Natural Gas Services Group (NYSE:NGS) Stock Passes Above 200-Day Moving Average - What's Next?

Key Points

• Natural Gas Services Group (NYSE:NGS) has recently crossed above its 200-day moving average, with the stock trading at $25.39, signaling potential positive momentum.
• Wall Street analysts have upgraded their ratings on NGS, with a consensus rating of "Strong Buy" and an increased target price of $32.50.
• The company declared a quarterly dividend of $0.10 per share and announced a share buyback program worth $6 million, indicating confidence from the board in the stock's value.

Natural Gas Services Group, Inc. (NYSE:NGS - Get Free Report)'s share price passed above its 200-day moving average during trading on Wednesday . The stock has a 200-day moving average of $23.52 and traded as high as $25.52. Natural Gas Services Group shares last traded at $25.39, with a volume of 33,519 shares.

Wall Street Analyst Weigh In

NGS has been the subject of a number of recent research reports. Stifel Nicolaus lifted their target price on Natural Gas Services Group from $32.00 to $33.00 and gave the stock a "buy" rating in a report on Friday, May 16th. Wall Street Zen upgraded Natural Gas Services Group from a "sell" rating to a "hold" rating in a report on Wednesday, May 21st. One research analyst has rated the stock with a Strong Buy rating and one has issued a Buy rating to the company's stock. According to data from MarketBeat.com, the stock currently has an average rating of "Strong Buy" and an average target price of $32.50.

Natural Gas Services Group Price Performance

The company has a current ratio of 1.97, a quick ratio of 1.23 and a debt-to-equity ratio of 0.68. The stock has a market capitalization of $318.27 million, a P/E ratio of 17.87 and a beta of 0.66. The stock has a 50 day moving average of $25.09 and a 200-day moving average of $23.48.

Natural Gas Services Group (NYSE:NGS - Get Free Report) last issued its quarterly earnings results on Monday, August 11th. The oil and gas company reported $0.41 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.32 by $0.09. Natural Gas Services Group had a return on equity of 7.21% and a net margin of 10.92%.The firm had revenue of $41.38 million during the quarter, compared to analyst estimates of $41.87 million. On average, equities research analysts anticipate that Natural Gas Services Group, Inc. will post 1.42 earnings per share for the current fiscal year.

Natural Gas Services Group Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Friday, August 22nd. Shareholders of record on Friday, August 8th were given a dividend of $0.10 per share. The ex-dividend date of this dividend was Friday, August 8th. This represents a $0.40 dividend on an annualized basis and a yield of 1.6%. Natural Gas Services Group's payout ratio is 28.17%.

Natural Gas Services Group announced that its Board of Directors has authorized a share buyback plan on Monday, August 11th that permits the company to buyback $6.00 million in shares. This buyback authorization permits the oil and gas company to purchase up to 1.9% of its shares through open market purchases. Shares buyback plans are often an indication that the company's leadership believes its stock is undervalued.

Insiders Place Their Bets

In other news, Director Jean K. Holley bought 4,048 shares of the firm's stock in a transaction on Thursday, August 14th. The stock was acquired at an average cost of $24.49 per share, with a total value of $99,135.52. Following the transaction, the director directly owned 4,048 shares in the company, valued at approximately $99,135.52. This trade represents a ∞ increase in their position. The acquisition was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, Director Stephen Charles Taylor sold 20,000 shares of Natural Gas Services Group stock in a transaction on Friday, August 22nd. The shares were sold at an average price of $26.25, for a total value of $525,000.00. Following the sale, the director directly owned 413,334 shares of the company's stock, valued at approximately $10,850,017.50. This trade represents a 4.62% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders own 7.25% of the company's stock.

Institutional Investors Weigh In On Natural Gas Services Group

A number of institutional investors and hedge funds have recently bought and sold shares of the company. BNP Paribas Financial Markets increased its holdings in shares of Natural Gas Services Group by 4.5% in the 4th quarter. BNP Paribas Financial Markets now owns 9,040 shares of the oil and gas company's stock valued at $242,000 after acquiring an additional 393 shares during the period. Man Group plc increased its holdings in shares of Natural Gas Services Group by 3.9% in the 4th quarter. Man Group plc now owns 18,574 shares of the oil and gas company's stock valued at $498,000 after acquiring an additional 697 shares during the period. Steward Partners Investment Advisory LLC increased its holdings in shares of Natural Gas Services Group by 105.5% in the 2nd quarter. Steward Partners Investment Advisory LLC now owns 1,424 shares of the oil and gas company's stock valued at $37,000 after acquiring an additional 731 shares during the period. White Pine Capital LLC increased its holdings in shares of Natural Gas Services Group by 1.5% in the 2nd quarter. White Pine Capital LLC now owns 52,623 shares of the oil and gas company's stock valued at $1,358,000 after acquiring an additional 798 shares during the period. Finally, Inspire Advisors LLC increased its holdings in shares of Natural Gas Services Group by 5.8% in the 2nd quarter. Inspire Advisors LLC now owns 15,930 shares of the oil and gas company's stock valued at $411,000 after acquiring an additional 871 shares during the period. 65.62% of the stock is owned by institutional investors.

Natural Gas Services Group Company Profile

Natural Gas Services Group, Inc provides natural gas compression equipment and services to the energy industry in the United States. It engineers and fabricates, operates, rents, and maintains natural gas compressors for oil and natural gas production and plant facilities. It also designs, fabricates, and assembles compressor units for rental or sale; and designs, manufactures, and sells a line of reciprocating natural gas compressor frames, cylinders, and parts.