Raymond James on Tuesday increased its 12-month price objective for Solaris Energy Infrastructure (NYSE: SEI) to $65.00 from $60.00 and left its rating at Outperform. The new target remains under the analyst high target of $71, based on InvestingPro data, implying additional upside potential despite the stock's strong run over the past year.
The brokerage underscored Solaris Energy's strategic transformation from an oilfield services company into a power-generation operator. Central to that narrative is the firm's Power Solutions platform, which Raymond James says is scaling toward an operated gas turbine fleet of roughly 2.2 GW. That repositioning, the analyst noted, has coincided with a 92.3% increase in revenues over the trailing twelve months.
Raymond James pointed out that roughly 55% to 60% of Solaris's pro forma fleet is already covered by contracts, and that the company is receiving backing at installations from a notable customer and a joint-venture partner. The analyst team framed these elements as contributors to the company's expanding commercial footprint in bespoke builds, competitive pricing and deployment speed, along with layered services that could boost visibility as more long-term agreements are signed.
Despite the stock's appreciation - roughly a 117% total return over the past year and about a 50% gain over the trailing twelve months as the corporate pivot unfolded - Raymond James argued Solaris's projected 2027 EV/EBITDA multiple of about 11x still looks below fair value. InvestingPro-derived metrics were cited to show an apparently mixed valuation picture: Solaris trades at a high trailing P/E near 57.4x, yet its PEG ratio is around 0.63, suggesting the company may be inexpensive relative to near-term earnings growth expectations.
InvestingPro analysis referenced by the analyst house also indicates net income is expected to grow this year, which Raymond James flagged as a factor that could support further upward movement in the share price if realized. The firm highlighted the potential for Solaris to achieve a more infrastructure-like valuation profile over time as contracted revenues increase and operating visibility improves.
Recent operating and analyst developments
On the results front, Solaris Oilfield Infrastructure Inc reported third-quarter 2025 results showing a small miss on earnings per share and a sizable revenue beat. The company reported EPS of $0.32, slightly below the consensus $0.33 forecast, while revenue was $167.0 million, ahead of the $140.48 million expectation by 18.88%.
Other sell-side actions were also noted. Morgan Stanley initiated coverage of Solaris Energy Infrastructure with an Overweight rating and set a $68.00 price target, arguing there is a valuation disconnect and estimating that the contracted fleet and power generation supply through 2028 are worth about $40 per share. Piper Sandler raised its target to $65.00 from $50.00 and maintained an Overweight rating, pointing to Solaris's position in the data-center power solutions market despite some recent stock underperformance.
Outlook
Raymond James's upgrade of the price target and the commentary from other analysts underline a consensus view that Solaris's transition into power generation and its expanding contracted book are material to its valuation trajectory. That said, the company shows a blend of strong top-line momentum, partial contract coverage today and valuation measures that yield mixed signals, leaving the path to a full re-rating dependent on execution and further contract wins.