National Energy Services Reunited Corp Ordinary Shares (NESR)

FairStock Score: 30/100 — RISKY

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I look at NESR as a MENA oilfield-services turnaround, not a franchise. The company supplies hydraulic fracturing, cementing, coiled tubing and related production services to an industry where customers control pricing and capital spending. There is regional scale and operating relationships, but I see no wide moat. FairStock labels it a Peter Lynch TURNAROUND, based on returning to profit after a loss within the last three years. The filed record supports that: in fiscal Q2 2026, the quarter ended 2026-06-30, revenue was $520.8 million and net income $44.0 million, versus revenue of $327.4 million and net income of $15.2 million in fiscal Q2 2025. Fiscal Q1 2026 also improved to $404.6 million of revenue and $23.8 million of net income from $303.1 million and $10.4 million in fiscal Q1 2025. Yet full-year fiscal 2025 net income was $51.1 million, down from $76.3 million in fiscal 2024, so the recovery is young and volatile. Financial health is mixed. Debt-to-equity of 0.29 looks manageable, trailing free cash flow was $156.3 million, a 7.4% FCF yield, and the Piotroski F-score is 7/9. But FairStock calculates ROCE of only 4.77%, an Altman Z-score of 1.65, and a Graham Number of $14.62. At the 2026-10-13 close of $21.03, that leaves a negative 43.84% margin of safety. FairStock also shows a P/E of 22.86 and P/B of 2.04. EV/EBITDA of 7.85 is not demanding, but for a cyclical, capital-intensive servicer with modest returns, I want a larger discount. The FairStock score of 30/100 reinforces caution.

In plain English: National Energy Services Reunited provides oilfield services such as fracking, cementing and coiled tubing, mostly in the Middle East and North Africa. The business is showing a strong recent rebound, with the June 2026 quarter much better than a year earlier, but full-year profits have been uneven and returns on capital are modest. At $21.03, the shares look expensive compared with the company's assets and a conservative earnings-based value, even though cash flow is solid.

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Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q2 2026 10-Q (period ended 2026-06-30) · fiscal Q1 2026 10-Q (period ended 2026-03-31) · fiscal Q2 2025 10-Q (period ended 2025-06-30) · fiscal Q1 2025 10-Q (period ended 2025-03-31) · FY2025 10-K (period ended 2025-12-31) · FY2024 10-K (period ended 2024-12-31) · FY2023 10-K (period ended 2023-12-31)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer