Kodiak Gas Services (NYSE:KGS) to Repurchase $50.00 million in Shares

Kodiak Gas Services (NYSE:KGS) declared that its Board of Directors has approved a stock repurchase plan on Monday, August 11th, RTT News reports. The company plans to buyback $50.00 million in outstanding shares. This buyback authorization authorizes the company to reacquire up to 1.8% of its stock through open market purchases. Stock buyback plans are usually an indication that the company’s leadership believes its stock is undervalued.

Analyst Ratings Changes

Several brokerages have commented on KGS. Mizuho lowered their price target on Kodiak Gas Services from $46.00 to $45.00 and set an “outperform” rating on the stock in a report on Tuesday, May 20th. Barclays lowered their price target on Kodiak Gas Services from $41.00 to $36.00 and set an “equal weight” rating on the stock in a report on Wednesday, April 16th. Finally, JPMorgan Chase & Co. reiterated a “buy” rating and set a $43.00 price target (up previously from $42.00) on shares of Kodiak Gas Services in a report on Monday, June 23rd. One research analyst has rated the stock with a hold rating and ten have issued a buy rating to the stock. Based on data from MarketBeat.com, Kodiak Gas Services presently has an average rating of “Moderate Buy” and a consensus price target of $40.64.

Kodiak Gas Services Trading Up 2.2%

Shares of Kodiak Gas Services stock opened at $33.18 on Tuesday. The company’s fifty day simple moving average is $33.22 and its 200-day simple moving average is $36.37. The company has a market cap of $2.91 billion, a price-to-earnings ratio of 36.87 and a beta of 1.33. The company has a current ratio of 1.17, a quick ratio of 0.87 and a debt-to-equity ratio of 1.91. Kodiak Gas Services has a 1 year low of $25.21 and a 1 year high of $50.43.

Kodiak Gas Services (NYSE:KGS) last announced its quarterly earnings data on Wednesday, August 6th. The company reported $0.49 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.46 by $0.03. The business had revenue of $322.84 million for the quarter, compared to the consensus estimate of $335.10 million. Kodiak Gas Services had a net margin of 6.48% and a return on equity of 10.30%. Kodiak Gas Services’s quarterly revenue was up 4.2% on a year-over-year basis. During the same quarter last year, the company posted $0.06 earnings per share. As a group, sell-side analysts expect that Kodiak Gas Services will post 1.12 EPS for the current year.

Kodiak Gas Services Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Thursday, August 14th. Shareholders of record on Monday, August 4th will be paid a dividend of $0.45 per share. The ex-dividend date is Monday, August 4th. This represents a $1.80 dividend on an annualized basis and a yield of 5.4%. Kodiak Gas Services’s payout ratio is currently 200.00%.

Kodiak Gas Services Company Profile

Kodiak Gas Services, Inc operates contract compression infrastructure for customers in the oil and gas industry in the United States. It operates in two segments, Compression Operations and Other Services. The Compression Operations segment operates company-owned and customer-owned compression infrastructure to enable the production, gathering, and transportation of natural gas and oil.