Kimbell Royalty (NYSE:KRP) Receives Consensus Recommendation of “Moderate Buy” from Brokerages

Shares of Kimbell Royalty (NYSE:KRP) have been assigned an average recommendation of “Moderate Buy” from the six analysts that are covering the company, MarketBeat reports. Three investment analysts have rated the stock with a hold rating and three have issued a buy rating on the company. The average 1-year price objective among brokers that have issued a report on the stock in the last year is $18.00.

KRP has been the topic of a number of recent analyst reports. Weiss Ratings downgraded Kimbell Royalty from a “hold (c+)” rating to a “hold (c)” rating in a research report on Thursday, May 14th. KeyCorp upgraded Kimbell Royalty from a “sector weight” rating to an “overweight” rating and set a $17.00 target price on the stock in a research note on Thursday, April 2nd. Citigroup raised their price target on Kimbell Royalty from $17.00 to $19.00 and gave the company a “buy” rating in a report on Tuesday, March 31st. Finally, Royal Bank Of Canada assumed coverage on Kimbell Royalty in a research report on Friday, May 29th. They set an “outperform” rating and a $20.00 price target for the company.

Institutional Trading of Kimbell Royalty

Several institutional investors and hedge funds have recently made changes to their positions in the stock. Royal Bank of Canada grew its position in Kimbell Royalty by 32.6% in the first quarter. Royal Bank of Canada now owns 371,582 shares of the energy company’s stock worth $5,202,000 after acquiring an additional 91,263 shares in the last quarter. Jane Street Group LLC purchased a new stake in Kimbell Royalty during the first quarter valued at about $297,000. Legal & General Group Plc raised its position in Kimbell Royalty by 17.2% during the second quarter. Legal & General Group Plc now owns 67,890 shares of the energy company’s stock valued at $948,000 after purchasing an additional 9,987 shares in the last quarter. First Trust Advisors LP lifted its stake in Kimbell Royalty by 8.6% during the second quarter. First Trust Advisors LP now owns 464,829 shares of the energy company’s stock worth $6,489,000 after purchasing an additional 36,803 shares during the last quarter. Finally, Jump Financial LLC bought a new stake in Kimbell Royalty during the second quarter worth about $1,220,000. Hedge funds and other institutional investors own 25.78% of the company’s stock.

Kimbell Royalty Price Performance

Shares of NYSE:KRP opened at $14.99 on Friday. The company has a 50 day moving average of $14.97 and a 200 day moving average of $14.25. The stock has a market cap of $1.62 billion, a P/E ratio of 32.59 and a beta of 0.29. Kimbell Royalty has a 12 month low of $11.31 and a 12 month high of $15.80. The company has a current ratio of 5.12, a quick ratio of 5.12 and a debt-to-equity ratio of 0.77.

Kimbell Royalty (NYSE:KRP) last posted its earnings results on Thursday, May 7th. The energy company reported $0.04 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.23 by ($0.19). The firm had revenue of $65.54 million during the quarter, compared to analysts’ expectations of $90.25 million. Kimbell Royalty had a return on equity of 11.70% and a net margin of 22.76%.The business’s revenue for the quarter was down 6.7% compared to the same quarter last year. During the same quarter in the prior year, the company earned $0.20 earnings per share. As a group, sell-side analysts forecast that Kimbell Royalty will post 0.81 EPS for the current fiscal year.

Kimbell Royalty Increases Dividend

The business also recently declared a quarterly dividend, which was paid on Wednesday, May 27th. Shareholders of record on Tuesday, May 19th were paid a $0.41 dividend. The ex-dividend date of this dividend was Tuesday, May 19th. This represents a $1.64 dividend on an annualized basis and a yield of 10.9%. This is a boost from Kimbell Royalty’s previous quarterly dividend of $0.37. Kimbell Royalty’s dividend payout ratio is presently 356.52%.

About Kimbell Royalty

Kimbell Royalty Partners LP (NYSE: KRP) is a mineral and royalty company focused on acquiring and managing oil and natural gas royalty interests in the United States. As a master limited partnership, Kimbell Royalty generates fee-like revenues by collecting royalties and overriding royalty interests on production volumes, without directly bearing the capital or operating costs of drilling and completion activities. The partnership’s business model emphasizes steady cash flows and limited downside exposure to commodity price fluctuations.

The company’s asset portfolio spans multiple onshore basins, with a core concentration in Texas and New Mexico.