TechnipFMC (FTI) Could Be 9% Undervalued Following Petrobras Subsea Contract Win

TechnipFMC (FTI) just secured a significant subsea contract from Petrobras to supply flexible pipe systems for multiple pre salt fields offshore Brazil, providing a fresh datapoint for anyone tracking the stock’s order momentum.

TechnipFMC’s latest Petrobras award arrives at a time when the shares have eased 4.6% over the past month and 3.5% over the past quarter, yet still carry a strong year to date share price return of 46.9% and a one year total shareholder return of 96.0%. This signals momentum that investors are treating as very much intact despite recent pullbacks tied to shifting expectations around future growth and project risk.

Scan beyond TechnipFMC and see how other offshore and energy contractors with fresh contract momentum line up in our hand picked 42 power grid technology and infrastructure stocks

After a near doubling in total return over twelve months, TechnipFMC now pairs fresh Petrobras orders with a richer share price backdrop. Does that mix still tilt the risk reward in favour of new buyers or not?

Most Popular Narrative: 8.6% Undervalued

On the narrative numbers, TechnipFMC’s fair value of $76.05 sits above the last close at $69.50. This puts this Petrobras contract against a backdrop of perceived undervaluation built on subsea order visibility and margin resilience.

Robust and growing pipeline of offshore oil and gas and deepwater projects globally, supported by a subsea opportunity list that is about 30% larger over two years and at record levels with a clear step up in TechnipFMC subsea inbound orders expected in 2027 through the end of the decade, continues to back multi year revenue visibility.

See why 29 investors see TechnipFMC as 9% undervalued.

Result: Fair Value of $76.05 (UNDERVALUED)

Still, the narrative around TechnipFMC can crack if conflict-linked disruptions deepen regional demand pressure or if expected post-2027 subsea orders materially undershoot management’s opportunity list.

Find out about the key risks to this TechnipFMC narrative.

Next Steps

If that mix of optimism and caution feels familiar, treat it as your cue to move fast, test the narrative against the numbers, and see whether the optimism around TechnipFMC’s rewards matches your own expectations by checking the 3 key rewards.

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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.

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