ProFrac (NASDAQ:ACDC) Shares Down 16.1% After Earnings Miss

ProFrac Holding Corp. (NASDAQ:ACDC)’s share price fell 16.1% on Thursday after the company announced weaker than expected quarterly earnings. The company traded as low as $3.51 and last traded at $3.3320. 155,993 shares changed hands during mid-day trading, a decline of 89% from the average daily volume of 1,408,812 shares. The stock had previously closed at $3.97.

The company reported ($0.44) earnings per share for the quarter, missing analysts’ consensus estimates of ($0.26) by ($0.18). ProFrac had a negative net margin of 22.83% and a negative return on equity of 45.18%. The firm had revenue of $511.10 million for the quarter, compared to the consensus estimate of $555.66 million.

Analyst Upgrades and Downgrades

Several equities analysts recently commented on ACDC shares. Weiss Ratings reiterated a “sell (d-)” rating on shares of ProFrac in a report on Monday, September 21st. Morgan Stanley decreased their price objective on shares of ProFrac from $5.00 to $4.50 and set an “underweight” rating for the company in a research note on Thursday, August 20th. Finally, Wall Street Zen lowered ProFrac from a “hold” rating to a “sell” rating in a research report on Saturday, October 24th. One analyst has rated the stock with a Buy rating, two have given a Hold rating and two have issued a Sell rating to the stock. According to MarketBeat.com, ProFrac presently has an average rating of “Reduce” and a consensus target price of $5.25.

Insider Buying and Selling at ProFrac

In other ProFrac news, CEO Matthew Wilks bought 57,519 shares of ProFrac stock in a transaction on Monday, August 10th. The shares were acquired at an average price of $4.86 per share, for a total transaction of $279,542.34. Following the completion of the purchase, the chief executive officer directly owned 479,616 shares in the company, valued at approximately $2,330,933.76. This trade represents a 13.63% increase in their position. The acquisition was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Also, major shareholder Holdings Lp Thrc bought 363,757 shares of the firm’s stock in a transaction dated Monday, August 24th. The shares were acquired at an average price of $4.70 per share, with a total value of $1,709,657.90. Following the completion of the transaction, the insider owned 83,785,415 shares of the company’s stock, valued at approximately $393,791,450.50. The trade was a 0.44% increase in their position. The disclosure for this purchase is available in the SEC filing. Insiders have acquired 2,014,454 shares of company stock valued at $9,750,117 in the last quarter. 2.23% of the stock is owned by insiders.

Institutional Inflows and Outflows

A number of hedge funds have recently made changes to their positions in ACDC. Dimensional Fund Advisors LP increased its stake in ProFrac by 156.5% in the 1st quarter. Dimensional Fund Advisors LP now owns 390,420 shares of the company’s stock worth $2,421,000 after buying an additional 238,210 shares during the period. Walleye Capital LLC boosted its position in ProFrac by 328.6% in the 1st quarter. Walleye Capital LLC now owns 347,911 shares of the company’s stock valued at $2,157,000 after buying an additional 266,742 shares during the period. Bank of America Corp DE boosted its position in ProFrac by 186.9% in the 1st quarter. Bank of America Corp DE now owns 175,664 shares of the company’s stock valued at $1,089,000 after buying an additional 114,429 shares during the period. Renaissance Technologies LLC purchased a new stake in ProFrac in the 1st quarter valued at about $872,000. Finally, Quantinno Capital Management LP grew its stake in ProFrac by 94.4% in the 1st quarter. Quantinno Capital Management LP now owns 48,072 shares of the company’s stock worth $298,000 after acquiring an additional 23,347 shares in the last quarter. 12.75% of the stock is currently owned by institutional investors.

ProFrac Trading Down 18.9%

The firm has a market capitalization of $586.61 million, a PE ratio of -1.38 and a beta of 1.48. The stock’s 50-day moving average price is $4.67 and its 200 day moving average price is $5.53. The company has a debt-to-equity ratio of 1.42, a current ratio of 0.84 and a quick ratio of 0.59.

ProFrac Company Profile

ProFrac Holding Corp. is an energy services company that provides hydraulic fracturing and other well-stimulation services to oil and natural gas producers. Through its operations, the company supports the development and completion of unconventional wells, primarily in North American onshore energy markets.

The company’s activities include pressure pumping and hydraulic fracturing services, proppant production and distribution, and the manufacture, sale, and maintenance of equipment used in well-completion operations.