📊 RES Key Takeaways
Is Rpc Inc. (RES) a Good Investment?
RPC is experiencing severe margin compression with net margins of just 0.2% despite 15% revenue growth, indicating significant operational inefficiency. Negative free cash flow and 65% YoY EPS decline signal the company is not generating adequate returns on capital to justify continued investment.
RPC shows solid top-line growth and an exceptionally strong balance sheet with no long-term debt, ample cash, and robust liquidity. However, profitability and returns are weak, with thin margins, modest net income growth, and a sharp decline in EPS despite higher revenue. A hold is warranted pending clear evidence of margin expansion and stronger, sustained free cash flow.
Why Buy Rpc Inc. Stock? RES Key Strengths
- Strong balance sheet with $1.1B stockholders equity and zero long-term debt
- Solid liquidity with 3.13x current ratio and 2.61x quick ratio
- Revenue growth of 15% YoY demonstrates market demand for services
- Debt-free balance sheet with ~$210M cash and strong liquidity (current 3.24x, quick 2.70x)
- Healthy operating cash flow (~$201M) covering capex, yielding positive FCF
- Double-digit revenue growth (+15% YoY) and very high interest coverage (~191x)
RES Stock Risks: Rpc Inc. Investment Risks
- Negative free cash flow (-$932K) despite $31.2M operating cash flow indicates unsustainable capex spend
- Critically low profitability: 0.2% net margin and 0.6% operating margin on $454.8M revenue
- EPS declined 65% YoY while revenue grew 15%, revealing severe operational deterioration
- Capital expenditures ($32.1M) exceed operating cash flow, requiring balance sheet drawdown
- ROE and ROA essentially zero (0.1%) indicate capital is not generating returns
- Thin profitability and low returns (2.8% operating margin, ROE 2.9%)
- EPS down 65% YoY indicates weaker per-share economics and potential dilution/mix pressure
- High capital intensity and cyclical oilfield demand can pressure utilization and FCF
Key Metrics to Watch
- Free cash flow trend - must turn positive to validate investment thesis
- Operating margin expansion - 0.6% is unsustainable and must improve
- Capital expenditure efficiency and return on invested capital
- Cost structure management relative to revenue growth
- Operating margin (and incremental margins)
- Free cash flow margin and capex intensity
Rpc Inc. (RES) Financial Metrics & Key Ratios
💡 AI Analyst Insight
Strong liquidity with a 3.13x current ratio provides a solid financial cushion.
RES Profit Margin, ROE & Profitability Analysis
RES vs Energy Sector: How Rpc Inc. Compares
How Rpc Inc. compares to Energy sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Rpc Inc. Stock Overvalued? RES Valuation Analysis 2026
Based on fundamental analysis, Rpc Inc. has mixed fundamental signals relative to the Energy sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Rpc Inc. Balance Sheet: RES Debt, Cash & Liquidity
RES Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Rpc Inc.'s revenue has grown significantly by 33% over the 5-year period, indicating strong business expansion. The most recent EPS of $0.90 reflects profitable operations.
RES Revenue Growth, EPS Growth & YoY Performance
RES Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q1 2026 | $332.9M | $855.0K | $0.00 |
| Q3 2025 | $337.7M | $10.1M | $0.06 |
| Q2 2025 | $364.2M | $10.1M | $0.05 |
| Q1 2025 | $332.9M | $12.0M | $0.06 |
| Q3 2024 | $330.4M | $18.3M | $0.08 |
| Q2 2024 | $364.2M | $27.5M | $0.15 |
| Q1 2024 | $377.8M | $27.5M | $0.13 |
| Q3 2023 | $330.4M | $15.1M | $0.08 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Rpc Inc. Dividends, Buybacks & Capital Allocation
RES SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Rpc Inc. (CIK: 0000742278)
📋 Recent SEC Filings
❓ Frequently Asked Questions about RES
What is the AI rating for RES?
Rpc Inc. (RES) has a Combined AI Rating of SELL from Claude (SELL) and ChatGPT (HOLD) with 72% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are RES's key strengths?
Claude: Strong balance sheet with $1.1B stockholders equity and zero long-term debt. Solid liquidity with 3.13x current ratio and 2.61x quick ratio. ChatGPT: Debt-free balance sheet with ~$210M cash and strong liquidity (current 3.24x, quick 2.70x). Healthy operating cash flow (~$201M) covering capex, yielding positive FCF.
What are the risks of investing in RES?
Claude: Negative free cash flow (-$932K) despite $31.2M operating cash flow indicates unsustainable capex spend. Critically low profitability: 0.2% net margin and 0.6% operating margin on $454.8M revenue. ChatGPT: Thin profitability and low returns (2.8% operating margin, ROE 2.9%). EPS down 65% YoY indicates weaker per-share economics and potential dilution/mix pressure.
What is RES's revenue and growth?
Rpc Inc. reported revenue of $454.8M.
Does RES pay dividends?
Rpc Inc. pays dividends, with $8.9M distributed to shareholders in the trailing twelve months.
Where can I find RES SEC filings?
Official SEC filings for Rpc Inc. (CIK: 0000742278) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is RES's EPS?
Rpc Inc. has a diluted EPS of $0.00.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is RES a good stock to buy right now?
Based on our AI fundamental analysis in May 2026, Rpc Inc. has a SELL rating with 72% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is RES stock overvalued or undervalued?
Valuation metrics for RES: ROE of 0.1% (sector avg: 14%), net margin of 0.2% (sector avg: 12%). Compare these metrics with sector averages to assess valuation.
Should I buy RES stock in 2026?
Our dual AI analysis gives Rpc Inc. a combined SELL rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is RES's free cash flow?
Rpc Inc.'s operating cash flow is $31.2M, with capital expenditures of $32.1M. FCF margin is -0.2%.
How does RES compare to other Energy stocks?
Vs Energy sector averages: Net margin 0.2% (avg: 12%), ROE 0.1% (avg: 14%), current ratio 3.13 (avg: 1.3).