USA Compression Partners (NYSE:USAC – Get Free Report) issued its quarterly earnings results on Tuesday. The oil and gas company reported $0.33 EPS for the quarter, hitting analysts’ consensus estimates of $0.33, FiscalAI reports. USA Compression Partners had a return on equity of 179.77% and a net margin of 12.43%. The company had revenue of $357.19 million for the quarter, compared to analysts’ expectations of $348.32 million.
Here are the key takeaways from USA Compression Partners’ conference call:
- USA Compression reported sequential growth in revenue, Adjusted EBITDA, and Distributable Cash Flow, with average revenue-generating horsepower, revenue per horsepower, total revenue, and Adjusted EBITDA reaching record levels.
- Demand for compression remains healthy despite measured near-term growth. More than 60% of horsepower scheduled for 2027 delivery is contracted, and the company has an approximately $500 million new-unit order book through 2029.
- The company narrowed full-year Adjusted EBITDA guidance to $770 million-$780 million from $770 million-$800 million, citing higher fuel, lube oil, labor, and other commodity-linked costs, as well as softer retail parts and service activity.
- Leverage remained near target at 3.78 times, while the company issued $600 million of 6.750% senior notes due 2035 and ended the quarter with approximately $1.06 billion of available ABL capacity, preserving financial flexibility for growth and capital allocation.
USA Compression Partners Stock Performance
Shares of USA Compression Partners stock traded down $0.20 during trading hours on Thursday, hitting $24.25. 121,870 shares of the company’s stock traded hands, compared to its average volume of 253,056. USA Compression Partners has a 12-month low of $22.65 and a 12-month high of $30.55. The company has a fifty day simple moving average of $25.91 and a 200-day simple moving average of $26.73. The company has a debt-to-equity ratio of 10.25, a current ratio of 1.35 and a quick ratio of 0.68. The stock has a market capitalization of $3.51 billion, a price-to-earnings ratio of 22.88 and a beta of 0.28.
USA Compression Partners Announces Dividend
The firm also recently disclosed a quarterly dividend, which will be paid on Friday, November 6th. Shareholders of record on Monday, October 26th will be paid a $0.5250 dividend. This represents a $2.10 dividend on an annualized basis and a yield of 8.7%. The ex-dividend date is Monday, October 26th. USA Compression Partners’s dividend payout ratio is 198.11%.
Wall Street Analyst Weigh In
Several equities research analysts have weighed in on USAC shares. Royal Bank Of Canada upped their target price on USA Compression Partners from $30.00 to $31.00 and gave the stock a “sector perform” rating in a research note on Tuesday, September 1st. Zacks Research upgraded shares of USA Compression Partners from a “strong sell” rating to a “hold” rating in a report on Monday, August 31st. Finally, Wall Street Zen lowered USA Compression Partners from a “buy” rating to a “hold” rating in a research report on Saturday, September 26th. One analyst has rated the stock with a Strong Buy rating and five have given a Hold rating to the company’s stock. According to MarketBeat, USA Compression Partners has an average rating of “Hold” and an average target price of $29.50.
Check Out Our Latest Research Report on USAC
Insider Activity at USA Compression Partners
In other news, Director Bradford Whitehurst acquired 6,000 shares of the company’s stock in a transaction that occurred on Friday, August 21st. The shares were acquired at an average price of $26.10 per share, for a total transaction of $156,600.00. Following the completion of the purchase, the director owned 43,616 shares in the company, valued at approximately $1,138,377.60. This trade represents a 15.95% increase in their ownership of the stock. The purchase was disclosed in a filing with the SEC, which is accessible through this hyperlink.
About USA Compression Partners
USA Compression Partners LP (NYSE: USAC) is a master limited partnership that provides natural gas compression services in the United States. The company owns and operates a fleet of natural gas compression equipment and supplies compression to producers, processors, gatherers and pipeline operators under primarily fee-based contracts.
Its services support several stages of the natural gas value chain, including the gathering and processing of natural gas, transportation through interstate and intrastate pipelines, and natural gas storage.
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