ProFrac Holding Corp. (NASDAQ:ACDC) Given Average Rating of "Strong Sell" by Brokerages

Key Points

• ProFrac Holding Corp. has received an average rating of "Strong Sell" from five brokerage firms, with three recommending a sell and two a hold.
• The company's recent quarterly earnings report revealed a loss of ($0.67) per share, significantly below expectations of ($0.29), alongside revenue that fell short at $501.90 million.
• Chairman Matthew Wilks increased his stake in ProFrac by purchasing 43,297 shares at an average price of $3.80 per share, indicating confidence amidst current bearish analyst ratings.

Shares of ProFrac Holding Corp. (NASDAQ:ACDC - Get Free Report) have been assigned an average recommendation of "Strong Sell" from the five ratings firms that are currently covering the company, MarketBeat reports. Three research analysts have rated the stock with a sell recommendation and two have issued a hold recommendation on the company. The average 1-year price objective among brokers that have issued a report on the stock in the last year is $6.10.

Several analysts recently issued reports on ACDC shares. Wall Street Zen lowered shares of ProFrac from a "hold" rating to a "sell" rating in a research report on Saturday, August 9th. Piper Sandler cut their target price on shares of ProFrac from $8.00 to $6.00 and set a "neutral" rating for the company in a research report on Wednesday, August 20th. Finally, Bank of America lowered shares of ProFrac from a "neutral" rating to an "underperform" rating and set a $6.50 target price for the company. in a research report on Wednesday, June 25th.

Insider Buying and Selling

In other news, Chairman Matthew Wilks purchased 43,297 shares of the company's stock in a transaction on Monday, September 8th. The stock was acquired at an average cost of $3.80 per share, for a total transaction of $164,528.60. Following the completion of the transaction, the chairman directly owned 422,097 shares in the company, valued at $1,603,968.60. This trade represents a 11.43% increase in their position. The acquisition was disclosed in a legal filing with the SEC, which is available through the SEC website. Also, major shareholder Holdings Lp Thrc purchased 2,500,000 shares of the company's stock in a transaction on Thursday, August 14th. The stock was purchased at an average price of $4.00 per share, with a total value of $10,000,000.00. Following the completion of the transaction, the insider owned 82,389,657 shares of the company's stock, valued at approximately $329,558,628. This trade represents a 3.13% increase in their ownership of the stock. The disclosure for this purchase can be found here. Corporate insiders own 2.84% of the company's stock.

Hedge Funds Weigh In On ProFrac

A number of hedge funds have recently modified their holdings of the company. Bridgeway Capital Management LLC boosted its position in shares of ProFrac by 2.8% in the second quarter. Bridgeway Capital Management LLC now owns 1,199,562 shares of the company's stock worth $9,309,000 after purchasing an additional 32,382 shares during the period. Empowered Funds LLC boosted its position in shares of ProFrac by 5.4% in the second quarter. Empowered Funds LLC now owns 627,062 shares of the company's stock worth $4,866,000 after purchasing an additional 32,382 shares during the period. American Century Companies Inc. boosted its position in shares of ProFrac by 5.9% during the second quarter. American Century Companies Inc. now owns 618,194 shares of the company's stock worth $4,797,000 after acquiring an additional 34,374 shares during the last quarter. Ameriprise Financial Inc. boosted its position in shares of ProFrac by 46.2% during the second quarter. Ameriprise Financial Inc. now owns 217,375 shares of the company's stock worth $1,687,000 after acquiring an additional 68,675 shares during the last quarter. Finally, Bank of America Corp DE boosted its position in shares of ProFrac by 41.3% during the second quarter. Bank of America Corp DE now owns 182,925 shares of the company's stock worth $1,419,000 after acquiring an additional 53,468 shares during the last quarter. 12.75% of the stock is currently owned by institutional investors.

ProFrac Stock Up 0.6%

ACDC opened at $3.64 on Wednesday. The company has a quick ratio of 0.62, a current ratio of 0.91 and a debt-to-equity ratio of 1.00. The firm has a 50 day moving average price of $5.20 and a 200-day moving average price of $6.26. ProFrac has a twelve month low of $3.43 and a twelve month high of $10.70. The stock has a market capitalization of $583.42 million, a price-to-earnings ratio of -2.09 and a beta of 1.65.

ProFrac (NASDAQ:ACDC - Get Free Report) last released its quarterly earnings data on Thursday, August 7th. The company reported ($0.67) earnings per share for the quarter, missing the consensus estimate of ($0.29) by ($0.38). The company had revenue of $501.90 million for the quarter, compared to analysts' expectations of $532.93 million. ProFrac had a negative net margin of 12.89% and a negative return on equity of 22.78%. Equities research analysts forecast that ProFrac will post -0.5 earnings per share for the current year.

ProFrac Company Profile

ProFrac Holding Corp. operates as a technology-focused energy services holding company in the United States. It operates through three segments: Stimulation Services, Manufacturing, and Proppant Production. The company offers hydraulic fracturing, well stimulation, in-basin frac sand, and other completion services and complementary products and services to upstream oil and natural gas companies engaged in the exploration and production of unconventional oil and natural gas resources.

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