Archrock (NYSE:AROC) Price Target Raised to $40.00

Archrock (NYSE:AROC) had its price target upped by Citigroup from $31.00 to $40.00 in a report released on Monday morning,Benzinga reports. The brokerage currently has a buy rating on the energy company’s stock.

Other research analysts have also issued reports about the company. Dawson James reaffirmed an “outperform” rating on shares of Archrock in a research report on Wednesday, February 25th. Zacks Research upgraded Archrock from a “hold” rating to a “strong-buy” rating in a research note on Tuesday, February 3rd. Wells Fargo & Company lifted their price objective on Archrock from $30.00 to $39.00 and gave the company an “overweight” rating in a research note on Friday, February 27th. Weiss Ratings reiterated a “buy (b)” rating on shares of Archrock in a report on Wednesday, January 21st. Finally, Raymond James Financial restated an “outperform” rating and issued a $40.00 price target on shares of Archrock in a report on Wednesday, February 25th. One equities research analyst has rated the stock with a Strong Buy rating, nine have issued a Buy rating and one has assigned a Hold rating to the stock. According to MarketBeat, Archrock presently has an average rating of “Buy” and an average price target of $36.86.

Archrock Price Performance

AROC opened at $37.05 on Monday. Archrock has a 1 year low of $20.12 and a 1 year high of $37.26. The company’s 50 day simple moving average is $29.67 and its 200 day simple moving average is $26.50. The stock has a market capitalization of $6.48 billion, a PE ratio of 20.25, a P/E/G ratio of 1.53 and a beta of 0.87. The company has a debt-to-equity ratio of 1.62, a quick ratio of 0.99 and a current ratio of 1.54.

Archrock (NYSE:AROC) last issued its quarterly earnings results on Tuesday, February 24th. The energy company reported $0.69 EPS for the quarter, topping the consensus estimate of $0.40 by $0.29. The firm had revenue of $377.07 million during the quarter, compared to analyst estimates of $378.04 million. Archrock had a net margin of 21.63% and a return on equity of 23.57%. Archrock’s revenue for the quarter was up 15.5% compared to the same quarter last year. During the same quarter in the prior year, the business posted $0.34 earnings per share. As a group, sell-side analysts expect that Archrock will post 1.09 EPS for the current year.

Archrock Increases Dividend

The company also recently announced a quarterly dividend, which was paid on Wednesday, February 18th. Stockholders of record on Tuesday, February 10th were given a dividend of $0.22 per share. The ex-dividend date of this dividend was Tuesday, February 10th. This is an increase from Archrock’s previous quarterly dividend of $0.21. This represents a $0.88 dividend on an annualized basis and a dividend yield of 2.4%. Archrock’s dividend payout ratio is presently 48.09%.

Hedge Funds Weigh In On Archrock

Institutional investors have recently added to or reduced their stakes in the company. Financial Security Advisor Inc. boosted its stake in Archrock by 3.0% during the 4th quarter. Financial Security Advisor Inc. now owns 12,000 shares of the energy company’s stock valued at $312,000 after acquiring an additional 344 shares during the last quarter. Crossmark Global Holdings Inc. grew its holdings in Archrock by 3.7% in the 4th quarter. Crossmark Global Holdings Inc. now owns 10,290 shares of the energy company’s stock worth $268,000 after buying an additional 366 shares in the last quarter. Severin Investments LLC increased its position in Archrock by 2.0% in the 4th quarter. Severin Investments LLC now owns 20,111 shares of the energy company’s stock valued at $523,000 after acquiring an additional 400 shares during the period. Sound Income Strategies LLC raised its stake in Archrock by 71.0% during the 4th quarter. Sound Income Strategies LLC now owns 971 shares of the energy company’s stock valued at $26,000 after acquiring an additional 403 shares in the last quarter. Finally, Allworth Financial LP boosted its position in Archrock by 3.0% during the 3rd quarter. Allworth Financial LP now owns 15,030 shares of the energy company’s stock worth $395,000 after acquiring an additional 436 shares during the period. Institutional investors and hedge funds own 95.45% of the company’s stock.

Archrock Company Profile

Archrock, Inc is a Houston‐based provider of natural gas compression services and equipment to the oil and gas industry in North America. Founded in 2004, the company supplies both short‐term rentals and long‐term contracts for compression solutions, serving upstream and midstream producers. Archrock’s offerings include engineered compression systems, aftermarket parts, maintenance and field services designed to optimize wellhead and pipeline operations.

The company’s core business activities focus on the design, manufacture, rental and sale of gas compression equipment.