ProPetro (NYSE:PUMP) Shares Gap Up Following Better-Than-Expected Earnings

ProPetro Holding Corp. (NYSE:PUMP)’s stock price gapped up prior to trading on Wednesday following a stronger than expected earnings report. The stock had previously closed at $7.56, but opened at $8.27. ProPetro shares last traded at $7.7220, with a volume of 1,108,219 shares traded.

The company reported $0.09 EPS for the quarter, topping the consensus estimate of ($0.01) by $0.10. During the same period in the prior year, the company earned ($0.02) earnings per share. The business’s revenue was up 20.9% compared to the same quarter last year.

Analyst Upgrades and Downgrades

A number of brokerages have commented on PUMP. Scotiabank assumed coverage on shares of ProPetro in a research note on Tuesday, September 29th. They set a “sector perform” rating and a $12.00 price target for the company. Stifel Nicolaus decreased their price objective on ProPetro from $23.00 to $20.00 and set a “buy” rating on the stock in a report on Monday, August 3rd. Wall Street Zen lowered ProPetro from a “hold” rating to a “sell” rating in a research note on Saturday, August 29th. Piper Sandler cut their target price on ProPetro from $18.00 to $15.00 and set an “overweight” rating for the company in a research report on Thursday, August 27th. Finally, Morgan Stanley decreased their price target on ProPetro from $13.00 to $12.00 and set an “equal weight” rating on the stock in a research note on Wednesday, October 14th. Eight research analysts have rated the stock with a Buy rating, three have issued a Hold rating and one has issued a Sell rating to the company’s stock. According to MarketBeat, the stock has a consensus rating of “Moderate Buy” and an average price target of $15.05.

Insider Buying and Selling at ProPetro

In other news, COO Adam Muñoz sold 70,696 shares of the stock in a transaction on Tuesday, August 4th. The stock was sold at an average price of $11.17, for a total value of $789,674.32. Following the transaction, the chief operating officer owned 148,691 shares of the company’s stock, valued at $1,660,878.47. This represents a 32.22% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, Director G Lawrence sold 35,831 shares of the stock in a transaction dated Tuesday, August 4th. The shares were sold at an average price of $11.16, for a total value of $399,873.96. Following the completion of the transaction, the director directly owned 28,181 shares in the company, valued at $314,499.96. The trade was a 55.98% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. 1.55% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently added to or reduced their stakes in PUMP. Readystate Asset Management LP lifted its stake in ProPetro by 285.6% in the second quarter. Readystate Asset Management LP now owns 405,748 shares of the company’s stock valued at $5,818,000 after acquiring an additional 300,535 shares during the last quarter. Y Intercept Hong Kong Ltd acquired a new position in shares of ProPetro during the 1st quarter worth about $2,045,000. Assenagon Asset Management S.A. acquired a new position in shares of ProPetro during the 2nd quarter worth about $18,700,000. Fund 1 Investments LLC increased its stake in shares of ProPetro by 2,653.6% during the 2nd quarter. Fund 1 Investments LLC now owns 1,793,882 shares of the company’s stock worth $25,724,000 after purchasing an additional 1,728,736 shares during the last quarter. Finally, Bank of America Corp DE bought a new stake in shares of ProPetro in the 2nd quarter valued at about $12,315,000. 84.70% of the stock is owned by institutional investors and hedge funds.

ProPetro Stock Performance

The stock’s fifty day moving average price is $9.83 and its 200-day moving average price is $12.55. The company has a market capitalization of $953.61 million, a P/E ratio of -70.54 and a beta of 0.86.

ProPetro Company Profile

ProPetro Holding Corp. is an oilfield services company that provides completion and production services to oil and natural gas exploration and production companies. Its primary offerings include hydraulic fracturing, well stimulation and wireline services used to prepare newly drilled wells for production and support ongoing well operations.

The company operates primarily in the Permian Basin, serving customers in the West Texas and southeastern New Mexico region. ProPetro’s services are focused on unconventional shale and tight-rock wells, where specialized pumping, pressure-control and downhole technologies are used to improve hydrocarbon recovery.

ProPetro was founded in 2007 and is headquartered in Midland, Texas.