Adage Capital Partners GP L.L.C. Purchases New Stake in Flowco Holdings Inc. $FLOC

Key Points

• Adage Capital Partners GP L.L.C. has acquired a new position in Flowco Holdings Inc., purchasing 258,423 shares valued at approximately $6.63 million, representing 0.29% ownership.
• Flowco reported a strong earnings per share (EPS) of $1.26 for the quarter, significantly exceeding analysts' expectations of $0.32, alongside a revenue of $193.21 million.
• The company has authorized a $50 million stock buyback plan and recently declared a quarterly dividend of $0.08 per share, indicating confidence in its stock valuation.

Adage Capital Partners GP L.L.C. bought a new stake in Flowco Holdings Inc. (NYSE:FLOC - Free Report) during the 1st quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The firm bought 258,423 shares of the company's stock, valued at approximately $6,629,000. Adage Capital Partners GP L.L.C. owned 0.29% of Flowco at the end of the most recent reporting period.

Other institutional investors also recently added to or reduced their stakes in the company. New York State Common Retirement Fund acquired a new position in shares of Flowco during the first quarter valued at $156,000. Yorktown Management & Research Co Inc bought a new position in Flowco in the 1st quarter valued at about $218,000. Corebridge Financial Inc. acquired a new position in Flowco during the 1st quarter valued at about $247,000. Invesco Ltd. bought a new stake in shares of Flowco during the 1st quarter worth about $292,000. Finally, Deutsche Bank AG acquired a new stake in shares of Flowco in the 1st quarter worth approximately $292,000.

Flowco Price Performance

Shares of NYSE FLOC traded down $0.41 during trading on Friday, hitting $15.78. The company had a trading volume of 160,786 shares, compared to its average volume of 335,413. Flowco Holdings Inc. has a 52 week low of $14.89 and a 52 week high of $30.50. The business's 50-day moving average is $17.07 and its 200 day moving average is $19.25. The company has a market cap of $1.43 billion and a P/E ratio of 8.58. The company has a debt-to-equity ratio of 1.19, a quick ratio of 1.57 and a current ratio of 3.25.

Flowco (NYSE:FLOC - Get Free Report) last issued its earnings results on Tuesday, August 5th. The company reported $1.26 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.32 by $0.94. The company had revenue of $193.21 million during the quarter, compared to analyst estimates of $190.16 million. Equities research analysts predict that Flowco Holdings Inc. will post 1.54 earnings per share for the current fiscal year.

Flowco announced that its Board of Directors has approved a stock buyback plan on Thursday, June 12th that permits the company to repurchase $50.00 million in shares. This repurchase authorization permits the company to reacquire up to 3% of its stock through open market purchases. Stock repurchase plans are often an indication that the company's board believes its shares are undervalued.

Flowco Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Friday, August 29th. Shareholders of record on Friday, August 15th were issued a $0.08 dividend. This represents a $0.32 annualized dividend and a dividend yield of 2.0%. The ex-dividend date was Friday, August 15th. Flowco's dividend payout ratio (DPR) is presently 17.39%.

Wall Street Analyst Weigh In

FLOC has been the topic of several recent analyst reports. Piper Sandler dropped their target price on Flowco from $33.00 to $28.00 and set an "overweight" rating on the stock in a report on Wednesday, August 6th. Jefferies Financial Group set a $28.00 price objective on Flowco and gave the stock a "buy" rating in a research note on Tuesday, August 5th. Zacks Research raised Flowco from a "strong sell" rating to a "hold" rating in a research note on Thursday, August 14th. Finally, Evercore ISI lowered their target price on Flowco from $28.00 to $26.00 and set an "outperform" rating on the stock in a report on Wednesday, August 6th. Two research analysts have rated the stock with a Strong Buy rating, five have issued a Buy rating and one has given a Hold rating to the stock. According to data from MarketBeat.com, Flowco presently has an average rating of "Buy" and an average price target of $29.40.

About Flowco

We are a leading provider of production optimization, artificial lift and methane abatement solutions for the oil and natural gas industry. Our products and services include a full range of equipment and technology solutions that enable our customers to efficiently and cost-effectively maximize the profitability and economic lifespan of the production phase of their operations.