Team Inc (TISI)
NYSEIndustrialsSpecialty Business ServicesSnapshot 2026-09-04
$27.91+4.34%
Close 2026-09-04 · 1-day change
NYSEIndustrialsSpecialty Business ServicesSnapshot 2026-09-04
Intact: The reason to own it still holds.
Team Inc aims to grow revenue to about $932 million in 2026. Profit margins should improve with gross margin near $250 million. Management targets adjusted EBITDA up to $73 million. Capital spending is controlled between $13 million and $14 million.
The company is loss-making and fragile with high risk. CEO and CFO changes may hurt execution. Profitability remains mixed and free cash flow is negative. Revenue growth and margin targets may not be met.
The market expects about 6% revenue growth and values the stock cheaply versus peers. Our fair value is near $57, reflecting cautious optimism. We differ by emphasizing execution risks and fragile profitability.
Breaks if: Adjusted EBITDA falls below $68 million in FY26
Management targets adjusted EBITDA of $68 million to $73 million for fiscal year 2026, representing approximately 16% growth at midpoint compared to 2025.
This is not a price target or investment advice.
A long-form read on the 1–3 year hold thesis. It updates when the weekly evidence changes.
This investment represents a turnaround situation with a medium confidence level. The company is currently loss-making and has a high risk profile, but recent management priorities indicate a focus on improving financial performance.
The market appears to have priced in a justified valuation, suggesting that it sees TISI as relatively cheap compared to peers. However, there is an expectations gap, indicating that the market may be cautious about future performance.
Management is on track to achieve its revenue and adjusted EBITDA targets for 2026, with recent financial performance showing some improvement. However, there is a high probability of a near-term earnings miss, which could impact investor sentiment.
The future performance of TISI hinges on the company's ability to meet its guidance and the overall health of the Industrials sector. Key indicators will be the performance of sector bellwethers and any changes in guidance during upcoming earnings calls.
The most important moves since the prior daily snapshot.
Yes, our read has strengthened. The company outlined a savings plan that supports its EBITDA target for 2026. This plan aims to achieve adjusted EBITDA between $68 million and $73 million. There are no new threats impacting the thesis at this time.
as of 2026-09-04
Review the evidence to watch, what would become a concern, and what would make it less concerning.
Not investment advice. Scores describe historical and current data; they are not forecasts of future returns. Consult a licensed advisor before making investment decisions.
Stated as a priority in 2 of last 2 quarters. Adjusted EBITDA improved from $5.3 million in 2025-Q1 to $7.7 million in 2026-Q1 (+45.2%). The company guides full-year 2026 adjusted EBITDA between $68 million and $73 million, about 16% growth at midpoint versus 2025. The trajectory shows progress toward the target.
“Adjusted EBITDA of between $68 million and $73 million, an increase of approximately 16% at the midpoint of guidance compared to 2025.”
“For fiscal year 2026, the Company has provided guidance of Adjusted EBITDA between $68 million and $73 million.”
Breaks if: Capital expenditures exceed $14 million in FY26
Breaks if: Gross margin falls below $240 million in FY26
Management aims for a gross margin between $240 million and $260 million for fiscal year 2026, reflecting approximately 8% growth at midpoint compared to 2025.
Stated as a priority in 2 of last 2 quarters. Gross profit rose from $47.3 million in 2025-Q1 to $50.2 million in 2026-Q1 (+6.1%). The company guides full-year 2026 gross margin between $240 million and $260 million, about 8% growth at midpoint versus 2025. The trajectory shows steady progress toward the gross margin target.
“Gross Margin of between $240 million and $260 million, an increase of approximately 8% at the midpoint of guidance compared to 2025.”
“For fiscal year 2026, the Company has provided guidance of Gross Margin between $240 million and $260 million.”
Breaks if: Another CEO or CFO departure occurs within next 12 months
Breaks if: Revenue falls below $920 million in FY26
Management aims to achieve total company revenue of $920 million to $945 million for fiscal year 2026, representing approximately 4% growth at midpoint versus 2025.
Stated as a priority in 2 of last 2 quarters. Revenue grew from $198.7 million in 2025-Q1 to $215.1 million in 2026-Q1 (+8.3%). The company guides full-year 2026 revenue between $920 million and $945 million, about 4% growth at midpoint versus 2025. The trajectory is delivering consistent growth aligned with guidance.
“For the full year, we are guiding to revenue of $920 million and $945 million.”
“For fiscal year 2026, the Company has provided the following operating and cash flow guidance: Total Company Revenue of $920 million to $945 million.”
In the next 1 to 3 years, TISI's trajectory will depend on its execution of management priorities and external sector conditions. Not investment advice.