Based on key financial metrics such as the price-to-sales ratio, shareholder yield and the price-earnings ratio, the following 5 stocks made the list for top value stocks in the Energy Equipment & Services industry. Those looking for value stocks to add to their portfolio may want to use this list as a starting point for further investment research.
Why Focus on Undervalued Energy Equipment & Services Stocks?
Value investors seek to buy stocks at a discount to their intrinsic value. Long-term returns show that such strategies are advantageous. Value stocks, as a group, tend to outperform growth stocks over extended periods of time. Typically, value investors perform financial analysis of numerous metrics, don’t follow the herd and are long-term investors.
AAII’s A+ Investor Value Grade is derived from a stock’s Value Score. The Value Score is the percentile rank of the average of the percentile ranks of the price-to-sales ratio, price-earnings ratio, enterprise-value-to-EBITDA (EV/EBITDA) ratio, shareholder yield, price-to-book-value ratio and price-to-free-cash-flow ratio. The score is variable, meaning it can consider all six ratios or, should any of the six ratios not be valid, the remaining ratios that are valid. To be assigned a Value Score, stocks must have a valid (non-null) ratio and corresponding ranking for at least two of the six valuation ratios.
What Goes Into AAII’s Value Grade?
Stock evaluation requires access to huge amounts of data as well as the knowledge and time to sift through it all, make sense of financial ratios, read income statements and analyze recent stock movement. AAII created A+ Investor, a robust data suite that condenses data research in an actionable and customizable way suitable for investors of all knowledge levels, to help investors with that task.
AAII’s proprietary stock grades come with A+ Investor. These offer intuitive A–F grades for more than just value. It is possible for a stock to appear cheap based on one valuation metric but appear expensive on another. It is also possible for one valuation ratio to be associated with outperforming stocks during certain periods of time but not others. Some stocks may even have null values for certain metrics like the price-earnings ratio or the price-to-book ratio but not others. An example of this would be a company with losses instead of profits or a negative book value because of heavy borrowing. Negative earnings or book value result in non-meaningful ratios that are left blank or null.
Click the button below to learn more about A+ Investor and subscribe today.
5 Undervalued Energy Equipment & Services Stocks
Of course, there are countless value stocks that are worth mentioning, but this is a concise list of the top 5 undervalued stocks in the Energy Equipment & Services industry for Monday, August 31, 2026. Let’s take a closer look at their individual scores to see how they measure up against each other and the Energy Equipment & Services industry median.
| Company | Ticker | Price/Sales | Price/Earnings | EV/EBITDA | Shareholder Yield | Price/Book Value | Price/Free Cash Flow | Value Grade |
| Enerflex Ltd. | EFXT | 0.95 | 46.1 | 7.8 | 1.9% | 2.09 | 10.9 | B |
| Halliburton Company | HAL | 1.37 | 19.0 | 7.2 | 4.4% | 2.74 | 26.4 | B |
| Precision Drilling Corporation | PDS | 0.63 | na | 4.5 | 7.4% | 1.03 | 9.9 | A |
| Valaris Limited | VAL | 2.83 | 6.5 | 11.6 | 2.5% | 1.86 | na | B |
| Weatherford International plc | WFRD | 1.41 | 18.5 | 6.3 | 1.6% | 3.77 | 15.0 | B |
The Value Grade is assigned based on how each stock’s composite valuation compares to all other stocks.
The process for assigning grades starts with each variable for a given stock. The percentile rankings for all valid ratios that a stock has are calculated. So, for instance, a stock could have a price-to-book ranking in the 43rd percentile, a price-earnings ranking in the 67th percentile, a price-to-sales ranking in the 23rd percentile, etc. Then, those rankings are averaged for each stock. (A minimum of two valid variables are required, though all six will be used if available.)
Once the average of the individual variables is calculated, that average is ranked against all stocks. Put another way, each stock’s composite valuation is compared to all other stocks. These ranks are then sorted into quintiles from the cheapest 20% (a grade of A) to the most expensive 20% (a grade of F).
As always, we recommend that you conduct proper due diligence and research before investing in any security. We also suggest that investors utilize numerous grades, not just value, when it comes to deciding whether a company is a good fit for their allocation needs.
Enerflex Ltd.’s Value Grade
Value Grade:
| Metric | Score | EFXT | Industry Median |
| Price/Sales | 30 | 0.95 | 1.16 |
| Price/Earnings | 83 | 46.1 | 26.9 |
| EV/EBITDA | 24 | 7.8 | 7.9 |
| Shareholder Yield | 32 | 1.9% | (0.2%) |
| Price/Book Value | 52 | 2.09 | 1.66 |
| Price/Free Cash Flow | 26 | 10.9 | 18.6 |
Enerflex Ltd. offers modular natural gas, power technology, and treated water solutions in North America, Latin America, and the Eastern Hemisphere. The company’s portfolio includes compression, processing, cryogenic, treated water solutions, and energy infrastructure portfolio includes energy infrastructure solutions under contract for natural gas processing, compression, and treated water equipment. It also provides contract operations services that includes trained personnel, equipment, tools, materials, and supplies to meet natural gas needs, electric power, and produced water needs as well as designing, sourcing, installing, operating, servicing, repairing, and maintaining equipment. In addition, the company offers after-market services products, such as delivers comprehensive mechanical services to client partners, including parts distribution; operations and maintenance solutions; equipment optimization and maintenance programs; manufacturer warranties; exchange components; long-term service agreements; and technical services, as well as provides contract operations and maintenance services for natural gas facilities. Further, the company involves in the sale of modular natural gas-handling and low-carbon solutions that are engineered, designed, fabricated, and assembled for gas processing, including cryogenic solutions; gas compression systems; CCUS; water treatment; and electric power generation systems, as well as engineers, designs, fabricates, constructs, commissions, operates, and services hydrocarbon processing equipment. Additionally, it provides field construction, installation, and commissioning for an integrated electric power solution, as well as re-engineering and refurbishment services. The company was formerly known as Enerflex Systems Income Fund and changed its name to Enerflex Ltd. in January 2010. Enerflex Ltd. was founded in 1980 and is headquartered in Calgary, Canada.
Stocks with a Value Score from 81 to 100 are considered deep value, those with a score between 61 and 80 are value and so on.
Enerflex Ltd. has a Value Score of 62, which is considered to be undervalued.
When you look at Enerflex Ltd.’s price-to-sales ratio at 0.95 compared to the industry median at 1.16, this company has a lower price relative to revenue compared to its peers. This could make Enerflex Ltd.’s stock more attractive for value investors.
Enerflex Ltd.’s price-earnings ratio is 46.10 compared to the industry median at 26.90. This means it has a higher share price relative to earnings compared to its peers. This could make Enerflex Ltd. less attractive for value investors.
Now, let’s assess Enerflex Ltd.’s EV/EBITDA ratio, also known as enterprise multiple. At 7.8, when compared to the industry median of 7.9, the company may be considered undervalued in relation to its peers. Value investors could use the enterprise multiple to identify stocks that are considered overvalued or undervalued relative to their industry.
Shareholder yield is the sum of a stock’s dividend yield (paid over previous 12 months minus special dividends) and the percentage of net share buybacks over the previous 12 months. Enerflex Ltd.’s shareholder yield is higher than its industry median ratio of (0.15%). Value investors may look for an attractive shareholder yield because it can be a powerful tool for identifying if the company has a good management team.
As one of the most common value metrics, the price-to-book ratio evaluates a company’s current market price relative to its book value. Enerflex Ltd.’s price-to-book ratio is higher than its industry median ratio of 1.66. This could make Enerflex Ltd. less attractive to investors looking for a new addition to their portfolio.
Lastly, let’s take a look at Enerflex Ltd.’s price-to-free-cash-flow ratio (P/FCF), which can indicate a company’s market value relative to its operating cash flow. Enerflex Ltd.’s price-to-free-cash-flow ratio is lower than its industry median ratio of 18.60. This could make Enerflex Ltd. more attractive because the lower P/FCF ratio indicates that Enerflex Ltd. is undervalued. The P/FCF ratio metric can also be viewed over a long-term time frame to see if the company's cash flow to share price value is generally improving or worsening.
Halliburton Company’s Value Grade
Value Grade:
| Metric | Score | HAL | Industry Median |
| Price/Sales | 38 | 1.37 | 1.16 |
| Price/Earnings | 48 | 19.0 | 26.9 |
| EV/EBITDA | 21 | 7.2 | 7.9 |
| Shareholder Yield | 19 | 4.4% | (0.2%) |
| Price/Book Value | 61 | 2.74 | 1.66 |
| Price/Free Cash Flow | 63 | 26.4 | 18.6 |
Halliburton Company provides products and services to the energy industry worldwide. It operates in two segments, Completion and Production, and Drilling and Evaluation. The Completion and Production segment offers production enhancement services that include stimulation and sand control services; cementing services, such as well bonding and casing, and casing equipment; and completion tools that offer downhole solutions and services, including well completion products and services, intelligent well completions, liner hanger systems, sand control systems, multilateral systems, and service tools. This segment also provides electrical submersible pumps, as well as artificial lift services; production solutions comprising coiled tubing, hydraulic workover units, downhole tools, and pumping and nitrogen services; pipeline and process services, such as pre-commissioning, commissioning, maintenance, and decommissioning; and specialty chemicals and services. The Drilling and Evaluation segment offers drilling fluid systems, performance additives, completion fluids, solids control, specialized testing equipment, and waste management services; drilling systems and services; wireline and perforating services consisting of open-hole logging, and cased-hole and slickline; and drill bits and services comprising roller cone bits, fixed cutter bits, hole enlargement, and related downhole tools and services, as well as coring equipment and services. This segment also provides cloud based digital services and artificial intelligence solutions on an open architecture for subsurface insights, integrated well construction, and reservoir and production management; testing and subsea services, such as acquisition and analysis of reservoir information and optimization solutions; and project management and integrated asset management services. Halliburton Company was founded in 1919 and is based in Houston, Texas.
Stocks with a Value Score from 81 to 100 are considered deep value, those with a score between 61 and 80 are value and so on.
Halliburton Company has a Value Score of 61, which is considered to be undervalued.
Halliburton Company’s price-earnings ratio is 19.0 compared to the industry median at 26.9. This means that it has a lower price relative to its earnings compared to its peers. This makes Halliburton Company more attractive for value investors.
Halliburton Company’s price-to-book ratio is lower than its peers. This could make Halliburton Company more attractive for value investors when compared to the industry median at 1.66.
You can read more about Halliburton Company’s key financial metrics like shareholder yield, price-to-free-cash-flow and EV/EBITDA ratio, or learn more about its Momentum and Growth Grades, by subscribing to A+ Investor.
Precision Drilling Corporation’s Value Grade
Value Grade:
| Metric | Score | PDS | Industry Median |
| Price/Sales | 22 | 0.63 | 1.16 |
| Price/Earnings | na | na | 26.9 |
| EV/EBITDA | 9 | 4.5 | 7.9 |
| Shareholder Yield | 9 | 7.4% | (0.2%) |
| Price/Book Value | 23 | 1.03 | 1.66 |
| Price/Free Cash Flow | 23 | 9.9 | 18.6 |
Precision Drilling Corporation, a drilling company, provides onshore drilling services to exploration and production companies in the oil and natural gas and geothermal industries in the United States, Canada, and internationally. It operates through Contract Drilling Services; and Completion and Production Services segments. The Contract Drilling Services segment offers onshore well drilling services to exploration and production companies in the oil, natural gas, and geothermal industry. This segment also offers services, including turnkey drilling contracts; and procurement and distribution of oilfield supplies, as well as manufacture, sale, and repair of drilling and service rig equipment. In addition, the company offers automation solutions for drilling operations comprising AlphaAutomation, AlphaTM, AlphaApps, AlphaAnalytics, and AlphaARMS; and EverGreen suite of environmental solutions. The Completion and Production Services segment provide service rigs for well completion, workover, abandonment, maintenance, and re-entry preparation services; equipment rentals; and camp and catering services to oil and natural gas exploration and production companies. This segment also operates well completion and workover services. Precision Drilling Corporation was founded in 1951 and is headquartered in Calgary, Canada.
Stocks with a Value Score from 81 to 100 are considered deep value, those with a score between 61 and 80 are value and so on.
Precision Drilling Corporation has a Value Score of 97, which is considered to be undervalued.
Precision Drilling Corporation’s price-to-book ratio is higher than its peers. This could make Precision Drilling Corporation less attractive for value investors when compared to the industry median at 1.66.
You can read more about Precision Drilling Corporation’s key financial metrics like shareholder yield, price-to-free-cash-flow and EV/EBITDA ratio, or learn more about its Momentum and Growth Grades, by subscribing to A+ Investor.
Valaris Limited’s Value Grade
Value Grade:
| Metric | Score | VAL | Industry Median |
| Price/Sales | 59 | 2.83 | 1.16 |
| Price/Earnings | 7 | 6.5 | 26.9 |
| EV/EBITDA | 45 | 11.6 | 7.9 |
| Shareholder Yield | 29 | 2.5% | (0.2%) |
| Price/Book Value | 47 | 1.86 | 1.66 |
| Price/Free Cash Flow | na | na | 18.6 |
Valaris Limited, together with its subsidiaries, provides offshore contract drilling services in Brazil, the United Kingdom, Gulf of America, Australia, Angola, and internationally. It operates through four segments: Floaters, Jackups, ARO, and Other. The company owns an offshore drilling rig fleet, which includes drillships, dynamically positioned semisubmersible rigs, a moored semisubmersible rig, and jackup rigs. It also offers management services on rigs owned by third parties. The company serves international, government-owned, and independent oil and gas companies. Valaris Limited was founded in 1975 and is headquartered in Houston, Texas.
Stocks with a Value Score from 81 to 100 are considered deep value, those with a score between 61 and 80 are value and so on.
Valaris Limited has a Value Score of 70, which is considered to be undervalued.
Valaris Limited’s price-earnings ratio is 6.5 compared to the industry median at 26.9. This means that it has a lower price relative to its earnings compared to its peers. This makes Valaris Limited more attractive for value investors.
Valaris Limited’s price-to-book ratio is lower than its peers. This could make Valaris Limited more attractive for value investors when compared to the industry median at 1.66.
You can read more about Valaris Limited’s key financial metrics like shareholder yield, price-to-free-cash-flow and EV/EBITDA ratio, or learn more about its Momentum and Growth Grades, by subscribing to A+ Investor.
Weatherford International plc’s Value Grade
Value Grade:
| Metric | Score | WFRD | Industry Median |
| Price/Sales | 39 | 1.41 | 1.16 |
| Price/Earnings | 47 | 18.5 | 26.9 |
| EV/EBITDA | 16 | 6.3 | 7.9 |
| Shareholder Yield | 34 | 1.6% | (0.2%) |
| Price/Book Value | 71 | 3.77 | 1.66 |
| Price/Free Cash Flow | 39 | 15.0 | 18.6 |
Weatherford International plc, an energy services company, provides equipment and services for the drilling, evaluation, completion, production, and intervention of oil, geothermal, and natural gas wells worldwide. The company operates through three segments: Drilling and Evaluation; Well Construction and Completions; and Production and Intervention. It offers managed pressure drilling; directional drilling services, and logging and measurement services while drilling; services related to rotary-steerable systems, high temperature and high pressure sensors, drilling reamers, and circulation subs; open-hole and cased-hole logging services; wireline and drilling fluids; and intervention and remediation services. The company also provides tubular handling, management, and connection services; cementing products, including plugs, float and stage equipment, and torque-and-drag reduction technology for zonal isolation; completion tools, such as safety valves, production packers, downhole reservoir monitoring, flow control, isolation packers, multistage fracturing systems and sand-control technologies; liner hangers to suspend a casing string in high-temperature and high-pressure wells; and well Services. In addition, it offers re-entry, fishing, and well abandonment services, as well as patented downhole tools, tubular-handling equipment, pressure-control equipment, and drill pipe and tubulars; artificial lift systems, including reciprocating rod, progressing cavity pumping, and related automation and control systems, as well as gas, hydraulic, plunger, and hybrid lift systems, as well as related automation and control systems; and software, automation and flow measurement solutions. Further, it provides electrical and hydraulic power transmission to subsea equipment; and pressure pumping and reservoir stimulation services, such as acidizing, fracturing, cementing, and coiled-tubing intervention. The company was incorporated in 1972 and is based in Houston, Texas.
Stocks with a Value Score from 81 to 100 are considered deep value, those with a score between 61 and 80 are value and so on.
Weatherford International plc has a Value Score of 63, which is considered to be undervalued.
Weatherford International plc’s price-earnings ratio is 18.5 compared to the industry median at 26.9. This means that it has a lower price relative to its earnings compared to its peers. This makes Weatherford International plc more attractive for value investors.
Weatherford International plc’s price-to-book ratio is lower than its peers. This could make Weatherford International plc more attractive for value investors when compared to the industry median at 1.66.
You can read more about Weatherford International plc’s key financial metrics like shareholder yield, price-to-free-cash-flow and EV/EBITDA ratio, or learn more about its Momentum and Growth Grades, by subscribing to A+ Investor.
Other Energy Equipment & Services Stock Grades
Value is just one of the five Stock Grades included in our A+ Investor service. AAII members can see the top-graded stocks—those with grades of A or B for value, growth, momentum, earnings estimate revisions and quality—on the A+ Stock Grades Screener.
Also, if you want full access to all of AAII’s premium services, you can subscribe to one convenient bundled plan called AAII Platinum where you can try out A+ Investor, AAII Dividend Investing, the Stock Superstars Report, Growth Investing and VMQ Stocks. With the other premium services, you can dive deep into additional metrics, portfolios, commentary and information about Energy Equipment & Services stocks as well as other industrys.
Choosing Which of the 5 Best Energy Equipment & Services Stocks Is Right for You
Choosing which value stocks to invest in will ultimately depend on your individual goals and allocation; however, comparing similar value stocks in the same industry can help you analyze which might be better investments for you in the long run. So, let’s take a look at the Value Grade for all of our stocks.
- Enerflex Ltd. stock has a Value Grade of B.
- Halliburton Company stock has a Value Grade of B.
- Precision Drilling Corporation stock has a Value Grade of A.
- Valaris Limited stock has a Value Grade of B.
- Weatherford International plc stock has a Value Grade of B.
Now that you have a bit more background about each of the 5 undervalued stocks in the Energy Equipment & Services industry as well as their overall grades, it’s time for you to conduct additional research to see if these could fit your portfolio needs based on your goals and risk tolerance. AAII can help you figure out both and identify which investments align with what works best for you.
We do so through a program of education that teaches you to invest for yourself and become an effective manager of your own wealth—no more relying on others for your financial independence. You can rely on AAII for timeless articles on financial planning and stock-picking, unbiased research and actionable analysis that makes you a better investor.
A+ Investor adds to that qualitative teaching by giving you a powerful data suite that helps you whittle down investment decisions to find stocks, exchange-traded funds (ETFs) or mutual funds that meet your needs.
Additional Resources About Energy Equipment & Services Stocks
Want to learn more about Energy Equipment & Services stocks to see if they could be the right investment for you? Check out some additional resources and articles to help you on your financial journey.
- 5 Undervalued Energy Equipment & Services Stocks for Friday, August 28
- 4 Undervalued Energy Equipment & Services Stocks for Thursday, August 27
- Why ProFrac Holding Corp.’s (ACDC) Stock Is Up 6.93%
- 3 Undervalued Energy Equipment & Services Stocks for Wednesday, August 26
AAII Disclaimer
We make no representations or warranties that any investor will, or is likely to, achieve profits similar to those shown, because past, hypothetical or simulated performance is not necessarily indicative of future results. Before making an investment decision, you should consider your circumstances and whether the information on our content is applicable to your situation. This information was prepared in good faith and we accept no liability for any errors or omissions. The full disclaimer can be read here.
Included With AAII Platinum
Yield Screen: 8.7% Compared to S&P 500
at only 6.9%
Since Inception. Data as of 12/31/2024.
769.3% Stock Superstars Portfolio Total Return Since Inception
U.S. Index ETF (IYY)
SSR Group 3 O'Shaughnessy portfolio has a 411.2% gain since inception performance compared to IYY at only 119.1%% Performance as of 11/29/24.
FREE REPORT
BECOME A MEMBER FOR ONLY $2
Get access to powerful investment discovery tools and a wealth of investment education to help you achieve your financial goals.