Assessing Kodiak Gas Services: Insights From 4 Financial Analysts

Throughout the last three months, 4 analysts have evaluated Kodiak Gas Services KGS, offering a diverse set of opinions from bullish to bearish.

The table below provides a concise overview of recent ratings by analysts, offering insights into the changing sentiments over the past 30 days and drawing comparisons with the preceding months for a holistic perspective.

The 12-month price targets assessed by analysts reveal further insights, featuring an average target of $48.5, a high estimate of $55.00, and a low estimate of $44.00. Observing a 17.58% increase, the current average has risen from the previous average price target of $41.25.

Decoding Analyst Ratings: A Detailed 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.

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: Analyzing trends, analysts offer qualitative evaluations, ranging from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Kodiak Gas Services compared to the broader market.
• Price Targets: Delving into movements, analysts provide estimates for the future value of Kodiak Gas Services's stock. This analysis reveals shifts in analysts' expectations over time.

Considering these analyst evaluations in conjunction with other financial indicators can offer a comprehensive understanding of Kodiak Gas Services's market position. Stay informed and make well-informed decisions with our Ratings Table.

Stay up to date on Kodiak Gas Services analyst ratings.

All You Need to Know 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 Contract Services and Other Services. Contract Services consists of operating Company-owned and customer-owned compression, and gas treating and cooling infrastructure, pursuant to primarily fixed-revenue contracts to enable the production and gathering of natural gas and oil. Other Services consist of a full range of contract services to support the ancillary needs of customers, including station construction, maintenance and overhaul, freight and crane charges, and other time and material-based offerings.

Financial Milestones: Kodiak Gas Services's Journey

Market Capitalization: Indicating a reduced size compared to industry averages, the company's market capitalization poses unique challenges.

Revenue Growth: Over the 3 months period, Kodiak Gas Services showcased positive performance, achieving a revenue growth rate of 36.97% as of 31 December, 2024. This reflects 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 lags behind industry averages, suggesting challenges in maintaining strong profitability. With a net margin of 6.17%, the company may face hurdles in effective cost management.

Return on Equity (ROE): Kodiak Gas Services's ROE is below industry standards, pointing towards difficulties in efficiently utilizing equity capital. With an ROE of 1.46%, the company may encounter challenges in delivering satisfactory returns for shareholders.

Return on Assets (ROA): The company's ROA is below industry benchmarks, signaling potential difficulties in efficiently utilizing assets. With an ROA of 0.43%, the company may need to address challenges in generating satisfactory returns from its assets.

Debt Management: The company maintains a balanced debt approach with a debt-to-equity ratio below industry norms, standing at 1.95.

What Are Analyst Ratings?

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.

Analysts may supplement their ratings with predictions for metrics like growth estimates, earnings, and revenue, offering investors a more comprehensive outlook. However, investors should be mindful that analysts, like any human, can have subjective perspectives influencing their forecasts.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.