ProFrac (NASDAQ:ACDC) Stock Price Down 4.5% – What’s Next?

ProFrac Holding Corp. (NASDAQ:ACDC) shares fell 4.5% during trading on Tuesday . The company traded as low as $4.62 and last traded at $4.6020. Approximately 590,469 shares traded hands during trading, a decline of 59% from the average daily volume of 1,457,525 shares. The stock had previously closed at $4.82.

Key ProFrac News

Here are the key news stories impacting ProFrac this week:

• Positive Sentiment: Major shareholder Dan H. Wilks purchased a combined 607,227 shares between August 21 and August 25 for approximately $2.87 million, at prices ranging from $4.70 to $4.81. The purchases increased his already substantial stake and may signal confidence in ProFrac’s valuation. Insider buying report
• Positive Sentiment: THRC Holdings LP reported matching purchases of 607,227 shares over the same period, worth approximately $2.87 million. Repeated buying by major shareholders is a constructive ownership signal, although it does not directly improve operating results or the balance sheet. SEC Form 4 filing
• Neutral Sentiment: Reported short interest was zero shares as of August 25, but the accompanying “NaN” change indicates incomplete or unreliable data. Consequently, the report offers little insight into short-term trading pressure.
• Negative Sentiment: Analyst sentiment is cautious. Morgan Stanley lowered its price target from $5.00 to $4.50 and retained an “underweight” rating, while Wall Street Zen downgraded ACDC from “hold” to “sell.” The broader consensus is “Reduce,” based on one Buy, two Hold, and two Sell ratings. ACDC analyst and stock information
• Negative Sentiment: ProFrac shares remain below their 50-day and 200-day moving averages, reflecting technical weakness. A negative price-to-earnings ratio, current ratio below 1, quick ratio of 0.59, and debt-to-equity ratio of 1.42 also highlight profitability, liquidity, and leverage concerns.

Analyst Ratings Changes

ACDC has been the subject of a number of research analyst reports. Wall Street Zen cut ProFrac from a “hold” rating to a “sell” rating in a research report on Sunday. Morgan Stanley decreased their price objective on shares of ProFrac from $5.00 to $4.50 and set an “underweight” rating on the stock in a research report on Thursday, August 20th. Weiss Ratings reissued a “sell (d-)” rating on shares of ProFrac in a research note on Wednesday, June 24th. Finally, Piper Sandler raised their target price on shares of ProFrac from $5.00 to $6.00 and gave the company a “neutral” rating in a report on Monday, May 18th. One investment analyst has rated the stock with a Buy rating, two have assigned a Hold rating and two have given a Sell rating to the company’s stock. Based on data from MarketBeat.com, ProFrac currently has an average rating of “Reduce” and an average price target of $5.25.

ProFrac Stock Performance

The stock’s 50-day moving average is $4.94 and its 200-day moving average is $5.89. The company has a current ratio of 0.84, a quick ratio of 0.59 and a debt-to-equity ratio of 1.42. The stock has a market cap of $886.56 million, a price-to-earnings ratio of -2.08 and a beta of 1.46.

Insider Buying and Selling at ProFrac

In other ProFrac news, CEO Matthew Wilks purchased 57,519 shares of the business’s stock in a transaction that occurred on Monday, August 10th. The shares were acquired at an average price of $4.86 per share, for a total transaction of $279,542.34. Following the completion of the purchase, the chief executive officer owned 479,616 shares in the company, valued at $2,330,933.76. The trade was a 13.63% increase in their position. The purchase was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, major shareholder Holdings Lp Thrc purchased 363,757 shares of ProFrac stock in a transaction that occurred on Monday, August 24th. The stock was acquired at an average cost of $4.70 per share, with a total value of $1,709,657.90. Following the acquisition, the insider directly owned 83,785,415 shares of the company’s stock, valued at $393,791,450.50. The trade was a 0.44% increase in their position. Additional details regarding this purchase are available in the official SEC disclosure. Insiders bought a total of 2,014,454 shares of company stock valued at $9,750,117 in the last ninety days. Insiders own 2.23% of the company’s stock.

Hedge Funds Weigh In On ProFrac

Several institutional investors and hedge funds have recently made changes to their positions in the business. UBS Group AG grew its stake in ProFrac by 1,862.8% in the third quarter. UBS Group AG now owns 705,568 shares of the company’s stock worth $2,611,000 after purchasing an additional 669,621 shares in the last quarter. AQR Capital Management LLC grew its position in shares of ProFrac by 61.7% in the 4th quarter. AQR Capital Management LLC now owns 1,638,822 shares of the company’s stock worth $6,375,000 after acquiring an additional 625,596 shares in the last quarter. Hotchkis & Wiley Capital Management LLC increased its holdings in shares of ProFrac by 27.8% in the 3rd quarter. Hotchkis & Wiley Capital Management LLC now owns 1,484,760 shares of the company’s stock valued at $5,494,000 after acquiring an additional 322,860 shares during the last quarter. HRT Financial LP raised its position in shares of ProFrac by 409.5% during the 4th quarter. HRT Financial LP now owns 382,837 shares of the company’s stock valued at $1,489,000 after acquiring an additional 307,696 shares in the last quarter. Finally, Walleye Capital LLC boosted its holdings in ProFrac by 328.6% in the first quarter. Walleye Capital LLC now owns 347,911 shares of the company’s stock worth $2,157,000 after purchasing an additional 266,742 shares during the period. 12.75% of the stock is currently owned by hedge funds and other institutional investors.

About ProFrac

ProFrac Holding Corp. operates as a technology-focused energy services holding company in the United States. It operates through three segments: Stimulation Services, Manufacturing, and Proppant Production. The company offers hydraulic fracturing, well stimulation, in-basin frac sand, and other completion services and complementary products and services to upstream oil and natural gas companies engaged in the exploration and production of unconventional oil and natural gas resources. It also manufactures and sells high horsepower pumps, valves, piping, swivels, large-bore manifold systems, and fluid ends.