Kimbell Royalty (NYSE:KRP) Downgraded to Strong Sell Rating by Zacks Research

Zacks Research cut shares of Kimbell Royalty (NYSE:KRP) from a hold rating to a strong sell rating in a research note released on Monday,Zacks.com reports.

Other analysts have also issued research reports about the stock. Royal Bank Of Canada initiated coverage on shares of Kimbell Royalty in a report on Friday, May 29th. They set an “outperform” rating and a $20.00 target price for the company. Weiss Ratings cut Kimbell Royalty from a “hold (c+)” rating to a “hold (c)” rating in a research note on Thursday, May 14th. Three investment analysts have rated the stock with a Buy rating, two have given a Hold rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat.com, the company presently has a consensus rating of “Hold” and an average target price of $18.00.

Kimbell Royalty Stock Performance

Shares of NYSE:KRP opened at $14.60 on Monday. The company has a current ratio of 5.12, a quick ratio of 5.12 and a debt-to-equity ratio of 0.77. Kimbell Royalty has a 1-year low of $11.31 and a 1-year high of $15.80. The stock has a market capitalization of $1.57 billion, a P/E ratio of 31.73 and a beta of 0.30. The business has a 50-day moving average price of $14.89 and a two-hundred day moving average price of $14.51.

Kimbell Royalty (NYSE:KRP) last issued its earnings results on Thursday, May 7th. The energy company reported $0.04 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.23 by ($0.19). Kimbell Royalty had a net margin of 22.76% and a return on equity of 11.70%. The business had revenue of $65.54 million during the quarter, compared to the consensus estimate of $90.25 million. During the same period last year, the business posted $0.20 EPS. The firm’s revenue for the quarter was down 6.7% compared to the same quarter last year. Equities analysts predict that Kimbell Royalty will post 0.81 earnings per share for the current year.

Kimbell Royalty Increases Dividend

The company also recently announced a quarterly dividend, which was paid on Wednesday, May 27th. Shareholders of record on Tuesday, May 19th were paid a $0.41 dividend. The ex-dividend date of this dividend was Tuesday, May 19th. This is a boost from Kimbell Royalty’s previous quarterly dividend of $0.37. This represents a $1.64 annualized dividend and a yield of 11.2%. Kimbell Royalty’s payout ratio is currently 356.52%.

Hedge Funds Weigh In On Kimbell Royalty

A number of hedge funds and other institutional investors have recently made changes to their positions in the company. Adage Capital Partners GP L.L.C. grew its holdings in shares of Kimbell Royalty by 32.1% in the 4th quarter. Adage Capital Partners GP L.L.C. now owns 1,210,948 shares of the energy company’s stock valued at $14,241,000 after buying an additional 294,482 shares during the period. UBS Group AG lifted its holdings in Kimbell Royalty by 9.4% during the fourth quarter. UBS Group AG now owns 1,009,057 shares of the energy company’s stock worth $11,867,000 after acquiring an additional 86,957 shares in the last quarter. Energy Income Partners LLC lifted its holdings in Kimbell Royalty by 12.3% during the third quarter. Energy Income Partners LLC now owns 647,396 shares of the energy company’s stock worth $8,733,000 after acquiring an additional 70,783 shares in the last quarter. Pin Oak Investment Advisors Inc. lifted its holdings in Kimbell Royalty by 0.9% during the third quarter. Pin Oak Investment Advisors Inc. now owns 618,128 shares of the energy company’s stock worth $8,339,000 after acquiring an additional 5,213 shares in the last quarter. Finally, Vanguard Group Inc. grew its stake in Kimbell Royalty by 4.3% in the third quarter. Vanguard Group Inc. now owns 596,903 shares of the energy company’s stock valued at $8,052,000 after acquiring an additional 24,419 shares during the period. 25.78% of the stock is owned by institutional investors.

About Kimbell Royalty

Kimbell Royalty Partners LP (NYSE: KRP) is a mineral and royalty company focused on acquiring and managing oil and natural gas royalty interests in the United States. As a master limited partnership, Kimbell Royalty generates fee-like revenues by collecting royalties and overriding royalty interests on production volumes, without directly bearing the capital or operating costs of drilling and completion activities. The partnership’s business model emphasizes steady cash flows and limited downside exposure to commodity price fluctuations.

The company’s asset portfolio spans multiple onshore basins, with a core concentration in Texas and New Mexico.