USA Compression Partners (NYSE:USAC) Stock Crosses Below 200 Day Moving Average - Should You Sell?

Key Points

• USA Compression Partners shares fell below their 200-day moving average, currently at $25.52, trading as low as $23.93, which raises concerns about potential sell-offs.
• Analysts from JPMorgan Chase & Co. have reaffirmed an "underweight" rating for the stock, adjusting the price target from $24.00 to $25.00.
• The company recently announced a quarterly dividend of $0.525 per share, yielding 8.75% annually, despite a high dividend payout ratio of 308.82%.

Shares of USA Compression Partners, LP (NYSE:USAC - Get Free Report) passed below its 200-day moving average during trading on Monday . The stock has a 200-day moving average of $25.52 and traded as low as $23.93. USA Compression Partners shares last traded at $23.99, with a volume of 192,311 shares traded.

Analysts Set New Price Targets

Separately, JPMorgan Chase & Co. reaffirmed an "underweight" rating and set a $25.00 price target (up previously from $24.00) on shares of USA Compression Partners in a research note on Monday, June 23rd.

USA Compression Partners Price Performance

The firm has a fifty day moving average of $24.90 and a two-hundred day moving average of $25.52. The stock has a market capitalization of $2.82 billion, a P/E ratio of 35.28 and a beta of 0.38.

USA Compression Partners (NYSE:USAC - Get Free Report) last posted its earnings results on Tuesday, May 6th. The oil and gas company reported $0.18 EPS for the quarter, missing analysts' consensus estimates of $0.22 by ($0.04). USA Compression Partners had a net margin of 9.99% and a negative return on equity of 81.01%. The business had revenue of $245.23 million for the quarter, compared to analysts' expectations of $244.79 million. As a group, sell-side analysts forecast that USA Compression Partners, LP will post 1.05 EPS for the current fiscal year.

USA Compression Partners Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Friday, August 8th. Investors of record on Monday, July 28th will be paid a $0.525 dividend. This represents a $2.10 dividend on an annualized basis and a yield of 8.75%. The ex-dividend date of this dividend is Monday, July 28th. USA Compression Partners's dividend payout ratio (DPR) is 308.82%.

Insiders Place Their Bets

In related news, Director Bradford D. Whitehurst purchased 10,000 shares of the business's stock in a transaction dated Thursday, May 8th. The shares were acquired at an average cost of $23.50 per share, for a total transaction of $235,000.00. Following the acquisition, the director owned 23,616 shares of the company's stock, valued at $554,976. The trade was a 73.44% increase in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink.

Institutional Investors Weigh In On USA Compression Partners

A number of institutional investors have recently added to or reduced their stakes in USAC. Alps Advisors Inc. lifted its position in shares of USA Compression Partners by 18.5% during the first quarter. Alps Advisors Inc. now owns 15,990,511 shares of the oil and gas company's stock valued at $431,424,000 after buying an additional 2,490,895 shares during the last quarter. Goldman Sachs Group Inc. raised its stake in shares of USA Compression Partners by 82.7% during the 1st quarter. Goldman Sachs Group Inc. now owns 2,863,377 shares of the oil and gas company's stock worth $77,254,000 after acquiring an additional 1,296,339 shares in the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. lifted its position in USA Compression Partners by 32.5% during the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 4,651,264 shares of the oil and gas company's stock valued at $125,491,000 after acquiring an additional 1,141,556 shares during the last quarter. Raymond James Financial Inc. purchased a new stake in USA Compression Partners during the fourth quarter valued at approximately $13,905,000. Finally, Invesco Ltd. boosted its stake in USA Compression Partners by 0.9% in the fourth quarter. Invesco Ltd. now owns 12,274,451 shares of the oil and gas company's stock valued at $289,186,000 after acquiring an additional 107,058 shares in the last quarter. Institutional investors own 47.77% of the company's stock.

About USA Compression Partners

USA Compression Partners, LP provides compression services under term contracts with customers in the natural gas and crude oil industries in the United States. The company engineers, designs, operates, services, and repairs its compression units; and maintains related support inventory and equipment.

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