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    Is Expro (XPRO) Using EU Geothermal Contracts To Redefine Its Lower-Carbon Energy Positioning?

    Simply Wall St·03/27/2026 02:13:42
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    • Expro announced it has delivered well testing services, including its GeoFlow™ Surface Well Testing package, for Vulcan Energy’s first Schleidberg well in the Lionheart geothermal and lithium project, working alongside VERCANA GmbH.
    • This work embeds Expro in one of Europe’s most significant geothermal and lithium developments under the EU Critical Raw Materials Act, highlighting its long-standing geothermal expertise and emerging role in lower-carbon energy supply chains.
    • We’ll now explore how Expro’s role in the EU-designated Lionheart geothermal and lithium project could influence its broader investment narrative.

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    Expro Group Holdings Investment Narrative Recap

    To own Expro, you need to believe its core oil and gas services can justify a relatively high valuation while it steadily broadens into lower-carbon work. The Lionheart geothermal and lithium contract modestly supports that thesis by highlighting Expro’s long-standing geothermal capabilities, but it does not change the near term focus on execution, margin quality, and the risk that traditional upstream spending or international projects could soften.

    Among recent announcements, the launch of Expro’s US$100 million share repurchase program stands out. Buybacks, alongside 2026 revenue guidance of US$1.60–US$1.65 billion, underline management’s confidence in cash generation at a time when the Lionheart project showcases Expro’s ability to win work tied to energy transition themes, both of which now sit against risks around customer concentration and evolving regulation.

    Yet investors should also weigh how concentrated exposure to international and offshore oil and gas could interact with tightening ESG rules and evolving energy policies over time...

    Read the full narrative on Expro Group Holdings (it's free!)

    Expro Group Holdings' narrative projects $1.7 billion revenue and $83.2 million earnings by 2028. This implies a 0.3% yearly revenue decline and an earnings increase of about $11.9 million from $71.3 million today.

    Uncover how Expro Group Holdings' forecasts yield a $14.40 fair value, a 19% downside to its current price.

    Exploring Other Perspectives

    XPRO 1-Year Stock Price Chart
    XPRO 1-Year Stock Price Chart

    Some of the most optimistic analysts were already assuming Expro could reach about US$1.8 billion in revenue and US$93.4 million in earnings by 2028, so this new Lionheart win might either strengthen that bullish case or prompt a rethink of how much Expro’s geothermal and lithium work can offset the longer term risk of limited diversification beyond oilfield services.

    Explore 2 other fair value estimates on Expro Group Holdings - why the stock might be worth over 2x more than the current price!

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    This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.