# Solaris Energy Infrastructure (SEI.US)

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

Analysis as of: 2026-10-16T07:31:50.700Z. Financial observations: FY2015–FY2025.

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: $65.16 per share; close as of 2026-10-15.

Estimated value: low $9.91 per share, central $11.44 per share, high $12.33 per share. Buy at or below the central value $11.44 per share. Valuation as of 2026-10-16T07:31:50.700Z; scenarios are not confidence intervals.

Expected annual return: 3.6% at the stated quote. About 3.6% 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

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

- more than 2 net loss years

- operating margin variation exceeds 0.35

- Financial history: 10 years

- Years with declining revenue: 2

- Years with a net loss: 3

- Operating margin variation: 1.81×

Chart: Operating margin; fiscal year observations.

- FY2016: 0.16×

- FY2017: 0.38×

- FY2018: 0.50×

- FY2019: 0.45×

- FY2020: -0.58×

- FY2021: -0.00×

- FY2022: 0.13×

- FY2023: 0.17×

- FY2024: 0.17×

- FY2025: 0.22×

### moat: fail

- ROIC median below threshold

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

- Recent gross margin fell 8.6pp below the typical margin (limit 4pp)

- ROIC, median of available years: 12.5%

- ROIC, second-lowest year: -0.2%

- Typical minus recent gross margin: 8.6 pp

- Typical gross margin (annual median): 35.5%

- Recent gross margin (lower of latest and 3-year median): 26.9%

- Years with nonpositive capital: 0

- Capital spending / revenue: 42.8%

- ROIC including acquisitions, ten-year median: 3.2%

Chart: ROIC excluding acquisitions; fiscal year observations.

- FY2016: 4.9%

- FY2017: 50.2%

- FY2018: 50.9%

- FY2019: 48.3%

- FY2020: -34.8%

- FY2021: -0.2%

- FY2022: 15.8%

- FY2023: 17.7%

- FY2024: 8.9%

- FY2025: 9.1%

### economics: fail

- owner earnings cash conversion below threshold

- incremental invested capital return below threshold

- Owner earnings / net income, 5-yr: -0.20×

- Cash conversion uses consolidated totals: No

- Owner earnings, five-year total: -$18M

- Net income, five-year total: $91M

- Return on incremental invested capital: 10.5%

- Working capital / revenue, annual change: -1.5 pp

- Working capital / revenue, change between three-year averages: -10.7 pp

- Working capital / revenue, final three-year average: 13.4%

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

- FY2021: -7.72×

- FY2022: 1.00×

- FY2023: 0.27×

- FY2024: -2.75×

- FY2025: -0.29×

### management: fail

- Historical market-dollar context (not the management verdict): 2017 to 2025 (8 years)

- buybacks unrelated to price (informational)

- ROIC first 3 years vs last 3 years: 50.2% vs 9.1%

- Per-share earnings: -0.14 to 0.61 (three-year endpoint medians)

- five-year and ten-year diluted share growth both above threshold

- 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: 17.2%

- Ordinary dilution, 5-year annual growth: 11.3%

- Market cap gain: $2.0B

- Cumulative retained earnings: $30M

- Diluted shares, 10-year annual growth: 17.2%

- Diluted shares, 5-year annual growth: 11.3%

- $1 test, starting fiscal year: FY2017

- $1 test, ending fiscal year: FY2025

- Per-share value change: $0.75

- Per-share value, starting three-year median: -$0.14

- Per-share value, ending three-year median: $0.61

- Buybacks concentrated in cheaper years (correlation): -0.21

- Average buyback yield: 3.4%

- Buyback history: 8 years

- Debt-funded buybacks: No

- Acquisition spending: $156M

- Cumulative net income, 10 years: $154M

- ROIC, first three-year median: 50.2%

- ROIC, last three-year median: 9.1%

Chart: Earnings per share; fiscal year observations.

- FY2016: $0.27

- FY2017: -$0.34

- FY2018: $1.64

- FY2019: $1.68

- FY2020: -$1.01

- FY2021: -$0.03

- FY2022: $0.67

- FY2023: $0.82

- FY2024: $0.54

- FY2025: $0.61

### accounting: pass

- Sloan accruals: -8.3%

- Receivables to sales index (DSRI): 0.72×

- Restructuring years, last five: 0

- Stock compensation / operating cash flow: 11.2%

- Earnings backed by cash: Yes

- Operating cash / earnings: 6.93×

- Accounting red flags: 0

- Goodwill and intangibles / equity: 0.29×

Chart: Sloan accruals; fiscal year observations.

- FY2016: -2.2%

- FY2017: -10.3%

- FY2018: -16.1%

- FY2019: -12.4%

- FY2020: -17.8%

- FY2021: -4.3%

- FY2022: -10.1%

- FY2023: -13.7%

- FY2024: -3.9%

- FY2025: -8.3%

## Holders

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

## Price story

Price needs cash profits to grow 39.4% a year for ten years · "Solaris Energy: Off-Grid Demand Drives Long-Term Growth" (finance.yahoo.com, Apr 2026) · sales +98.7%

Story as of 2026-10-16T09:59:34.082Z; price observation 2026-10-15.

Price needs cash profits to grow 39.4% a year for ten years

- 2025-07-24: Solaris Oilfield Infrastructure beats top-line and bottom-line estimates; raises Q3 and initiates Q4 outlook ([seekingalpha.com](https://seekingalpha.com/news/4471174-solaris-oilfield-infrastructure-beats-top-line-and-bottom-line-estimates-raises-q3-and-initiates-q4-outlook?utm_source=feed_news_all&utm_medium=referral&feed_item_type=news))

- 2026-03-18: Solaris Energy (SEI) Climbs 10.88% on Capacity Expansion Success ([finance.yahoo.com](https://finance.yahoo.com/news/solaris-energy-sei-climbs-10-070712187.html))

- 2026-04-21: Solaris Energy: Off-Grid Demand Drives Long-Term Growth ([finance.yahoo.com](https://finance.yahoo.com/sectors/energy/articles/solaris-energy-off-grid-demand-135300074.html))

- 2026-09-09: Solaris Energy Raises 2026 Guidance, Starts 2027 With Momentum ([finance.yahoo.com](https://finance.yahoo.com/energy/articles/solaris-energy-raises-2026-guidance-162400808.html))

### Sales · FY2024–2025

sales +98.7%; source https://www.sec.gov/Archives/edgar/data/1697500/000162828026012501/sei-20251231.htm; observed 2026-02-27.

- FY2016: $18M 

- FY2017: $67M 

- FY2018: $197M 

- FY2019: $242M 

- FY2020: $103M 

- FY2021: $159M 

- FY2022: $320M 

- FY2023: $293M 

- FY2024: $313M 

- FY2025: $622M 

### Gross margin · FY2025

gross margin 45.9%; source https://www.sec.gov/Archives/edgar/data/1697500/000162828026012501/sei-20251231.htm; observed 2026-02-27.

- FY2016: 44.2% 

- FY2017: 65.1% 

- FY2018: 59.8% 

- FY2019: 52.6% 

- FY2020: 9.9% 

- FY2021: 10.4% 

- FY2022: 21.8% 

- FY2023: 26.9% 

- FY2024: 25.9% 

- FY2025: 45.9% 

## 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 622.2 million.

- Source: https://www.sec.gov/Archives/edgar/data/1697500/000162828026012501/sei-20251231.htm (filed 2026-02-27); FY2025: revenue 622205000; grossProfit 285411000; margin = grossProfit / revenue.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); SEI.US: Solaris Energy Infrastructure, Inc. provides modular and scalable equipment-based solutions for power generation, control and distribution, and management of raw materials used in the completion of oil and natural gas wells in the United States. It operates in Solaris Power Solutions and Solaris Logistics Solutions segments. The Solaris Power Solutions segment delivers power generation, control, and distribution solutions; and offers support to data center, energy, and other commercial and industrial sector. It also provides site preparation, specialized structural and foundational work, and gas pipeline construction services. The Solaris Logistics Solutions segment designs and manufactures specialized equipment; and offers field technician support, last mile, and mobilization logistics services, as well as provides software solutions. The company was formerly known as Solaris Oilfield Infrastructure, Inc. and changed its name to Solaris Energy Infrastructure, Inc. in September 2024. Solaris Energy Infrastructure, Inc. was founded in 2014 and is headquartered in Houston, Texas.

### Why customers stay

Margins ranged from 25.9% to 45.9% during 2023–25; it earns 12.5% on its capital.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-27); FY2023: grossProfit / revenue = 26.9%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-27); FY2024: grossProfit / revenue = 25.9%.

- Source: https://www.sec.gov/Archives/edgar/data/1697500/000162828026012501/sei-20251231.htm (filed 2026-02-27); FY2025: grossProfit / revenue = 45.9%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-27); 10-year return on capital observations [[2016,0.04873775605168034],[2017,0.5022960422483914],[2018,0.5094716920128104],[2019,0.4826055382830342],[2020,-0.347743974132863],[2021,-0.0018969646579966245],[2022,0.15818697931347825],[2023,0.17675647273254735],[2024,0.0887179330522889],[2025,0.09133234553548718]]; median 0.12475966242448272. ROIC follows the displayed moat series; financial companies use return on tangible equity.

### Where the cash goes

Paid dividends in 9 of 10 years; bought back USD 10.5 million of shares.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-27); FY2016: growth capex 7143000; upkeep 3792000; owner earnings 2803000. Growth capex / owner earnings = 2.5483410631466286.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-27); FY2018: growth capex 142663000; upkeep 18422000; owner earnings 42431000. Growth capex / owner earnings = 3.3622351582569348.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-27); FY2019: growth capex 7927000; upkeep 26925000; owner earnings 52007000. Growth capex / owner earnings = 0.1524217893745073.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-27); FY2021: growth capex 0; upkeep 19638000; owner earnings 6704000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-27); FY2022: growth capex 50978000; upkeep 30433000; owner earnings 21158000. Growth capex / owner earnings = 2.4093959731543624.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-27); FY2023: growth capex 0; upkeep 64388000; cash acquisitions 0; owner earnings 6635208.046421662. Growth capex plus acquisitions / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-27); Dividend observations: [[2016,0],[2017,25818000],[2018,4713000],[2019,19260000],[2020,19176000],[2021,13560000],[2022,13804000],[2023,14072000],[2024,14600000],[2025,21759000]]. Zero only counted when supported by a complete cash-flow statement.

- Source: https://www.sec.gov/Archives/edgar/data/1697500/000162828026012501/sei-20251231.htm (filed 2026-02-27); FY2025: cash repurchases 10546000 USD.

### What the price says

The price assumes cash profits grow 39.4% yearly over ten years.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-27); Ten-year compound average after fade. Initial solved rate 0.5708620099306636. Price 65.16; FX 1; discount 0.1; same standard ten-year fade to terminal 0.03. FY2015 owner earnings/share -2.6502970297029704 → FY2025 -0.17884938354935762. Closing-price date 2026-10-15.

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

- 2017-05: $11.50 per share

- 2017-06: $11.53 per share

- 2017-07: $13.05 per share

- 2017-08: $14.16 per share

- 2017-09: $17.43 per share

- 2017-10: $15.96 per share

- 2017-11: $16.20 per share

- 2017-12: $21.41 per share

- 2018-01: $18.87 per share

- 2018-02: $16.83 per share

- 2018-03: $16.56 per share

- 2018-04: $18.80 per share

- 2018-05: $15.44 per share

- 2018-06: $14.29 per share

- 2018-07: $15.69 per share

- 2018-08: $17.22 per share

- 2018-09: $18.89 per share

- 2018-10: $13.20 per share

- 2018-11: $13.13 per share

- 2018-12: $12.09 per share

- 2019-01: $15.04 per share

- 2019-02: $17.00 per share

- 2019-03: $16.44 per share

- 2019-04: $16.99 per share

- 2019-05: $14.23 per share

- 2019-06: $14.98 per share

- 2019-07: $14.31 per share

- 2019-08: $13.75 per share

- 2019-09: $13.42 per share

- 2019-10: $10.64 per share

- 2019-11: $10.73 per share

- 2019-12: $14.00 per share

- 2020-01: $11.53 per share

- 2020-02: $10.60 per share

- 2020-03: $5.25 per share

- 2020-04: $6.84 per share

- 2020-05: $6.93 per share

- 2020-06: $7.42 per share

- 2020-07: $7.26 per share

- 2020-08: $7.78 per share

- 2020-09: $6.34 per share

- 2020-10: $5.93 per share

- 2020-11: $6.72 per share

- 2020-12: $8.14 per share

- 2021-01: $9.10 per share

- 2021-02: $11.81 per share

- 2021-03: $12.27 per share

- 2021-04: $10.94 per share

- 2021-05: $9.99 per share

- 2021-06: $9.74 per share

- 2021-07: $8.70 per share

- 2021-08: $7.43 per share

- 2021-09: $8.34 per share

- 2021-10: $7.59 per share

- 2021-11: $6.84 per share

- 2021-12: $6.55 per share

- 2022-01: $7.71 per share

- 2022-02: $10.40 per share

- 2022-03: $11.29 per share

- 2022-04: $11.25 per share

- 2022-05: $13.48 per share

- 2022-06: $10.88 per share

- 2022-07: $11.09 per share

- 2022-08: $10.70 per share

- 2022-09: $9.36 per share

- 2022-10: $13.62 per share

- 2022-11: $10.97 per share

- 2022-12: $9.93 per share

- 2023-01: $10.59 per share

- 2023-02: $8.93 per share

- 2023-03: $8.54 per share

- 2023-04: $7.68 per share

- 2023-05: $7.33 per share

- 2023-06: $8.33 per share

- 2023-07: $10.93 per share

- 2023-08: $10.52 per share

- 2023-09: $10.66 per share

- 2023-10: $9.24 per share

- 2023-11: $8.56 per share

- 2023-12: $7.96 per share

- 2024-01: $7.50 per share

- 2024-02: $8.47 per share

- 2024-03: $8.67 per share

- 2024-04: $8.81 per share

- 2024-05: $9.16 per share

- 2024-06: $8.58 per share

- 2024-07: $13.15 per share

- 2024-08: $12.68 per share

- 2024-09: $12.76 per share

- 2024-10: $13.14 per share

- 2024-11: $24.65 per share

- 2024-12: $28.78 per share

- 2025-01: $27.29 per share

- 2025-02: $34.15 per share

- 2025-03: $21.76 per share

- 2025-04: $21.14 per share

- 2025-05: $27.43 per share

- 2025-06: $28.29 per share

- 2025-07: $32.67 per share

- 2025-08: $31.59 per share

- 2025-09: $39.97 per share

- 2025-10: $53.23 per share

- 2025-11: $47.89 per share

- 2025-12: $45.97 per share

- 2026-01: $55.19 per share

- 2026-02: $49.63 per share

- 2026-03: $56.51 per share

- 2026-04: $73.84 per share

- 2026-05: $69.54 per share

- 2026-06: $80.46 per share

- 2026-07: $51.41 per share

- 2026-08: $50.77 per share

- 2026-09: $71.18 per share

- 2026-10: $65.16 per share

## Annual estimated value (USD per share)

- FY2019: low $15.18 per share, central $16.99 per share, high $19.41 per share

- FY2020: low $8.02 per share, central $8.85 per share, high $9.95 per share

- FY2021: low $3.42 per share, central $3.75 per share, high $4.18 per share

- FY2022: low $7.40 per share, central $8.41 per share, high $9.76 per share

- FY2023: low $4.54 per share, central $5.17 per share, high $6.00 per share

- FY2024: low $4.67 per share, central $5.04 per share, high $5.52 per share

- FY2025: low $7.42 per share, central $9.08 per share, high $10.05 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/1697500/000162828026012501/sei-20251231.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.