Encompass Capital Advisors LLC Purchases Shares of 2,444,756 Atlas Energy Solutions Inc. $AESI

Key Points

• Encompass Capital Advisors LLC acquired 2,444,756 shares of Atlas Energy Solutions Inc. for approximately $43.6 million, representing about 1.7% of their investment portfolio.
• Atlas Energy Solutions recently declared a quarterly dividend of $0.25, resulting in an annualized yield of 9.2%, although the company has a high dividend payout ratio of 714.29%.
• Analysts have lowered their target prices for Atlas Energy Solutions, with the average consensus target now at $18.83, and several maintain a "Hold" rating on the stock.

Encompass Capital Advisors LLC purchased a new stake in shares of Atlas Energy Solutions Inc. (NYSE:AESI - Free Report) in the first quarter, according to its most recent filing with the SEC. The firm purchased 2,444,756 shares of the company's stock, valued at approximately $43,614,000. Atlas Energy Solutions accounts for about 1.7% of Encompass Capital Advisors LLC's portfolio, making the stock its 24th largest position. Encompass Capital Advisors LLC owned about 2.01% of Atlas Energy Solutions at the end of the most recent reporting period.

Several other institutional investors have also recently modified their holdings of the stock. Dimensional Fund Advisors LP lifted its stake in shares of Atlas Energy Solutions by 280.1% during the 4th quarter. Dimensional Fund Advisors LP now owns 631,045 shares of the company's stock worth $13,998,000 after purchasing an additional 465,044 shares during the period. Tower Research Capital LLC TRC lifted its stake in shares of Atlas Energy Solutions by 307.9% during the 4th quarter. Tower Research Capital LLC TRC now owns 1,387 shares of the company's stock worth $31,000 after purchasing an additional 1,047 shares during the period. Northern Trust Corp lifted its stake in shares of Atlas Energy Solutions by 11.8% during the 4th quarter. Northern Trust Corp now owns 898,253 shares of the company's stock worth $19,923,000 after purchasing an additional 94,949 shares during the period. Comerica Bank lifted its stake in shares of Atlas Energy Solutions by 285.3% during the 4th quarter. Comerica Bank now owns 58,874 shares of the company's stock worth $1,306,000 after purchasing an additional 43,592 shares during the period. Finally, Ameriprise Financial Inc. purchased a new position in shares of Atlas Energy Solutions during the 4th quarter worth $3,065,000. 34.59% of the stock is currently owned by institutional investors and hedge funds.

Wall Street Analysts Forecast Growth

AESI has been the topic of a number of recent analyst reports. Citigroup reduced their price target on Atlas Energy Solutions from $18.00 to $14.00 and set a "neutral" rating on the stock in a research note on Tuesday, May 13th. Stifel Nicolaus dropped their price objective on Atlas Energy Solutions from $14.50 to $14.00 and set a "buy" rating for the company in a report on Monday, August 11th. Finally, Piper Sandler dropped their price objective on Atlas Energy Solutions from $16.00 to $14.00 and set a "neutral" rating for the company in a report on Thursday, August 14th. Four analysts have rated the stock with a Buy rating and seven have assigned a Hold rating to the stock. According to data from MarketBeat, the company presently has a consensus rating of "Hold" and an average price target of $18.83.

Atlas Energy Solutions Trading Down 0.3%

Shares of NYSE AESI traded down $0.04 during midday trading on Tuesday, reaching $10.67. 667,031 shares of the stock were exchanged, compared to its average volume of 1,705,703. Atlas Energy Solutions Inc. has a 12 month low of $10.59 and a 12 month high of $26.86. The company has a debt-to-equity ratio of 0.39, a current ratio of 1.56 and a quick ratio of 1.30. The business has a 50-day simple moving average of $12.62 and a two-hundred day simple moving average of $14.13. The company has a market capitalization of $1.32 billion, a price-to-earnings ratio of 76.04 and a beta of 1.19.

Atlas Energy Solutions Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Thursday, August 21st. Stockholders of record on Thursday, August 14th were paid a dividend of $0.25 per share. The ex-dividend date was Thursday, August 14th. This represents a $1.00 annualized dividend and a dividend yield of 9.4%. Atlas Energy Solutions's payout ratio is currently 714.29%.

About Atlas Energy Solutions

Atlas Energy Solutions Inc engages in the production, processing, and sale of mesh and sand that are used as a proppant during the well completion process in the Permian Basin of Texas and New Mexico. The company provides transportation and logistics, storage solutions, and contract labor services. It sells its products and services to oil and natural gas exploration and production companies, and oilfield services companies.