KGS

Energy

Kodiak Gas Services, Inc. · Oil & Gas Equipment & Services · $7B

UQS Score — Balanced Preset
51.4
Good

Kodiak Gas Services, Inc. scores 51.4/100 using the Balanced preset.

UQS vs Energy Sector
KGS
51.4
Sector avg
43.5
Quality
Weak
Moat
Weak
Growth
Good
Risk
Good
Valuation
Good

What is Kodiak Gas Services, Inc.?

Kodiak Gas Services is a contract compression provider serving oil and gas producers across the United States. The company operates compression infrastructure that keeps natural gas and oil moving from wellhead to market.

Kodiak operates through two segments. The Compression Operations segment runs company-owned and customer-owned compression infrastructure, enabling the production, gathering, and transportation of natural gas and oil. The Other Services segment delivers contract work including station construction, maintenance, overhaul, and ancillary time-and-material services. Revenue is generated primarily through long-term compression contracts with upstream and midstream energy customers, providing a degree of cash flow predictability tied to production activity.

Kodiak Gas Services was founded in 2010 and is headquartered in Montgomery, Texas.

  • Contract compression operations for natural gas and oil producers
  • Customer-owned compression infrastructure management
  • Station construction and installation services
  • Maintenance, overhaul, and repair services
  • Ancillary time-and-material field services

Is KGS a Good Stock to Buy?

UQS Score rates KGS as Good overall, reflecting a balanced profile with a standout growth dimension.

The Growth pillar is the clearest highlight for KGS, suggesting the company is expanding at a pace that stands out relative to energy sector peers. Valuation also registers as Good, meaning the market price does not appear to be running far ahead of fundamentals at this time.

The Moat pillar registers as Weak, indicating limited structural competitive advantages — a meaningful consideration in a commoditized contract services market. Quality and Risk both sit at Neutral, suggesting neither a red flag nor a standout.

See the exact pillar breakdown and full financial metrics by signing up for a UQS Pro account. Sign up free →

Past performance does not guarantee future results. UQS Score is based on fundamental data and is not a buy/sell recommendation.

Does KGS pay dividends?

Yes — Kodiak Gas Services, Inc. pays a dividend.

KGS pays a regular dividend, which is notable for a mid-cap energy services company still in a growth phase. The dividend reflects management's intent to return capital to shareholders alongside reinvestment in compression infrastructure. Investors seeking income alongside exposure to natural gas infrastructure may find this combination relevant to their screening criteria.

When does KGS report earnings?

Kodiak Gas Services reports earnings on a quarterly cadence, consistent with standard practice for US-listed equities.

The company's Growth pillar strength suggests recent operating results have trended positively relative to sector peers. Contract compression demand has benefited from sustained natural gas production activity across US basins.

For the most recent quarter's results and guidance, visit Kodiak Gas Services' investor relations page directly.

KGS Price History

+345.2% over 5Y

Monthly close, adjusted for stock splits and dividend reinvestment.

Return Calculator

What if I invested in Kodiak Gas Services, Inc.?

$
Today it would be worth
$19,245
That's a +92.5% total return, or +92.5% annualized.

Based on Kodiak Gas Services, Inc.'s historical closing prices, adjusted for stock splits and dividend reinvestment. Past performance does not guarantee future results. This is for informational purposes only and is not financial advice.

KGS Long-term Outlook

The Strong Growth pillar points to a fundamental trajectory that has been building momentum in recent periods. Demand for contract compression infrastructure is tied closely to US natural gas production volumes, which remain a structural tailwind. The Neutral Risk pillar suggests the business carries a manageable but not negligible risk profile, while the Weak Moat pillar means competitive pressures could weigh on pricing power over time.

Growth drivers

  • Rising US natural gas production volumes driving compression demand
  • Expansion of the contract compression fleet and customer base
  • Cross-selling ancillary services to existing compression customers

Key risks

  • Limited competitive moat in a commoditized contract services market
  • Exposure to energy price cycles affecting customer capital spending
  • Leverage typical of infrastructure-heavy business models

KGS vs Peers

KGS competes in the energy infrastructure and services space alongside several publicly traded peers.

AROCSimilar UQS
Archrock, Inc.

Archrock is the most direct compression-focused peer, operating a large US contract compression fleet with a longer public market track record than KGS.

LBKGS scores lower
LandBridge Company LLC

LandBridge focuses on surface acreage and land-based royalty interests, offering a different exposure to energy infrastructure than pure compression services.

VALKGS scores higher
Valaris Limited

Valaris operates offshore drilling rigs globally, representing a higher-risk, more capital-intensive segment of energy services compared to onshore compression.

Frequently Asked Questions

What does Kodiak Gas Services do?

Kodiak Gas Services provides contract compression infrastructure for oil and gas customers in the United States. The company operates compression equipment that enables the production, gathering, and transportation of natural gas and oil. It also offers station construction, maintenance, and other field services through its Other Services segment.

Does KGS pay dividends?

Yes, KGS pays a regular dividend. This is notable for a mid-cap energy services company that is also investing in growth. Investors should review the company's investor relations page for the current dividend rate and payment schedule, as terms can change.

When does KGS report earnings?

Kodiak Gas Services follows a standard quarterly earnings cadence for US-listed companies. Specific dates are not covered by our data source. For the most accurate and up-to-date schedule, check the company's investor relations page or a financial calendar service.

Is KGS a good stock to buy?

UQS Score rates KGS as Good overall. The Growth pillar is a clear strength, and Valuation is also rated Good. However, the Weak Moat pillar is a consideration for investors focused on durable competitive advantages. The full pillar breakdown is available to UQS Pro members.

Is KGS overvalued?

The UQS Valuation pillar for KGS is rated Good, suggesting the stock does not appear significantly overpriced relative to its fundamentals at the time of scoring. Valuation assessments can shift with market conditions, so reviewing the full analysis on a regular basis is worthwhile.

How does KGS compare to its competitors?

Among its closest peer, Archrock (AROC), KGS competes directly in the US contract compression market. KGS's Strong Growth pillar may differentiate it from more mature peers, though its Weak Moat suggests limited pricing power advantages. The UQS comparison table on this page shows how pillar scores stack up across peers.

What is KGS's market cap bracket?

KGS is classified as a mid-cap company. This places it in a size range that typically offers more growth potential than large-caps but with somewhat less liquidity and analyst coverage than the largest energy sector names.

Who founded Kodiak Gas Services?

Kodiak Gas Services was originally founded in 2010 under the name Frontier TopCo, Inc. before rebranding. The company operates as a subsidiary of Frontier Topco Partnership, L.P. For detailed founding history, the company's official disclosures and investor relations materials are the most reliable source.

Is KGS a long-term quality investment?

As a long-term quality indicator, KGS scores as Good on the UQS composite. The Strong Growth pillar is a positive signal, but the Weak Moat is a factor to monitor — businesses without strong competitive barriers can face margin pressure over longer time horizons. Pro members can access the complete multi-pillar view.

What is the main competitive advantage of Kodiak Gas Services?

Kodiak's primary advantage lies in its established customer relationships and the operational scale of its compression fleet. Long-term contracts provide some revenue visibility. However, the UQS Moat pillar rates as Weak, reflecting that structural barriers to competition in contract compression remain limited across the industry.

What sector does KGS belong to?

KGS operates in the Energy sector, specifically within energy infrastructure and services. It focuses on the midstream-adjacent function of contract compression, which supports natural gas and oil production and gathering operations across US basins.

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Pro Analysis

KGS — Score History

4550556065Apr 2Apr 12Apr 22May 2May 12May 22May 24v5
Score changes· 18 most recent
DateUQSQualityMoatGrowthRiskValueChange
May 21, 202652.139.925.078.967.666.5+0.1
May 14, 202652.039.825.078.967.665.7+1.1
May 12, 202650.939.025.078.969.557.6-0.3
May 7, 202651.244.225.078.955.665.0-0.1
May 6, 202651.344.225.078.955.666.0+0.1
May 3, 202651.244.225.078.955.665.6-0.2
Apr 26, 202651.444.225.078.955.666.5-0.3
Apr 24, 202651.744.225.078.955.668.40.0
Apr 22, 202651.744.225.078.955.668.9-4.8
Apr 19, 202656.552.025.092.855.668.9-0.5

KGS — Pillar Breakdown

Quality

39.2/100 (25%)

Kodiak Gas Services, Inc. has average quality metrics, with room for improvement in margins or capital efficiency.

Capital Efficiency (ROIC)Weak

How effectively capital is deployed to generate returns.

Return on EquityWeak

Profitability relative to shareholders' equity.

Operating ProfitabilityStrong

Ability to convert revenue into operating profit.

Net ProfitabilityWeak

Bottom-line profit as a share of revenue.

Gross Profit / AssetsModerate

Asset productivity — how much gross profit each dollar of assets generates.

Cash GenerationWeak

Free cash flow relative to market value.

Growth

78.9/100 (20%)

Kodiak Gas Services, Inc. is growing rapidly with strong revenue and earnings expansion.

Recent Revenue TrendModerate

Revenue trajectory over the last twelve months.

3Y Revenue CAGRStrong

Compound annual revenue growth rate over 3 years.

EPS GrowthStrong

Year-over-year earnings per share growth.

Forward Revenue OutlookStrong

Analyst consensus for future revenue growth.

Forward EPS GrowthStrong

Analyst consensus for future earnings growth.

Risk

67.6/100 (15%)

Kodiak Gas Services, Inc. maintains a reasonable risk profile with manageable debt levels.

Financial LeverageStrong

Debt levels relative to earnings capacity.

Debt/EquityStrong

Total debt relative to shareholder equity.

Current RatioWeak

Short-term liquidity — ability to pay near-term obligations.

Interest CoverageWeak

Earnings capacity relative to interest payments.

Valuation

63.1/100 (15%)

Kodiak Gas Services, Inc. trades at a reasonable valuation with decent earnings yield and FCF multiples.

Earnings YieldWeak

Inverse of forward P/E — higher yield means cheaper stock.

Price to Free Cash FlowModerate

How many years of FCF the market cap represents.

PEG RatioStrong

P/E relative to earnings growth — lower is more attractive.

EV/EBITDA vs SectorModerate

Enterprise value multiple relative to sector median.

Moat

25/100 (25%)

Kodiak Gas Services, Inc. operates in a highly competitive environment with limited sustainable advantages. The Moat pillar evaluates competitive advantages across five dimensions: Switching Costs, Network Effects, Cost Advantage, Intangible Assets, and Scale & Ecosystem. Sign in to customize moat ratings for KGS.

Score Composition

Quality
39.2×25%9.8
Growth
78.9×20%15.8
Risk
67.6×15%10.1
Valuation
63.1×15%9.5
Moat
25.0×25%6.3
Total
51.4Good

Financial Data

More Stock Analysis

How is the KGS UQS Score Calculated?

The UQS (Unified Quality Score) for Kodiak Gas Services, Inc. is calculated using a proprietary 6-pillar framework with 29 financial metrics. Each pillar evaluates a different dimension on a 0–100 scale, then combines into a single weighted score. Scoring thresholds are calibrated per sector. Momentum is an optional Pro toggle — without it, you get the 5-pillar / 25-metric core shown below.

Quality (25%) measures profitability and capital efficiency — ROIC, ROE, margins, GP/Assets, and FCF Yield.

Moat (25%) assesses Kodiak Gas Services, Inc.'s competitive advantages across switching costs, network effects, cost advantages, intangible assets, and ecosystem scale.

Growth (20%) tracks revenue trajectory and earnings momentum, combining historical results with analyst forward estimates.

Risk (15%) is inversely scored — lower leverage and strong balance sheet health result in higher scores.

Valuation (15%) measures whether Kodiak Gas Services, Inc. is fairly priced using earnings yield, price-to-FCF, PEG ratio, and EV/EBITDA relative to sector peers.

Six investor-inspired presets are available, each with different pillar weights: Balanced, Buffett, Munger, Lynch, Cathie Wood, and Graham. The public score shown here uses the Balanced preset. Learn more in our FAQ.