Sign in Subscribe
Hurricane Katrina, 2005

Tetra Technologies: A Leader in Oil and Gas Exploration and Abandonment Services

Strategic Insights

— 1 min read

Tetra Technologies, Inc. is a specialized service company that has benefited from rising oil and gas exploration, handling well abandonment, removing oil rig platforms and offshore pipelines, and selling drilling fluids to boost output. Despite being prone to cyclical results, the company has reported annual sales growth in seven of the past nine years, with sales jumping 45%, 69%, and 72% in the past three quarters. Tetra Technologies has a 95 Earnings Per Share Rating, ranking within the top five in the 49-member Oil & Gas-Field Services industry group.

Key Takeaways:

  • Tetra Technologies provides oil/gas well abandonment and platform decommissioning services, as well as markets brine fluids for well drilling.
  • The company has benefited from rising oil and gas exploration, with sales jumping 45%, 69%, and 72% in the past three quarters.
  • Tetra Technologies has a 95 Earnings Per Share Rating, ranking within the top five in the 49-member Oil & Gas-Field Services industry group.
  • The company has reported annual sales growth in seven of the past nine years.
  • Tetra Technologies has a high debt level of 61%.
  • The company has seen a significant increase in earnings, with the last quarter's earnings growing by 187% and the prior quarter's earnings growing by 220%.
  • The company provides a strong supplier demand with a 84% supplier demand rating.

Statistics:

  • 119 mutual funds owned 14 million shares, or 47% of the float, as of the second quarter's end.
  • 7 funds with new positions, including A-rated Excelsior Small Cap, owned shares of Tetra Technologies.
  • 93 funds owned 9.6 million shares in the second quarter of 2003.
  • Sales grew 50% over the past two years, with a total sales increase of +25% annual EPS growth.
  • The company has an average daily trading volume of 357,700 shares.
  • The company has a payout ratio of 94% and a return on equity of 8%.
  • The company's debt level is high at 61%.

Sources:

  • [DAVID SAITO-CHUNG (exact as mentioned in the original text)]
  • [Rising oil and gas exploration has benefited specialty service firms such as Tetra Technologies. (text message, no date provided)]
  • [... Various statistics and data provided in the text]

Read more