Kimbell Royalty (NYSE:KRP) Given Average Recommendation of “Hold” by Analysts

Kimbell Royalty (NYSE:KRP) has received a consensus rating of “Hold” from the five brokerages that are currently covering the firm, Marketbeat Ratings reports. Four investment analysts have rated the stock with a hold recommendation and one has issued a buy recommendation on the company. The average 12-month target price among brokers that have issued ratings on the stock in the last year is $16.6667.

A number of research firms have recently commented on KRP. Weiss Ratings upgraded shares of Kimbell Royalty from a “sell (d+)” rating to a “hold (c-)” rating in a report on Monday, February 2nd. Wall Street Zen downgraded Kimbell Royalty from a “buy” rating to a “hold” rating in a report on Saturday, March 7th. Zacks Research cut Kimbell Royalty from a “strong-buy” rating to a “hold” rating in a research report on Thursday, January 22nd. Citigroup lifted their price objective on Kimbell Royalty from $15.00 to $17.00 and gave the stock a “buy” rating in a report on Wednesday, March 11th. Finally, Mizuho decreased their target price on Kimbell Royalty from $17.00 to $16.00 and set a “neutral” rating for the company in a research report on Friday, February 27th.

Kimbell Royalty Stock Performance

Shares of Kimbell Royalty stock opened at $14.72 on Monday. Kimbell Royalty has a 1 year low of $10.98 and a 1 year high of $15.12. The firm’s 50-day moving average is $13.49 and its 200 day moving average is $13.16. The stock has a market cap of $1.59 billion, a price-to-earnings ratio of 23.73, a PEG ratio of 3.69 and a beta of 0.30. The company has a debt-to-equity ratio of 0.72, a current ratio of 8.64 and a quick ratio of 8.64.

Kimbell Royalty (NYSE:KRP) last released its quarterly earnings data on Thursday, February 26th. The energy company reported $0.21 earnings per share for the quarter, beating analysts’ consensus estimates of $0.14 by $0.07. The business had revenue of $82.45 million during the quarter, compared to analyst estimates of $76.78 million. Kimbell Royalty had a net margin of 26.43% and a return on equity of 13.73%. Kimbell Royalty’s revenue was up 23.7% compared to the same quarter last year. During the same period last year, the business earned ($0.48) EPS. Sell-side analysts anticipate that Kimbell Royalty will post 0.65 EPS for the current fiscal year.

Kimbell Royalty announced that its Board of Directors has initiated a stock buyback program on Monday, March 9th that authorizes the company to repurchase $100.00 million in outstanding shares. This repurchase authorization authorizes the energy company to buy up to 6.4% of its stock through open market purchases. Stock repurchase programs are typically a sign that the company’s management believes its stock is undervalued.

Kimbell Royalty Increases Dividend

The business also recently announced a quarterly dividend, which will be paid on Wednesday, March 25th. Investors of record on Wednesday, March 18th will be issued a $0.37 dividend. This is an increase from Kimbell Royalty’s previous quarterly dividend of $0.35. This represents a $1.48 annualized dividend and a yield of 10.1%. The ex-dividend date is Wednesday, March 18th. Kimbell Royalty’s dividend payout ratio is 225.81%.

Institutional Investors Weigh In On Kimbell Royalty

A number of hedge funds have recently added to or reduced their stakes in KRP. SG Americas Securities LLC boosted its stake in shares of Kimbell Royalty by 151.0% in the 2nd quarter. SG Americas Securities LLC now owns 39,595 shares of the energy company’s stock worth $553,000 after buying an additional 23,820 shares during the last quarter. Mirador Capital Partners LP increased its position in Kimbell Royalty by 279.5% during the third quarter. Mirador Capital Partners LP now owns 238,266 shares of the energy company’s stock valued at $3,214,000 after acquiring an additional 175,480 shares during the last quarter. AlphaCore Capital LLC increased its position in Kimbell Royalty by 18.9% during the second quarter. AlphaCore Capital LLC now owns 237,420 shares of the energy company’s stock valued at $3,314,000 after acquiring an additional 37,750 shares during the last quarter. Beacon Pointe Advisors LLC lifted its holdings in Kimbell Royalty by 200.9% in the second quarter. Beacon Pointe Advisors LLC now owns 129,243 shares of the energy company’s stock valued at $1,804,000 after acquiring an additional 86,291 shares during the period. Finally, Corient Private Wealth LLC bought a new position in Kimbell Royalty in the second quarter valued at about $944,000. 25.78% of the stock is currently owned by hedge funds and other institutional investors.

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.