Luxembourg's Tenaris Q4 sales beat estimates

Tenaris SA

18/02/2026 21:54

Overview

Luxembourg steel pipe maker's Q4 net sales rose 5% yr/yr, beating analyst expectations

Company maintained strong net cash position of $3.3 bln at year-end

Company proposes annual dividend of $0.89 per share for 2026

Outlook

Company expects Q1 2026 sales and margins to remain close to current levels

Drilling activity in North America expected to remain steady after recent decline

Tariffs expected to eventually impact OCTG prices in the U.S.

Result Drivers

RESILIENT SALES - Sales to Rig Direct customers in the U.S. and Canada remained strong, contributing to the overall sales increase

TARIFF IMPACT - Margins held up despite the full impact of 50% Section 232 tariffs, aided by the reopening of the Koppel steel shop

CASH FLOW STRENGTH - Strong free cash flow of $665 mln contributed to maintaining a net cash position of $3.3 bln

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q4 Net Sales
Beat
$2.995 bln
$2.96 bln (8 Analysts)
Q4 Net Income
$461 mln
Q4 EBITDA
$717 mln
Q4 Operating Income
$554 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 9 "strong buy" or "buy", 6 "hold" and 1 "sell" or "strong sell"

The average consensus recommendation for the oil related services and equipment peer group is "buy"

Wall Street's median 12-month price target for Tenaris SA is €19.65, about 6.9% below its February 18 closing price of €21.10

The stock recently traded at 13 times the next 12-month earnings vs. a P/E of 11 three months ago

Press Release: ID:nGNXbT4N1Y

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)