Montauk Renewables (NASDAQ:MNTK) Rating Lowered to "Sell" at Wall Street Zen

Key Points

• Montauk Renewables has been downgraded from a "hold" rating to a "sell" rating by Wall Street Zen, following a similar downgrade by Zacks Research to a "strong sell."
• The stock is currently trading at $2.09 with a market capitalization of $297.32 million, and has a troubling average rating of "Reduce" and a target price of $3.33.
• The company reported a quarterly loss of ($0.04) EPS, missing earnings expectations, despite revenues of $45.13 million surpassing estimates.

Montauk Renewables (NASDAQ:MNTK - Get Free Report) was downgraded by stock analysts at Wall Street Zen from a "hold" rating to a "sell" rating in a research note issued on Sunday.

Separately, Zacks Research downgraded Montauk Renewables from a "hold" rating to a "strong sell" rating in a research report on Monday, September 15th. Three equities research analysts have rated the stock with a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat.com, the stock has a consensus rating of "Reduce" and an average price target of $3.33.

Montauk Renewables Stock Performance

Shares of NASDAQ MNTK traded down $0.02 during mid-day trading on Friday, hitting $2.09. The stock had a trading volume of 37,029 shares, compared to its average volume of 200,326. The company has a debt-to-equity ratio of 0.23, a quick ratio of 0.77 and a current ratio of 0.77. The company has a 50 day moving average of $2.12 and a two-hundred day moving average of $2.15. Montauk Renewables has a twelve month low of $1.68 and a twelve month high of $6.04. The firm has a market cap of $296.75 million, a PE ratio of 104.50 and a beta of 0.07.

Montauk Renewables (NASDAQ:MNTK - Get Free Report) last released its earnings results on Wednesday, August 6th. The company reported ($0.04) earnings per share (EPS) for the quarter, missing the consensus estimate of $0.01 by ($0.05). Montauk Renewables had a net margin of 1.46% and a return on equity of 1.01%. The firm had revenue of $45.13 million during the quarter, compared to analyst estimates of $42.73 million. Research analysts predict that Montauk Renewables will post 0.19 EPS for the current fiscal year.

Institutional Investors Weigh In On Montauk Renewables

Several institutional investors have recently bought and sold shares of the company. Corient Private Wealth LLC acquired a new stake in Montauk Renewables in the 2nd quarter worth about $36,000. Brevan Howard Capital Management LP boosted its holdings in Montauk Renewables by 68.8% in the 2nd quarter. Brevan Howard Capital Management LP now owns 26,774 shares of the company's stock worth $59,000 after buying an additional 10,911 shares during the last quarter. Jane Street Group LLC boosted its holdings in Montauk Renewables by 6.5% in the 2nd quarter. Jane Street Group LLC now owns 107,351 shares of the company's stock worth $244,000 after buying an additional 6,517 shares during the last quarter. Marshall Wace LLP boosted its holdings in Montauk Renewables by 158.8% in the 2nd quarter. Marshall Wace LLP now owns 56,901 shares of the company's stock worth $126,000 after buying an additional 34,914 shares during the last quarter. Finally, Arrowstreet Capital Limited Partnership purchased a new position in Montauk Renewables in the 2nd quarter worth approximately $72,000. 16.35% of the stock is currently owned by institutional investors and hedge funds.

Montauk Renewables Company Profile

Montauk Renewables, Inc, a renewable energy company, engages in recovery and processing of biogas from landfills and other non-fossil fuel sources. It operates in two segments, Renewable Natural Gas and Renewable Electricity Generation. The company develops, owns, and operates renewable natural gas (RNG) projects that captures methane and prevents it from being released into the atmosphere by converting it into either RNG or electrical power for the electrical grid.