Kimbell Royalty (NYSE:KRP) Price Target Raised to $19.00

Kimbell Royalty (NYSE:KRP) had its price objective hoisted by Citigroup from $17.00 to $19.00 in a report issued on Tuesday morning,Benzinga reports. Citigroup currently has a buy rating on the energy company’s stock.

Several other analysts have also commented on the company. Weiss Ratings upgraded Kimbell Royalty from a “sell (d+)” rating to a “hold (c-)” rating in a report on Monday, February 2nd. Mizuho reduced their target price on Kimbell Royalty from $17.00 to $16.00 and set a “neutral” rating on the stock in a research report on Friday, February 27th. Zacks Research cut Kimbell Royalty from a “strong-buy” rating to a “hold” rating in a research note on Thursday, January 22nd. Finally, Wall Street Zen downgraded Kimbell Royalty from a “buy” rating to a “hold” rating in a report on Saturday, March 7th. Two investment analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company’s stock. Based on data from MarketBeat, the company currently has an average rating of “Hold” and an average target price of $17.33.

Kimbell Royalty Trading Up 4.1%

NYSE KRP opened at $14.74 on Tuesday. The company has a quick ratio of 8.64, a current ratio of 8.64 and a debt-to-equity ratio of 0.72. The firm has a market cap of $1.59 billion, a PE ratio of 23.77, a price-to-earnings-growth ratio of 3.33 and a beta of 0.29. The company has a 50 day moving average price of $14.17 and a 200 day moving average price of $13.25. Kimbell Royalty has a 52 week low of $10.98 and a 52 week high of $15.12.

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

Kimbell Royalty Increases Dividend

The business also recently disclosed a quarterly dividend, which was paid on Wednesday, March 25th. Stockholders of record on Wednesday, March 18th were paid a dividend of $0.37 per share. The ex-dividend date was Wednesday, March 18th. This is an increase from Kimbell Royalty’s previous quarterly dividend of $0.35. This represents a $1.48 annualized dividend and a dividend yield of 10.0%. Kimbell Royalty’s payout ratio is presently 238.71%.

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

Insider Buying and Selling at Kimbell Royalty

In related news, insider Blayne Rhynsburger sold 6,609 shares of the company’s stock in a transaction on Monday, March 23rd. The stock was sold at an average price of $14.48, for a total value of $95,698.32. Following the transaction, the insider directly owned 75,163 shares of the company’s stock, valued at $1,088,360.24. This represents a 8.08% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. 5.60% of the stock is owned by company insiders.

Institutional Trading of Kimbell Royalty

Large investors have recently added to or reduced their stakes in the company. State of Wyoming acquired a new position in shares of Kimbell Royalty in the third quarter valued at about $62,000. EverSource Wealth Advisors LLC lifted its holdings in shares of Kimbell Royalty by 29.8% during the fourth quarter. EverSource Wealth Advisors LLC now owns 5,450 shares of the energy company’s stock worth $64,000 after purchasing an additional 1,250 shares during the period. Marex Group plc purchased a new stake in Kimbell Royalty in the fourth quarter valued at approximately $118,000. Sowell Financial Services LLC purchased a new stake in Kimbell Royalty in the fourth quarter valued at approximately $120,000. Finally, Tableaux LLC acquired a new position in Kimbell Royalty in the 4th quarter worth approximately $120,000. Hedge funds and other institutional investors own 25.78% of the company’s stock.

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.