Team (TISI) AI Stock Analysis

• Market Cap: $88.27M
• Dividend Yield: N/A
• Average Volume (3M): 6.71K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.36
• Revenue Growth: 2.55%
• EPS Growth: 6.88%
• Country: US
• Employees: 5,400
• Sector: Industrials
• Sector Strength: 79
• Industry: Specialty Business Services
• EPS (TTM): -0.95
• Shares Outstanding: 4,498,854
• 10 Day Avg. Volume: 10,019
• 30 Day Avg. Volume: 6,709
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 5.41
• Enterprise Value/Revenue: 0.55
• Enterprise Value/Gross Profit: 2.16
• Enterprise Value/Ebitda: -7.66
• 1Y Price Target: $19.00
• Price Target Upside: -1.91% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 50 Neutral
• Price Target: $19.00 ▼(-1.91% Downside)

The overall stock score is primarily impacted by significant financial challenges, including negative profitability and high leverage. However, strong revenue growth and improvements in adjusted EBITDA from the earnings call provide a positive outlook. Technical indicators suggest stable momentum, but poor valuation metrics remain a concern.

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 multiple streams, including the sale of specialized equipment and technologies, consulting services, and maintenance contracts. The company capitalizes on its expertise in engineering and project management to offer tailored solutions, which are often accompanied by long-term service agreements. Key revenue drivers include contracts with government and military sectors, partnerships with private industry leaders, and participation in large-scale infrastructure projects. Additionally, TISI benefits from strategic alliances with other firms that enhance its service offerings and market reach, further contributing to its earnings.

Team Financial Statement Overview

Summary

The company is facing significant financial challenges, with negative net profit margins and high leverage. The balance sheet shows negative equity, and cash flows are declining. These factors indicate financial distress and the need for strategic restructuring.

Income Statement

The income statement shows a mixed performance. Revenue has grown slightly by 2.28% in the TTM period, but the company is struggling with profitability. The gross profit margin is moderate at around 26%, but the net profit margin is negative, indicating losses. EBIT and EBITDA margins are also negative, suggesting operational inefficiencies. The company needs to improve its cost management and operational efficiency to enhance profitability.

Balance Sheet

The balance sheet reveals significant financial leverage with a negative stockholders' equity, resulting in an extremely high debt-to-equity ratio. This high leverage poses a risk to financial stability. The return on equity is positive in the TTM period, but this is due to negative equity, which is not sustainable. The equity ratio is negative, indicating that liabilities exceed assets, which is a concerning sign of financial distress.

Cash Flow

Cash flow analysis shows challenges in generating positive cash flows. The operating cash flow is negative, and free cash flow has declined by 18.17% in the TTM period. However, the free cash flow to net income ratio is positive, indicating that the company is managing to convert some of its losses into cash flow. Improving cash flow generation is crucial for the company's financial health.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	870.74M	852.27M	862.62M	840.21M	874.55M	852.54M
Gross Profit	220.81M	223.15M	211.15M	201.61M	214.44M	238.71M
EBITDA	-62.36M	49.11M	21.91M	-24.13M	-88.47M	-176.19M
Net Income	-52.29M	-38.27M	-75.72M	-150.09M	-186.02M	-237.20M
Balance Sheet
Total Assets	548.36M	528.37M	565.74M	616.64M	704.49M	730.98M
Cash, Cash Equivalents and Short-Term Investments	20.71M	35.55M	35.43M	58.08M	65.31M	24.59M
Total Debt	416.51M	368.53M	355.62M	285.94M	405.86M	312.50M
Total Liabilities	571.28M	526.63M	520.15M	498.88M	652.62M	516.37M
Stockholders Equity	-22.92M	1.74M	45.60M	117.76M	51.87M	214.60M
Cash Flow
Free Cash Flow	-12.79M	13.30M	-21.42M	-82.63M	-53.06M	32.81M
Operating Cash Flow	-4.77M	22.77M	-10.99M	-57.94M	-35.45M	52.76M
Investing Cash Flow	-7.99M	-9.30M	-10.02M	243.36M	-14.08M	-18.30M
Financing Cash Flow	10.91M	-12.75M	-1.90M	-191.97M	91.85M	-23.46M

Team Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 19.37
• 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 TISI, the sentiment is Positive. The current price of 19.37 is above the 20-day moving average (MA) of 18.10, above the 50-day MA of 18.06, and above the 200-day MA of 17.75, indicating a bullish trend. The MACD of 0.44 indicates Negative momentum. The RSI at 57.87 is Neutral, neither overbought nor oversold. The STOCH value of 82.88 is Negative, 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
MMS	76 Outperform	$4.87B	15.93	17.61%	1.37%	3.40%	13.75%
ABM	75 Outperform	$3.04B	39.16	4.30%	2.08%	3.52%	-67.27%
UNF	74 Outperform	$3.13B	21.58	7.15%	0.78%	4.18%	18.93%
ARMK	67 Neutral	$10.36B	29.17	12.00%	1.07%	-0.06%	3.83%
Sector *	64 Neutral	$10.96B	16.35	8.89%	1.96%	2.68%	-15.17%
CVEO	52 Neutral	$296.47M	19.41	-13.15%	4.22%	-10.60%	-201.64%
TISI	50 Neutral	$88.27M	―	-9999.00%	―	2.55%	6.88%

Team Corporate Events

Team Inc. Holds Annual Shareholders Meeting

On June 18, 2025, Team, Inc. held its Annual Meeting of Shareholders where four proposals were considered. The shareholders re-elected two Class III directors, approved executive officer compensation for 2025, ratified KPMG LLP as the independent public accounting firm for the fiscal year ending December 31, 2025, and approved an amendment to the company’s Certificate of Incorporation regarding the removal of directors for cause.