Solaris Energy Infrastructure (SEI) AI Stock Analysis

• Market Cap: $2.14B
• Dividend Yield: 1.51%
• Average Volume (3M): 1.52M
• Price to Earnings (P/E): 64.1
• Beta (1Y): 1.73
• Revenue Growth: 33.59%
• EPS Growth: -27.16%
• Country: US
• Employees: 364
• Sector: Energy
• Sector Strength: 53
• Industry: Oil & Gas Equipment & Services
• EPS (TTM): 0.14
• Shares Outstanding: 40,403,557
• 10 Day Avg. Volume: 1,457,851
• 30 Day Avg. Volume: 1,524,658
• PEG Ratio: 1.44
• Price to Book (P/B): 1.60
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 5.27
• Enterprise Value/Market Cap: 0.17
• Enterprise Value/Revenue: 0.29
• Enterprise Value/Gross Profit: 3.59
• Enterprise Value/Ebitda: 0.99
• 1Y Price Target: $40.57
• Price Target Upside: 24.95% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 7

• Rating: 76 Outperform
• Price Target: $37.00 ▲(13.95%Upside)

Solaris Energy Infrastructure's strong financial performance and positive earnings call sentiment are significant strengths. The stock's bullish technical indicators further support its appeal. However, a high valuation and cash flow challenges are notable risks.

Positive Factors

Expansion and Growth

SEI now owns and operates a fleet of mobile NG-fired turbines and is expanding rapidly to meet load growth.

Strategic Joint Ventures

The JV will own ~500 MW of capacity, leasing it to the data center partner, which lowers SEI's CAPEX load and allows the company to grow faster without raising high coupon debt or equity.

Negative Factors

Market Challenges

SEI now finds itself at the center of the electrification of everything movement, including increasing power generation demands from generative AI data centers and production-oriented O&G markets.

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

Solaris Energy Infrastructure (SEI) generates revenue through multiple streams. The primary source of income is the sale of solar energy equipment and installation services to residential, commercial, and industrial clients. Additionally, SEI enters into power purchase agreements (PPAs) with businesses and utilities, allowing them to earn long-term revenue from the electricity generated by their solar projects. The company also offers maintenance and operational services for solar installations, which provide a steady income stream. SEI may engage in strategic partnerships with technology providers and government entities to expand its market reach and enhance its service offerings, contributing to its overall earnings.

Solaris Energy Infrastructure Financial Statement Overview

Summary

Solaris Energy Infrastructure shows strong revenue growth and operational efficiency with an 18.7% revenue increase and solid profit margins. However, cash flow concerns and moderate net profit margins indicate areas for improvement.

Income Statement

Solaris Energy Infrastructure has demonstrated strong financial performance with consistent revenue growth, evidenced by a 18.7% increase from the previous year to the TTM period. The gross profit margin for TTM improved to 27.3%, indicating effective cost management. The company also maintained a healthy EBITDA margin of 31.8% and an EBIT margin of 17.5%, reflecting solid operational efficiency. However, the net profit margin for TTM is relatively modest at 4.5%, suggesting room for improvement in profitability.

Balance Sheet

The balance sheet reveals a moderate financial position with a debt-to-equity ratio of 0.91, indicating a balanced leverage level. The equity ratio stands at 32.0%, showing a stable capital structure. Return on equity (ROE) for TTM is at 4.6%, which suggests moderate returns on shareholders' investment. Despite the overall healthy balance sheet, the increase in total debt warrants cautious monitoring of future leverage levels.

Cash Flow

Solaris Energy Infrastructure's cash flow performance shows areas of concern, with a significant decline in free cash flow due to high capital expenditures, resulting in negative free cash flow. The operating cash flow to net income ratio of 4.12 indicates efficient cash generation relative to net income. However, the free cash flow to net income ratio is negative, highlighting potential cash flow challenges that need addressing.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	371.53M	313.09M	292.95M	320.00M	159.19M	102.98M
Gross Profit	101.44M	80.95M	78.92M	69.80M	16.52M	10.19M
EBITDA	118.18M	95.95M	86.09M	72.24M	26.82M	-32.88M
Net Income	16.55M	15.81M	24.34M	21.16M	-868.00K	-29.34M
Balance Sheet
Total Assets	1.13B	1.12B	468.30M	462.58M	406.22M	411.90M
Cash, Cash Equivalents and Short-Term Investments	16.72M	114.25M	5.83M	8.84M	36.50M	60.37M
Total Debt	328.09M	328.88M	47.79M	20.48M	7.52M	8.20M
Total Liabilities	461.72M	456.15M	152.72M	145.45M	108.35M	96.42M
Stockholders Equity	361.29M	355.62M	205.98M	215.72M	203.15M	201.25M
Cash Flow
Free Cash Flow	-261.18M	-129.05M	23.87M	-13.41M	-3.17M	39.19M
Operating Cash Flow	68.21M	59.37M	88.26M	68.00M	16.47M	43.85M
Investing Cash Flow	-446.01M	-305.03M	-62.00M	-79.54M	-19.52M	-3.77M
Financing Cash Flow	391.09M	399.70M	-29.26M	-16.12M	-20.82M	-46.59M

Solaris Energy Infrastructure Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 32.47
• 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 SEI, the sentiment is Positive. The current price of 32.47 is above the 20-day moving average (MA) of 28.91, above the 50-day MA of 26.01, and above the 200-day MA of 23.18, indicating a bullish trend. The MACD of 1.56 indicates Negative momentum. The RSI at 65.04 is Neutral, neither overbought nor oversold. The STOCH value of 89.73 is Negative, 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
RES	76 Outperform	$1.13B	14.57	7.06%	3.12%	-9.78%	-49.45%
SEI	76 Outperform	$2.14B	64.09	5.52%	1.51%	33.59%	-27.16%
XPRO	76 Outperform	$1.01B	16.12	4.91%	―	10.48%	―
INVX	75 Outperform	$1.08B	5.99	13.87%	―	72.10%	―
HLX	73 Outperform	$947.06M	12.24	5.64%	―	0.34%	―
WTTR	72 Outperform	$1.09B	26.32	4.51%	3.07%	-4.91%	-46.51%
Sector *	44 Neutral	AU$1.40B	-6.68	-23.02%	6.54%	5.33%	-26.92%

Solaris Energy Infrastructure Corporate Events

Solaris Energy Secures $550M Loan Agreement

On May 23, 2025, Stateline Power, LLC, a joint venture involving Solaris Energy Infrastructure, entered into a significant loan and security agreement with Stonebriar Commercial Finance LLC. This agreement, which includes a loan of up to $550 million, is intended to fund capital expenditures and is secured by a lien on Stateline’s assets. The agreement imposes financial covenants on Stateline, including maintaining specific financial ratios, and is backed by a pledge of Stateline’s equity.

The most recent analyst rating on (SEI) stock is a Buy with a $36.00 price target. To see the full list of analyst forecasts on Solaris Energy Infrastructure stock, see the SEI Stock Forecast page.

Solaris Energy Elects New Directors at Annual Meeting

At the 2025 Annual Meeting of Stockholders held on May 15, Solaris Energy Infrastructure announced the election of three Class II Directors, the ratification of BDO USA, P.C. as its independent public accounting firm for 2025, and an advisory vote approving the compensation of its Named Executive Officers. These decisions reflect the company’s ongoing governance and operational strategies, potentially impacting its market positioning and stakeholder relations.

The most recent analyst rating on (SEI) stock is a Buy with a $36.00 price target. To see the full list of analyst forecasts on Solaris Energy Infrastructure stock, see the SEI Stock Forecast page.