Team (TISI) AI Stock Analysis

• Market Cap: $65.33M
• Dividend Yield: N/A
• Average Volume (3M): 9.08K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.38
• Revenue Growth: 3.73%
• EPS Growth: 3.56%
• Country: US
• Employees: 5,400
• Sector: Industrials
• Sector Strength: 72
• Industry: Specialty Business Services
• EPS (TTM): -2.68
• Shares Outstanding: 4,527,240
• 10 Day Avg. Volume: 7,617
• 30 Day Avg. Volume: 9,084
• PEG Ratio: 0.03
• Price to Book (P/B): 32.31
• Price to Sales (P/S): 0.07
• P/FCF Ratio: 4.22
• Enterprise Value/Market Cap: 6.15
• Enterprise Value/Revenue: 0.45
• Enterprise Value/Gross Profit: 1.74
• Enterprise Value/Ebitda: 9.16
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 46 Neutral
• Price Target: $13.50 ▼(-5.00% Downside)

The score is held down primarily by weak financial performance (high leverage/negative equity and ongoing losses) and a bearish technical trend. Positives from the earnings call—improving margins/EBITDA, supportive guidance, and balance-sheet strengthening—partially offset these risks, while valuation remains constrained by unprofitable results and no dividend support.

Positive Factors

Margin Expansion

Sustained gross margin expansion and a large rise in adjusted EBITDA indicate improving operational leverage and effective cost discipline. If maintained, higher margins support stronger cash generation, reinvestment capacity, and competitive pricing flexibility across service contracts.

Balance Sheet Strengthening

The strategic $75M private placement and substantial debt paydown materially reduce near-term leverage and refinancing risk. This stronger liquidity position supports working capital, bids on long-term contracts, and reduces default risk, improving financial flexibility over the medium term.

Lowered Interest Costs and Extended Maturities

Reducing blended interest rates >100bps and extending maturities to 2030 cuts recurring financing costs and eases rollover risk. Longer-duration, cheaper debt improves sustainable free cash flow and enables management to focus on operations and margin improvement rather than near-term refinancing.

Negative Factors

High Leverage and Negative Equity

Negative equity and very high leverage are structural vulnerabilities that limit strategic optionality, constrain access to low-cost capital, and magnify downside in cyclical demand. Persistently weak equity erodes stakeholder confidence and increases likelihood of dilutive or restrictive financing actions.

Negative Operating Cash Flow

Ongoing negative operating cash flow signals core business does not yet generate sufficient cash to fund operations and investment without external support. This undermines long-term self-sufficiency, forces reliance on financing, and makes covenant compliance and growth investment more tenuous.

Persistent Net Losses and Low Margins

Continued adjusted net losses and weak profitability metrics constrain retained earnings and limit the firm’s ability to build capital organically. Structural margin weakness reduces resilience to cost inflation and competitive pressure, raising the need for sustained operational improvement to reach breakeven.

Team Business Overview & Revenue Model

Company Description

Team, Inc., together with its subsidiaries, provides asset performance assurance and optimization solutions in the United States, Canada, Europe, and internationally. It operates through Inspection and Heat Treating (IHT), Mechanical Services (MS), and Quest Integrity segments. The IHT segment offers non-destructive evaluation and testing, radiographic testing, ultrasonic testing, magnetic particle inspection, liquid penetrant inspection, positive material identification, electromagnetic testing, alternating current field measurement, and eddy current testing services. This segment also provides long-range guided ultrasonic testing, phased array ultrasonic testing, terminals and storage inspection and management program, rope access, mechanical and pipeline integrity, heat treating, and robotics and inspection services. The MS segment offers engineered composite repair, emissions control/compliance, hot tapping, valve insertion, field machining, bolted joint integrity, vapor barrier plug and weld testing, and valve management services, as well as leak repair services for pipes, valves, and flanges, as well as other parts of piping systems, pipelines, and related assets. The Quest Integrity segment provides furnace tube inspection system-enabled, in-line inspection, pipeline integrity management, engineering and condition assessment, and robotics and inspection services. It also offers onstream services comprising of line stopping and on-line valve insertion solutions. The company serves refining, power, renewables, nuclear, liquefied natural gas, chemical, petrochemical, pulp and paper, automotive, mining, valves, terminals and storage, pipeline, offshore oil and gas, and aerospace and defense industries, as well as amusement parks, bridges, ports, construction and buildings, roads, dams, and railways. Team, Inc. was founded in 1973 and is headquartered in Sugar Land, Texas.

How the Company Makes Money

Team (TISI) generates revenue through various streams, including the sale of telecommunications equipment, subscription-based managed services, and software licensing fees. A significant portion of its income comes from long-term contracts with government agencies and large enterprises that require robust communication solutions. Additionally, TISI has established strategic partnerships with leading technology providers, which enable it to offer bundled services and expand its market reach. The company's focus on innovation and customer-centric solutions further enhances its ability to attract new clients and retain existing ones, contributing to its overall financial performance.

Team Financial Statement Overview

Summary

Financials reflect meaningful strain: the balance sheet is the key weakness with high leverage and negative equity (high financial risk). Profitability remains challenged with negative net margins and low EBIT/EBITDA margins, while cash flow is mixed with negative operating cash flow despite some free-cash-flow improvement.

Income Statement

The income statement shows a mixed performance. The gross profit margin is relatively stable, but the net profit margin is negative, indicating losses. Revenue growth is positive in the TTM period, but historical fluctuations suggest instability. EBIT and EBITDA margins are low, reflecting operational challenges.

Balance Sheet

The balance sheet reveals high leverage with a negative equity position in the TTM period, indicating financial risk. The debt-to-equity ratio is extremely high, and return on equity is volatile, reflecting poor shareholder returns. The equity ratio is negative, highlighting financial instability.

Cash Flow

Cash flow analysis shows improvement in free cash flow growth, but operating cash flow is negative, indicating liquidity issues. The free cash flow to net income ratio is positive, suggesting some efficiency in converting earnings to cash, but overall cash flow remains a concern.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	884.95M	852.27M	862.62M	840.21M	794.20M	852.54M
Gross Profit	230.74M	223.15M	211.15M	201.61M	171.50M	238.71M
EBITDA	43.86M	46.87M	25.24M	-2.59M	-36.69M	23.95M
Net Income	-52.61M	-38.27M	-75.72M	70.08M	-186.02M	-237.20M
Balance Sheet
Total Assets	531.05M	528.37M	565.74M	616.64M	706.54M	730.98M
Cash, Cash Equivalents and Short-Term Investments	14.81M	35.55M	35.43M	58.08M	55.19M	24.59M
Total Debt	351.19M	368.53M	355.62M	338.58M	468.88M	382.08M
Total Liabilities	499.06M	526.63M	520.15M	498.88M	654.68M	516.37M
Stockholders Equity	31.99M	1.74M	45.60M	117.76M	51.87M	214.60M
Cash Flow
Free Cash Flow	-15.66M	13.30M	-21.42M	-77.90M	-53.06M	32.81M
Operating Cash Flow	-6.50M	22.77M	-10.99M	-53.21M	-35.45M	52.76M
Investing Cash Flow	-9.07M	-9.30M	-10.02M	243.36M	-14.08M	-18.30M
Financing Cash Flow	11.36M	-12.75M	-1.90M	-191.97M	91.85M	-23.46M

Team Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 14.21
• 50DMA: Negative
• 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 TISI, the sentiment is Positive. The current price of 14.21 is above the 20-day moving average (MA) of 14.19, below the 50-day MA of 14.52, and below the 200-day MA of 17.25, indicating a neutral trend. The MACD of -0.05 indicates Negative momentum. The RSI at 51.75 is Neutral, neither overbought nor oversold. The STOCH value of 77.84 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TISI.

Team Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
CVEO	54 Neutral	$291.57M	-11.98	-12.34%	4.25%	-10.51%	-247.97%
DLHC	53 Neutral	$82.76M	61.13	1.22%	―	-12.99%	-81.86%
TISI	46 Neutral	$65.33M	-1.22	-210.92%	―	3.73%	3.56%
SGRP	44 Neutral	$19.02M	-0.87	-93.99%	―	-35.72%	-277.39%
PMEC	42 Neutral	$36.50M	-18.34	-13.00%	―	2.52%	45.76%
SST	41 Neutral	$39.69M	-0.46	-99.29%	―	-20.49%	25.95%

Team Corporate Events

Team Announces CEO Transition and Leadership Change

On January 26, 2026, Team, Inc. announced that longtime executive Keith Tucker will retire and step down as chief executive officer effective January 31, 2026, after more than 20 years with the company, with his departure described as amicable and not stemming from any dispute over operations or policies. As part of a planned leadership transition following a recent strategic investment by Stellex and against the backdrop of reaffirmed 2025 guidance, the board has appointed industrial-services veteran Gary Hill as CEO effective February 1, 2026, under a compensation package featuring a $750,000 base salary, significant performance-based equity incentives and enhanced severance protections, signaling a push to accelerate growth and margin improvement while maintaining continuity for employees, customers and shareholders.

The most recent analyst rating on (TISI) stock is a Hold with a $14.00 price target. To see the full list of analyst forecasts on Team stock, see the TISI Stock Forecast page.

Team Inc. Expands Board with New Appointments

On October 24, 2025, Team, Inc. announced significant changes to its Board of Directors, including the appointment of K. Niclas Ytterdahl and Michael Stewart, nominated by Stellex Capital Management, as directors. This expansion increased the Board from seven to nine members, with Mr. Ytterdahl joining the Audit and Corporate Governance Committees and Mr. Stewart joining the Compensation Committee. Additionally, Michael J. Caliel was reinstated as non-executive Chairman, and Jeffery G. Davis announced his resignation effective December 31, 2025, which will reduce the Board to eight members. These changes are part of the company’s strategic efforts to enhance its governance and operational performance.

The most recent analyst rating on (TISI) stock is a Hold with a $13.00 price target. To see the full list of analyst forecasts on Team stock, see the TISI Stock Forecast page.