Natural Gas Services Group Inc
🔔 Watch stock
Assessment
Our Rating
A journalistic assessment by our editorial team at the time of the deep dive — it rates the company, not the entry point. Not investment advice and not a solicitation to buy or sell.
The business works in principle, but one material question is open. As long as it stays open, our findings do not carry a quality verdict.
Why this colour
The next quarterly report is unusually informative for this stock. It will show Flatrock in the numbers for the first time, the fair value of the royalty obligation, operating cash flow without the $12.3 million tax refund, and the interest burden following the $110 million cash payment. Until then, two documented pictures sit side by side: a company running at 86.9 percent utilization with nine consecutive earnings beats, and one that has spent more than it earned for five straight years. Wait, and you get both pictures in a single document. The decision is yours.
What the thesis turns on
Assessment: Opportunities & Risks
Natural Gas Services is a rare combination: a dull rental business with spectacular numbers. Revenue and earnings turned around after 2021, fleet utilization sits at a record, and the June 2026 purchase of Flatrock reduces this company's single biggest risk — its dependence on two customers. The price of all that is a balance sheet that moved from effectively no debt to $226 million drawn plus $110 million paid in cash within four years, and free cash flow that was negative in four of the last five years. Investing here is not a bet on a streak of earnings beats; it is a bet that the rents catch up with the payments. Not investment advice.
Business model and utilization
Rentals produced 95.4 percent of 2025 revenue, with 465,638 of 574,969 horsepower under contracts expiring between 2026 and 2031; utilization reached 86.9 percent on March 31, 2026, up from 80.8 percent at the end of 2023 — with fewer units in the fleet (10-K 2025; 10-Q for the period ended March 31, 2026).
Growth and earnings turnaround
Revenue rose from $72.4 million to $172.3 million between 2021 and 2025 and net income moved from minus $9.2 million to plus $19.9 million; earnings beat consensus in nine consecutive quarters, most recently $0.53 against $0.44 expected (Q1 2026, data as of July 25, 2026).
Customer concentration
Occidental Permian and Devon Energy supplied 59 percent of 2025 revenue and 62 percent of receivables, and 64 percent of recurring revenues plus 63 percent of receivables in Q1 2026; management expects roughly 54 percent after Flatrock (10-K 2025; 10-Q for the period ended March 31, 2026; conference call of June 15, 2026).
Funding and leverage
From effectively no debt in 2021 (interest expense of $65,000) to $226.0 million drawn on the revolver as of March 31, 2026, plus $110 million in cash for Flatrock; the cumulative gap between operating cash flow and investment from 2021 through 2025 comes to roughly $234 million.
Flatrock acquisition
Bought at 6.2 times annualized first-quarter 2026 earnings before interest, taxes, depreciation and amortization and therefore below the company's own multiple; it lowers concentration risk and roughly triples the electric share of the fleet — but the price is not conclusively quantified because of the royalty agreement (8-K filed June 15, 2026).
Cyclicality and capital market options
The company calls its own industry "highly cyclical" and points to the short duration of many rental contracts; at the same time an effective shelf registration of up to $200 million is in place, with 30 million shares authorized against only 13.9 million issued (10-K 2025; 10-Q for the period ended March 31, 2026).
Worth Noting
NGS reached our research list as rank 28 in our in-house Big Earnings Surprise scanner (U.S. selection, 81 hits, relative strength 80, data as of July 25, 2026); the scanner lists are recalculated daily.
Easily confused: Natural Gas Services Group is neither a gas producer nor a utility — it sells no oil and no gas, it rents out the compressors other companies produce with.
The July 20, 2026 move from Colorado to Texas was a conversion under a plan of conversion, not a merger and not a new registrant at the SEC: CIK 0001084991, ticker NGS and CUSIP 63886Q109 all stayed the same.
Price and market value figures (roughly $500 million) carry a data date of July 25, 2026 and were cross-checked against the equity portion of the Flatrock purchase price (about $10 million for 241,803 shares, set by a 30-day average price formula).
Stock Watch
This analysis is as of August 26, 2026. Stock Watch will tell you what's changed at NGS since then.
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Price history
Chart
Interactive price chart (TradingView).
52-week range: 25.70 $ to 44.10 $ · Last price: 35.90 $ (As of: September 17, 2026)
Key figures
Key figures at a glance
Every figure we hold for this stock, grouped by topic. The question mark next to a label explains what the number means.
Basics
Performance
Technical Indicators
Calculated from the price history · as of 09/18/2026
Valuation
Profitability
Balance Sheet & Safety
Growth
Dividend
Quality & Screener
Comparison
Industry comparison
The stock alongside the largest companies in the same group. The median row is the middle value of the companies shown above — not of the whole industry.
Industry: Oil & Gas Equipment & Services
| Company | Market cap ($B) | P/E | EV/EBITDA | Gross Margin % | EBIT Margin % | Sales Growth (Year) % | Perf. 1Y % |
|---|---|---|---|---|---|---|---|
| Natural Gas Services Group Inc NGS | 0.5 | 20.5 | 9.9 | 59.2 | 27.7 | 9.9 | 35.7 |
| Schlumberger NV SLB | 77.5 | 22.2 | 13.2 | 17.0 | 12.3 | -1.6 | 53.4 |
| Baker Hughes Co BKR | 56.1 | 17.9 | 11.2 | 23.7 | 12.3 | -0.3 | 23.6 |
| Tenaris SA TS | 30.3 | 15.1 | 8.3 | 38.5 | 16.7 | -4.3 | 60.6 |
| TechnipFMC PLC FTI | 29.0 | 26.6 | 14.5 | 23.0 | 14.1 | 9.4 | 87.2 |
| Halliburton Company HAL | 28.5 | 18.0 | 9.8 | 15.1 | 12.6 | -3.3 | 57.0 |
| NOV Inc. NOV | 7.3 | 78.5 | 11.0 | 21.7 | 2.3 | -1.4 | 62.6 |
| Solaris Energy Infrastructure, Inc SEI | 6.8 | – | 23.5 | 49.9 | 25.8 | 98.7 | 109.9 |
| LandBridge Company LLC LB | 6.6 | 76.0 | 19.8 | 98.8 | 66.1 | 81.1 | 59.6 |
| Median of companies shown | 28.5 | 21.3 | 11.2 | 23.7 | 14.1 | -0.3 | 59.6 |
Based on the most recently reported figures. Only stocks from the same trading venue are lined up, so the market caps are counted in one currency. Compare in a chart →
Fiscal years
Annual Figures
Fiscal years from the audited annual reports, oldest first. EBIT is the operating profit before interest and taxes; total assets are everything the company owns.
Revenue, operating income and net income per fiscal year $M
Revenue Operating income Net income
| Fiscal Year | Revenue ($M) | EBIT ($M) | Net Income ($M) | EPS ($) | Operating Cash Flow ($M) | Equity ($M) | Total Assets ($M) |
|---|---|---|---|---|---|---|---|
| 2016 | 72 | 8 | 6 | 0.50 | 33 | 233 | 294 |
| 2017 | 68 | 2 | 20 | 1.51 | 17 | 257 | 298 |
| 2018 | 65 | 1 | 0 | 0.03 | 23 | 260 | 305 |
| 2019 | 78 | -5 | -14 | -1.06 | 29 | 248 | 287 |
| 2020 | 68 | -4 | 2 | 0.14 | 33 | 252 | 307 |
| 2021 | 72 | -12 | -9 | -0.70 | 28 | 236 | 306 |
| 2022 | 85 | 0 | -1 | -0.05 | 28 | 230 | 328 |
| 2023 | 121 | 10 | 5 | 0.38 | 18 | 236 | 479 |
| 2024 | 157 | 33 | 17 | 1.37 | 66 | 255 | 493 |
| 2025 | 172 | 40 | 20 | 1.57 | 63 | 275 | 587 |
Quarters
Quarterly Figures
Each bar is one quarter, the last one is the most recent. Use the switch to step through the individual figures.
Revenue & Profit
Cash Flow
Balance Sheet
Margins
Per Share
Click the chart or tab into it, then use ← and → to step through the periods.
None of the selected stocks reports this metric. Pick another metric or switch between annual and quarterly.
· Total · per year
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The figures could not be loaded right now.
Source: fundamental data
| Quarter | EPS (Earnings Per Share) | EPS YoY (%) | Sales ($M) | Sales YoY (%) | Net Margin (%) | OCF ($M) | FCF ($M) |
|---|---|---|---|---|---|---|---|
| 2024: Q2 | 0.34 | 183.30 | 39 | 42.80 | 11.00 | 26 | 8 |
| 2024: Q3 | 0.41 | 127.80 | 41 | 29.70 | 12.30 | 26 | -3 |
| 2024: Q4 | 0.22 | 69.20 | 41 | 12.20 | 7.00 | 9 | -5 |
| 2025: Q1 | 0.38 | -7.30 | 41 | 12.10 | 11.70 | 21 | 2 |
| 2025: Q2 | 0.41 | 20.60 | 41 | 7.50 | 12.50 | 11 | -15 |
| 2025: Q3 | 0.45 | 9.80 | 43 | 6.70 | 13.30 | 17 | -25 |
| 2025: Q4 | 0.32 | 45.50 | 46 | 13.50 | 8.90 | 14 | -24 |
| 2026: Q1 | 0.55 | 44.70 | 49 | 17.10 | 14.00 | 23 | 8 |
| 2026: Q2 | 0.30 | -26.80 | 51 | 24.20 | 7.40 | 25 | 7 |
What Do These Terms Mean?
- EPS (Earnings Per Share):
- Quarterly profit divided by the total share count — how much of the profit works out to a single share.
- YoY (Year over Year):
- Change versus the same quarter a year ago — this is how you compare without seasonal distortion (e.g. the holiday shopping season).
- Sales:
- All revenue for the quarter, before any costs are deducted — the top line of the income statement.
- Net Margin:
- What percentage of sales is left over as profit in the end. Negative means the company is posting a loss.
- OCF (Operating Cash Flow):
- The cash that actually flows into the till from the core business during the quarter — harder to dress up than book profit.
- FCF (Free Cash Flow):
- Operating cash flow minus capital expenditures — the money that's genuinely free to use, say for paying down debt, buybacks, or dividends.
Screening
Appears in These Scanners
This stock currently matches 14 of our scanner strategies — each hit links to the scanner.
Growth
Quality & Balance Sheet
Breakout & Setup
Earnings & Surprises
Momentum & Trend
- 21-EMA Trend
- Above the 50- & 200-SMA
- Gary Antonacci: Dual Momentum (Stock Adaptation)
- Mark Minervini: Trend Criteria — 1 Month
- Power Trend
- Stan Weinstein: Stage 2
Research
Only genuine hits from verified scanners count; pure ranking metrics (P/E, P/S, and similar, which just sort the whole universe) don't count as a hit. View all scanners
Outlook
Analysts & Price Target
Combined picture of the price targets and recommendations of every analyst covering the stock. Price targets are expectations for the next 12 months, not promises — and they often follow the price rather than predict it.
Distribution of Recommendations
Estimates by Fiscal Year
| Fiscal Year | EPS Estimate ($) | EPS Range ($) | Revenue Estimate ($M) | Expected Growth | Analysts |
|---|---|---|---|---|---|
| 12/31/2026 | 1.88 | 1.74 – 2.02 | 212 | 3.2% | 2 |
| 12/31/2027 | 2.61 | 2.60 – 2.62 | 252 | 38.8% | 2 |
Average of the analyst estimates for the coming fiscal years. The range shows how far the most optimistic and the most cautious estimate sit apart — the wider it is, the less certain the expectation.
Valuation
What is priced in?
Free cash flow over the past twelve months is negative, which rules out a serious reverse calculation. Any growth rate only makes a negative cash flow more negative; no present value comes out of it. What the price reflects here is therefore not a stream of cash flows, but the expectation that there will be one at all.
A simplified model calculation — not a forecast and not a recommendation.
AI classification
AI Rating
Natural Gas Services setzt KI-gestützte Cybersicherheitstechnik zur Überwachung und Erkennung von Bedrohungen in den eigenen Systemen ein; ein KI-Produkt wird nicht verkauft, und eine Bedrohung des Geschäftsmodells durch KI ist in den Berichten nicht belegt.
View the full file — quotes, sources, reviewed filings
„We utilize artificial intelligence-driven cybersecurity technologies to monitor and detect potential threats across our systems. These tools include email security and threat detection capabilities designed to identify phishing and other malicious email activity."
Wir setzen KI-gestützte Cybersicherheitstechnologien ein, um potenzielle Bedrohungen in unseren Systemen zu überwachen und zu erkennen. Zu diesen Werkzeugen gehören E-Mail-Sicherheits- und Bedrohungserkennungsfunktionen, die Phishing und andere schädliche E-Mail-Aktivitäten identifizieren sollen.
10-K · 2026-03-16 · View SEC filing
„cybersecurity threats, including increased use of artificial intelligence and other emerging technologies"
Cybersicherheitsbedrohungen, einschließlich des verstärkten Einsatzes künstlicher Intelligenz und anderer aufkommender Technologien
10-Q · 2026-05-11 · View SEC filing
„An expanding portion of our rented compressor units utilize our proprietary System Management and Recovery Technology (“SMART”) and telemetry software which reduces unplanned shutdowns and increases productivity."
Ein wachsender Teil unserer vermieteten Verdichtereinheiten nutzt unsere eigene System Management and Recovery Technology („SMART“) und Telemetrie-Software, die ungeplante Stillstände verringert und die Produktivität erhöht.
10-Q · 2026-05-11 · View SEC filing
Filings Reviewed: 10-K 2026-03-16 · 10-Q 2026-05-11 · 10-K 2025-03-17 · 10-K 2024-04-01 · 8-K 2026-06-15 · 8-K 2026-07-24
Rated on July 25, 2026 · How the Rating Is Built
Growth
Growth Score
Ten checks against the annual reports — each one passed counts a point.
- Revenue grows by more than 15% a year over three years 26.6%
- More than 10% revenue growth is expected for the coming year -66.5%
- Share count grows by less than 3% a year 1.1%
- Revenue growth plus cash-flow margin add up to at least 40 ("Rule of 40") -24.1%
- Gross margin at 40% or higher and without meaningful erosion 37.1%
- Goodwill from acquisitions does not grow faster than revenue 0.0%
- Net debt below twice EBITDA 3.0 x EBITDA
- Operating cash flow covers the profits of the last three years 106 m
- Return on capital at 15% or higher, or up versus two years ago 7.2%
- Insiders hold at least 10% or are net buyers 3.3%
A criterion without figures counts neither as passed nor as failed; a score is only produced from 7 judgeable criteria upwards. Source: fundamental data. All ten criteria in detail
Quality check
AAQS
5/10The AAQS (AlleAktien Quality Score) checks 10 quality criteria on growth, profitability, and balance-sheet strength — per the methodology developed and published by AlleAktien, calculated by us from our own fundamental data. A stock counts as a quality stock from 9 out of 10 points. Where a company has a shorter listing history, we calculate over the fiscal years available (at least five).
- Sales growth 10Y > 5% 10.2%
- Exp. sales growth 3Y > 5% 21.0%
- EBIT growth 10Y > 5% 19.0%
- Exp. EBIT growth 3Y > 5% 28.9%
- Net debt < 4x EBIT 5.7x
- EBIT positive, 10Y straight 7
- Max. EBIT decline < 50% 100.0%
- Return on equity > 15% 7.3%
- ROCE > 15% 7.2%
- Expected return > 10% 13.6%
View stocks with the full AAQS score · Read the methodology at AlleAktien
Source: fundamental data
Insiders
Insider Transactions
Reportable transactions by officers and major shareholders from SEC Form 4 filings. "Other" includes things like stock grants and option exercises without a buy/sell character.
| Date | Person | Role | Type | Shares | Price | Value |
|---|---|---|---|---|---|---|
| Sep 2, 2026 | Tringali Donald J | Director | Other | 59 | 35.22 | 2,078 |
The company
About the Company
Natural Gas Services Group, Inc. provides natural gas compression equipment, flares and related assets; and electric compression equipment, technology, and services to the energy industry in the United States. The company rents, designs, installs, service, and maintains natural gas engine and electric motor drive compressors for oil and gas production and processing facilities. It also designs and assembles compressor units for rental; and designs, engineers, and sells compressor components. In addition, the company provides aftermarket services for its compressors; and services related to the installation and start-up of new compressor units. Natural Gas Services Group, Inc. was incorporated in 1998 and is headquartered in Southlake, Texas.
- Employees
- 259
- Headquarters
- Southlake, TX
- Address
- 601 State Street, 76092 Southlake, United States
- Phone
- 432 262 2700
- Website
- ngsgi.com
- IPO Date
- 10/22/2002
- ISIN
- US63886Q1094
Management
| Name | Title | Birth Year |
|---|---|---|
| Justin C. Jacobs | CEO & Director | 1975 |
| Ian M. Eckert | Chief Financial Officer | 1988 |
| B.J. Ellis | Senior Vice President of Operations | – |
| John A. Rowell | Senior Vice President of Technical | – |
| Cody Pye | Senior Vice President of Commercial & HSE | – |
| Anna Delgado | Investor Relations Coordinator | – |
Executives per the latest required filings; titles kept in their original language. Source: fundamental data.
Filings
Company Filings (8-K)
An 8-K is the filing a US company must use to disclose material events immediately — takeovers, changes at the top, major contracts or payment troubles, for instance. The links open the original document at the US Securities and Exchange Commission (SEC).
- 08/12/2026 NATURAL GAS SERVICES GROUP INC (NGS): Results of Operations and Financial Condition; Regulation FD Disclosure; Financial Statements and Exhibits SEC ↗
- 08/10/2026 NATURAL GAS SERVICES GROUP INC (NGS): Results of Operations and Financial Condition; Other Events; Financial Statements and Exhibits SEC ↗
- 07/24/2026 NATURAL GAS SERVICES GROUP INC (NGS): Entry into a Material Definitive Agreement; Material Modifications to Rights of Security Holders; Amendments to Articles of Incorporation or Bylaws; Change in Fiscal Year; Other Events; Financial Statements and Exhibits SEC ↗
- 07/10/2026 NATURAL GAS SERVICES GROUP INC (NGS): Changes in Registrant's Certifying Accountant SEC ↗
- 07/08/2026 NATURAL GAS SERVICES GROUP INC (NGS): Regulation FD Disclosure SEC ↗
Data as of: September 17, 2026 · Source: fundamental data & SEC filings (annual and quarterly reports, 10-K/10-Q)
Note: pure fact-based analysis, not investment advice and not a solicitation to buy or sell. All figures without guarantee.