Archrock, Inc. (NYSE:AROC) Receives Average Recommendation of “Buy” from Analysts

Archrock, Inc. (NYSE:AROC) has earned an average rating of “Buy” from the ten research firms that are covering the stock, MarketBeat.com reports. One investment analyst has rated the stock with a hold recommendation, eight have issued a buy recommendation and one has issued a strong buy recommendation on the company. The average 12 month price objective among analysts that have covered the stock in the last year is $41.1429.

AROC has been the topic of several analyst reports. Wall Street Zen downgraded shares of Archrock from a “buy” rating to a “hold” rating in a report on Sunday, March 8th. Royal Bank Of Canada lifted their target price on shares of Archrock from $32.00 to $40.00 and gave the company an “outperform” rating in a report on Monday, March 16th. Raymond James Financial reaffirmed an “outperform” rating and issued a $46.00 target price on shares of Archrock in a report on Thursday, May 7th. Citigroup lifted their target price on shares of Archrock from $40.00 to $43.00 and gave the company a “buy” rating in a report on Wednesday, May 13th. Finally, Stifel Nicolaus set a $41.00 price objective on shares of Archrock in a report on Thursday, May 7th.

Insider Transactions at Archrock

In related news, CFO Doug S. Aron sold 35,000 shares of the business’s stock in a transaction dated Monday, May 18th. The shares were sold at an average price of $38.30, for a total transaction of $1,340,500.00. Following the sale, the chief financial officer owned 359,337 shares of the company’s stock, valued at approximately $13,762,607.10. The trade was a 8.88% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Also, SVP Jason Ingersoll sold 33,000 shares of the business’s stock in a transaction dated Monday, May 18th. The stock was sold at an average price of $38.19, for a total transaction of $1,260,270.00. Following the sale, the senior vice president directly owned 277,454 shares in the company, valued at approximately $10,595,968.26. This represents a 10.63% decrease in their position. The SEC filing for this sale provides additional information. In the last three months, insiders have sold 327,550 shares of company stock worth $11,861,703. 2.90% of the stock is owned by insiders.

Institutional Trading of Archrock

A number of institutional investors have recently added to or reduced their stakes in AROC. Royal Bank of Canada lifted its holdings in shares of Archrock by 0.7% in the first quarter. Royal Bank of Canada now owns 95,866 shares of the energy company’s stock valued at $2,514,000 after purchasing an additional 667 shares in the last quarter. Jones Financial Companies Lllp lifted its holdings in shares of Archrock by 217.9% in the first quarter. Jones Financial Companies Lllp now owns 1,316 shares of the energy company’s stock valued at $35,000 after purchasing an additional 902 shares in the last quarter. EverSource Wealth Advisors LLC lifted its holdings in shares of Archrock by 482.9% in the second quarter. EverSource Wealth Advisors LLC now owns 2,699 shares of the energy company’s stock valued at $67,000 after purchasing an additional 2,236 shares in the last quarter. First Trust Advisors LP lifted its holdings in shares of Archrock by 24.6% in the second quarter. First Trust Advisors LP now owns 279,100 shares of the energy company’s stock valued at $6,930,000 after purchasing an additional 55,059 shares in the last quarter. Finally, Daiwa Securities Group Inc. lifted its holdings in shares of Archrock by 19.8% in the second quarter. Daiwa Securities Group Inc. now owns 9,700 shares of the energy company’s stock valued at $241,000 after purchasing an additional 1,600 shares in the last quarter. Hedge funds and other institutional investors own 95.45% of the company’s stock.

Archrock Stock Up 1.2%

Shares of NYSE:AROC opened at $36.13 on Friday. The company has a market cap of $6.33 billion, a price-to-earnings ratio of 19.63, a PEG ratio of 1.53 and a beta of 0.87. The firm’s 50-day simple moving average is $36.28 and its 200-day simple moving average is $32.07. The company has a quick ratio of 0.91, a current ratio of 1.41 and a debt-to-equity ratio of 1.57. Archrock has a fifty-two week low of $21.17 and a fifty-two week high of $40.12.

Archrock (NYSE:AROC) last issued its earnings results on Tuesday, May 5th. The energy company reported $0.42 earnings per share for the quarter, missing the consensus estimate of $0.47 by ($0.05). The firm had revenue of $373.77 million during the quarter, compared to analysts’ expectations of $378.36 million. Archrock had a net margin of 21.45% and a return on equity of 22.89%. The firm’s revenue for the quarter was up 7.7% compared to the same quarter last year. As a group, equities research analysts predict that Archrock will post 1.95 earnings per share for the current year.

Archrock Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Tuesday, May 19th. Investors of record on Tuesday, May 12th were issued a dividend of $0.22 per share. The ex-dividend date of this dividend was Tuesday, May 12th. This represents a $0.88 dividend on an annualized basis and a yield of 2.4%. Archrock’s payout ratio is currently 47.83%.

About Archrock

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.