Archrock (NYSE:AROC) Announces Quarterly Earnings Results

Archrock (NYSE:AROC) released its quarterly earnings results on Tuesday. The energy company reported $0.69 earnings per share for the quarter, beating the consensus estimate of $0.40 by $0.29, Zacks reports. Archrock had a net margin of 21.63% and a return on equity of 23.99%. The firm had revenue of $377.07 million for the quarter, compared to analysts’ expectations of $378.04 million. During the same period in the prior year, the firm earned $0.34 EPS. The business’s revenue was up 15.5% on a year-over-year basis.

Archrock Price Performance

Shares of NYSE:AROC opened at $35.05 on Thursday. The firm has a 50 day moving average of $28.60 and a 200-day moving average of $26.06. Archrock has a 12 month low of $20.12 and a 12 month high of $35.29. The company has a current ratio of 1.56, a quick ratio of 1.01 and a debt-to-equity ratio of 1.80. The stock has a market capitalization of $6.15 billion, a PE ratio of 19.15, a PEG ratio of 1.45 and a beta of 0.93.

Archrock Increases Dividend

The company also recently announced a quarterly dividend, which was paid on Wednesday, February 18th. Shareholders of record on Tuesday, February 10th were issued a $0.22 dividend. The ex-dividend date of this dividend was Tuesday, February 10th. This represents a $0.88 annualized dividend and a yield of 2.5%. This is an increase from Archrock’s previous quarterly dividend of $0.21. Archrock’s payout ratio is 58.67%.

Institutional Inflows and Outflows

A number of hedge funds have recently added to or reduced their stakes in the company. Royal Bank of Canada lifted its stake in Archrock by 0.7% during the first quarter. Royal Bank of Canada now owns 95,866 shares of the energy company’s stock worth $2,514,000 after purchasing an additional 667 shares during the last quarter. Jones Financial Companies Lllp raised its holdings in shares of Archrock by 217.9% during the 1st quarter. Jones Financial Companies Lllp now owns 1,316 shares of the energy company’s stock worth $35,000 after buying an additional 902 shares in the last quarter. EverSource Wealth Advisors LLC lifted its position in shares of Archrock by 482.9% during the 2nd quarter. EverSource Wealth Advisors LLC now owns 2,699 shares of the energy company’s stock worth $67,000 after buying an additional 2,236 shares during the last quarter. First Trust Advisors LP boosted its stake in Archrock by 24.6% in the second quarter. First Trust Advisors LP now owns 279,100 shares of the energy company’s stock valued at $6,930,000 after buying an additional 55,059 shares in the last quarter. Finally, Daiwa Securities Group Inc. grew its position in Archrock by 19.8% in the second quarter. Daiwa Securities Group Inc. now owns 9,700 shares of the energy company’s stock valued at $241,000 after acquiring an additional 1,600 shares during the last quarter. 95.45% of the stock is owned by institutional investors.

Analyst Upgrades and Downgrades

A number of equities analysts have recently weighed in on the company. Weiss Ratings reiterated a “buy (b)” rating on shares of Archrock in a research note on Wednesday, January 21st. Zacks Research raised Archrock from a “hold” rating to a “strong-buy” rating in a report on Tuesday, February 3rd. Evercore increased their price objective on Archrock from $31.00 to $35.00 and gave the stock an “outperform” rating in a research report on Thursday, October 30th. Dawson James reissued an “outperform” rating on shares of Archrock in a research report on Wednesday. Finally, Royal Bank Of Canada upped their price target on shares of Archrock from $31.00 to $32.00 and gave the company an “outperform” rating in a research note on Thursday, October 30th. One investment analyst has rated the stock with a Strong Buy rating, eight have issued a Buy rating and one has assigned a Hold rating to the company. According to MarketBeat, the company has a consensus rating of “Buy” and an average target price of $33.67.

Key Stories Impacting Archrock

Here are the key news stories impacting Archrock this week:

• Positive Sentiment: Q4 results beat on profit and margins — Archrock reported adjusted EPS of $0.69 (beat) and adjusted EBITDA of $269.4M; full‑year adjusted EBITDA reached $900.9M, above prior guidance midpoint, signaling strong operating leverage and margin expansion. Archrock Reports Fourth Quarter and Full Year 2025 Results and Provides 2026 Financial Guidance
• Positive Sentiment: Shareholder returns increased — the board raised the quarterly dividend to $0.22 (≈16% YoY) and approved an additional $100M to the buyback program; the company returned ~$212M to shareholders in 2025. This supports yield-focused investor interest. Archrock, Inc. Reports Significant Growth in Q4 and Full Year 2025 Financial Results
• Positive Sentiment: Management outlook and 2026 guidance remain constructive — Archrock gave 2026 guidance (adjusted EBITDA $865M–$915M; net income $306M–$356M) and plans $250M–$275M of growth capex to target large‑horsepower and electric-drive demand (LNG, data centers). That supports a continued growth narrative. Archrock Reports Fourth Quarter and Full Year 2025 Results and Provides 2026 Financial Guidance
• Neutral Sentiment: Earnings call/transcript highlights execution and strategy — management emphasized fleet “high‑grading,” strong contract margins and secular demand drivers; useful for assessing sustainability of margins but contains forward-looking commentary that depends on execution. Archrock, Inc. (AROC) Q4 2025 Earnings Call Transcript
• Neutral Sentiment: Positive press/analyst coverage supports momentum — multiple Zacks pieces frame AROC as a momentum/growth candidate based on recent earnings strength and style scores; these are analyst/opinion pieces that may amplify buying interest. Archrock Inc. (AROC) is a Great Momentum Stock: Should You Buy? Here’s Why Archrock Inc. (AROC) is a Strong Growth Stock
• Negative Sentiment: Some of the quarter’s upside was from one‑time items — ~$22.9M tax audit benefits and ~$31.6M net gains on asset sales lifted results; excluding those, adjusted EBITDA would be lower (~$846M). Investors should adjust expectations for recurring performance. Archrock Reports Fourth Quarter and Full Year 2025 Results and Provides 2026 Financial Guidance
• Negative Sentiment: Elevated leverage and debt servicing remain risks — long‑term debt is ~ $2.4B; Archrock did issue $800M of 6.00% notes and used proceeds to refinance the revolver, improving liquidity but interest and debt levels remain a vulnerability if markets or margins deteriorate. Archrock, Inc. Reports Significant Growth in Q4 and Full Year 2025 Financial Results

About Archrock

Archrock, Inc is a Houston‐based provider of natural gas compression services and equipment to the oil and gas industry in North America. Founded in 2004, the company supplies both short‐term rentals and long‐term contracts for compression solutions, serving upstream and midstream producers. Archrock’s offerings include engineered compression systems, aftermarket parts, maintenance and field services designed to optimize wellhead and pipeline operations.

The company’s core business activities focus on the design, manufacture, rental and sale of gas compression equipment.