Kimbell Royalty (NYSE:KRP) Raised to Strong-Buy at Zacks Research

Kimbell Royalty (NYSE:KRP) was upgraded by Zacks Research from a “hold” rating to a “strong-buy” rating in a research note issued to investors on Wednesday, Zacks reports.

Other research analysts have also issued research reports about the company. Wall Street Zen upgraded Kimbell Royalty from a “hold” rating to a “buy” rating in a report on Saturday, August 15th. KeyCorp increased their price target on Kimbell Royalty from $17.00 to $18.00 and gave the company an “overweight” rating in a research report on Tuesday, September 15th. Finally, Weiss Ratings raised shares of Kimbell Royalty from a “hold (c)” rating to a “hold (c+)” rating in a report on Tuesday, August 25th. One research analyst has rated the stock with a Strong Buy rating, three have issued a Buy rating and two have issued a Hold rating to the stock. Based on data from MarketBeat, the company has a consensus rating of “Moderate Buy” and an average target price of $18.25.

Kimbell Royalty Stock Up 1.1%

Shares of NYSE KRP opened at $14.44 on Wednesday. The stock has a market capitalization of $1.66 billion, a P/E ratio of 17.19 and a beta of 0.44. The company has a 50-day moving average price of $14.84 and a 200-day moving average price of $14.83. Kimbell Royalty has a 1 year low of $11.31 and a 1 year high of $15.80. The company has a debt-to-equity ratio of 0.71, a current ratio of 7.30 and a quick ratio of 7.30.

Kimbell Royalty (NYSE:KRP) last posted its earnings results on Friday, August 7th. The energy company reported $0.40 earnings per share for the quarter, topping analysts’ consensus estimates of $0.23 by $0.17. Kimbell Royalty had a net margin of 27.17% and a return on equity of 14.95%. The company had revenue of $112.48 million for the quarter, compared to analyst estimates of $93.45 million. During the same quarter in the prior year, the business posted $0.02 EPS. The firm’s revenue was up 29.9% compared to the same quarter last year. On average, equities research analysts forecast that Kimbell Royalty will post 1.1 EPS for the current fiscal year.

Insider Transactions at Kimbell Royalty

In other Kimbell Royalty news, insider Blayne Rhynsburger sold 4,524 shares of the stock in a transaction on Tuesday, August 25th. The stock was sold at an average price of $15.08, for a total transaction of $68,221.92. Following the sale, the insider owned 70,639 shares in the company, valued at $1,065,236.12. This represents a 6.02% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this link. 5.60% of the stock is owned by insiders.

Institutional Inflows and Outflows

Several large investors have recently added to or reduced their stakes in the stock. Van ECK Associates Corp grew its stake in Kimbell Royalty by 329.4% during the second quarter. Van ECK Associates Corp now owns 3,627,850 shares of the energy company’s stock valued at $52,713,000 after acquiring an additional 2,783,040 shares in the last quarter. Royal Bank of Canada increased its holdings in shares of Kimbell Royalty by 32.0% in the first quarter. Royal Bank of Canada now owns 596,687 shares of the energy company’s stock worth $8,634,000 after purchasing an additional 144,644 shares during the period. Pin Oak Investment Advisors Inc. bought a new position in shares of Kimbell Royalty in the second quarter worth $8,432,000. Arrowstreet Capital Limited Partnership purchased a new stake in shares of Kimbell Royalty in the first quarter worth $7,405,000. Finally, Oxbow Advisors LLC purchased a new stake in shares of Kimbell Royalty in the second quarter worth $5,928,000. Institutional investors own 25.78% of the company’s stock.

About Kimbell Royalty

Kimbell Royalty Partners, LP (NYSE:KRP) is a publicly traded oil and gas mineral and royalty company headquartered in Fort Worth, Texas. The partnership owns and acquires mineral, royalty, overriding royalty and other non-cost-bearing interests in oil and natural gas properties across the United States.

Kimbell’s interests are located primarily in major onshore producing regions, including the Permian, Eagle Ford, Bakken, Haynesville, Mid-Continent and Rocky Mountain basins. Because royalty interests generally do not require the owner to fund drilling, completion or operating expenses, the company’s business model is focused on receiving a share of production revenues from wells operated by exploration and production companies.

The company was formed in 2015 and completed its initial public offering in 2017.