Kimbell Royalty (NYSE:KRP) Sees Unusually-High Trading Volume After Earnings Beat

Shares of Kimbell Royalty (NYSE:KRP) saw an uptick in trading volume on Friday following a better than expected earnings announcement. Approximately 788,434 shares were traded during trading, an increase of 5% from the previous session’s volume of 749,133 shares.The stock last traded at $15.1320 and had previously closed at $14.51.

The energy company reported $0.40 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.23 by $0.17. Kimbell Royalty had a net margin of 22.76% and a return on equity of 11.70%. The business had revenue of $112.48 million for the quarter, compared to analyst estimates of $93.45 million. During the same period in the prior year, the firm earned $0.02 earnings per share. Kimbell Royalty’s revenue was up 29.9% on a year-over-year basis.

Analysts Set New Price Targets

KRP has been the subject of a number of research analyst reports. Weiss Ratings lowered Kimbell Royalty from a “hold (c+)” rating to a “hold (c)” rating in a research report on Thursday, May 14th. Royal Bank Of Canada assumed coverage on Kimbell Royalty in a report on Friday, May 29th. They issued an “outperform” rating and a $20.00 price target on the stock. Finally, Zacks Research cut Kimbell Royalty from a “hold” rating to a “strong sell” rating in a research note on Monday. Three investment analysts have rated the stock with a Buy rating, two have given a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat, Kimbell Royalty has a consensus rating of “Hold” and a consensus target price of $18.00.

Institutional Investors Weigh In On Kimbell Royalty

A number of hedge funds have recently made changes to their positions in KRP. Royal Bank of Canada grew its position in Kimbell Royalty by 32.6% during the first quarter. Royal Bank of Canada now owns 371,582 shares of the energy company’s stock valued at $5,202,000 after buying an additional 91,263 shares during the period. Jane Street Group LLC bought a new position in shares of Kimbell Royalty during the 1st quarter valued at approximately $297,000. Legal & General Group Plc raised its holdings in shares of Kimbell Royalty by 17.2% in the 2nd quarter. Legal & General Group Plc now owns 67,890 shares of the energy company’s stock worth $948,000 after purchasing an additional 9,987 shares during the period. First Trust Advisors LP lifted its stake in Kimbell Royalty by 8.6% in the second quarter. First Trust Advisors LP now owns 464,829 shares of the energy company’s stock valued at $6,489,000 after purchasing an additional 36,803 shares during the last quarter. Finally, Jump Financial LLC purchased a new position in Kimbell Royalty in the second quarter valued at approximately $1,220,000. 25.78% of the stock is currently owned by institutional investors.

Kimbell Royalty Trading Up 4.3%

The company has a debt-to-equity ratio of 0.77, a current ratio of 5.12 and a quick ratio of 5.12. The firm has a fifty day simple moving average of $14.88 and a two-hundred day simple moving average of $14.54. The firm has a market capitalization of $1.63 billion, a P/E ratio of 32.95 and a beta of 0.30.

Kimbell Royalty Company Profile

Kimbell Royalty Partners LP (NYSE: KRP) is a mineral and royalty company focused on acquiring and managing oil and natural gas royalty interests in the United States. As a master limited partnership, Kimbell Royalty generates fee-like revenues by collecting royalties and overriding royalty interests on production volumes, without directly bearing the capital or operating costs of drilling and completion activities. The partnership’s business model emphasizes steady cash flows and limited downside exposure to commodity price fluctuations.

The company’s asset portfolio spans multiple onshore basins, with a core concentration in Texas and New Mexico.