Zacks Investment Research Upgrades Archrock (AROC) to Strong-Buy

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Zacks Investment Research upgraded shares of Archrock (NYSE:AROC) from a hold rating to a strong-buy rating in a research note published on Tuesday. They currently have $13.00 price target on the energy company’s stock.

According to Zacks, “Archrock, Inc. is a provider of natural gas contract compression services as well as supplier of aftermarket services of compression equipment. The company operates in the oil and gas producing regions primarily in the United States. Archrock, Inc., formerly known as Exterran Holdings, Inc., is based in Houston, United States. “

Several other analysts also recently weighed in on AROC. B. Riley set a $15.00 target price on shares of Archrock and gave the company a buy rating in a report on Friday, July 13th. Piper Jaffray Companies reaffirmed a buy rating and issued a $14.75 target price on shares of Archrock in a report on Tuesday, August 7th. TheStreet raised shares of Archrock from a d+ rating to a c- rating in a report on Wednesday, August 1st. Royal Bank of Canada reaffirmed a buy rating and issued a $16.00 target price on shares of Archrock in a report on Friday, August 3rd. Finally, ValuEngine downgraded shares of Archrock from a hold rating to a sell rating in a report on Friday, September 21st. One equities research analyst has rated the stock with a sell rating, two have issued a hold rating, five have given a buy rating and one has issued a strong buy rating to the stock. The stock currently has an average rating of Buy and a consensus target price of $14.33.

NYSE AROC opened at $10.52 on Tuesday. The company has a current ratio of 1.46, a quick ratio of 0.98 and a debt-to-equity ratio of 1.83. The firm has a market capitalization of $1.41 billion, a price-to-earnings ratio of 60.78 and a beta of 2.84. Archrock has a one year low of $8.25 and a one year high of $13.75.

Archrock (NYSE:AROC) last posted its quarterly earnings data on Wednesday, October 31st. The energy company reported $0.08 EPS for the quarter, beating analysts’ consensus estimates of $0.06 by $0.02. The company had revenue of $232.37 million for the quarter, compared to analyst estimates of $226.19 million. Archrock had a net margin of 6.32% and a return on equity of 2.49%. Archrock’s quarterly revenue was up 17.4% on a year-over-year basis. During the same period in the previous year, the business posted ($0.09) earnings per share. Equities analysts anticipate that Archrock will post 0.36 earnings per share for the current year.

The firm also recently declared a quarterly dividend, which will be paid on Wednesday, November 14th. Shareholders of record on Wednesday, November 7th will be issued a $0.132 dividend. This represents a $0.53 annualized dividend and a dividend yield of 5.02%. The ex-dividend date of this dividend is Tuesday, November 6th. Archrock’s dividend payout ratio (DPR) is presently -265.00%.

In other Archrock news, CFO Doug S. Aron purchased 10,000 shares of Archrock stock in a transaction on Friday, August 17th. The shares were bought at an average price of $11.92 per share, with a total value of $119,200.00. Following the completion of the acquisition, the chief financial officer now directly owns 49,215 shares of the company’s stock, valued at $586,642.80. The transaction was disclosed in a document filed with the SEC, which is available through this link. 2.54% of the stock is owned by corporate insiders.

Hedge funds and other institutional investors have recently made changes to their positions in the business. SG Americas Securities LLC purchased a new stake in shares of Archrock in the second quarter valued at about $523,000. Flinton Capital Management LLC lifted its holdings in shares of Archrock by 90.0% in the second quarter. Flinton Capital Management LLC now owns 25,976 shares of the energy company’s stock valued at $312,000 after purchasing an additional 12,308 shares in the last quarter. Texas Permanent School Fund raised its position in shares of Archrock by 77.7% in the second quarter. Texas Permanent School Fund now owns 83,455 shares of the energy company’s stock valued at $1,001,000 after buying an additional 36,486 shares during the last quarter. Pinebridge Investments L.P. raised its position in shares of Archrock by 89.0% in the second quarter. Pinebridge Investments L.P. now owns 192,032 shares of the energy company’s stock valued at $2,304,000 after buying an additional 90,403 shares during the last quarter. Finally, Verition Fund Management LLC acquired a new position in shares of Archrock in the second quarter valued at approximately $160,000. 89.14% of the stock is currently owned by institutional investors.

Archrock Company Profile

Archrock, Inc engages in the natural gas contract operations services business in the United States. The company provides natural gas compression services to customers in the oil and natural gas industry. It also offers aftermarket services, such as parts and components; and operation, maintenance, overhaul, and reconfiguration services to customers who own compression equipment.

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