
Enerflex Ltd (EFXT) Stock Forecast & Price Target
Enerflex Ltd (EFXT) Analyst Ratings
Bulls say
Enerflex Ltd has demonstrated strong financial performance, with US contract compression revenue reaching $37 million and a utilization rate of 94% on 428,000 HHP, reflecting a healthy growth in average monthly HHP revenue. The company reported a year-over-year revenue increase of 12%, accompanied by a sequential margin growth of approximately 214 basis points, indicating efficient cost management and operational effectiveness. Additionally, increased free cash flow (FCF) estimates for fiscal years 2024, 2025, and 2026, along with a substantial quarterly dividend increase, highlight Enerflex's commitment to enhancing shareholder returns and solidify a positive financial outlook.
Bears say
Enerflex Ltd is facing a negative outlook primarily due to a 10% decline in EBITDA expectations, driven by diminishing revenue visibility resulting from a lack of contract wins and increased competition in the contract compression market. The company's revenue remained flat year-over-year, accompanied by a significant sequential decrease in margins of approximately 492 basis points, largely attributed to the adverse effects of hurricanes in the Gulf Coast region. Additionally, Enerflex's current trading multiples of 4.1x and 3.9x for 2024E/25E EV/EBITDA are considerably below its long-term average of 5.0x, reflecting market concerns regarding its ability to maintain robust financial performance.
This aggregate rating is based on analysts' research of Enerflex Ltd and is not a guaranteed prediction by Public.com or investment advice.
Enerflex Ltd (EFXT) Analyst Forecast & Price Prediction
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