Stock Repurchase Plan Authorized by Natural Gas Services Group (NYSE:NGS) Board of Directors

Key Points

• Natural Gas Services Group has authorized a stock repurchase program to buy back $6.00 million of its shares, which represents approximately 1.9% of the company's outstanding shares.
• The company reported an earnings per share (EPS) of $0.41 for the quarter, surpassing the consensus estimate of $0.32, indicating strong financial performance.
• A quarterly dividend of $0.10 is set to be paid on August 22nd, 2023, providing a 1.6% dividend yield to shareholders.

Natural Gas Services Group (NYSE:NGS - Get Free Report) declared that its board has approved a stock repurchase program on Monday, August 11th, RTT News reports. The company plans to repurchase $6.00 million in outstanding shares. This repurchase authorization authorizes the oil and gas company to buy up to 1.9% of its shares through open market purchases. Shares repurchase programs are typically a sign that the company's leadership believes its shares are undervalued.

Natural Gas Services Group Stock Up 2.5%

NYSE NGS traded up $0.62 during trading hours on Monday, hitting $25.40. 69,110 shares of the company were exchanged, compared to its average volume of 51,468. The firm has a market cap of $318.20 million, a price-to-earnings ratio of 18.81 and a beta of 0.66. The company has a quick ratio of 1.33, a current ratio of 2.10 and a debt-to-equity ratio of 0.65. The company has a 50 day moving average of $25.10 and a two-hundred day moving average of $23.55. Natural Gas Services Group has a 52-week low of $16.73 and a 52-week high of $29.74.

Natural Gas Services Group (NYSE:NGS - Get Free Report) last released its earnings results on Monday, August 11th. The oil and gas company reported $0.41 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.32 by $0.09. Natural Gas Services Group had a return on equity of 6.99% and a net margin of 10.53%. Equities research analysts anticipate that Natural Gas Services Group will post 1.42 earnings per share for the current year.

Natural Gas Services Group Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Friday, August 22nd. Investors of record on Friday, August 8th will be given a $0.10 dividend. This represents a $0.40 annualized dividend and a dividend yield of 1.6%. The ex-dividend date of this dividend is Friday, August 8th. Natural Gas Services Group's dividend payout ratio (DPR) is 29.63%.

Wall Street Analysts Forecast Growth

NGS has been the subject of a number of research analyst reports. Wall Street Zen raised Natural Gas Services Group from a "sell" rating to a "hold" rating in a research note on Wednesday, May 21st. Stifel Nicolaus raised their target price on Natural Gas Services Group from $32.00 to $33.00 and gave the company a "buy" rating in a research report on Friday, May 16th.

Insider Buying and Selling at Natural Gas Services Group

In related news, Director Stephen Charles Taylor sold 25,000 shares of the stock in a transaction on Thursday, May 15th. The stock was sold at an average price of $24.90, for a total value of $622,500.00. Following the completion of the sale, the director directly owned 433,334 shares in the company, valued at approximately $10,790,016.60. This represents a 5.45% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Company insiders own 7.25% of the company's stock.

Natural Gas Services Group Company Profile

Natural Gas Services Group, Inc provides natural gas compression equipment and services to the energy industry in the United States. It engineers and fabricates, operates, rents, and maintains natural gas compressors for oil and natural gas production and plant facilities. It also designs, fabricates, and assembles compressor units for rental or sale; and designs, manufactures, and sells a line of reciprocating natural gas compressor frames, cylinders, and parts.

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