QM · rank #15 · 2026-10-21
NESR
NASDAQ · $2.13B (USD)
The exact numbers the algorithm saw.
| Momentum 12-1 Return from 12 months ago to 1 month ago. | +218.27% |
|---|---|
| ROE TTM Return on equity, trailing 12 months. | +9.4% |
| Profit margin Net profit margin, trailing 12 months. | +5.8% |
| Market cap (USD) Size filter: > $500M required. | $2.13B |
| Anchor (recent) Close on 2026-09-21 | $32.40 |
| Anchor (far) Close on 2025-09-19 | $10.18 |
The AI research card
Independent qualitative review of each pick before the order is placed. On the rare day the research service is unavailable, the paper book trades on the quant ranking alone and no card appears here.
Summary
NESR is a MENA-focused oilfield-services company riding a Saudi Jafurah fracturing ramp and Kuwait contract wins while piloting a direct-lithium-extraction platform (LiThara) under a $200M Aramco demonstration agreement.
Rationale
The momentum_12_1 signal of 2.18 is reinforced by concrete revenue catalysts—record Q2 2026 revenue up 59% YoY, five active frac fleets, and ~$500M of newly awarded multi-year contracts—while ROE of 9.4% and a 0.3x net-debt/EBITDA balance sheet support the quality screen.
Material risks
- 1Single-customer concentration at 49% of 2025 revenue means any pullback in Saudi Aramco activity or contract scope—including Aramco internalizing fracturing capacity—could collapse both revenue and the momentum thesis simultaneously.
- 2LiThara remains a demonstration project with 2027 commissioning, not a commercial franchise; failure to hit the 2,000-tonne target or displacement by competing DLE technologies would remove the optionality premium currently embedded in the stock.
AI verdict council
Each pick is reviewed independently by 3 models before any order. 3 of 3 voted to proceed.