Analysts Set Archrock, Inc. (NYSE:AROC) PT at $28.40

Archrock, Inc. (NYSE:AROC) has been assigned a consensus rating of “Moderate Buy” from the six brokerages that are covering the firm, MarketBeat reports. One research analyst has rated the stock with a hold recommendation and five have assigned a buy recommendation to the company. The average 12-month target price among brokers that have issued ratings on the stock in the last year is $28.40.

A number of equities research analysts recently commented on the company. Evercore ISI decreased their target price on Archrock from $32.00 to $31.00 and set an “outperform” rating on the stock in a research report on Wednesday, August 6th. Sidoti upgraded Archrock to a “hold” rating in a research report on Wednesday, May 7th.

Archrock Price Performance

NYSE:AROC opened at $24.5880 on Friday. The company has a current ratio of 1.81, a quick ratio of 1.30 and a debt-to-equity ratio of 1.86. The company has a market capitalization of $4.32 billion, a P/E ratio of 18.63, a P/E/G ratio of 1.24 and a beta of 1.10. Archrock has a 12 month low of $18.38 and a 12 month high of $30.44. The business’s 50-day moving average is $23.86 and its 200 day moving average is $24.79.

Archrock (NYSE:AROC) last posted its earnings results on Monday, August 4th. The energy company reported $0.39 EPS for the quarter, topping analysts’ consensus estimates of $0.37 by $0.02. The company had revenue of $383.15 million for the quarter, compared to the consensus estimate of $366.34 million. Archrock had a return on equity of 18.74% and a net margin of 17.17%.The firm’s revenue for the quarter was up 41.6% on a year-over-year basis. During the same period in the previous year, the business earned $0.23 earnings per share. On average, equities research analysts forecast that Archrock will post 1.09 earnings per share for the current fiscal year.

Archrock announced that its Board of Directors has initiated a share repurchase plan on Monday, May 5th that authorizes the company to buyback $50.00 million in outstanding shares. This buyback authorization authorizes the energy company to purchase up to 1.2% of its stock through open market purchases. Stock buyback plans are usually an indication that the company’s board of directors believes its stock is undervalued.

Archrock Increases Dividend

The business also recently disclosed a quarterly dividend, which was paid on Tuesday, August 12th. Shareholders of record on Tuesday, August 5th were given a dividend of $0.21 per share. This represents a $0.84 dividend on an annualized basis and a yield of 3.4%. This is a boost from Archrock’s previous quarterly dividend of $0.19. The ex-dividend date was Tuesday, August 5th. Archrock’s dividend payout ratio (DPR) is currently 63.64%.

Insider Transactions at Archrock

In other Archrock news, SVP Eric W. Thode sold 10,000 shares of the company’s stock in a transaction that occurred on Tuesday, August 12th. The stock was sold at an average price of $23.54, for a total transaction of $235,400.00. Following the sale, the senior vice president directly owned 224,809 shares in the company, valued at $5,292,003.86. This represents a 4.26% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available at this link. 2.60% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Archrock

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Nuveen LLC bought a new position in shares of Archrock during the first quarter valued at approximately $43,092,000. Driehaus Capital Management LLC bought a new position in shares of Archrock during the first quarter valued at approximately $25,374,000. Millennium Management LLC grew its stake in shares of Archrock by 186.0% during the fourth quarter. Millennium Management LLC now owns 1,047,346 shares of the energy company’s stock valued at $26,068,000 after buying an additional 681,160 shares during the last quarter. Balyasny Asset Management L.P. bought a new position in shares of Archrock during the second quarter valued at approximately $16,027,000. Finally, Franklin Resources Inc. grew its stake in shares of Archrock by 78.7% during the second quarter. Franklin Resources Inc. now owns 1,237,956 shares of the energy company’s stock valued at $30,738,000 after buying an additional 545,336 shares during the last quarter. 95.45% of the stock is currently owned by hedge funds and other institutional investors.

Archrock Company Profile

Archrock, Inc, together with its subsidiaries, operates as an energy infrastructure company in the United States. The company operates in two segments, Contract Operations and Aftermarket Services. It engages in the designing, sourcing, owning, installing, operating, servicing, repairing, and maintaining of its owned fleet of natural gas compression equipment to provide natural gas compression services.