Kodiak Gas Services Inc. (KGS)

Research evidence excerpt

Kodiak Gas Services Inc. (KGS)

Equity Research

28 July 2026 | 6:31PM EDT

Kodiak Gas Services Inc. (KGS): Valued Below Core Compression Value

with BTM Concerns Overdone - Reiterate Buy

While acknowledging volatility in the broader AI/power sector across the John Mackay

+1(212)357-5379 |

market, we see the sell-off in Kodiak Gas (KGS, Buy) as overdone with the stock john.mackay@gs.com

Goldman Sachs & Co. LLC

currently valued below our estimated worth of its core natural gas compression

Jackie Koletas

assets. KGS has materially underperformed following cautious comments from LBRT +1(917)343-6953 |

on its earnings call around the BTM outlook (KGS -17% vs. AMNA -3% since jackie.koletas@gs.comGoldman Sachs & Co. LLC

7/22/26). Several LBRT questions are addressed here following the management call Olivia Foster

we hosted with the GS Energy Services research team today (7/28/26), specifically +1(801)212-7314Goldman Sachs & Co.| olivia.foster@gs.comLLC

their confidence in strong commercial demand for BTM solutions, maintained return Ben Lund

targets, and longer contract tenors. Looking at KGS specifically, we remain confident +1(801)884-1197 | ben.lund@gs.com Goldman Sachs & Co. LLC

in its ability to execute on significant growth in BTM due to: 1) our continued view

that BTM can take more share of the larger data center power market; 2) Kodiak’s

track record of engineering / operational execution on their legacy compression

assets - which remains relevant to commercial success, in our view; 3) committed

generation capacity in-hand; and 4) significant funding capacity with low leverage

following their recent equity deal and legacy business generating material FCF. Most

notably, we now see the stock (currently ~$55/sh) is valued well below our view of