With a net profit margin of 22.08%, Tidewater Inc. (NYSE:TDW) is included among the 10 Most Profitable Energy Stocks to Buy Now.
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Tidewater Inc. (NYSE:TDW) is the leading provider of larger Offshore Service Vessels to the global energy industry.
On June 5, Fearnley analyst Magnus Andersen upgraded Tidewater Inc. (NYSE:TDW) from ‘Buy’ to ‘Hold’ and assigned the stock a price target of $90, indicating an upside of 23% from the current levels. The analyst firm believes that TDW offers a robust outlook at a discounted valuation.
Tidewater Inc. (NYSE:TDW) fell behind profit estimates in its Q1 2026 report last month. However, its profits managed to top Wall Street expectations, driven mainly by higher utilization and stronger day rates. The company delivered a gross margin of just under 49% for the quarter, up slightly QoQ and over 3 percentage points above its internal plan.
Tidewater Inc. (NYSE:TDW) reaffirmed its revenue guidance of $1.43 billion to $1.48 billion for FY 2026. Moreover, it expects its gross margin to range from 49% to 51%, assuming a closing of the Wilsons acquisition by the end of the second quarter.
Black Bear Value Partners, an investment advisory firm, stated the following regarding Tidewater Inc. (NYSE:TDW) in its Q1 2026 investor letter:
“Tidewater Inc. (NYSE:TDW) increased by ~65% in the first quarter as investors rotated into energy and energy-adjacent stocks. Additionally in February, TDW acquired Wilson Sons, a leading Platform-Specialty-Vehicle (PSV) operator in Brazil.
Tidewater is a marine services firm that operates one of the world’s largest fleets of offshore support vessels (OSV’s). They serve the energy industry by transporting crew and supplies, towing and anchoring drillships and supporting offshore construction projects. The long-term outlook for international and offshore markets is strong while the near-term is a little cloudier. As current resource plays (the Permian) slow down, worldwide demand will continue to grow and require more oil. It is expected that offshore capital commitments will rebound in the next 1-2 years…” (Click here to read the full text)
While we acknowledge the risk and potential of TDW as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than TDW and that has 10,000% upside potential, check out our report about this cheapest AI stock.
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