Kodiak Gas Services Stock: A Deep Dive Into Analyst Perspectives (8 Ratings)

During the last three months, 8 analysts shared their evaluations of Kodiak Gas Services KGS, revealing diverse outlooks from bullish to bearish.

The table below offers a condensed view of their recent ratings, showcasing the changing sentiments over the past 30 days and comparing them to the preceding months.

The 12-month price targets assessed by analysts reveal further insights, featuring an average target of $34.25, a high estimate of $36.00, and a low estimate of $31.00. Observing a 11.93% increase, the current average has risen from the previous average price target of $30.60.

Investigating Analyst Ratings: An Elaborate Study

In examining recent analyst actions, we gain insights into how financial experts perceive Kodiak Gas Services. The following summary outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: In response to dynamic market conditions and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their reaction to recent developments related to Kodiak Gas Services. This insight gives a snapshot of analysts' perspectives on the current state of the company.
• Rating: Analysts assign qualitative assessments to stocks, ranging from 'Outperform' to 'Underperform'. These ratings convey the analysts' expectations for the relative performance of Kodiak Gas Services compared to the broader market.
• Price Targets: Analysts set price targets as an estimate of a stock's future value. Comparing the current and prior price targets provides insight into how analysts' expectations have changed over time. This information can be valuable for investors seeking to understand consensus views on the stock's potential future performance.

Understanding these analyst evaluations alongside key financial indicators can offer valuable insights into Kodiak Gas Services's market standing. Stay informed and make well-considered decisions with our Ratings Table.

Stay up to date on Kodiak Gas Services analyst ratings.

Unveiling the Story Behind 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.

Kodiak Gas Services: A Financial Overview

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 displayed positive results in 3 months. As of 30 June, 2024, the company achieved a solid revenue growth rate of approximately 52.31%. This indicates a notable 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 is below industry standards, pointing towards difficulties in achieving strong profitability. With a net margin of 2.17%, the company may encounter challenges in effective cost control.

Return on Equity (ROE): Kodiak Gas Services's ROE lags behind industry averages, suggesting challenges in maximizing returns on equity capital. With an ROE of 0.55%, the company may face hurdles in achieving optimal financial performance.

Return on Assets (ROA): Kodiak Gas Services's ROA falls below industry averages, indicating challenges in efficiently utilizing assets. With an ROA of 0.17%, the company may face hurdles in generating optimal returns from its assets.

Debt Management: Kodiak Gas Services's debt-to-equity ratio is notably higher than the industry average. With a ratio of 1.95, the company relies more heavily on borrowed funds, indicating a higher level of financial risk.

Analyst Ratings: Simplified

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 also offer predictions for helpful metrics such as earnings, revenue, and growth estimates to provide further guidance as to what to do with certain tickers. It is important to keep in mind that while stock and sector analysts are specialists, they are also human and can only forecast their beliefs to traders.

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