Kimbell Royalty $KRP Shares Sold by U.S. Capital Wealth Advisors LLC

Key Points

• U.S. Capital Wealth Advisors LLC reduced its stake in Kimbell Royalty by 37.3% in Q4, selling 170,878 shares and leaving it with 286,897 shares valued at about $3.37 million (≈0.27% of the company).
• Kimbell beat Q4 estimates with $0.21 EPS and revenue up 23.7% year-over-year, and has boosted shareholder returns by raising the quarterly dividend to $0.37 (a 10.4% yield) and authorizing a $100 million share buyback (up to 6.4% of shares).
• Analyst sentiment is mixed: the consensus rating is Hold with an average price target of $17.33 (two Buys and three Holds among covering analysts).

U.S. Capital Wealth Advisors LLC lowered its stake in shares of Kimbell Royalty (NYSE:KRP - Free Report) by 37.3% during the fourth quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The fund owned 286,897 shares of the energy company's stock after selling 170,878 shares during the quarter. U.S. Capital Wealth Advisors LLC owned about 0.27% of Kimbell Royalty worth $3,374,000 at the end of the most recent quarter.

Several other institutional investors have also recently added to or reduced their stakes in KRP. State of Wyoming acquired a new stake in Kimbell Royalty during the 3rd quarter worth approximately $62,000. Sowell Financial Services LLC acquired a new position in shares of Kimbell Royalty in the fourth quarter valued at approximately $120,000. Wealth Enhancement Advisory Services LLC purchased a new stake in shares of Kimbell Royalty during the fourth quarter worth approximately $130,000. Three Seasons Wealth LLC purchased a new stake in shares of Kimbell Royalty during the fourth quarter worth approximately $133,000. Finally, Westwood Holdings Group Inc. acquired a new stake in shares of Kimbell Royalty during the second quarter worth $140,000. Institutional investors and hedge funds own 25.78% of the company's stock.

Wall Street Analysts Forecast Growth

Several brokerages have issued reports on KRP. Weiss Ratings raised shares of Kimbell Royalty from a "sell (d+)" rating to a "hold (c-)" rating in a research note on Monday, February 2nd. Wall Street Zen downgraded shares of Kimbell Royalty from a "buy" rating to a "hold" rating in a report on Saturday, March 7th. Zacks Research lowered shares of Kimbell Royalty from a "strong-buy" rating to a "hold" rating in a research note on Thursday, January 22nd. Mizuho cut their price target on shares of Kimbell Royalty from $17.00 to $16.00 and set a "neutral" rating for the company in a report on Friday, February 27th. Finally, Citigroup raised their price objective on shares of Kimbell Royalty from $17.00 to $19.00 and gave the company a "buy" rating in a research report on Tuesday, March 31st. Two investment analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the company's stock. According to data from MarketBeat.com, the stock has an average rating of "Hold" and a consensus price target of $17.33.

Kimbell Royalty Trading Down 1.5%

Shares of KRP stock opened at $14.29 on Tuesday. The business's fifty day moving average price is $14.37 and its 200 day moving average price is $13.30. The firm has a market capitalization of $1.54 billion, a PE ratio of 23.23, a P/E/G ratio of 2.96 and a beta of 0.29. The company has a debt-to-equity ratio of 0.72, a current ratio of 8.64 and a quick ratio of 8.64. Kimbell Royalty has a 1-year low of $11.31 and a 1-year high of $15.12.

Kimbell Royalty (NYSE:KRP - Get Free Report) last issued its earnings results on Thursday, February 26th. The energy company reported $0.21 EPS for the quarter, topping the consensus estimate of $0.14 by $0.07. The company had revenue of $82.45 million for the quarter, compared to analyst estimates of $76.78 million. Kimbell Royalty had a net margin of 26.43% and a return on equity of 13.73%. The business's revenue was up 23.7% on a year-over-year basis. During the same period in the previous year, the firm earned ($0.48) EPS. As a group, sell-side analysts forecast that Kimbell Royalty will post 0.65 EPS for the current fiscal year.

Kimbell Royalty Increases Dividend

The business also recently declared a quarterly dividend, which was paid on Wednesday, March 25th. Stockholders of record on Wednesday, March 18th were given a dividend of $0.37 per share. This represents a $1.48 dividend on an annualized basis and a dividend yield of 10.4%. The ex-dividend date was Wednesday, March 18th. This is a positive change from Kimbell Royalty's previous quarterly dividend of $0.35. Kimbell Royalty's payout ratio is 238.71%.

Kimbell Royalty declared that its board has initiated a stock repurchase program on Monday, March 9th that permits the company to buyback $100.00 million in shares. This buyback authorization permits the energy company to reacquire up to 6.4% of its shares through open market purchases. Shares buyback programs are often a sign that the company's leadership believes its stock is undervalued.

Insider Activity at Kimbell Royalty

In related news, insider Blayne Rhynsburger sold 6,609 shares of the company's stock in a transaction that occurred on Monday, March 23rd. The stock was sold at an average price of $14.48, for a total value of $95,698.32. Following the sale, the insider owned 75,163 shares in the company, valued at $1,088,360.24. This represents a 8.08% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available at this hyperlink. 5.60% of the stock is owned by company insiders.

Kimbell Royalty Profile

Kimbell Royalty Partners LP NYSE: KRP is a mineral and royalty company focused on acquiring and managing oil and natural gas royalty interests in the United States. As a master limited partnership, Kimbell Royalty generates fee-like revenues by collecting royalties and overriding royalty interests on production volumes, without directly bearing the capital or operating costs of drilling and completion activities. The partnership's business model emphasizes steady cash flows and limited downside exposure to commodity price fluctuations.

The company's asset portfolio spans multiple onshore basins, with a core concentration in Texas and New Mexico.

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