Innovex International, Inc. (INVX) stock analysis

P/E against its history

Not enough price and earnings history to compare.

P/E above the industry

Innovex International's P/E of 36.6 is above the Construction, Mining, and Materials Handling median of 29.1.

EV/EBITDA above its 5-year median

Innovex International's EV/EBITDA of 11.9 is above its 5-year median of 7.7.

P/B above the industry

Innovex International's price-to-book of 1.58 is above the Construction, Mining, and Materials Handling median of 1.38.

Trading above fair value

The share price of $25.25 is above our fair value estimate of $20.11.

Margin of safety under 20%

The price is 25.6% above fair value, so there is no margin of safety.

Revenue growing 10%+ a year

Revenue grew 27.9% a year over the last three fiscal years.

EPS growing under 10% a year

Diluted EPS grew -15.8% a year over the last three fiscal years.

Earnings acceleration

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

Growing slower than the industry

Revenue grew 7.0% over the last twelve months; the Construction, Mining, and Materials Handling median is 10.4%.

Guidance issued

The latest outlook (fourth quarter of 2026 total revenue, Oct 29, 2026) was issued for the first time, so it neither adds nor takes away points.

Gross margin improving

Gross margin was 33.6% over the last twelve months, against 32.3% a year earlier.

Return on equity under 15%

Return on equity was 4.5% over the last twelve months and averaged 12.8% over five years; we look for 15% on both.

Return on capital under 10%

Return on invested capital was 4.9%, below the 10% that usually covers the cost of capital.

Return on equity below the industry

Innovex International's return on equity of 4.5% is below 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 4.8% over the last twelve months, against a 5-year average of 3.4%.

Net margin above the industry

Innovex International's net margin of 4.8% is above the Construction, Mining, and Materials Handling median of 2.6%.

Low debt

Debt is 2.2% of shareholders' equity, under the 40% we consider low.

Debt trend

Needs a balance sheet from five years ago with positive equity.

Debt covered by cash flow

Operating cash flow over the last twelve months equals 613% of total debt.

Interest well covered

Operating income covers interest expense 19.1 times.

Short-term assets cover short-term debts

Current assets are 4.43 times current liabilities.

Low bankruptcy risk

The Altman Z-score is 5.28; above 3 is the safe zone and below 1.8 the distress zone.

No dividend

Innovex International has not paid a dividend in the last twelve months.

Yield against Treasuries

No dividend.

Yield against the market

No dividend.

Dividend stability

No dividend.

Earnings cover

No dividend.

Cash-flow cover

No dividend.