ProFrac Holding Corp. (NASDAQ:ACDC) Sees Significant Decrease in Short Interest

Key Points

• Short interest in ProFrac Holding Corp. decreased by 23.0% in August, with the total short interest dropping to 2,140,000 shares.
• Analysts have a generally negative outlook on ProFrac, with a current consensus rating of "Strong Sell" and a price target averaging $6.10.
• ProFrac reported a quarterly loss of ($0.67) EPS, missing the consensus estimate and showing a negative net margin of 12.89%.

ProFrac Holding Corp. (NASDAQ:ACDC - Get Free Report) saw a significant decline in short interest in August. As of August 31st, there was short interest totaling 2,140,000 shares, a decline of 23.0% from the August 15th total of 2,780,000 shares. Approximately 1.4% of the company's stock are sold short. Based on an average trading volume of 1,230,000 shares, the short-interest ratio is currently 1.7 days. Based on an average trading volume of 1,230,000 shares, the short-interest ratio is currently 1.7 days. Approximately 1.4% of the company's stock are sold short.

ProFrac Price Performance

NASDAQ:ACDC traded down $0.14 during trading hours on Friday, hitting $3.59. 3,185,207 shares of the stock traded hands, compared to its average volume of 1,255,039. The company has a market cap of $575.41 million, a price-to-earnings ratio of -2.06 and a beta of 1.64. ProFrac has a 1 year low of $3.43 and a 1 year high of $10.70. The stock has a 50 day moving average price of $5.37 and a 200 day moving average price of $6.31. The company has a quick ratio of 0.62, a current ratio of 0.91 and a debt-to-equity ratio of 1.00.

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

Insider Transactions at ProFrac

In other news, major shareholder Holdings Lp Thrc bought 2,500,000 shares of the stock in a transaction on Thursday, August 14th. The shares were acquired at an average cost of $4.00 per share, for a total transaction of $10,000,000.00. Following the purchase, the insider directly owned 82,389,657 shares of the company's stock, valued at $329,558,628. This trade represents a 3.13% increase in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, Chairman Matthew Wilks purchased 43,297 shares of the firm's stock in a transaction dated Monday, September 8th. The stock was bought at an average cost of $3.80 per share, for a total transaction of $164,528.60. Following the acquisition, the chairman directly owned 422,097 shares in the company, valued at approximately $1,603,968.60. The trade was a 11.43% 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

Several institutional investors have recently bought and sold shares of ACDC. Quantinno Capital Management LP increased its position in ProFrac by 11.3% during the fourth quarter. Quantinno Capital Management LP now owns 16,387 shares of the company's stock valued at $127,000 after acquiring an additional 1,670 shares during the last quarter. EverSource Wealth Advisors LLC increased its position in ProFrac by 7,241.7% during the second quarter. EverSource Wealth Advisors LLC now owns 3,524 shares of the company's stock valued at $27,000 after acquiring an additional 3,476 shares during the last quarter. Farther Finance Advisors LLC bought a new position in ProFrac during the second quarter valued at $29,000. Raymond James Financial Inc. bought a new position in shares of ProFrac in the second quarter worth about $29,000. Finally, BNP Paribas Financial Markets grew its holdings in shares of ProFrac by 389.4% in the second quarter. BNP Paribas Financial Markets now owns 6,122 shares of the company's stock worth $48,000 after purchasing an additional 4,871 shares during the last quarter. 12.75% of the stock is owned by hedge funds and other institutional investors.

Analyst Upgrades and Downgrades

A number of research analysts recently issued reports on the stock. Wall Street Zen cut shares of ProFrac from a "hold" rating to a "sell" rating in a research report on Saturday, August 9th. Bank of America lowered shares of ProFrac from a "neutral" rating to an "underperform" rating and set a $6.50 price objective for the company. in a research note on Wednesday, June 25th. Finally, Piper Sandler reduced their price target on shares of ProFrac from $8.00 to $6.00 and set a "neutral" rating for the company in a research note on Wednesday, August 20th. Two equities research analysts have rated the stock with a Hold rating and three have assigned a Sell rating to the company. According to data from MarketBeat.com, the company presently has a consensus rating of "Strong Sell" and a consensus target price of $6.10.

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.