# RPC (RES.US)

Canonical: https://gigainvestors.com/s/RES

Analysis as of: 2026-10-16T07:31:31.688Z. Financial observations: FY1996–FY2026.

Listing currency: USD. Reporting currency: USD.

## Verdict

Not a wonderful business

Quality tests for Buy: not passed (profit record: fail; earnings resilience is evidence only). Published buy qualification: no.

Share price: $5.92 per share; close as of 2026-10-15.

Estimated value: low $3.20 per share, central $3.70 per share, high $4.21 per share. Buy at or below the central value $3.70 per share. Valuation as of 2026-10-16T07:31:31.688Z; scenarios are not confidence intervals.

Expected annual return: 7.0% at the stated quote. About 7.0% a year at today's price (required return 10.0%). required return 10.0% a year (10% floor; US 10-year bond 5.1% + 4 points).

## Checklist

### understandable: fail

- 3 revenue declines in the last 10 years (informational)

- operating margin variation exceeds 0.35

- Financial history: 10 years

- Years with declining revenue: 3

- Years with a net loss: 2

- Operating margin variation: 13.88×

Chart: Operating margin; fiscal year observations.

- FY2017: 0.14×

- FY2018: 0.12×

- FY2019: -0.09×

- FY2020: -0.52×

- FY2021: 0.02×

- FY2022: 0.18×

- FY2023: 0.15×

- FY2024: 0.07×

- FY2025: 0.03×

- LTM to Jun 2026: 0.03×

### moat: fail

- ROIC median below threshold

- ROIC worst years below threshold (more than 1 bad year allowed)

- Recent gross margin fell 16.3pp below the typical margin (limit 4pp)

- ROIC, median of available years: 7.5%

- ROIC, second-lowest year: -11.5%

- Typical minus recent gross margin: 16.3 pp

- Typical gross margin (annual median): 25.8%

- Recent gross margin (lower of latest and 3-year median): 9.4%

- Years with nonpositive capital: 0

- Capital spending / revenue: 10.0%

- ROIC including acquisitions, ten-year median: 5.5%

Chart: ROIC excluding acquisitions; fiscal year observations.

- FY2017: 20.0%

- FY2018: 20.8%

- FY2019: -11.5%

- FY2020: -44.9%

- FY2021: 1.8%

- FY2022: 29.8%

- FY2023: 24.0%

- FY2024: 10.8%

- FY2025: 4.1%

- LTM to Jun 2026: 4.2%

### economics: fail

- owner earnings cash conversion below threshold

- Owner earnings / net income, 5-yr: 0.75×

- Cash conversion uses consolidated totals: No

- Owner earnings, five-year total: $407M

- Net income, five-year total: $544M

- Return on incremental invested capital: 192.3%

- Working capital / revenue, annual change: -1.0 pp

- Working capital / revenue, change between three-year averages: -6.2 pp

- Working capital / revenue, final three-year average: 22.3%

Chart: Annual owner cash / profit; fiscal year observations.

- FY2021: 1.70×

- FY2022: 1.00×

- FY2023: 0.66×

- FY2024: 0.04×

- FY2025: 1.40×

### management: fail

- Historical market-dollar context (not the management verdict): 2016 to 2025 (9 years)

- buybacks leaned toward cheaper years (informational)

- ROIC first 3 years vs last 3 years: 20.0% vs 10.8%

- Per-share earnings: -0.47 to 0.43 (three-year endpoint medians)

- acquired goodwill and intangibles (proxy) exceeds half of ten-year net income with low and deteriorating ROIC

- Management verdict uses per-share economic progress: Yes

- Ordinary dilution, 10-year annual growth: 0.1%

- Ordinary dilution, 5-year annual growth: -0.0%

- Market cap gain: -$3.1B

- Cumulative retained earnings: $277M

- Diluted shares, 10-year annual growth: 0.1%

- Diluted shares, 5-year annual growth: -0.0%

- $1 test, starting fiscal year: FY2016

- $1 test, ending fiscal year: FY2025

- Per-share value change: $0.91

- Per-share value, starting three-year median: -$0.47

- Per-share value, ending three-year median: $0.43

- Buybacks concentrated in cheaper years (correlation): 0.35

- Average buyback yield: 0.6%

- Buyback history: 10 years

- Debt-funded buybacks: No

- Acquisition spending: $232M

- Cumulative net income, 10 years: $442M

- ROIC, first three-year median: 20.0%

- ROIC, last three-year median: 10.8%

Chart: Earnings per share; fiscal year observations.

- FY2016: -$0.66

- FY2017: $0.75

- FY2018: $0.82

- FY2019: -$0.41

- FY2020: -$1.00

- FY2021: $0.03

- FY2022: $1.02

- FY2023: $0.92

- FY2024: $0.43

- FY2025: $0.15

### accounting: pass

- Sloan accruals: -11.5%

- Receivables to sales index (DSRI): 1.03×

- Restructuring years, last five: 0

- Stock compensation / operating cash flow: 6.2%

- Earnings backed by cash: Yes

- Operating cash / earnings: 6.28×

- Accounting red flags: 0

- Goodwill and intangibles / equity: 0.16×

Chart: Sloan accruals; fiscal year observations.

- FY2016: -23.5%

- FY2017: 2.5%

- FY2018: -17.8%

- FY2019: -26.7%

- FY2020: -35.5%

- FY2021: -4.5%

- FY2022: 1.5%

- FY2023: -15.2%

- FY2024: -18.6%

- FY2025: -11.5%

## Holders

- [Matthew McLennan](https://gigainvestors.com/FE): tracked 13F investor; follow the investor page for holding quarter and amounts.

## Price story

Down 47% since Oct 2022 · "RPC Q1 Earnings Lag Estimates, Revenues Fall Y/Y on Sluggish Demand" (finance.yahoo.com, Apr 2025) · sales +10%

Story as of 2026-10-16T09:59:29.352Z; price observation 2026-10-15.

Price needs cash profits to grow 9% a year for ten years

- 2025-04-25: RPC Q1 Earnings Lag Estimates, Revenues Fall Y/Y on Sluggish Demand ([finance.yahoo.com](https://finance.yahoo.com/news/rpc-q1-earnings-lag-estimates-142100497.html))

- 2025-07-24: Rpc signals cautious outlook for H2 2025 as Pintail boosts Q2 revenues by $99M ([seekingalpha.com](https://seekingalpha.com/news/4471733-rpc-signals-cautious-outlook-for-h2-2025-as-pintail-boosts-q2-revenues-by-99m?utm_source=feed_news_all&utm_medium=referral&feed_item_type=news))

- 2025-11-10: RPC Q3 Earnings Top Estimates on Pressure Pumping Strength ([finance.yahoo.com](https://finance.yahoo.com/news/rpc-q3-earnings-top-estimates-135700495.html))

- 2026-02-04: RES Q4 Earnings Miss Estimates on Higher Costs, Revenues Rise Y/Y ([finance.yahoo.com](https://finance.yahoo.com/news/res-q4-earnings-miss-estimates-153800635.html))

### Sales · FY2025–2026

sales +10%; source https://www.sec.gov/Archives/edgar/data/742278/000110465926021480/res-20251231x10k.htm; observed 2026-02-27.

- FY2017: $1.6B 

- FY2018: $1.7B 

- FY2019: $1.2B 

- FY2020: $598M 

- FY2021: $865M 

- FY2022: $1.6B 

- FY2023: $1.6B 

- FY2024: $1.4B 

- FY2025: $1.6B 

- FY2026: $1.8B 

### Gross margin · FY2026

gross margin 9.4%; source https://www.sec.gov/Archives/edgar/data/742278/000110465926021480/res-20251231x10k.htm; observed 2026-02-27.

- FY2017: 34.1% 

- FY2018: 31.3% 

- FY2019: 24.8% 

- FY2020: 19.6% 

- FY2021: 23.3% 

- FY2022: 32.1% 

- FY2023: 32.6% 

- FY2024: 26.7% 

- FY2025: 14.3% 

- FY2026: 9.4% 

## Owner memo

Memo as of 2026-10-16T08:06:05.509Z.

### How it makes money

Operates in oil & gas equipment & services; annual sales are USD 1.6 billion.

- Source: https://www.sec.gov/Archives/edgar/data/742278/000110465926021480/res-20251231x10k.htm (filed 2026-02-27); FY2025: revenue 1626566000; grossProfit 232491000; margin = grossProfit / revenue.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-15); RES.US: RPC, Inc., together with its subsidiaries, engages provision of a range of oilfield services and equipment for the oil and gas companies involved in the exploration, production, and development of oil and gas properties. The company operates through Technical Services and Support Services segments. The Technical Services segment offers pressure pumping, cementing, downhole tools, coiled tubing, snubbing, nitrogen, well control, wireline, and fishing services that are used in the completion, production, and maintenance of wells, as well as well control training. The Support Services segment provides a range of rental tools drill pipe and related tools, as well as pipe handling, pipe inspection and storage services. It rents its tools for use with onshore and offshore oil and gas well drilling, completion, and workover activities. It operates in Africa, Canada, Argentina, Mexico, Latin America, and the Middle East. The company was incorporated in 1984 and is headquartered in Atlanta, Georgia.

### Why customers stay

Margins ranged from 14.3% to 32.6% during 2023–25; it earns 7.5% on its capital.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-27); FY2023: grossProfit / revenue = 32.6%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-27); FY2024: grossProfit / revenue = 26.7%.

- Source: https://www.sec.gov/Archives/edgar/data/742278/000110465926021480/res-20251231x10k.htm (filed 2026-02-27); FY2025: grossProfit / revenue = 14.3%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-27); 10-year return on capital observations [[2017,0.2002604246229411],[2018,0.207584800874299],[2019,-0.11469990332370805],[2020,-0.4486615994409422],[2021,0.01846382264937891],[2022,0.2976221008334776],[2023,0.2404957675997941],[2024,0.10766551853562692],[2025,0.04101771183552867],[2026,0.04166550914479321]]; median 0.07466551384021006. ROIC follows the displayed moat series; financial companies use return on tangible equity.

### Where the cash goes

Earns over 100% on new investment; paid dividends in 10 of 10 years.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-27); FY2016: growth capex 0; upkeep 33938000; owner earnings 45854000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-27); FY2017: growth capex 0; upkeep 117509000; owner earnings 211560000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-27); FY2018: growth capex 54598168.48674536; upkeep 188011831.51325464; owner earnings 154179168.48674536. Growth capex / owner earnings = 0.3541215653361051.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-27); FY2021: growth capex 0; upkeep 67645000; owner earnings 12258000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-27); FY2022: growth capex 56535000; upkeep 83017000; cash acquisitions 0; owner earnings 218363000. Growth capex plus acquisitions / owner earnings = 0.25890375200926896.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-27); FY2023: growth capex 5639899.418559819; upkeep 175365100.58144018; cash acquisitions 78798000; owner earnings 127870899.41855982. Growth capex plus acquisitions / owner earnings = 0.6603371040831522.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-27); FY2024: growth capex 0; upkeep 219930000; cash acquisitions 0; owner earnings 4089000. Growth capex plus acquisitions / owner earnings = 0.

- Source: https://www.sec.gov/Archives/edgar/data/742278/000110465926021480/res-20251231x10k.htm (filed 2026-02-27); FY2025: growth capex 0; upkeep 148407000; cash acquisitions 153420000; owner earnings 44866000. Growth capex plus acquisitions / owner earnings = 3.419515891766594.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-27); Incremental return on capital 1.9233436447130199, from the economics test's unchanged annual inputs.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-27); Dividend observations: [[2016,10861000],[2017,43319000],[2018,101069000],[2019,32231000],[2020,8645000],[2021,8645000],[2022,8645000],[2023,34562000],[2024,34433000],[2025,35122000]]. Zero only counted when supported by a complete cash-flow statement.

- Source: https://www.sec.gov/Archives/edgar/data/742278/000110465926021480/res-20251231x10k.htm (filed 2026-02-27); FY2025: cash repurchases 2868000 USD.

### Are managers owners

Insiders own 57.6% of the company.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-15); RES.US SharesStats.PercentInsiders = 57.615 percentage points; cache date 2026-10-15.

### What the price says

The price assumes cash profits grow 9% yearly over ten years; actual growth was 18.1%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-27); Ten-year compound average after fade. Initial solved rate 0.11623340287150652. Price 5.92; FX 1; discount 0.1; same standard ten-year fade to terminal 0.03. FY2015 owner earnings/share 0.04007171629262911 → FY2025 0.21147446714241272. Closing-price date 2026-10-15.

## Monthly share-price history (USD per share)

- 2016-10: $17.27 per share

- 2016-11: $20.08 per share

- 2016-12: $19.81 per share

- 2017-01: $21.52 per share

- 2017-02: $20.00 per share

- 2017-03: $18.31 per share

- 2017-04: $18.17 per share

- 2017-05: $18.79 per share

- 2017-06: $20.21 per share

- 2017-07: $20.71 per share

- 2017-08: $19.41 per share

- 2017-09: $24.79 per share

- 2017-10: $24.31 per share

- 2017-11: $24.04 per share

- 2017-12: $25.53 per share

- 2018-01: $20.20 per share

- 2018-02: $19.64 per share

- 2018-03: $18.03 per share

- 2018-04: $18.01 per share

- 2018-05: $16.42 per share

- 2018-06: $14.57 per share

- 2018-07: $14.80 per share

- 2018-08: $13.68 per share

- 2018-09: $15.48 per share

- 2018-10: $14.88 per share

- 2018-11: $13.08 per share

- 2018-12: $9.87 per share

- 2019-01: $10.79 per share

- 2019-02: $10.75 per share

- 2019-03: $11.41 per share

- 2019-04: $10.29 per share

- 2019-05: $7.44 per share

- 2019-06: $7.21 per share

- 2019-07: $6.18 per share

- 2019-08: $5.31 per share

- 2019-09: $5.61 per share

- 2019-10: $4.14 per share

- 2019-11: $3.86 per share

- 2019-12: $5.24 per share

- 2020-01: $4.53 per share

- 2020-02: $3.44 per share

- 2020-03: $2.06 per share

- 2020-04: $3.41 per share

- 2020-05: $3.18 per share

- 2020-06: $3.08 per share

- 2020-07: $2.97 per share

- 2020-08: $3.13 per share

- 2020-09: $2.64 per share

- 2020-10: $2.38 per share

- 2020-11: $3.10 per share

- 2020-12: $3.15 per share

- 2021-01: $4.46 per share

- 2021-02: $6.35 per share

- 2021-03: $5.40 per share

- 2021-04: $4.86 per share

- 2021-05: $4.91 per share

- 2021-06: $4.95 per share

- 2021-07: $4.20 per share

- 2021-08: $3.83 per share

- 2021-09: $4.86 per share

- 2021-10: $5.39 per share

- 2021-11: $4.03 per share

- 2021-12: $4.54 per share

- 2022-01: $5.91 per share

- 2022-02: $8.77 per share

- 2022-03: $10.67 per share

- 2022-04: $10.34 per share

- 2022-05: $9.36 per share

- 2022-06: $6.91 per share

- 2022-07: $8.16 per share

- 2022-08: $7.95 per share

- 2022-09: $6.93 per share

- 2022-10: $11.13 per share

- 2022-11: $9.26 per share

- 2022-12: $8.89 per share

- 2023-01: $9.92 per share

- 2023-02: $8.77 per share

- 2023-03: $7.69 per share

- 2023-04: $7.39 per share

- 2023-05: $6.65 per share

- 2023-06: $7.15 per share

- 2023-07: $8.32 per share

- 2023-08: $7.99 per share

- 2023-09: $8.94 per share

- 2023-10: $8.32 per share

- 2023-11: $7.25 per share

- 2023-12: $7.28 per share

- 2024-01: $7.31 per share

- 2024-02: $7.39 per share

- 2024-03: $7.74 per share

- 2024-04: $6.69 per share

- 2024-05: $6.83 per share

- 2024-06: $6.25 per share

- 2024-07: $7.47 per share

- 2024-08: $6.42 per share

- 2024-09: $6.36 per share

- 2024-10: $5.68 per share

- 2024-11: $6.44 per share

- 2024-12: $5.94 per share

- 2025-01: $6.13 per share

- 2025-02: $5.58 per share

- 2025-03: $5.50 per share

- 2025-04: $4.73 per share

- 2025-05: $4.44 per share

- 2025-06: $4.73 per share

- 2025-07: $4.65 per share

- 2025-08: $4.77 per share

- 2025-09: $4.76 per share

- 2025-10: $5.20 per share

- 2025-11: $5.32 per share

- 2025-12: $5.44 per share

- 2026-01: $6.65 per share

- 2026-02: $5.81 per share

- 2026-03: $7.08 per share

- 2026-04: $7.88 per share

- 2026-05: $6.62 per share

- 2026-06: $5.83 per share

- 2026-07: $5.61 per share

- 2026-08: $6.53 per share

- 2026-09: $5.63 per share

- 2026-10: $5.92 per share

## Annual estimated value (USD per share)

- FY2016: low $4.16 per share, central $4.66 per share, high $5.33 per share

- FY2017: low $8.10 per share, central $9.18 per share, high $10.62 per share

- FY2018: low $9.65 per share, central $12.94 per share, high $15.09 per share

- FY2019: low $4.08 per share, central $4.63 per share, high $5.35 per share

- FY2020: low $2.28 per share, central $2.54 per share, high $2.90 per share

- FY2021: low $0.92 per share, central $1.01 per share, high $1.12 per share

- FY2022: low $1.61 per share, central $1.77 per share, high $1.98 per share

- FY2023: low $2.07 per share, central $2.24 per share, high $2.45 per share

- FY2024: low $2.45 per share, central $2.59 per share, high $2.78 per share

- FY2025: low $3.26 per share, central $3.74 per share, high $4.22 per share

Historical values use today's bond yield for every fiscal year

Historical values use today's FX rate into trading currency for every fiscal year

Historical values use current restated fundamentals and current commodity classification; they are not point-in-time estimates

## Sources

[Original 10-K filing](https://www.sec.gov/Archives/edgar/data/742278/000110465926021480/res-20251231x10k.htm); period 2025-12-31, filed 2026-02-27.

Estimates depend on assumptions and are not guarantees or investment advice. Underlying data remains subject to its source licenses; public reading does not grant bulk redistribution rights.