Throughout the last three months, 8 analysts have evaluated Kodiak Gas Services (NYSE:KGS), offering a diverse set of opinions from bullish to bearish.
The following table summarizes their recent ratings, shedding light on the changing sentiments within the past 30 days and comparing them to the preceding months.
| Bullish | Somewhat Bullish | Indifferent | Somewhat Bearish | Bearish | |
|---|---|---|---|---|---|
| Total Ratings | 4 | 2 | 2 | 0 | 0 |
| Last 30D | 1 | 0 | 0 | 0 | 0 |
| 1M Ago | 2 | 0 | 1 | 0 | 0 |
| 2M Ago | 1 | 1 | 1 | 0 | 0 |
| 3M Ago | 0 | 1 | 0 | 0 | 0 |
The 12-month price targets assessed by analysts reveal further insights, featuring an average target of $27.5, a high estimate of $31.00, and a low estimate of $25.00. Observing a 9.26% increase, the current average has risen from the previous average price target of $25.17.
Interpreting Analyst Ratings: A Closer Look
A clear picture of Kodiak Gas Services's perception among financial experts is painted with a thorough analysis of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.
| Analyst | Analyst Firm | Action Taken | Rating | Current Price Target | Prior Price Target |
|---|---|---|---|---|---|
| John Mackay | Goldman Sachs | Raises | Buy | $31.00 | $27.00 |
| Jeremy Tonet | JP Morgan | Raises | Neutral | $28.00 | $27.00 |
| Neal Dingmann | Truist Securities | Raises | Buy | $28.00 | $23.00 |
| John Mackay | Goldman Sachs | Raises | Buy | $27.00 | $24.00 |
| TJ Schultz | RBC Capital | Maintains | Outperform | $26.00 | - |
| Selman Akyol | Stifel | Raises | Buy | $28.00 | $27.00 |
| Jeremy Tonet | JP Morgan | Announces | Neutral | $27.00 | - |
| James Rollyson | Raymond James | Raises | Outperform | $25.00 | $23.00 |
Key Insights:
- Action Taken: Analysts adapt their recommendations to changing market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their response to recent developments related to Kodiak Gas Services. This information provides a snapshot of how analysts perceive the current state of the company.
- Rating: Delving into assessments, analysts assign qualitative values, from 'Outperform' to 'Underperform'. These ratings communicate expectations for the relative performance of Kodiak Gas Services compared to the broader market.
- Price Targets: Analysts navigate through adjustments in price targets, providing estimates for Kodiak Gas Services's future value. Comparing current and prior targets offers insights into analysts' evolving expectations.
For valuable insights into Kodiak Gas Services's market performance, consider these analyst evaluations alongside crucial financial indicators. Stay well-informed and make prudent decisions using our Ratings Table.
Stay up to date on Kodiak Gas Services analyst ratings.
About Kodiak Gas Services
Kodiak Gas Services Inc is an operator of contract compression infrastructure in the United States. It manages business through two operating segments namely Compression Operations and Other Services. Compression Operations consist of operating company-owned and customer-owned compression infrastructure for customers, pursuant to fixed-revenue contracts to enable the production, gathering and transportation of natural gas and oil. Other Services consist of a full range of contract services to support the needs of customers, including station construction, maintenance and overhaul and other ancillary time and material-based offerings.
Key Indicators: Kodiak Gas Services's Financial Health
Market Capitalization Analysis: The company's market capitalization is below the industry average, suggesting that it is relatively smaller compared to peers. This could be due to various factors, including perceived growth potential or operational scale.
Revenue Growth: Kodiak Gas Services's revenue growth over a period of 3 months has been noteworthy. As of 31 December, 2023, the company achieved a revenue growth rate of approximately 25.7%. This indicates a substantial increase in the company's top-line earnings. As compared to its peers, the company achieved a growth rate higher than the average among peers in Energy sector.
Net Margin: Kodiak Gas Services's net margin falls below industry averages, indicating challenges in achieving strong profitability. With a net margin of -3.04%, the company may face hurdles in effective cost management.
Return on Equity (ROE): Kodiak Gas Services's ROE is below industry averages, indicating potential challenges in efficiently utilizing equity capital. With an ROE of -0.59%, the company may face hurdles in achieving optimal financial returns.
Return on Assets (ROA): Kodiak Gas Services's ROA lags behind industry averages, suggesting challenges in maximizing returns from its assets. With an ROA of -0.21%, the company may face hurdles in achieving optimal financial performance.
Debt Management: Kodiak Gas Services's debt-to-equity ratio is notably higher than the industry average. With a ratio of 1.6, the company relies more heavily on borrowed funds, indicating a higher level of financial risk.
The Core of Analyst Ratings: What Every Investor Should Know
Analysts work in banking and financial systems and typically specialize in reporting for stocks or defined sectors. Analysts may attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish "analyst ratings" for stocks. Analysts typically rate each stock once per quarter.
Some analysts will also offer forecasts for metrics like growth estimates, earnings, and revenue to provide further guidance on stocks. Investors who use analyst ratings should note that this specialized advice comes from humans and may be subject to error.
This article was generated by Benzinga's automated content engine and reviewed by an editor.