Kinetik (NYSE:KNTK) Lowered to “Strong Sell” Rating by Wall Street Zen

Wall Street Zen lowered shares of Kinetik (NYSE:KNTK) from a sell rating to a strong sell rating in a research report report published on Sunday morning.

KNTK has been the topic of several other reports. Wolfe Research downgraded shares of Kinetik from an “outperform” rating to a “peer perform” rating in a report on Tuesday, January 27th. Jefferies Financial Group reaffirmed a “hold” rating and set a $51.00 price objective on shares of Kinetik in a report on Friday, May 8th. Weiss Ratings downgraded shares of Kinetik from a “hold (c)” rating to a “hold (c-)” rating in a report on Monday, May 11th. Citigroup reaffirmed a “buy” rating and set a $52.00 price objective (up from $51.00) on shares of Kinetik in a report on Tuesday, May 12th. Finally, Truist Financial started coverage on shares of Kinetik in a report on Tuesday, March 24th. They set a “buy” rating and a $53.00 price objective on the stock. One investment analyst has rated the stock with a Strong Buy rating, seven have given a Buy rating and six have assigned a Hold rating to the stock. According to MarketBeat, Kinetik presently has a consensus rating of “Moderate Buy” and an average price target of $48.92.

Kinetik Price Performance

NYSE KNTK opened at $51.29 on Friday. The stock has a market capitalization of $8.33 billion, a price-to-earnings ratio of 20.93, a PEG ratio of 1.95 and a beta of 0.61. Kinetik has a one year low of $31.33 and a one year high of $51.51. The business’s fifty day moving average is $47.27 and its 200-day moving average is $41.22.

Kinetik (NYSE:KNTK) last announced its quarterly earnings data on Wednesday, May 6th. The company reported ($0.07) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.16 by ($0.23). The firm had revenue of $409.98 million during the quarter. Kinetik had a net margin of 28.58% and a negative return on equity of 36.36%. The business’s revenue for the quarter was down 7.5% compared to the same quarter last year. During the same quarter in the prior year, the company earned $0.05 EPS. Research analysts expect that Kinetik will post 0.84 EPS for the current fiscal year.

Insider Buying and Selling

In other news, major shareholder Isq Global Fund Ii Gp Llc sold 4,000,000 shares of the business’s stock in a transaction dated Thursday, February 26th. The stock was sold at an average price of $44.85, for a total transaction of $179,400,000.00. Following the completion of the transaction, the insider owned 1 shares of the company’s stock, valued at approximately $44.85. The trade was a 100.00% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, insider Matthew Wall sold 3,222 shares of the business’s stock in a transaction dated Wednesday, March 4th. The stock was sold at an average price of $46.92, for a total value of $151,176.24. Following the transaction, the insider directly owned 585,556 shares of the company’s stock, valued at $27,474,287.52. The trade was a 0.55% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 5,078,855 shares of company stock worth $232,935,999 over the last quarter. 3.56% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently modified their holdings of the business. Vanguard Group Inc. lifted its position in Kinetik by 9.4% in the 4th quarter. Vanguard Group Inc. now owns 5,096,786 shares of the company’s stock worth $183,739,000 after buying an additional 439,586 shares during the last quarter. Zimmer Partners LP bought a new stake in Kinetik in the 4th quarter worth approximately $98,611,000. CUSHING ASSET MANAGEMENT LP dba NXG INVESTMENT MANAGEMENT lifted its position in Kinetik by 1.7% in the 1st quarter. CUSHING ASSET MANAGEMENT LP dba NXG INVESTMENT MANAGEMENT now owns 1,874,000 shares of the company’s stock worth $90,720,000 after buying an additional 30,600 shares during the last quarter. Cohen & Steers Inc. lifted its position in Kinetik by 82.5% in the 4th quarter. Cohen & Steers Inc. now owns 1,843,506 shares of the company’s stock worth $66,458,000 after buying an additional 833,224 shares during the last quarter. Finally, Invesco Ltd. lifted its position in Kinetik by 22.4% in the 4th quarter. Invesco Ltd. now owns 1,775,216 shares of the company’s stock worth $63,997,000 after buying an additional 325,251 shares during the last quarter. Hedge funds and other institutional investors own 21.11% of the company’s stock.

About Kinetik

Kinetik (NYSE: KNTK) is a publicly listed midstream energy company focused on the development, operation and management of natural gas infrastructure across the United States. The company’s core business activities include the gathering, compression, processing, storage and transportation of natural gas, serving producers, utilities and industrial consumers. By integrating a suite of midstream services under a single platform, Kinetik aims to provide efficient, cost-effective and reliable solutions across the natural gas value chain.

The company was established in 2021 when assets were acquired from Talen Energy by a subsidiary of ArcLight Capital Partners, forming a comprehensive portfolio of pipelines, compression facilities and underground storage assets.