Is Innovex International, Inc. overvalued or undervalued?

As of 17 October 2025, the valuation grade for Innovex International, Inc. has moved from very attractive to attractive, indicating a shift in perception. The company appears to be undervalued with a P/E ratio of 11.90, which is favorable compared to the industry average, and an EV/EBITDA of 7.11, suggesting a solid valuation relative to earnings before interest, taxes, depreciation, and amortization. Additionally, the absence of a PEG ratio and dividend yield highlights a focus on growth rather than income generation.
In comparison to its peers, Innovex International is positioned well, with a lower P/E ratio than many competitors in the oil industry. For instance, if we consider a peer with a higher P/E, it reinforces the attractiveness of Innovex's valuation. Despite recent challenges reflected in its long-term returns, the stock has outperformed the S&P 500 over the past year, returning 12.86% compared to the S&P 500's 14.08%. This performance, alongside its attractive valuation metrics, supports the conclusion that Innovex International, Inc. is currently undervalued.