Kimbell Royalty (NYSE:KRP) Sees Unusually-High Trading Volume on Strong Earnings

Key Points

• Kimbell Royalty reported stronger-than-expected quarterly results, with earnings per share of $0.40 versus the $0.23 consensus estimate and revenue of $112.48 million versus expectations of $93.45 million. Revenue increased 29.9% year over year.
• Trading volume rose to 788,434 shares, up 5% from the prior session, while the stock traded at $15.1320 compared with its previous close of $14.51.
• Analyst sentiment remains mixed, with a consensus “Hold” rating and an $18.00 price target; institutional investors own 25.78% of the company.

Shares of Kimbell Royalty (NYSE:KRP - Get Free Report) saw unusually-strong trading volume on Friday following a stronger than expected earnings report. 788,434 shares traded hands during mid-day trading, an increase of 5% from the previous session's volume of 749,133 shares.The stock last traded at $15.1320 and had previously closed at $14.51.

The energy company reported $0.40 earnings per share for the quarter, topping the consensus estimate of $0.23 by $0.17. Kimbell Royalty had a return on equity of 11.70% and a net margin of 22.76%.The firm had revenue of $112.48 million during the quarter, compared to analysts' expectations of $93.45 million. During the same period in the prior year, the company earned $0.02 earnings per share. The company's quarterly revenue was up 29.9% on a year-over-year basis.

Wall Street Analyst Weigh In

KRP has been the subject of several research reports. Royal Bank Of Canada began coverage on shares of Kimbell Royalty in a research note on Friday, May 29th. They issued an "outperform" rating and a $20.00 price objective for the company. Zacks Research downgraded shares of Kimbell Royalty from a "hold" rating to a "strong sell" rating in a report on Monday. Finally, Weiss Ratings downgraded Kimbell Royalty from a "hold (c+)" rating to a "hold (c)" rating in a report on Thursday, May 14th. Three research analysts have rated the stock with a Buy rating, two have assigned a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat, the stock presently has a consensus rating of "Hold" and a consensus price target of $18.00.

Institutional Trading of Kimbell Royalty

Institutional investors have recently added to or reduced their stakes in the stock. Van ECK Associates Corp bought a new stake in Kimbell Royalty during the fourth quarter valued at $6,604,000. Arrowstreet Capital Limited Partnership acquired a new position in shares of Kimbell Royalty in the 1st quarter valued at about $7,405,000. Cubist Systematic Strategies LLC bought a new stake in shares of Kimbell Royalty during the 2nd quarter valued at about $5,445,000. Adage Capital Partners GP L.L.C. boosted its position in shares of Kimbell Royalty by 32.1% during the 4th quarter. Adage Capital Partners GP L.L.C. now owns 1,210,948 shares of the energy company's stock valued at $14,241,000 after purchasing an additional 294,482 shares in the last quarter. Finally, CIBC Bancorp USA Inc. acquired a new stake in Kimbell Royalty during the third quarter worth approximately $3,472,000. 25.78% of the stock is currently owned by institutional investors.

Kimbell Royalty Stock Performance

The firm has a market capitalization of $1.63 billion, a P/E ratio of 32.95 and a beta of 0.30. The stock has a fifty day simple moving average of $14.88 and a two-hundred day simple moving average of $14.54. The company has a debt-to-equity ratio of 0.77, a current ratio of 5.12 and a quick ratio of 5.12.

About Kimbell Royalty

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source