Archrock (NYSE:AROC) Hits New 52-Week High – Should You Buy?

Archrock, Inc. (NYSE:AROC) reached a new 52-week high on Tuesday . The stock traded as high as $33.03 and last traded at $32.4160, with a volume of 30694 shares changing hands. The stock had previously closed at $32.66.

Wall Street Analysts Forecast Growth

Several research analysts have recently commented on AROC shares. Evercore raised their price objective on shares of Archrock from $31.00 to $35.00 and gave the company an “outperform” rating in a research note on Thursday, October 30th. Weiss Ratings reiterated a “buy (b)” rating on shares of Archrock in a report on Wednesday, January 21st. Royal Bank Of Canada boosted their price target on shares of Archrock from $31.00 to $32.00 and gave the stock an “outperform” rating in a research note on Thursday, October 30th. Finally, Zacks Research upgraded Archrock from a “hold” rating to a “strong-buy” rating in a research note on Tuesday, February 3rd. One analyst has rated the stock with a Strong Buy rating, six have issued a Buy rating and one has issued a Hold rating to the company’s stock. According to MarketBeat.com, the stock presently has a consensus rating of “Buy” and a consensus target price of $32.40.

Archrock Price Performance

The firm has a market capitalization of $5.73 billion, a price-to-earnings ratio of 21.80, a price-to-earnings-growth ratio of 1.40 and a beta of 0.93. The stock’s fifty day moving average price is $27.55 and its two-hundred day moving average price is $25.57. The company has a current ratio of 1.56, a quick ratio of 1.01 and a debt-to-equity ratio of 1.80.

Archrock Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, February 18th. Investors of record on Tuesday, February 10th will be paid a dividend of $0.22 per share. The ex-dividend date is Tuesday, February 10th. This is a positive change from Archrock’s previous quarterly dividend of $0.21. This represents a $0.88 annualized dividend and a yield of 2.7%. Archrock’s dividend payout ratio (DPR) is presently 58.67%.

Institutional Trading of Archrock

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Sound Income Strategies LLC lifted its holdings in shares of Archrock by 71.0% in the 4th quarter. Sound Income Strategies LLC now owns 971 shares of the energy company’s stock valued at $26,000 after purchasing an additional 403 shares during the last quarter. Ameriflex Group Inc. purchased a new stake in Archrock in the 3rd quarter valued at $27,000. Wilmington Savings Fund Society FSB boosted its stake in Archrock by 164.5% during the 3rd quarter. Wilmington Savings Fund Society FSB now owns 1,082 shares of the energy company’s stock worth $28,000 after purchasing an additional 673 shares during the period. Thurston Springer Miller Herd & Titak Inc. purchased a new position in Archrock during the 4th quarter worth $33,000. Finally, Salomon & Ludwin LLC acquired a new position in Archrock in the third quarter valued at $34,000. 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.