Drilling Tools International (NASDAQ:DTI) Downgraded by Zacks Research to Strong Sell

Zacks Research cut shares of Drilling Tools International (NASDAQ:DTI) from a hold rating to a strong sell rating in a report published on Monday morning,Zacks reports.

Several other brokerages also recently weighed in on DTI. Jefferies Financial Group restated a “hold” rating and issued a $2.80 target price on shares of Drilling Tools International in a research note on Sunday, August 9th. Weiss Ratings reaffirmed a “sell (e+)” rating on shares of Drilling Tools International in a report on Monday, October 26th. One research analyst has rated the stock with a Hold rating and two have assigned a Sell rating to the company. According to MarketBeat, the company has a consensus rating of “Sell” and a consensus target price of $2.80.

Drilling Tools International Stock Down 6.3%

NASDAQ:DTI opened at $1.48 on Monday. Drilling Tools International has a fifty-two week low of $1.35 and a fifty-two week high of $4.69. The stock has a market capitalization of $52.21 million, a P/E ratio of -11.38, a P/E/G ratio of 4.39 and a beta of -0.56. The company has a debt-to-equity ratio of 0.37, a quick ratio of 1.58 and a current ratio of 2.08. The company’s 50-day simple moving average is $2.11 and its 200-day simple moving average is $2.80.

Drilling Tools International (NASDAQ:DTI) last issued its quarterly earnings data on Thursday, November 5th. The company reported ($0.01) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.04 by ($0.05). The firm had revenue of $40.65 million during the quarter, compared to analysts’ expectations of $40.87 million. Drilling Tools International had a negative return on equity of 0.40% and a negative net margin of 3.06%. On average, equities analysts anticipate that Drilling Tools International will post 0.04 earnings per share for the current fiscal year.

Insider Buying and Selling at Drilling Tools International

In other Drilling Tools International news, Director Ira Harris Green, Jr. purchased 25,000 shares of the company’s stock in a transaction dated Monday, November 9th. The shares were acquired at an average price of $1.63 per share, for a total transaction of $40,750.00. Following the completion of the purchase, the director owned 42,207 shares of the company’s stock, valued at approximately $68,797.41. The trade was a 145.29% increase in their ownership of the stock. The acquisition was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, CFO David Richard Johnson purchased 30,350 shares of the company’s stock in a transaction dated Monday, November 9th. The shares were acquired at an average price of $1.65 per share, for a total transaction of $50,077.50. Following the purchase, the chief financial officer directly owned 97,780 shares of the company’s stock, valued at approximately $161,337. The trade was a 45.01% increase in their position. Additional details regarding this purchase are available in the official SEC disclosure. Over the last ninety days, insiders acquired 155,350 shares of company stock worth $254,828. 17.10% of the stock is owned by insiders.

Institutional Trading of Drilling Tools International

A number of institutional investors have recently bought and sold shares of the stock. Private Management Group Inc. purchased a new stake in Drilling Tools International during the 2nd quarter worth approximately $3,361,000. Walleye Capital LLC acquired a new position in Drilling Tools International during the 1st quarter valued at approximately $1,243,000. Arrowstreet Capital Limited Partnership purchased a new position in shares of Drilling Tools International in the first quarter worth $954,000. Bank of America Corp DE raised its holdings in shares of Drilling Tools International by 567,520.0% in the first quarter. Bank of America Corp DE now owns 141,905 shares of the company’s stock worth $614,000 after buying an additional 141,880 shares during the last quarter. Finally, BlackRock Inc. purchased a new position in shares of Drilling Tools International in the second quarter worth $254,000. 2.79% of the stock is currently owned by institutional investors and hedge funds.

Key Drilling Tools International News

Here are the key news stories impacting Drilling Tools International this week:

• Positive Sentiment: Three company insiders bought a combined 155,350 shares for approximately $255,000. CEO Robert Prejean bought 100,000 shares, while the CFO and a director also increased their holdings—a potentially encouraging signal of management confidence. CEO SEC filing CFO SEC filing Director SEC filing
• Neutral Sentiment: Reported short interest was zero shares, indicating no measurable short position in the figures provided.
• Negative Sentiment: DTI’s third-quarter adjusted results missed expectations: it reported a $0.01-per-share loss versus the consensus forecast for $0.04 in earnings. Higher costs offset stronger drilling activity, while increased capital spending weighs on the 2026 free-cash-flow outlook. Zacks earnings article
• Negative Sentiment: Sidoti lowered its FY2026 earnings estimate to a loss of $0.02 per share from earnings of $0.04, and cut its FY2027 estimate to $0.13 from $0.16. The estimate reductions add to concerns about the company’s near-term earnings outlook.

About Drilling Tools International

Drilling Tools International Corporation (NASDAQ: DTI) provides rental tools and related services to the oil and gas drilling industry. The company supplies downhole equipment used in drilling, completion and production operations, serving exploration and production companies, drilling contractors and oilfield service providers. Its product offering includes drill pipe, drill collars, heavy-weight drill pipe, stabilizers, subs, mud motors, drilling jars and other specialized downhole tools. Drilling Tools International also provides equipment inspection, maintenance, repair, refurbishment and machining services intended to support the safe and efficient use of drilling equipment.