Kodiak Gas Services, Inc. (NYSE:KGS) Receives Average Rating of "Moderate Buy" from Brokerages

Key Points

• Kodiak Gas Services has an average analyst rating of “Moderate Buy”, with seven buy ratings and two hold ratings among nine covering brokerages. The average 12-month price target is about $64.29.
• The company recently posted better-than-expected quarterly results, reporting EPS of $0.59 versus the $0.54 estimate and revenue of $345.76 million versus expectations of $340.23 million. Revenue rose 4.9% year over year.
• Kodiak Gas Services also announced a quarterly dividend of $0.49 per share, payable on May 28, which annualizes to $1.96 and a 2.6% yield. However, the payout ratio is high at 225.29%.

Shares of Kodiak Gas Services, Inc. (NYSE:KGS - Get Free Report) have earned an average recommendation of "Moderate Buy" from the nine brokerages that are presently covering the stock, MarketBeat Ratings reports. Two analysts have rated the stock with a hold rating and seven have assigned a buy rating to the company. The average 12 month price target among brokerages that have covered the stock in the last year is $64.2857.

Several equities research analysts have issued reports on the stock. Wall Street Zen raised shares of Kodiak Gas Services from a "sell" rating to a "hold" rating in a research report on Saturday, February 21st. Royal Bank Of Canada boosted their price objective on shares of Kodiak Gas Services from $45.00 to $64.00 and gave the company an "outperform" rating in a research report on Thursday, March 19th. Zacks Research raised shares of Kodiak Gas Services from a "strong sell" rating to a "hold" rating in a research report on Wednesday, May 6th. The Goldman Sachs Group boosted their price objective on shares of Kodiak Gas Services from $60.00 to $69.00 and gave the company a "buy" rating in a research report on Monday, April 20th. Finally, Barclays boosted their price objective on shares of Kodiak Gas Services from $49.00 to $60.00 and gave the company an "overweight" rating in a research report on Thursday, March 5th.

Insider Buying and Selling

In related news, Director Randall J. Hogan acquired 6,000 shares of the stock in a transaction on Friday, March 13th. The stock was bought at an average cost of $54.81 per share, with a total value of $328,860.00. Following the transaction, the director directly owned 28,406 shares in the company, valued at approximately $1,556,932.86. This represents a 26.78% increase in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at this link. Also, CAO Ewan William Hamilton sold 5,797 shares of the business's stock in a transaction dated Tuesday, March 17th. The shares were sold at an average price of $56.18, for a total transaction of $325,675.46. Following the completion of the sale, the chief accounting officer directly owned 34,346 shares of the company's stock, valued at approximately $1,929,558.28. This trade represents a 14.44% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last 90 days, insiders bought 11,433 shares of company stock worth $624,360 and sold 58,673 shares worth $3,269,110. Corporate insiders own 0.64% of the company's stock.

Institutional Investors Weigh In On Kodiak Gas Services

Several hedge funds have recently modified their holdings of KGS. Vanguard Group Inc. lifted its position in shares of Kodiak Gas Services by 33.8% in the 4th quarter. Vanguard Group Inc. now owns 6,170,360 shares of the company's stock worth $230,771,000 after purchasing an additional 1,559,172 shares during the period. Invesco Ltd. lifted its position in shares of Kodiak Gas Services by 29.5% in the 3rd quarter. Invesco Ltd. now owns 6,305,789 shares of the company's stock worth $233,125,000 after purchasing an additional 1,436,443 shares during the period. CIBC Private Wealth Group LLC lifted its position in shares of Kodiak Gas Services by 3,046.3% in the 4th quarter. CIBC Private Wealth Group LLC now owns 1,471,663 shares of the company's stock worth $55,040,000 after purchasing an additional 1,424,888 shares during the period. Zimmer Partners LP lifted its position in shares of Kodiak Gas Services by 45.7% in the 4th quarter. Zimmer Partners LP now owns 4,271,553 shares of the company's stock worth $159,756,000 after purchasing an additional 1,339,849 shares during the period. Finally, Eagle Global Advisors LLC purchased a new stake in shares of Kodiak Gas Services in the 4th quarter worth approximately $39,741,000. Hedge funds and other institutional investors own 24.95% of the company's stock.

Kodiak Gas Services Price Performance

KGS stock opened at $76.03 on Thursday. Kodiak Gas Services has a 12 month low of $30.06 and a 12 month high of $76.68. The company has a current ratio of 1.28, a quick ratio of 0.57 and a debt-to-equity ratio of 2.38. The company has a 50-day moving average price of $61.54 and a 200 day moving average price of $47.26. The stock has a market cap of $6.75 billion, a PE ratio of 102.74, a P/E/G ratio of 1.09 and a beta of 1.01.

Kodiak Gas Services (NYSE:KGS - Get Free Report) last released its quarterly earnings results on Monday, May 11th. The company reported $0.59 EPS for the quarter, topping analysts' consensus estimates of $0.54 by $0.05. The firm had revenue of $345.76 million during the quarter, compared to analysts' expectations of $340.23 million. Kodiak Gas Services had a net margin of 5.13% and a return on equity of 13.12%. The firm's revenue for the quarter was up 4.9% compared to the same quarter last year. During the same period in the previous year, the company earned $0.33 EPS. Equities research analysts anticipate that Kodiak Gas Services will post 2.26 earnings per share for the current year.

Kodiak Gas Services Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Thursday, May 28th. Shareholders of record on Monday, May 18th will be given a $0.49 dividend. This represents a $1.96 annualized dividend and a yield of 2.6%. The ex-dividend date of this dividend is Monday, May 18th. Kodiak Gas Services's payout ratio is 225.29%.

About Kodiak Gas Services

Kodiak Gas Services, Inc operates contract compression infrastructure for customers in the oil and gas industry in the United States. It operates in two segments, Compression Operations and Other Services. The Compression Operations segment operates company-owned and customer-owned compression infrastructure to enable the production, gathering, and transportation of natural gas and oil. The Other Services segment provides a range of contract services, including station construction, maintenance and overhaul, and other ancillary time and material-based offerings.

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.