more sensitive to modest revenue or cost swings over the medium term.
Read all positive and negative factors
Positive Factors
Negative Factors
Very low leverage
A debt-to-equity near 0.07 and modest total debt provide durable financial flexibility. This structural strength reduces refinancing and liquidity risk, supports maintaining the dividend and opportunistic capex, and enables the company to fund operations or weather cyclical troughs without material leverage stress.
Read all positive factors
RPC (RES) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$1.23B
Dividend Yield2.94%
Average Volume (3M)1.77M
Price to Earnings (P/E)58.8
Beta (1Y)0.81
Revenue Growth27.62%
EPS Growth-73.36%
CountryUS
Employees2,597
SectorEnergy
Sector Strength52
IndustryOil & Gas Equipment & Services
Share Statistics
EPS (TTM)0.10
Shares Outstanding221,637,940
10 Day Avg. Volume2,158,202
30 Day Avg. Volume1,765,030
Financial Highlights & Ratios
PEG Ratio-0.56
Price to Book (P/B)1.09
Price to Sales (P/S)0.73
P/FCF Ratio22.55
Enterprise Value/Market Cap1.09
Enterprise Value/Revenue0.77
Enterprise Value/Gross Profit6.75
Enterprise Value/Ebitda6.12
Forecast
1Y Price Target
$5.50Price Target Upside-15.77% Downside
Rating ConsensusModerate Sell
Number of Analyst Covering2
EPS Forecast (FY)0.19
Revenue Forecast (FY)$1.80B
RPC Business Overview & Revenue Model
Company Description
RPC, Inc. and its subsidiaries serve as a diversified provider of essential oilfield services and equipment, supporting oil and gas companies throughout the exploration, production, and development lifecycle of their energy properties. The company...
How the Company Makes Money
RPC generates revenue primarily by providing oilfield services and renting/selling related equipment to customers operating oil and gas wells. Key revenue streams include (1) wellsite service fees from pressure control and related operations (e.g....
RPC Earnings Call Summary
Earnings Call Date:May 07, 2026
(Q1-2026)
| % Change Since: |
Next Earnings Date:Jul 30, 2026
Earnings Call Sentiment Neutral
The call contained a mix of encouraging operational momentum (7% sequential revenue growth, strong performance in downhole tools and a 20% sequential increase in pressure pumping job-mix revenue) and prudent balance-sheet positioning (cash balance, unchanged dividend, controlled SG&A). However, profitability and cash generation were somewhat pressured: adjusted EBITDA and margins declined, adjusted EPS remained low, free cash flow was slightly negative, and several service lines experienced sequential weakness. Management characterized the outlook as cautiously optimistic given supportive commodity prices but emphasized operator caution and limited broad-based pricing improvement.Positive Updates
Sequential Revenue Growth
Total revenues increased 7% sequentially to $455 million in Q1 2026, driven by broad-based sequential revenue increases across the majority of service lines.
Negative Updates
Adjusted EBITDA and Margin Decline
Adjusted EBITDA decreased to $53.5 million from $55.1 million sequentially (a ~2.9% decline) and adjusted EBITDA margin fell 110 basis points to 11.8%, driven by higher materials & supplies, higher fuel costs and lower other income.
Read all updates
Q1-2026 Updates
Positive
Negative
Sequential Revenue Growth
Total revenues increased 7% sequentially to $455 million in Q1 2026, driven by broad-based sequential revenue increases across the majority of service lines.
Read all positive updates
Company Guidance
Management's actionable guidance was focused on capital allocation and prudence: they expect 2026 capital expenditures of $160–$180 million (including roughly $15 million delayed from late‑2025 and with the low end raised this quarter due to opportunistic asset purchases) and will adjust spend based on project returns; the regular cash dividend remains $0.04 per share (dividends paid totaled $8.9 million). For context, Q1 metrics included revenues of $455 million (up 7% sequentially), Technical Services at 95% of revenue (Support 5%), service‑line mix: pressure pumping 31%, downhole tools 23.3%, wireline 22.7%, coiled tubing 8.5%, cementing 5.8% and rental tools 3%; cost of revenues ex‑D&A $356 million (vs. $330M prior), SG&A $48 million (10.6% of revenues, down 60 bps), depreciation & amortization $43 million, adjusted EBITDA $53.5 million (down from $55.1M) with an adjusted EBITDA margin of 11.8% (down 110 bps), adjusted diluted EPS $0.03 (adjustments $0.03), operating cash flow YTD $31 million, CapEx YTD $32 million, free cash flow negative $1 million, quarter‑end cash ≈$201 million, a $50 million seller‑financed note payable and no borrowings on a $100 million revolver. Management also said they have no plans to reactivate fleets at current pricing, are cautiously optimistic about commodity‑driven demand, and will selectively lean into markets where full‑cycle returns and cash‑flow generation justify it.RPC Financial Statement Overview
Summary
Income Statement
58
Neutral
Balance Sheet
83
Very Positive
Cash Flow
55
Neutral
| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 1.75B | 1.63B | 1.41B | 1.62B | 1.60B | 864.93M |
| Gross Profit | 199.82M | 232.49M | 378.35M | 527.96M | 513.65M | 201.67M |
| EBITDA | 220.34M | 220.77M | 221.91M | 362.01M | 365.07M | 78.09M |
| Net Income | 20.91M | 32.08M | 91.44M | 195.11M | 218.36M | 7.22M |
Balance Sheet | ||||||
| Total Assets | 1.48B | 1.47B | 1.39B | 1.31B | 1.13B | 898.63M |
| Cash, Cash Equivalents and Short-Term Investments | 200.73M | 209.97M | 325.98M | 223.31M | 126.42M | 82.43M |
| Total Debt | 74.71M | 95.15M | 32.91M | 27.16M | 30.25M | 46.30M |
| Total Liabilities | 384.66M | 369.21M | 308.20M | 292.01M | 271.28M | 256.84M |
| Stockholders Equity | 1.10B | 1.10B | 1.08B | 1.02B | 857.74M | 641.79M |
Cash Flow | ||||||
| Free Cash Flow | 44.40M | 52.92M | 129.46M | 213.76M | 61.73M | -19.93M |
| Operating Cash Flow | 192.64M | 201.33M | 349.39M | 394.76M | 201.29M | 47.72M |
| Investing Cash Flow | -274.09M | -273.70M | -201.55M | -241.71M | -123.72M | -47.63M |
| Financing Cash Flow | -44.54M | -43.63M | -45.17M | -56.16M | -33.58M | -2.15M |
RPC Technical Analysis
Negative
6.53
Price Trends
6.72
Negative
6.68
Negative
6.01
Negative
Market Momentum
-0.36
Positive
34.62
Neutral
29.15
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For RES, the sentiment is Negative. The current price of 6.53 is above the 20-day moving average (MA) of 6.12, below the 50-day MA of 6.72, and above the 200-day MA of 6.01, indicating a bearish trend. The MACD of -0.36 indicates Positive momentum. The RSI at 34.62 is Neutral, neither overbought nor oversold. The STOCH value of 29.15 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for RES.
RPC Peers Comparison
UnderperformOutperform
Sector (65)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
77 Outperform | $2.81B | 43.69 | 6.70% | ― | 8.99% | -19.14% | |
65 Neutral | $15.17B | 7.61 | 4.09% | 5.20% | 3.87% | -62.32% | |
63 Neutral | $1.34B | 88.93 | 0.91% | ― | -2.91% | -82.51% | |
59 Neutral | $1.23B | 58.80 | 1.91% | 2.94% | 27.62% | -73.36% | |
57 Neutral | $1.38B | 138.00 | 2.51% | ― | 4.09% | -93.54% | |
45 Neutral | $93.01M | -3.34 | -24.22% | ― | -13.43% | -78.10% |
* Energy Sector Average
RES
RPC
5.65
0.65
12.95%
HLX
Helix Energy
9.22
2.67
40.76%
GEOS
Geospace Technologies
7.47
-5.18
-40.95%
TTI
Tetra Technologies
9.45
5.87
163.97%
NESR
National Energy Services Reunited
28.62
22.26
350.00%
RPC Corporate Events
Business Operations and StrategyPrivate Placements and Financing
RPC Amends and Extends Long-Term Credit Facility
Positive
Jul 7, 2026
RPC, Inc. is a diversified oilfield services provider supporting the exploration and production sector, with its principal credit obligations fully and unconditionally guaranteed by 100% owned domestic subsidiaries that hold substantially all cons...
Executive/Board ChangesShareholder Meetings
RPC Shareholders Back Board, Auditor and Incentive Plan
Positive
Apr 30, 2026
RPC, Inc. reported that on April 28, 2026, its stockholders reelected Gary Kolstad to the board of directors and the board appointed him to the Human Capital Management and Compensation Committee and the Audit Committee, naming him chairman of the...
Dividends
RPC Declares Regular Quarterly Cash Dividend for Shareholders
Positive
Apr 28, 2026
On April 28, 2026, RPC, Inc. announced that its Board of Directors declared a regular quarterly cash dividend of $0.04 per share, payable on June 10, 2026, to common stockholders of record as of the close of business on May 11, 2026. The continued...
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.