TechnipFMC’s Prospects Look Bright as Investment in Offshore O&G Production Accelerates

TechnipFMC posted a solid third quarter, with revenue remaining flat quarter over quarter but increasing 10% year over year. The firmwide operating margin was 5%, increasing 18 basis points from last quarter and nearly 250 basis points from the third quarter of 2021. We'll incorporate the firm's full financial and operating results shortly, but after this first look, our $14 fair value estimate is unchanged. We maintain our no moat, stable trend, and Morningstar Uncertainty Rating of Very High following results.