Trican Well Service (TCW) AI Stock Analysis

• Market Cap: $1.02B
• Dividend Yield: 3.33%
• Average Volume (3M): 568.06K
• Price to Earnings (P/E): 10.5
• Beta (1Y): 0.63
• Revenue Growth: -2.14%
• EPS Growth: -6.88%
• Country: CA
• Employees: 1,200
• Sector: Energy
• Sector Strength: 49
• Industry: Oil & Gas Equipment & Services
• EPS (TTM): 0.11
• Shares Outstanding: 178,458,650
• 10 Day Avg. Volume: 569,200
• 30 Day Avg. Volume: 568,059
• PEG Ratio: -5.24
• Price to Book (P/B): 2.10
• Price to Sales (P/S): 1.05
• P/FCF Ratio: 12.85
• Enterprise Value/Market Cap: 0.80
• Enterprise Value/Revenue: 0.84
• Enterprise Value/Gross Profit: 4.39
• Enterprise Value/Ebitda: 3.79
• 1Y Price Target: $6.31
• Price Target Upside: 9.05% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 3

• Rating: 79 Outperform
• Price Target: C$6.50 ▲(12.26% Upside)

Trican Well Service's overall stock score reflects its strong financial performance and attractive valuation. The company's strategic initiatives and solid technical indicators further support its positive outlook, despite challenges in pricing and cost pressures.

Positive Factors

Acquisition Impact

The acquisition of Iron Horse Energy Services is expected to generate significant earnings per share and cash flow per share accretion due to Iron Horse's low overhead and minimal capital expenditure requirements.

Financial Performance

TCW delivered Q2/25 results ahead of expectations.

Shareholder Returns

Shareholders should continue to be rewarded through TCW's best-in-class shareholder return program and earnings accretion from the pending acquisition of Iron Horse.

Negative Factors

Growth Prospects

The lack of growth into 2025 combined with TCW's relatively expensive valuation causes a more neutral approach to the shares.

Valuation Concerns

Valuation is the only pushback with TCW trading at ~3.5x 2026 EV/EBITDA compared to peers at 2-3x range.

Trican Well Service Business Overview & Revenue Model

Company Description

Trican Well Service (TCW) is a leading provider of oilfield services in North America, specializing in well completion, stimulation, and production enhancement. The company operates primarily in the oil and gas sector, offering a range of services that include hydraulic fracturing, coiled tubing, cementing, and other related technologies. TCW's commitment to innovation and operational excellence positions it as a key player in the energy industry, catering to the needs of exploration and production companies seeking efficient and effective solutions for their well operations.

How the Company Makes Money

Trican Well Service generates revenue primarily through its diverse array of well service offerings, particularly hydraulic fracturing services, which are critical for enhancing oil and gas production. The company's revenue model is based on charging clients for the services rendered, which can include daily rates for equipment and personnel, as well as fees based on the volume of materials used during operations. Key revenue streams stem from contracts with exploration and production companies, both on a short-term and long-term basis. Additionally, TCW benefits from strategic partnerships with major oil and gas operators, which provide a steady pipeline of projects and opportunities for collaboration. Market demand, pricing volatility in the oil and gas sector, and operational efficiency also play significant roles in influencing the company's earnings.

Trican Well Service Financial Statement Overview

Summary

Trican Well Service demonstrates strong profitability with robust margins and efficient cash flow management, despite a slight revenue decline. Its low debt-to-equity ratio and strong equity base ensure financial stability.

Income Statement

Trican Well Service demonstrates strong profitability with a TTM gross profit margin of 18.41% and net profit margin of 10.35%. The revenue growth rate from the previous year shows a modest decline of 1.31% in the latest annual report but remains strong over a multi-year horizon. EBIT and EBITDA margins indicate healthy operational efficiency, supporting robust profit generation.

Balance Sheet

The company maintains a solid balance sheet with a low debt-to-equity ratio of 0.07, indicating prudent leverage management. Return on equity is 20.09%, reflecting effective utilization of equity. The equity ratio of 74.20% signifies a strong equity base, providing stability against liabilities.

Cash Flow

Trican Well Service shows strong cash flow management with a 44.73% increase in free cash flow year-over-year. The operating cash flow to net income ratio of 1.87 indicates robust cash generation capability relative to its net income. The free cash flow to net income ratio of 1.15 further highlights efficient cash utilization for strategic investments and debt management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	969.97M	980.84M	972.68M	866.29M	562.48M	397.02M
Gross Profit	185.93M	190.00M	201.15M	150.34M	43.29M	-40.57M
EBITDA	215.09M	225.54M	238.76M	190.68M	101.76M	-144.44M
Net Income	103.43M	109.48M	121.01M	79.22M	12.06M	-233.32M
Balance Sheet
Total Assets	639.34M	683.07M	710.44M	671.12M	577.84M	563.21M
Cash, Cash Equivalents and Short-Term Investments	36.34M	26.28M	88.75M	58.11M	29.51M	22.61M
Total Debt	19.68M	20.01M	18.14M	42.39M	10.32M	13.77M
Total Liabilities	162.84M	194.68M	193.38M	166.45M	88.44M	70.94M
Stockholders Equity	476.50M	488.39M	517.07M	504.67M	489.40M	492.27M
Cash Flow
Free Cash Flow	154.38M	79.78M	169.17M	48.61M	20.21M	57.98M
Operating Cash Flow	216.99M	154.84M	248.46M	152.23M	74.10M	70.77M
Investing Cash Flow	-76.56M	-75.92M	-75.09M	-85.80M	-39.35M	13.26M
Financing Cash Flow	-140.07M	-141.39M	-142.73M	-37.83M	-27.84M	-68.67M

Trican Well Service Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 5.79
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:TCW, the sentiment is Positive. The current price of 5.79 is above the 20-day moving average (MA) of 5.74, above the 50-day MA of 5.35, and above the 200-day MA of 4.74, indicating a bullish trend. The MACD of 0.12 indicates Positive momentum. The RSI at 56.91 is Neutral, neither overbought nor oversold. The STOCH value of 25.66 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:TCW.

Trican Well Service Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TCW	79 Outperform	$1.02B	10.49	20.50%	3.33%	-2.14%	-6.88%
TOT	79 Outperform	C$457.76M	7.11	11.66%	3.01%	14.74%	62.76%
CEU	76 Outperform	$1.72B	9.61	23.31%	1.84%	8.36%	2.09%
EFX	74 Outperform	C$1.61B	8.97	12.21%	1.14%	-0.41%	―
Sector *	54 Neutral	C$4.15B	0.97	16.40%	5.23%	10.45%	-57.37%
STEP	54 Neutral	C$309.71M	151.92	-5.02%	―	-6.25%	-129.86%
CFW	52 Neutral	C$288.59M	29.62	1.53%	―	-4.63%	-92.13%

Trican Well Service Corporate Events

Trican Well Service Reports Q2 Growth and Strategic Acquisition

Trican Well Service Ltd. reported a slight increase in its second-quarter results for 2025, with revenues reaching $213.8 million despite ongoing challenges in natural gas prices. The company announced a strategic acquisition of Iron Horse Coiled Tubing Inc., which is expected to enhance its service offerings in key Canadian regions. Additionally, Trican continues to execute its capital return strategy through share buybacks and dividends, reflecting its strong financial position.

The most recent analyst rating on (TSE:TCW) stock is a Buy with a C$6.00 price target. To see the full list of analyst forecasts on Trican Well Service stock, see the TSE:TCW Stock Forecast page.

Trican Well Service Acquires Iron Horse Energy Services and Increases Dividend

Trican Well Service Ltd. announced its acquisition of Iron Horse Energy Services, a private fracturing and coiled tubing services provider, for approximately $77.35 million in cash and 33.76 million common shares. This strategic acquisition is expected to enhance Trican’s operational expertise and expand its customer base in Alberta and Saskatchewan, providing significant accretion to EBITDA, free cash flow, and earnings for Trican shareholders. Additionally, Trican announced a 10% increase in its base dividend, reflecting the anticipated positive impact of the acquisition on its financial performance.

The most recent analyst rating on (TSE:TCW) stock is a Buy with a C$6.00 price target. To see the full list of analyst forecasts on Trican Well Service stock, see the TSE:TCW Stock Forecast page.

Trican Well Service to Announce Q2 2025 Results and Host Conference Call

Trican Well Service Ltd. announced it will release its Second Quarter 2025 financial results on July 29, 2025, followed by a conference call on July 30, 2025, to discuss the results. This announcement is significant for stakeholders as it provides insights into the company’s financial health and operational performance, potentially impacting its market positioning and investor relations.

The most recent analyst rating on (TSE:TCW) stock is a Buy with a C$6.00 price target. To see the full list of analyst forecasts on Trican Well Service stock, see the TSE:TCW Stock Forecast page.

Trican Well Service Announces 2025 Annual Meeting Results

Trican Well Service Ltd. announced the results of its 2025 annual and special meeting, where six directors were elected to serve until the next meeting. Shareholders approved the appointment of KPMG LLP as auditors and endorsed the company’s executive compensation approach and stock option plan, indicating strong shareholder support for the company’s governance and strategic direction.

The most recent analyst rating on (TSE:TCW) stock is a Buy with a C$5.50 price target. To see the full list of analyst forecasts on Trican Well Service stock, see the TSE:TCW Stock Forecast page.

Trican Well Service Reports Q1 2025 Results Amid Competitive Pressures

Trican Well Service Ltd. reported a decrease in its first-quarter 2025 financial results compared to the previous year, primarily due to a competitive pricing environment and inflationary cost pressures. Despite the lower revenue and profits, the company maintained a strong balance sheet with positive working capital, allowing for continued shareholder returns through dividends and share buybacks. Trican’s ongoing commitment to its Normal Course Issuer Bid (NCIB) program and increased quarterly dividend reflects its strategic focus on returning capital to shareholders, while maintaining financial flexibility for future operations.

The most recent analyst rating on (TSE:TCW) stock is a Buy with a C$5.50 price target. To see the full list of analyst forecasts on Trican Well Service stock, see the TSE:TCW Stock Forecast page.