RPC (RES) AI Stock Analysis

• Market Cap: $1.31B
• Dividend Yield: 2.94%
• Average Volume (3M): 1.77M
• Price to Earnings (P/E): 40.8
• Beta (1Y): 1.02
• Revenue Growth: 4.20%
• EPS Growth: -59.96%
• Country: US
• Employees: 2,597
• Sector: Energy
• Sector Strength: 52
• Industry: Oil & Gas Equipment & Services
• EPS (TTM): 0.04
• Shares Outstanding: 220,574,480
• 10 Day Avg. Volume: 2,158,202
• 30 Day Avg. Volume: 1,765,030
• PEG Ratio: -0.57
• Price to Book (P/B): 1.09
• Price to Sales (P/S): 0.73
• P/FCF Ratio: 22.55
• Enterprise Value/Market Cap: 0.91
• Enterprise Value/Revenue: 0.73
• Enterprise Value/Gross Profit: 5.14
• Enterprise Value/Ebitda: 5.41
• 1Y Price Target: $5.67
• Price Target Upside: -4.55% Downside
• Rating Consensus: Moderate Sell
• Number of Analyst Covering: 3
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 61 Neutral
• Price Target: $6.00 ▲(1.01% Upside)
• Action: Reiterated Date: 02/04/26
• Date: Action: Reiterated 02/04/26

RES scores mid-range primarily due to strong balance-sheet flexibility that offsets weaker recent operating trends. The score is held back by margin and free-cash-flow deterioration, cautious near-term earnings-call tone (weather impacts, idled fleet, limited visibility), and a demanding valuation (high P/E), while technicals also remain weak with the stock below key short-term averages.

Positive Factors

Balance-sheet strength

Consistently low leverage and rising equity provide durable financial flexibility through oilfield cycles. That capitalization supports maintenance capex, dividend continuity, selective M&A or buybacks, and absorbs short-term revenue volatility without forcing distress-driven asset sales or emergency financing.

Strong operating cash generation

Material operating cash flow and a healthy cash balance underpin reinvestment capacity and capital-return optionality. Positive OCF supports maintenance capex and dividends while preserving optionality for disciplined M&A or buybacks, reducing liquidity risk in cyclical slowdowns.

Product innovation & share gains

New technologies (A-10, Metal Max, UnPlug) strengthen differentiation and expand addressable markets, supporting sustainable revenue growth and modest pricing power. Product-driven share gains reduce reliance on commodity-driven volume swings and can raise long-term service margins as adoption scales.

Negative Factors

Margin compression

A multi-point decline in net margin signals lasting pressure on pricing, cost structure, or mix. Persistently lower margins reduce return on capital, slow equity growth, and limit the firm's ability to self-fund growth or restore payout levels without meaningful operational improvements or higher end-market activity.

Weakened free cash flow momentum

A near-30% drop in FCF erodes reinvestment and capital-return flexibility over the medium term. Even with positive OCF, declining FCF raises sensitivity to higher capex or working-capital needs, and constrains optionality for buybacks or acquisitions during slower demand periods.

Operational disruptions and idled fleet

Idled pressure-pumping equipment and weather-related lost days highlight structural exposure to seasonality and activity cycles. Prolonged idling increases unit-level fixed cost absorption and delays revenue recovery, making returns contingent on sustained demand improvement rather than near-term operational tweaks.

RPC Business Overview & Revenue Model

Company Description

RPC, Inc., through its subsidiaries, provides a range of oilfield services and equipment for the oil and gas companies involved in the exploration, production, and development of oil and gas properties. The company operates through Technical Services and Support Services segments. The Technical Services segment offers pressure pumping, fracturing, acidizing, cementing, downhole tools, coiled tubing, snubbing, nitrogen, well control, wireline, pump down, and fishing services that are used in the completion, production, and maintenance of oil and gas wells. The Support Services segment provides a range of rental tools for onshore and offshore oil and gas well drilling, completion, and workover activities. This segment also offers oilfield pipe inspection, and pipe management and storage services, as well as well control training and consulting services. The company operates in the United States, Africa, Canada, Argentina, China, Mexico, Eastern Europe, Latin America, the Middle East, and internationally. RPC, Inc. was founded in 1984 and is headquartered in Atlanta, Georgia.

How the Company Makes Money

RPC (RES) generates revenue primarily through its service contracts with clients in the oil and gas industry. Key revenue streams include fees for drilling services, equipment rentals, and maintenance contracts. The company may also earn income from the sale of specialized drilling tools and technology solutions. Significant partnerships with major oil and gas firms enhance its market position and provide a steady stream of contracts. Additionally, RPC (RES) benefits from fluctuations in oil prices, as increased exploration activities during price booms often lead to higher demand for its services.

RPC Financial Statement Overview

Summary

Financial profile is supported by a strong balance sheet (low leverage, growing equity), but operating performance is mixed: 2025 revenue improved while profitability stepped down sharply (net margin ~2% vs ~6% in 2024) and free cash flow weakened (~30% YoY decline), reducing near-term earnings quality and cash-flow momentum.

Income Statement

Revenue has been volatile but improved in 2025 (about +5.9% year over year) after a down 2024, highlighting the cyclical nature of the business. Profitability peaked in 2022–2023 (healthy gross and net margins), but 2025 saw a sharp step-down in margins and earnings (net margin down to ~2% vs ~6% in 2024), indicating pressure on pricing and/or costs. The company has recovered materially from 2020’s loss period, but the recent margin compression keeps the income statement quality in the mid-range.

Balance Sheet

The balance sheet is a clear strength: leverage is low across the period, and equity has grown over time, supporting a solid capitalization profile. Total debt remains modest relative to the company’s equity base even after rising in 2025, providing flexibility through industry cycles. A key watch item is that returns on equity have cooled meaningfully since the 2022–2023 peak as profitability normalized, but overall financial risk from leverage appears limited.

Cash Flow

Operating cash flow remains positive and sizeable (2025 operating cash flow of ~$201M), supporting liquidity and reinvestment capacity. However, free cash flow has weakened recently (2025 free cash flow down ~29.8% year over year), pointing to either higher capital spending needs and/or softer cash conversion. The company has improved significantly versus 2021’s negative free cash flow, but the downshift in 2024–2025 reduces cash flow momentum and predictability.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	1.63B	1.41B	1.62B	1.60B	864.93M
Gross Profit	232.49M	378.35M	527.96M	513.65M	201.67M
EBITDA	220.77M	221.91M	362.01M	365.07M	78.09M
Net Income	32.08M	91.44M	195.11M	218.36M	7.22M
Balance Sheet
Total Assets	1.47B	1.39B	1.31B	1.13B	898.63M
Cash, Cash Equivalents and Short-Term Investments	209.97M	325.98M	223.31M	126.42M	82.43M
Total Debt	95.15M	32.91M	27.16M	30.25M	46.30M
Total Liabilities	369.21M	308.20M	292.01M	271.28M	256.84M
Stockholders Equity	1.10B	1.08B	1.02B	857.74M	641.79M
Cash Flow
Free Cash Flow	52.92M	129.46M	213.76M	61.73M	-19.93M
Operating Cash Flow	201.33M	349.39M	394.76M	201.29M	47.72M
Investing Cash Flow	-273.70M	-201.55M	-241.71M	-123.72M	-47.63M
Financing Cash Flow	-43.63M	-45.17M	-56.16M	-33.58M	-2.15M

RPC Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 5.94
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For RES, the sentiment is Positive. The current price of 5.94 is below the 20-day moving average (MA) of 5.99, above the 50-day MA of 5.84, and above the 200-day MA of 5.03, indicating a bullish trend. The MACD of <0.01 indicates Negative momentum. The RSI at 54.72 is Neutral, neither overbought nor oversold. The STOCH value of 93.25 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for RES.

RPC Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
NESR	77 Outperform	$2.49B	46.94	5.45%	―	0.31%	33.08%
TTI	75 Outperform	$1.49B	12.23	53.71%	―	0.17%	7307.20%
HLX	69 Neutral	$1.26B	32.22	2.71%	―	-1.95%	530.91%
Sector *	65 Neutral	$15.17B	7.61	4.09%	5.20%	3.87%	-62.32%
RES	61 Neutral	$1.31B	40.77	4.31%	2.94%	4.20%	-59.96%
GEOS	47 Neutral	$123.72M	-4.39	-21.55%	―	-18.29%	-43.05%

RPC Corporate Events

RPC Board Director Plans Exit as Dividend Declared

On January 27, 2026, RPC, Inc. director Jerry W. Nix informed the board that he will not stand for reelection at the company’s 2026 annual meeting of stockholders, though he will continue to serve through the meeting as Lead Independent Director, chairman of the Human Capital Management and Compensation Committee and the Nominating and Corporate Governance Committee, and as a member of the Audit Committee; the company emphasized that his decision was not due to any disagreement over its operations, policies or practices, signaling an orderly board transition rather than governance turmoil. On January 28, 2026, RPC announced that its board declared a regular quarterly cash dividend of $0.04 per share, payable on March 10, 2026 to shareholders of record as of February 10, 2026, underscoring the company’s continuing capital return to investors and suggesting confidence in its ongoing financial position within the oilfield services sector.

The most recent analyst rating on (RES) stock is a Buy with a $7.00 price target. To see the full list of analyst forecasts on RPC stock, see the RES Stock Forecast page.