ProFrac Holding Corp. (NASDAQ:ACDC) Receives $6.50 Consensus Target Price from Brokerages

Key Points

• ProFrac Holding Corp. (NASDAQ: ACDC) has received an average rating of "Strong Sell" from five research firms, with three analysts rating it as a sell and two as hold.
• The company has a 12-month price objective of $6.50, with Bank of America setting a price target of $6.50 after downgrading the stock.
• Insider trading saw significant purchases, with Chairman Matthew Wilks acquiring 69,176 shares for a total of approximately $335,503, indicating a 22.39% increase in his ownership of the stock.

Shares of ProFrac Holding Corp. (NASDAQ:ACDC - Get Free Report) have earned an average recommendation of "Strong Sell" from the five ratings firms that are presently covering the stock, Marketbeat reports. Three equities research analysts have rated the stock with a sell recommendation and two have given a hold recommendation to the company. The average 1 year target price among brokers that have issued ratings on the stock in the last year is $6.50.

A number of equities analysts have recently issued reports on the stock. Morgan Stanley cut their price objective on shares of ProFrac from $7.00 to $5.00 and set an "underweight" rating on the stock in a research report on Friday, May 16th. Bank of America lowered ProFrac from a "neutral" rating to an "underperform" rating and set a $6.50 target price on the stock. in a research report on Wednesday, June 25th. Piper Sandler began coverage on shares of ProFrac in a research note on Monday, July 14th. They set a "neutral" rating and a $8.00 price target for the company. Wall Street Zen raised shares of ProFrac from a "sell" rating to a "hold" rating in a research report on Thursday, May 22nd. Finally, Stifel Nicolaus dropped their price objective on ProFrac from $7.00 to $6.00 and set a "hold" rating on the stock in a research note on Tuesday, April 15th.

Insider Buying and Selling

In other news, major shareholder Holdings Lp Thrc acquired 207,163 shares of the firm's stock in a transaction that occurred on Friday, May 16th. The stock was bought at an average price of $6.25 per share, with a total value of $1,294,768.75. Following the acquisition, the insider owned 79,855,858 shares in the company, valued at $499,099,112.50. The trade was a 0.26% increase in their position. The acquisition was disclosed in a document filed with the SEC, which is accessible through the SEC website. Also, Chairman Matthew Wilks acquired 69,176 shares of the stock in a transaction that occurred on Monday, May 12th. The stock was purchased at an average price of $4.85 per share, for a total transaction of $335,503.60. Following the completion of the purchase, the chairman directly owned 378,153 shares in the company, valued at $1,834,042.05. This trade represents a 22.39% increase in their position. The disclosure for this purchase can be found here. Insiders purchased a total of 733,996 shares of company stock worth $4,356,960 in the last ninety days. 2.84% of the stock is currently owned by insiders.

Institutional Trading of ProFrac

Institutional investors have recently modified their holdings of the business. Farther Finance Advisors LLC purchased a new stake in shares of ProFrac during the second quarter worth $29,000. Exchange Traded Concepts LLC boosted its position in shares of ProFrac by 1,258.8% in the first quarter. Exchange Traded Concepts LLC now owns 10,164 shares of the company's stock valued at $77,000 after acquiring an additional 9,416 shares during the period. Walleye Capital LLC bought a new position in shares of ProFrac in the first quarter valued at approximately $97,000. Drive Wealth Management LLC bought a new position in shares of ProFrac in the second quarter valued at approximately $111,000. Finally, Deutsche Bank AG boosted its holdings in ProFrac by 64.7% in the 1st quarter. Deutsche Bank AG now owns 14,680 shares of the company's stock valued at $111,000 after purchasing an additional 5,767 shares during the period. 12.75% of the stock is currently owned by hedge funds and other institutional investors.

ProFrac Trading Down 7.0%

Shares of ACDC traded down $0.47 during mid-day trading on Tuesday, reaching $6.27. 715,535 shares of the company were exchanged, compared to its average volume of 677,489. The business has a 50 day simple moving average of $8.13 and a two-hundred day simple moving average of $7.09. The company has a debt-to-equity ratio of 0.92, a quick ratio of 0.69 and a current ratio of 0.98. ProFrac has a 52 week low of $3.83 and a 52 week high of $10.70. The stock has a market capitalization of $1.00 billion, a PE ratio of -4.21 and a beta of 1.67.

ProFrac (NASDAQ:ACDC - Get Free Report) last released its earnings results on Wednesday, May 7th. The company reported ($0.11) EPS for the quarter, topping the consensus estimate of ($0.31) by $0.20. ProFrac had a negative return on equity of 11.85% and a negative net margin of 10.72%. On average, analysts predict that ProFrac will post -0.5 earnings per share for the current fiscal 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.