ProFrac (NASDAQ:ACDC) Sees Strong Trading Volume - Here's Why

Key Points

• ProFrac Holding Corp. (NASDAQ:ACDC) experienced a trading volume of 742,093 shares, down 7% from the previous session, with the stock currently priced at $3.55.
• Several analysts have recently downgraded ProFrac, with Morgan Stanley lowering its price target from $7.00 to $5.00 and setting an "underweight" rating.
• The company reported a loss of $0.67 per share for the last quarter, significantly missing analysts' estimates and raising concerns over its financial performance.

Shares of ProFrac Holding Corp. (NASDAQ:ACDC - Get Free Report) saw strong trading volume on Friday . 742,093 shares were traded during trading, a decline of 7% from the previous session's volume of 794,752 shares.The stock last traded at $3.55 and had previously closed at $3.51.

Analyst Ratings Changes

ACDC has been the subject of a number of research reports. Wall Street Zen lowered ProFrac from a "hold" rating to a "sell" rating in a report on Saturday, August 9th. Piper Sandler decreased their target price on ProFrac from $8.00 to $6.00 and set a "neutral" rating for the company in a research report on Wednesday. Bank of America lowered 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. Finally, Morgan Stanley decreased their target price on ProFrac from $7.00 to $5.00 and set an "underweight" rating for the company in a research report on Friday, May 16th. Two research analysts have rated the stock with a Hold rating and three have given a Sell rating to the company. Based on data from MarketBeat, the company presently has a consensus rating of "Strong Sell" and a consensus target price of $6.10.

ProFrac Stock Performance

The business has a 50-day moving average of $7.46 and a two-hundred day moving average of $6.87. The company has a debt-to-equity ratio of 1.00, a current ratio of 0.91 and a quick ratio of 0.62. The company has a market cap of $623.49 million, a P/E ratio of -2.24 and a beta of 1.67.

ProFrac (NASDAQ:ACDC - Get Free Report) last released its quarterly earnings results on Thursday, August 7th. The company reported ($0.67) EPS for the quarter, missing the consensus estimate of ($0.29) by ($0.38). ProFrac had a negative net margin of 12.89% and a negative return on equity of 22.78%. The firm had revenue of $501.90 million for the quarter, compared to analysts' expectations of $532.93 million. On average, sell-side analysts predict that ProFrac Holding Corp. will post -0.5 EPS for the current fiscal year.

Insider Activity

In other news, major shareholder Holdings Lp Thrc acquired 2,500,000 shares of the business's stock in a transaction dated Thursday, August 14th. The shares were purchased at an average price of $4.00 per share, with a total value of $10,000,000.00. Following the transaction, the insider directly owned 82,389,657 shares in the company, valued at approximately $329,558,628. This represents a 3.13% increase in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. 2.84% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently modified their holdings of the company. EverSource Wealth Advisors LLC grew its position in shares of ProFrac by 7,241.7% in the 2nd quarter. EverSource Wealth Advisors LLC now owns 3,524 shares of the company's stock worth $27,000 after buying an additional 3,476 shares during the last quarter. Farther Finance Advisors LLC purchased a new position in shares of ProFrac in the 2nd quarter worth approximately $29,000. Raymond James Financial Inc. purchased a new position in shares of ProFrac in the 2nd quarter worth approximately $29,000. BNP Paribas Financial Markets grew its position in shares of ProFrac by 389.4% in the 2nd quarter. BNP Paribas Financial Markets now owns 6,122 shares of the company's stock worth $48,000 after buying an additional 4,871 shares during the last quarter. Finally, Exchange Traded Concepts LLC grew its position in shares of ProFrac by 1,258.8% in the 1st quarter. Exchange Traded Concepts LLC now owns 10,164 shares of the company's stock worth $77,000 after buying an additional 9,416 shares during the last quarter. Hedge funds and other institutional investors own 12.75% of the company's stock.

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.