Montauk Renewables (NASDAQ:MNTK) Shares Gap Up on Strong Earnings

Montauk Renewables, Inc. (NASDAQ:MNTK)’s share price gapped up prior to trading on Wednesday following a stronger than expected earnings report. The stock had previously closed at $5.19, but opened at $5.50. Montauk Renewables shares last traded at $5.13, with a volume of 68,225 shares.

The company reported $0.12 EPS for the quarter, topping analysts’ consensus estimates of $0.08 by $0.04. Montauk Renewables had a return on equity of 9.07% and a net margin of 11.80%. The business had revenue of $65.92 million during the quarter, compared to analysts’ expectations of $61.27 million.

Analyst Ratings Changes

Separately, Scotiabank reiterated a “sector perform” rating and set a $6.00 target price (down previously from $8.00) on shares of Montauk Renewables in a report on Tuesday, September 3rd.

Institutional Trading of Montauk Renewables

Institutional investors and hedge funds have recently bought and sold shares of the stock. Jacobs Levy Equity Management Inc. raised its holdings in Montauk Renewables by 81.0% during the first quarter. Jacobs Levy Equity Management Inc. now owns 502,682 shares of the company’s stock worth $2,091,000 after acquiring an additional 224,895 shares in the last quarter. SIR Capital Management L.P. raised its stake in Montauk Renewables by 91.2% in the second quarter. SIR Capital Management L.P. now owns 326,074 shares of the company’s stock valued at $1,859,000 after buying an additional 155,546 shares during the period. Assenagon Asset Management S.A. bought a new stake in Montauk Renewables in the second quarter valued at approximately $373,000. SG Americas Securities LLC bought a new stake in Montauk Renewables in the third quarter valued at approximately $114,000. Finally, CWM LLC raised its stake in Montauk Renewables by 1,425.5% in the second quarter. CWM LLC now owns 4,485 shares of the company’s stock valued at $26,000 after buying an additional 4,191 shares during the period. Institutional investors own 16.35% of the company’s stock.

Montauk Renewables Stock Down 20.8 %

The company has a quick ratio of 1.66, a current ratio of 1.66 and a debt-to-equity ratio of 0.19. The firm has a 50 day simple moving average of $5.22 and a 200-day simple moving average of $5.10. The stock has a market cap of $590.24 million, a P/E ratio of 31.69 and a beta of -0.21.

About Montauk Renewables

Montauk Renewables, Inc, a renewable energy company, engages in recovery and processing of biogas from landfills and other non-fossil fuel sources. It operates in two segments, Renewable Natural Gas and Renewable Electricity Generation. The company develops, owns, and operates renewable natural gas (RNG) projects that captures methane and prevents it from being released into the atmosphere by converting it into either RNG or electrical power for the electrical grid.