National Energy Services Reunited (NASDAQ:NESR) Stock Moved Up to Strong-Buy by BMO Capital Markets

Key Points

• Analyst sentiment remains bullish: BMO Capital Markets upgraded NESR to “strong buy,” while other firms issued Buy or Overweight ratings. The consensus rating is Buy with an average price target of $38.
• Recent operating results exceeded expectations: NESR reported quarterly EPS of $0.44 versus the $0.35 consensus estimate, while revenue rose 59.1% year over year to $520.75 million.
• Shares face near-term pressure and execution risks: The stock has fallen 23.7% over four weeks, and insiders have sold about $6.2 million worth of shares in the past 90 days. Analysts also caution that expansion spending could pressure cash flow.

National Energy Services Reunited (NASDAQ:NESR - Get Free Report) was upgraded by equities researchers at BMO Capital Markets to a "strong-buy" rating in a note issued to investors on Thursday, Zacks reports.

A number of other brokerages have also recently commented on NESR. BTIG Research raised their target price on National Energy Services Reunited from $32.00 to $40.00 and gave the stock a "buy" rating in a report on Monday, August 10th. Piper Sandler boosted their price target on National Energy Services Reunited from $33.00 to $35.00 and gave the company an "overweight" rating in a report on Tuesday, July 14th. Zacks Research upgraded National Energy Services Reunited from a "hold" rating to a "strong-buy" rating in a research report on Monday, June 29th. Capital One Financial began coverage on National Energy Services Reunited in a research note on Wednesday. They issued an "overweight" rating and a $44.00 price objective on the stock. Finally, National Bank Financial set a $44.00 price objective on National Energy Services Reunited in a research report on Wednesday. Two analysts have rated the stock with a Strong Buy rating and nine have issued a Buy rating to the company's stock. According to MarketBeat.com, National Energy Services Reunited currently has a consensus rating of "Buy" and an average target price of $38.00.

National Energy Services Reunited Stock Down 2.1%

Shares of NESR stock opened at $24.93 on Thursday. The company has a current ratio of 1.02, a quick ratio of 0.86 and a debt-to-equity ratio of 0.15. National Energy Services Reunited has a 12 month low of $9.95 and a 12 month high of $36.94. The stock has a market cap of $2.51 billion, a P/E ratio of 27.10, a P/E/G ratio of 0.23 and a beta of 0.48. The company has a 50 day simple moving average of $31.91 and a two-hundred day simple moving average of $27.38.

National Energy Services Reunited (NASDAQ:NESR - Get Free Report) last issued its quarterly earnings results on Monday, August 10th. The company reported $0.44 earnings per share for the quarter, topping the consensus estimate of $0.35 by $0.09. National Energy Services Reunited had a net margin of 5.77% and a return on equity of 12.07%. The business had revenue of $520.75 million for the quarter, compared to analysts' expectations of $448.54 million. The business's quarterly revenue was up 59.1% compared to the same quarter last year. On average, research analysts expect that National Energy Services Reunited will post 1.88 earnings per share for the current year.

Insider Buying and Selling at National Energy Services Reunited

In other National Energy Services Reunited news, CEO Sherif Foda sold 100,000 shares of the firm's stock in a transaction dated Monday, August 31st. The stock was sold at an average price of $35.00, for a total transaction of $3,500,000.00. Following the sale, the chief executive officer directly owned 3,084,643 shares of the company's stock, valued at $107,962,505. This trade represents a 3.14% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, CFO Stefan Angeli sold 13,570 shares of the business's stock in a transaction dated Tuesday, August 18th. The shares were sold at an average price of $35.12, for a total value of $476,578.40. Following the completion of the transaction, the chief financial officer owned 549,763 shares in the company, valued at $19,307,676.56. The trade was a 2.41% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 176,894 shares of company stock valued at $6,221,414 over the last ninety days. 9.70% of the stock is currently owned by company insiders.

Institutional Trading of National Energy Services Reunited

Several hedge funds have recently bought and sold shares of the stock. Integrated Wealth Concepts LLC purchased a new position in shares of National Energy Services Reunited during the second quarter valued at about $45,000. USA Financial Formulas lifted its position in shares of National Energy Services Reunited by 63.0% in the first quarter. USA Financial Formulas now owns 2,253 shares of the company's stock worth $48,000 after buying an additional 871 shares in the last quarter. Allworth Financial LP lifted its position in shares of National Energy Services Reunited by 51.0% in the second quarter. Allworth Financial LP now owns 1,921 shares of the company's stock worth $57,000 after buying an additional 649 shares in the last quarter. Globeflex Capital L P bought a new position in National Energy Services Reunited during the first quarter valued at approximately $151,000. Finally, First Trust Advisors LP bought a new position in National Energy Services Reunited during the first quarter valued at approximately $203,000. Hedge funds and other institutional investors own 15.55% of the company's stock.

More National Energy Services Reunited News

Here are the key news stories impacting National Energy Services Reunited this week:

• Positive Sentiment: BMO Capital initiated coverage with an Outperform rating and a $39 price target. Analyst Phillip Jungwirth cited rapid Middle East and North Africa growth, strong cash generation and potential valuation upside. BMO Capital initiates coverage on NESR
• Positive Sentiment: Capital One began coverage with an Overweight rating and a $44 price target. The target implies substantial upside and adds another favorable institutional view of NESR’s growth prospects. Capital One initiates coverage on NESR
• Positive Sentiment: UBS maintained its Buy rating while adjusting its price target modestly to $46 from $47, signaling continued confidence in the company’s longer-term outlook. UBS adjusts NESR price target
• Positive Sentiment: Recent coverage highlights NESR’s Jafurah ramp-up, new Kuwait and regional awards, rapid revenue growth and lower leverage. Technical analysts also view the stock as oversold after a steep four-week decline, while rising earnings estimates could support a rebound. Zacks NESR turnaround analysis
• Neutral Sentiment: The bullish growth outlook comes with execution risks: sustaining the Jafurah expansion may require higher capital spending and could pressure cash flow. NESR’s richer valuation also leaves less room for operational disappointment. Zacks NESR valuation analysis
• Negative Sentiment: NESR shares recently gapped lower and have lost 23.7% over four weeks, indicating continued technical selling and investor concern despite the favorable analyst ratings. NESR shares gap down

About National Energy Services Reunited

National Energy Services Reunited Corp. NASDAQ: NESR is an oilfield services company focused on the Middle East, North Africa and Asia. The company provides services and equipment used across the life cycle of oil and natural gas wells, supporting exploration, drilling, completion, production and well intervention activities.

Its service portfolio has included well stimulation and completion services, coiled tubing, wireline and well testing, directional drilling, artificial lift, pressure pumping and production enhancement.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.