Archrock (NYSE:AROC) Upgraded to “Buy” at Wall Street Zen

Wall Street Zen upgraded shares of Archrock (NYSE:AROC) from a hold rating to a buy rating in a research note issued to investors on Saturday morning.

Several other research analysts have also commented on AROC. Stifel Nicolaus boosted their price target on Archrock from $31.00 to $40.00 and gave the stock a “buy” rating in a research report on Thursday. Raymond James Financial reiterated an “outperform” rating and issued a $40.00 target price on shares of Archrock in a research note on Wednesday. Weiss Ratings reiterated a “buy (b)” rating on shares of Archrock in a report on Wednesday, January 21st. Wells Fargo & Company raised their price target on shares of Archrock from $30.00 to $39.00 and gave the company an “overweight” rating in a report on Friday. Finally, Dawson James reaffirmed an “outperform” rating on shares of Archrock in a research report on Wednesday. One research analyst has rated the stock with a Strong Buy rating, nine have given a Buy rating and one has given a Hold rating to the company. According to data from MarketBeat.com, the company currently has a consensus rating of “Buy” and an average price target of $35.86.

Archrock Price Performance

Shares of AROC opened at $35.28 on Friday. The company has a debt-to-equity ratio of 1.80, a quick ratio of 1.01 and a current ratio of 1.56. The company has a 50 day moving average price of $29.00 and a 200-day moving average price of $26.23. Archrock has a fifty-two week low of $20.12 and a fifty-two week high of $35.90. The stock has a market capitalization of $6.19 billion, a PE ratio of 19.28, a PEG ratio of 1.47 and a beta of 0.93.

Archrock (NYSE:AROC) last issued its quarterly earnings data on Tuesday, February 24th. The energy company reported $0.69 EPS for the quarter, topping analysts’ consensus estimates of $0.40 by $0.29. The company had revenue of $377.07 million during the quarter, compared to the consensus estimate of $378.04 million. Archrock had a net margin of 21.63% and a return on equity of 23.99%. Archrock’s revenue for the quarter was up 15.5% compared to the same quarter last year. During the same quarter in the previous year, the firm posted $0.34 earnings per share. Equities analysts predict that Archrock will post 1.09 earnings per share for the current fiscal year.

Archrock Increases Dividend

The business also recently announced a quarterly dividend, which was paid on Wednesday, February 18th. Shareholders of record on Tuesday, February 10th were given a dividend of $0.22 per share. 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 a boost from Archrock’s previous quarterly dividend of $0.21. Archrock’s payout ratio is presently 48.09%.

Institutional Investors Weigh In On Archrock

Several institutional investors and hedge funds have recently made changes to their positions in AROC. Financial Security Advisor Inc. increased its position in shares of Archrock by 3.0% in the 4th quarter. Financial Security Advisor Inc. now owns 12,000 shares of the energy company’s stock valued at $312,000 after acquiring an additional 344 shares during the period. Crossmark Global Holdings Inc. increased its holdings in shares of Archrock by 3.7% in the fourth quarter. Crossmark Global Holdings Inc. now owns 10,290 shares of the energy company’s stock valued at $268,000 after purchasing an additional 366 shares during the period. Severin Investments LLC raised its stake in shares of Archrock by 2.0% in the fourth quarter. Severin Investments LLC now owns 20,111 shares of the energy company’s stock worth $523,000 after purchasing an additional 400 shares during the last quarter. Sound Income Strategies LLC lifted its holdings in shares of Archrock by 71.0% during the fourth quarter. Sound Income Strategies LLC now owns 971 shares of the energy company’s stock worth $26,000 after purchasing an additional 403 shares during the period. Finally, Allworth Financial LP lifted its holdings in shares of Archrock by 3.0% during the third quarter. Allworth Financial LP now owns 15,030 shares of the energy company’s stock worth $395,000 after purchasing an additional 436 shares during the period. 95.45% of the stock is currently owned by institutional investors and hedge funds.

Key Stories Impacting Archrock

Here are the key news stories impacting Archrock this week:

• Positive Sentiment: Analyst price-target upgrades: Wells Fargo raised its target to $39 and moved AROC to “overweight,” while Stifel raised its target to $40 with a “buy” rating — both signal renewed buy-side interest. Benzinga
• Positive Sentiment: Sidoti raised near-term and multi-year EPS forecasts (FY2026 to ~$1.89 and FY2027 to ~$2.17), reflecting stronger margin and cash-flow expectations that support upside to earnings. MarketBeat / Sidoti note
• Positive Sentiment: Debt-reduction move: Archrock announced redemption of all $800M of 6.25% senior notes due 2028, which should improve the company’s leverage profile and credit optionality. GlobeNewswire
• Positive Sentiment: Strong results & guidance: Archrock reported robust Q4 2025 results and provided $865M–$915M adjusted EBITDA guidance for 2026, underpinning the bullish analyst revisions and consensus estimate upgrades. Seeking Alpha — earnings call / guidance
• Neutral Sentiment: Momentum/quant signals highlighted: Zacks and other screens rank AROC favorably on momentum metrics, which can attract short-term quant/retail flows but are not guaranteed to sustain longer-term gains. Zacks
• Neutral Sentiment: Coverage & presentation materials available (earnings slides/transcript) — useful for investors doing deeper due diligence but less likely to move price immediately. Seeking Alpha — presentation
• Negative Sentiment: Profit-taking / valuation pressure: The stock is near its 52-week high and is trading with above-average volume; some investors may be locking gains after the recent run-up, which can push intraday price declines even when fundamental news is positive.

Archrock Company Profile

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.