Atlas Energy Solutions (NYSE:AESI) Reaches New 12-Month Low Following Weak Earnings

Key Points

• Atlas Energy Solutions shares fell to a new 52-week low of $7.53 after the company reported quarterly EPS of negative $0.36, missing the $0.24 consensus estimate. Revenue reached $267.78 million, slightly above expectations and up 3.1% year over year.
• Analyst sentiment remains mixed, with six Buy, three Hold, and three Sell ratings. The consensus rating is Hold, with an average price target of $17.10, though several firms recently lowered their targets.
• Institutional investors own 34.59% of the company, with several hedge funds establishing or expanding positions. Atlas operates Permian Basin sand mines and provides frac-sand logistics services to oil and natural gas producers.

Atlas Energy Solutions Inc. (NYSE:AESI - Get Free Report) shares hit a new 52-week low on Tuesday after the company announced weaker than expected quarterly earnings. The stock traded as low as $7.53 and last traded at $8.0090, with a volume of 412,638 shares changing hands. The stock had previously closed at $8.23.

The company reported ($0.36) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.24) by ($0.12). Atlas Energy Solutions had a negative net margin of 11.08% and a negative return on equity of 9.57%. The firm had revenue of $267.78 million during the quarter, compared to analyst estimates of $265.32 million. During the same period last year, the firm earned ($0.19) EPS. Atlas Energy Solutions's quarterly revenue was up 3.1% on a year-over-year basis.

Wall Street Analyst Weigh In

A number of research firms have recently commented on AESI. Royal Bank Of Canada dropped their price target on Atlas Energy Solutions from $21.00 to $17.00 and set a "sector perform" rating on the stock in a research report on Wednesday, August 5th. Scotiabank assumed coverage on Atlas Energy Solutions in a report on Tuesday, September 29th. They set a "sector outperform" rating and a $14.00 price objective on the stock. Glj Research started coverage on Atlas Energy Solutions in a research report on Wednesday, October 28th. They issued a "buy" rating and a $13.00 price objective for the company. Barclays lowered their target price on Atlas Energy Solutions from $14.00 to $13.00 and set an "equal weight" rating for the company in a research note on Thursday, October 15th. Finally, Citigroup dropped their target price on shares of Atlas Energy Solutions from $21.00 to $17.00 and set a "buy" rating on the stock in a report on Thursday, September 3rd. Six analysts have rated the stock with a Buy rating, three have assigned a Hold rating and three have assigned a Sell rating to the company's stock. According to data from MarketBeat, the company currently has a consensus rating of "Hold" and an average target price of $17.10.

Institutional Trading of Atlas Energy Solutions

Several hedge funds and other institutional investors have recently modified their holdings of the company. Encompass Capital Advisors LLC acquired a new stake in shares of Atlas Energy Solutions in the first quarter valued at approximately $119,854,000. Wasatch Advisors LP bought a new stake in shares of Atlas Energy Solutions in the second quarter worth $30,468,000. Dimensional Fund Advisors LP lifted its position in shares of Atlas Energy Solutions by 12.6% in the first quarter. Dimensional Fund Advisors LP now owns 1,502,480 shares of the company's stock worth $19,713,000 after purchasing an additional 167,758 shares in the last quarter. CenterBook Partners LP boosted its holdings in Atlas Energy Solutions by 84.8% during the third quarter. CenterBook Partners LP now owns 1,180,943 shares of the company's stock worth $14,183,000 after purchasing an additional 541,774 shares during the last quarter. Finally, CUSHING ASSET MANAGEMENT LP dba NXG INVESTMENT MANAGEMENT acquired a new position in Atlas Energy Solutions during the third quarter worth $9,992,000. Institutional investors and hedge funds own 34.59% of the company's stock.

Atlas Energy Solutions Price Performance

The firm has a market cap of $1.03 billion, a price-to-earnings ratio of -8.66 and a beta of 1.19. The company's fifty day moving average is $11.76 and its 200 day moving average is $13.36. The company has a quick ratio of 1.58, a current ratio of 1.82 and a debt-to-equity ratio of 0.87.

Atlas Energy Solutions Company Profile

Atlas Energy Solutions Inc NYSE: AESI is an energy-services company that supplies proppant and logistics solutions to oil and natural gas producers. Its primary products include frac sand, which is used in hydraulic fracturing to help keep underground rock fractures open and improve the flow of hydrocarbons.

The company operates sand mines, processing facilities, and related infrastructure in the Permian Basin of West Texas. In addition to producing and selling proppant, Atlas provides transportation, storage, and last-mile delivery services designed to move sand from its facilities to well sites.

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