Solaris Energy Infrastructure (SEI) AI Stock Analysis

• Market Cap: $3.56B
• Dividend Yield: 1.07%
• Average Volume (3M): 2.97M
• Price to Earnings (P/E): 69.7
• Beta (1Y): 2.06
• Revenue Growth: 92.33%
• EPS Growth: 116.22%
• Country: US
• Employees: 364
• Sector: Energy
• Sector Strength: 52
• Industry: Oil & Gas Equipment & Services
• EPS (TTM): -0.04
• Shares Outstanding: 53,115,993
• 10 Day Avg. Volume: 2,472,403
• 30 Day Avg. Volume: 2,974,868
• PEG Ratio: 1.97
• Price to Book (P/B): 3.72
• Price to Sales (P/S): 3.38
• P/FCF Ratio: -4.80
• Enterprise Value/Market Cap: 1.25
• Enterprise Value/Revenue: 7.17
• Enterprise Value/Gross Profit: 22.17
• Enterprise Value/Ebitda: 20.60
• 1Y Price Target: $66.00
• Price Target Upside: 26.92% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 8
• EPS Forecast (FY): 1.53
• Revenue Forecast (FY): $820.21M

• Rating: 54 Neutral
• Price Target: $49.00 ▼(-5.77% Downside)
• Action: Reiterated Date: 03/04/26
• Date: Action: Reiterated 03/04/26

The score is held back mainly by balance-sheet/cash-flow risk (higher leverage and materially negative free cash flow) and weak technical momentum. These are partly offset by strong earnings-call guidance and long-term contract visibility, but valuation remains demanding given the high P/E and low yield.

Positive Factors

Long-term Contract Visibility

Multi-year, large-scale contracts (15-year JV upsized to ~500–900 MW and a 10-year +5-year option >500 MW) provide durable revenue visibility and predictable cash flows. Such contracted capacity supports multi-year planning, eases financing, and anchors growth tied to structural AI/data-center demand.

Stable Cash Generation from Logistics

Consistent Logistics free cash flow (> $80M) and high utilization (~93 systems, rising toward ~100%) create a recurring cash engine that offsets capital intensity in Power. Durable FCF from Logistics enhances liquidity, funds reinvestment, and reduces reliance on external financing during project buildouts.

Strengthened Financial Leadership & Strategic M&A

Bringing in a CFO with energy, midstream and restructuring experience improves capital allocation and debt management capabilities. Combined with targeted acquisitions and regulatory positioning (voltage control, EPA subpart KKKKa readiness), this bolsters execution capacity and speed-to-market for modular power solutions.

Negative Factors

Elevated Leverage

A near doubling of leverage (debt ≈ $1.08B; debt/equity ~1.9x) materially raises financial risk and interest burden. Higher leverage constrains flexibility for opportunistic investments or to absorb project timing shocks, increasing refinancing and covenant risk if macro funding conditions tighten.

Persistently Negative Free Cash Flow

Large negative free cash flow (~-$438M in 2025) reflects heavy capex and working-capital needs that operating cash flow hasn't yet fully offset. Persistently negative FCF forces ongoing dependence on external financing, raising vulnerability to higher borrowing costs and limiting self-funded growth or shareholder returns.

Execution & Supply-Chain Constraints

Material demand outstrips current capacity and OEM delivery variability creates execution risk. Reliance on third-party leased capacity to meet demand compresses margins until owned capacity comes online, and securing additional supplier relationships or financing to expand capacity is a multi-quarter structural challenge.

Solaris Energy Infrastructure Business Overview & Revenue Model

Company Description

Solaris Energy Infrastructure, Inc. designs and manufactures specialized equipment for oil and natural gas operators in the United States. The company provides technician support, last mile, and mobilization logistics services. It is also involved in the transloading and storage of proppant or railcars at its transloading facility. In addition, the company develops Railtronix, an inventory management software; and all-electric equipment that automates the low pressure section of oil and gas well completion sites. It serves exploration and production, and oilfield services industries. The company was formerly known as Solaris Oilfield Infrastructure, Inc. and changed its name to Solaris Energy Infrastructure, Inc. in September 2024. Solaris Energy Infrastructure, Inc. was founded in 2014 and is headquartered in Houston, Texas.

How the Company Makes Money

SEI generates revenue primarily through long-term power purchase agreements (PPAs) with utilities and large commercial clients, ensuring a steady income stream from the energy produced at its solar facilities. The company also earns money by developing solar projects for third parties, charging fees for project management and consulting services. Additionally, SEI may benefit from government incentives and tax credits associated with renewable energy investments, which enhance its profitability. Strategic partnerships with other energy firms and technology providers further bolster its revenue potential by expanding its service offerings and market reach.

Solaris Energy Infrastructure Financial Statement Overview

Summary

Income statement momentum is strong (2025 revenue +15.48% YoY with sharp gross/EBIT margin expansion), but risk is elevated due to a large 2025 leverage step-up (debt/equity ~1.91x) and deeply negative free cash flow in 2024–2025 (down to about -$438M in 2025) despite improved operating cash flow.

Income Statement

Revenue growth has accelerated meaningfully, culminating in strong 2025 results (+15.48% vs. 2024) after a softer 2023. Profitability has improved materially over time: gross margin expanded to ~45.9% in 2025 (from ~25.9% in 2024), and operating profitability strengthened with EBIT margin rising to ~21.8% (from ~15.6%). However, net margin remains modest at ~4.8% in 2025 (roughly flat vs. 2024), suggesting below-the-line costs or other items are limiting how much operating improvement reaches shareholders. Earlier years also show volatility including losses in 2020–2021, which tempers the quality/stability of the earnings profile.

Balance Sheet

The balance sheet has become significantly more leveraged: total debt rose sharply to ~$1.08B in 2025 from ~$329M in 2024, pushing debt relative to equity to ~1.91x (vs. ~0.92x in 2024). While equity also increased (to ~$564M) and assets grew alongside the business, the step-up in leverage increases financial risk and reduces flexibility if industry conditions weaken. Returns on equity are positive but not strong (about 5.3% in 2025), indicating the higher leverage has not yet translated into commensurately higher shareholder returns.

Cash Flow

Operating cash flow improved substantially in 2025 to ~$209M (from ~$59M in 2024), which is supportive of earnings quality, and operating cash flow was higher than net income in 2025 (about 1.28x). The key weakness is persistently negative free cash flow in 2024 and 2025 (about -$129M and -$438M, respectively), implying heavy capital spending and/or working-capital needs that are consuming cash despite improved operating inflows. This increases dependence on financing and is particularly notable given the concurrent rise in debt.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	622.21M	313.09M	292.95M	320.00M	159.19M
Gross Profit	285.41M	80.95M	78.92M	69.80M	16.52M
EBITDA	216.45M	95.95M	86.09M	72.24M	26.82M
Net Income	30.17M	15.81M	24.34M	21.16M	-868.00K
Balance Sheet
Total Assets	2.14B	1.12B	468.30M	462.58M	406.22M
Cash, Cash Equivalents and Short-Term Investments	353.32M	114.25M	5.83M	8.84M	36.50M
Total Debt	1.08B	328.88M	47.79M	20.48M	7.52M
Total Liabilities	1.32B	456.15M	152.72M	145.45M	108.35M
Stockholders Equity	564.34M	355.62M	205.98M	215.72M	203.15M
Cash Flow
Free Cash Flow	-437.65M	-129.05M	23.87M	-13.41M	-3.17M
Operating Cash Flow	209.10M	59.37M	88.26M	68.00M	16.47M
Investing Cash Flow	-686.36M	-305.03M	-62.00M	-79.54M	-19.52M
Financing Cash Flow	670.70M	399.70M	-29.26M	-16.12M	-20.82M

Solaris Energy Infrastructure Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 52.00
• 50DMA: Negative
• 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 SEI, the sentiment is Positive. The current price of 52 is above the 20-day moving average (MA) of 51.38, below the 50-day MA of 52.26, and above the 200-day MA of 41.38, indicating a neutral trend. The MACD of 0.15 indicates Negative momentum. The RSI at 50.76 is Neutral, neither overbought nor oversold. The STOCH value of 66.96 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SEI.

Solaris Energy Infrastructure Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
OII	77 Outperform	$3.31B	6.88	39.31%	―	8.71%	72.09%
FLOC	74 Outperform	$2.04B	1.27	136.87%	1.32%	―	―
XPRO	73 Outperform	$1.84B	29.70	4.60%	―	-1.24%	337.41%
LBRT	66 Neutral	$4.90B	20.22	7.25%	1.78%	-12.05%	-46.45%
Sector *	65 Neutral	$15.17B	7.61	4.09%	5.20%	3.87%	-62.32%
SEI	54 Neutral	$3.56B	69.65	6.45%	1.07%	92.33%	116.22%
DNOW	54 Neutral	$2.12B	-3.49	-5.25%	―	3.18%	-53.71%

Solaris Energy Infrastructure Corporate Events

Solaris Energy Infrastructure Names New Chief Financial Officer

On February 12, 2026, Solaris Energy Infrastructure, Inc. appointed Stephan E. Tompsett as Chief Financial Officer and principal financial officer, bringing in an executive with extensive energy, midstream and restructuring experience, including prior CFO roles at Aris Water Solutions, Limetree Bay Energy and EagleClaw Midstream Ventures. The company said outgoing CFO Kyle Ramachandran, who has held the role since its IPO, will relinquish the finance post to focus on driving growth as president and head of the Solaris Power Solutions segment, while Tompsett’s compensation terms are still being finalized and he has entered into a standard Delaware-law indemnification agreement with the company.

The most recent analyst rating on (SEI) stock is a Buy with a $61.00 price target. To see the full list of analyst forecasts on Solaris Energy Infrastructure stock, see the SEI Stock Forecast page.

Solaris Energy Signs Major AI Data Center Power Deal

On February 12, 2026, Solaris Power Solutions, an indirect subsidiary of Solaris Energy Infrastructure, entered into a Master Equipment Rental Agreement with Hatchbo, LLC, an affiliate of a global artificial intelligence technology leader, to supply more than 500 megawatts of power generation equipment for the customer’s data centers. The initial rental term is scheduled to begin on January 1, 2027 and run for ten years or until the parties sign a separate power purchase agreement, with an option for a five-year extension, and includes a customer termination right subject to a payment of 50% of remaining rental fees and a parent-company guaranty capped at 50% of total initial-term rental fees that steps down over time.

The agreement positions Solaris Energy Infrastructure to become a key power provider to a major AI computing customer, potentially expanding its role in the data center power market and securing a long-duration revenue stream tied to the growth of artificial intelligence infrastructure. By structuring the deal around a large-scale equipment rental with an anticipated transition to a power purchase agreement, along with customary default protections and a partial guaranty from the customer’s parent, the company enhances contractual visibility while balancing customer flexibility with termination payments and credit support.

The most recent analyst rating on (SEI) stock is a Buy with a $71.00 price target. To see the full list of analyst forecasts on Solaris Energy Infrastructure stock, see the SEI Stock Forecast page.