Dan Wilks Purchases 202,331 Shares of ProFrac (NASDAQ:ACDC) Stock

Key Points

• Major shareholder Dan Wilks bought 202,331 ProFrac shares at an average price of $5.44, investing approximately $1.10 million and increasing his direct stake to 87.5 million shares.
• ProFrac shares fell to $5.14, while the company reported a market capitalization of about $930 million, a negative P/E ratio, and elevated leverage with a debt-to-equity ratio of 1.42.
• Analyst sentiment remains cautious: ProFrac has a consensus “Reduce” rating and an average price target of $5.50, despite increased holdings from several institutional investors.

ProFrac Holding Corp. (NASDAQ:ACDC - Get Free Report) major shareholder Dan Wilks purchased 202,331 shares of the business's stock in a transaction on Tuesday, August 11th. The shares were bought at an average cost of $5.44 per share, for a total transaction of $1,100,680.64. Following the completion of the transaction, the insider directly owned 87,500,195 shares in the company, valued at $476,001,060.80. This trade represents a 0.23% increase in their position. The acquisition was disclosed in a filing with the SEC, which is available at this link. Large shareholders that own more than 10% of a company's shares are required to disclose their transactions with the SEC.

ProFrac Stock Performance

Shares of ACDC stock traded down $0.13 on Wednesday, hitting $5.14. The company had a trading volume of 1,327,232 shares, compared to its average volume of 1,905,267. ProFrac Holding Corp. has a twelve month low of $3.08 and a twelve month high of $8.22. The company has a quick ratio of 0.59, a current ratio of 0.84 and a debt-to-equity ratio of 1.42. The firm has a market cap of $929.93 million, a P/E ratio of -2.21 and a beta of 1.46. The company has a 50-day moving average price of $5.38 and a 200-day moving average price of $5.90.

Institutional Inflows and Outflows

Several large investors have recently made changes to their positions in ACDC. Bank of America Corp DE lifted its position in shares of ProFrac by 186.9% during the 1st quarter. Bank of America Corp DE now owns 175,664 shares of the company's stock valued at $1,089,000 after buying an additional 114,429 shares in the last quarter. Quantinno Capital Management LP increased its holdings in ProFrac by 94.4% in the 1st quarter. Quantinno Capital Management LP now owns 48,072 shares of the company's stock worth $298,000 after acquiring an additional 23,347 shares in the last quarter. Renaissance Technologies LLC acquired a new position in ProFrac during the first quarter worth $872,000. Sei Investments Co. lifted its holdings in ProFrac by 91.6% during the first quarter. Sei Investments Co. now owns 99,986 shares of the company's stock valued at $620,000 after purchasing an additional 47,800 shares in the last quarter. Finally, Walleye Capital LLC lifted its holdings 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 purchasing an additional 266,742 shares in the last quarter. 12.75% of the stock is owned by institutional investors and hedge funds.

Analysts Set New Price Targets

A number of equities research analysts have recently commented on ACDC shares. Morgan Stanley set a $5.00 price objective on shares of ProFrac in a research note on Wednesday, July 15th. Piper Sandler lifted their price objective on shares of ProFrac from $5.00 to $6.00 and gave the company a "neutral" rating in a report on Monday, May 18th. Wall Street Zen downgraded shares of ProFrac from a "hold" rating to a "sell" rating in a research report on Saturday, May 9th. Finally, Weiss Ratings reissued a "sell (d-)" rating on shares of ProFrac in a research note on Wednesday, June 24th. One equities research analyst has rated the stock with a Buy rating, two have issued a Hold rating and two have given a Sell rating to the company's stock. According to MarketBeat.com, the company has a consensus rating of "Reduce" and an average target price of $5.50.

ProFrac Company Profile

ProFrac Holding Corp. operates as a technology-focused energy services holding company in the United States. It operates through three segments: Stimulation Services, Manufacturing, and Proppant Production. The company offers hydraulic fracturing, well stimulation, in-basin frac sand, and other completion services and complementary products and services to upstream oil and natural gas companies engaged in the exploration and production of unconventional oil and natural gas resources. It also manufactures and sells high horsepower pumps, valves, piping, swivels, large-bore manifold systems, and fluid ends.

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