What Analysts Are Saying About ChampionX Stock

ChampionX CHX underwent analysis by 4 analysts in the last quarter, revealing a spectrum of viewpoints from bullish to bearish.

The following table summarizes their recent ratings, shedding light on the changing sentiments within the past 30 days and comparing them to the preceding months.

Analysts have recently evaluated ChampionX and provided 12-month price targets. The average target is $35.25, accompanied by a high estimate of $39.00 and a low estimate of $32.00. A 10.76% drop is evident in the current average compared to the previous average price target of $39.50.

Decoding Analyst Ratings: A Detailed Look

The standing of ChampionX among financial experts becomes clear with a thorough analysis of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts frequently update their recommendations based on evolving market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to ChampionX. This information provides a snapshot of how analysts perceive the current state of the company.
• Rating: Offering a comprehensive view, analysts assess stocks qualitatively, spanning from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of ChampionX compared to the broader market.
• Price Targets: Analysts predict movements in price targets, offering estimates for ChampionX's future value. Examining the current and prior targets offers insights into analysts' evolving expectations.

Capture valuable insights into ChampionX's market standing by understanding these analyst evaluations alongside pertinent financial indicators. Stay informed and make strategic decisions with our Ratings Table.

Stay up to date on ChampionX analyst ratings.

Delving into ChampionX's Background

ChampionX provides chemical solutions and equipment for onshore and offshore oil and gas production. Its engineering expertise spans the well life cycle, but the firm maintains a particular focus on the production phase. Key offerings include artificial lift services and drilling technologies, specializing in polycrystalline diamond cutter inserts. ChampionX was formed after Apergy acquired its chemical technologies business from Ecolab in 2020.

Unraveling the Financial Story of ChampionX

Market Capitalization Analysis: Positioned below industry benchmarks, the company's market capitalization faces constraints in size. This could be influenced by factors such as growth expectations or operational capacity.

Negative Revenue Trend: Examining ChampionX's financials over 3 months reveals challenges. As of 30 September, 2023, the company experienced a decline of approximately -8.01% in revenue growth, reflecting a decrease in top-line earnings. As compared to competitors, the company encountered difficulties, with a growth rate lower than the average among peers in the Energy sector.

Net Margin: The company's net margin is a standout performer, exceeding industry averages. With an impressive net margin of 8.27%, the company showcases strong profitability and effective cost control.

Return on Equity (ROE): ChampionX's ROE is below industry averages, indicating potential challenges in efficiently utilizing equity capital. With an ROE of 4.5%, the company may face hurdles in achieving optimal financial returns.

Return on Assets (ROA): ChampionX's ROA excels beyond industry benchmarks, reaching 2.34%. This signifies efficient management of assets and strong financial health.

Debt Management: ChampionX's debt-to-equity ratio is below industry norms, indicating a sound financial structure with a ratio of 0.39.

The Basics of Analyst Ratings

Analyst ratings serve as essential indicators of stock performance, provided by experts in banking and financial systems. These specialists diligently analyze company financial statements, participate in conference calls, and engage with insiders to generate quarterly ratings for individual stocks.

Some analysts publish their predictions for metrics such as growth estimates, earnings, and revenue to provide additional guidance with their ratings. When using analyst ratings, it is important to keep in mind that stock and sector analysts are also human and are only offering their opinions to investors.

This article was generated by Benzinga's automated content engine and reviewed by an editor.