ProFrac (NASDAQ:ACDC) Downgraded by Wall Street Zen to Sell

Key Points

• Wall Street Zen downgraded ProFrac to “sell” from “hold,” while the broader analyst consensus is “Reduce,” with an average price target of $5.25.
• ProFrac shares opened at $5.17, with a 12-month range of $3.08 to $8.22 and a market capitalization of approximately $942 million. The company also reports elevated leverage and weak liquidity ratios.
• Insiders purchased about 2.01 million shares worth $9.75 million over the past three months, while hedge funds and other institutional investors own 12.75% of the company.

ProFrac (NASDAQ:ACDC - Get Free Report) was downgraded by Wall Street Zen from a "hold" rating to a "sell" rating in a report released on Sunday, Wall Street Zen reports.

Other equities analysts have also recently issued reports about the company. Weiss Ratings reiterated a "sell (d-)" rating on shares of ProFrac in a research report on Wednesday, June 24th. Morgan Stanley cut their price objective on ProFrac from $5.00 to $4.50 and set an "underweight" rating for the company in a report on Thursday, August 20th. One equities research analyst has rated the stock with a Buy rating, two have issued a Hold rating and two have assigned a Sell rating to the company's stock. According to data from MarketBeat.com, the company currently has an average rating of "Reduce" and an average price target of $5.25.

ProFrac Price Performance

NASDAQ ACDC opened at $5.17 on Friday. ProFrac has a 12 month low of $3.08 and a 12 month high of $8.22. The company has a debt-to-equity ratio of 1.42, a current ratio of 0.84 and a quick ratio of 0.59. The firm has a market capitalization of $941.56 million, a PE ratio of -2.22 and a beta of 1.49. The company's 50 day simple moving average is $4.82 and its 200 day simple moving average is $5.86.

Insider Transactions at ProFrac

In related news, major shareholder Holdings Lp Thrc acquired 30,820 shares of ProFrac stock in a transaction dated Tuesday, August 25th. The stock was acquired at an average cost of $4.81 per share, with a total value of $148,244.20. Following the purchase, the insider directly owned 83,816,235 shares in the company, valued at $403,156,090.35. The trade was a 0.04% increase in their position. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. Also, CEO Matthew Wilks bought 22,481 shares of the firm's stock in a transaction that occurred on Tuesday, August 11th. The stock was bought at an average price of $5.44 per share, for a total transaction of $122,296.64. Following the completion of the acquisition, the chief executive officer directly owned 502,097 shares in the company, valued at approximately $2,731,407.68. The trade was a 4.69% increase in their ownership of the stock. The SEC filing for this purchase provides additional information. Insiders purchased a total of 2,014,454 shares of company stock valued at $9,750,117 in the last three months. 2.23% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On ProFrac

A number of institutional investors have recently bought and sold shares of ACDC. Walleye Capital LLC lifted its stake in ProFrac by 328.6% during the first quarter. Walleye Capital LLC now owns 347,911 shares of the company's stock valued at $2,157,000 after buying an additional 266,742 shares in the last quarter. Dimensional Fund Advisors LP increased its position in shares of ProFrac by 156.5% in the first quarter. Dimensional Fund Advisors LP now owns 390,420 shares of the company's stock worth $2,421,000 after acquiring an additional 238,210 shares in the last quarter. Renaissance Technologies LLC purchased a new position in shares of ProFrac in the first quarter worth approximately $872,000. Bank of America Corp DE raised its holdings in shares of ProFrac by 186.9% during the first quarter. Bank of America Corp DE now owns 175,664 shares of the company's stock valued at $1,089,000 after acquiring an additional 114,429 shares during the period. Finally, Corient Private Wealth LP acquired a new stake in shares of ProFrac during the second quarter valued at approximately $368,000. Hedge funds and other institutional investors own 12.75% of the company's stock.

ProFrac Company Profile

ProFrac Holding Corp. NASDAQ: ACDC is an energy services company that provides hydraulic fracturing and other well-completion services to oil and natural gas exploration and production companies. Its services are used primarily during the development of unconventional wells, including shale and tight-oil formations.

The company operates a vertically integrated business that includes stimulation services, proppant production and equipment manufacturing. Its offerings include hydraulic fracturing fleets, frac sand and other proppants, well-completion chemicals, and related equipment and services designed to support the drilling and completion process.

ProFrac serves customers in major U.S.

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