TechnipFMC plc (FTI) stock analysis

P/E below its 5-year median

TechnipFMC's P/E of 20.3 is below its own 5-year median of 24.3.

P/E below the industry

TechnipFMC's P/E of 20.3 is below the Construction, Mining, and Materials Handling median of 29.1.

EV/EBITDA below its 5-year median

TechnipFMC's EV/EBITDA of 11.1 is below its 5-year median of 14.1.

P/B above the industry

TechnipFMC's price-to-book of 7.54 is above the Construction, Mining, and Materials Handling median of 1.38.

Trading below fair value

The share price of $64.55 is below our fair value estimate of $79.35.

Margin of safety under 20%

The price is 18.7% below fair value, less than the 20% cushion we look for.

Revenue growing 10%+ a year

Revenue grew 14.0% a year over the last three fiscal years.

EPS growth over 3 years

Needs positive EPS three years ago and today.

Earnings acceleration

Needs positive net income now, a year ago and five years ago.

Growing slower than the industry

Revenue grew 9.1% over the last twelve months; the Construction, Mining, and Materials Handling median is 10.4%.

Guidance lowered

TechnipFMC lowered its 2026 Revenue outlook on Oct 29, 2026.

Gross margin trend

This company does not report gross profit.

Return on equity under 15%

Return on equity was 38.6% over the last twelve months and averaged 11.2% over five years; we look for 15% on both.

Return on capital over 10%

Return on invested capital was 50.6%, above the 10% that usually covers the cost of capital.

Return on equity above the industry

TechnipFMC's return on equity of 38.6% is above the Construction, Mining, and Materials Handling median of 4.5%.

Earnings over 5 years

Needs positive net income five years ago and in the latest year.

Net margin above its 5-year average

Net margin was 12.0% over the last twelve months, against a 5-year average of 3.7%.

Net margin above the industry

TechnipFMC's net margin of 12.0% is above the Construction, Mining, and Materials Handling median of 2.6%.

Low debt

Debt is 12.1% of shareholders' equity, under the 40% we consider low.

Debt falling against equity

Debt to equity fell from 83.3% five years ago to 12.1%.

Debt covered by cash flow

Operating cash flow over the last twelve months equals 462% of total debt.

Interest well covered

Operating income covers interest expense 30.9 times.

Short-term assets cover short-term debts

Current assets are 1.09 times current liabilities.

Low bankruptcy risk

The Altman Z-score is 3.30; above 3 is the safe zone and below 1.8 the distress zone.

Pays a dividend

TechnipFMC paid dividends worth 0.3% of the share price over the last twelve months.

Yield below Treasuries

The 0.3% yield is below the 4.4% on a 1-year Treasury.

Yield below the top quarter

The top quarter of US dividend payers yield 3.8% or more; TechnipFMC yields 0.3%.

Dividend was cut

The dividend per share fell by more than 10% at least once in the last 7 fiscal years.

Covered by earnings

Dividends take 6.2% of net income.

Covered by free cash flow

Dividends take 5.0% of free cash flow.