Kinetik (NYSE:KNTK) Reaches New 1-Year High – Still a Buy?

Kinetik Holdings Inc. (NYSE:KNTK) shares hit a new 52-week high on Tuesday . The stock traded as high as $52.57 and last traded at $52.32, with a volume of 289105 shares trading hands. The stock had previously closed at $51.27.

More Kinetik News

Here are the key news stories impacting Kinetik this week:

• Positive Sentiment: Truist raised its price target to $59 from $53 and maintained a “buy” rating. The new target implies approximately 15.2% upside from the referenced share price, signaling confidence in Kinetik’s growth prospects and valuation. Benzinga analyst report
• Neutral Sentiment: Analysts were reported to have set a price target of $51.40, broadly consistent with Kinetik’s recent trading level. This suggests limited near-term upside under that estimate, although it does not represent a rating downgrade. Analysts set Kinetik price target
• Negative Sentiment: Major shareholder ISQ Global Fund II GP LLC sold 310,691 Kinetik shares from August 10 through August 12 for approximately $16.0 million. The fund’s reported position fell from 1,586,346 shares to 1,354,129 shares, a reduction of about 14.6%. Although the sales may reflect portfolio management rather than concerns about Kinetik’s fundamentals, the size and consecutive timing of the disposals could weigh on investor sentiment and create additional supply. SEC insider transaction filing

Wall Street Analyst Weigh In

Several analysts have issued reports on the stock. Morgan Stanley set a $64.00 price objective on shares of Kinetik and gave the stock an “overweight” rating in a research note on Wednesday, July 29th. Tudor Pickering initiated coverage on Kinetik in a research report on Monday, July 20th. They set a “buy” rating and a $57.00 target price for the company. Scotiabank reissued an “outperform” rating and set a $52.00 target price (up from $51.00) on shares of Kinetik in a research note on Tuesday, May 12th. Zacks Research raised shares of Kinetik from a “hold” rating to a “strong-buy” rating in a research report on Monday, July 27th. Finally, Jefferies Financial Group reaffirmed a “hold” rating and set a $51.00 target price on shares of Kinetik in a research report on Friday, May 8th. Two analysts have rated the stock with a Strong Buy rating, eleven have given a Buy rating and five have issued a Hold rating to the company. According to MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and a consensus target price of $52.87.

Kinetik Price Performance

The firm has a fifty day moving average of $48.64 and a two-hundred day moving average of $46.90. The stock has a market capitalization of $8.32 billion, a P/E ratio of 18.56, a P/E/G ratio of 1.69 and a beta of 0.56.

Kinetik (NYSE:KNTK) last issued its earnings results on Wednesday, August 5th. The company reported $0.64 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.19 by $0.45. The company had revenue of $581.44 million for the quarter, compared to analysts’ expectations of $421.48 million. Kinetik had a net margin of 26.19% and a negative return on equity of 38.96%. The firm’s quarterly revenue was up 36.3% on a year-over-year basis. During the same period in the prior year, the business earned $0.33 EPS. As a group, sell-side analysts forecast that Kinetik Holdings Inc. will post 0.97 EPS for the current fiscal year.

Insider Buying and Selling at Kinetik

In related news, major shareholder Isq Global Fund Ii Gp Llc sold 84,701 shares of Kinetik stock in a transaction that occurred on Wednesday, August 12th. The shares were sold at an average price of $51.52, for a total transaction of $4,363,795.52. Following the transaction, the insider directly owned 1,354,129 shares of the company’s stock, valued at $69,764,726.08. This trade represents a 5.89% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through this link. Over the last three months, insiders have sold 574,765 shares of company stock valued at $29,363,566. 3.56% of the stock is currently owned by corporate insiders.

Institutional Trading of Kinetik

Several hedge funds and other institutional investors have recently bought and sold shares of the stock. CWM LLC lifted its stake in shares of Kinetik by 89.8% during the 4th quarter. CWM LLC now owns 744 shares of the company’s stock worth $27,000 after purchasing an additional 352 shares during the last quarter. Signaturefd LLC grew its stake in Kinetik by 101.5% in the fourth quarter. Signaturefd LLC now owns 802 shares of the company’s stock valued at $29,000 after purchasing an additional 404 shares during the last quarter. Kestra Advisory Services LLC purchased a new position in Kinetik in the fourth quarter valued at about $33,000. Los Angeles Capital Management LLC purchased a new stake in shares of Kinetik during the fourth quarter valued at about $40,000. Finally, Huntington National Bank lifted its position in shares of Kinetik by 139.1% during the fourth quarter. Huntington National Bank now owns 1,222 shares of the company’s stock valued at $44,000 after buying an additional 711 shares during the last quarter. Institutional investors own 21.11% of the company’s stock.

Kinetik Company Profile

Kinetik (NYSE: KNTK) is a publicly listed midstream energy company focused on the development, operation and management of natural gas infrastructure across the United States. The company’s core business activities include the gathering, compression, processing, storage and transportation of natural gas, serving producers, utilities and industrial consumers. By integrating a suite of midstream services under a single platform, Kinetik aims to provide efficient, cost-effective and reliable solutions across the natural gas value chain.

The company was established in 2021 when assets were acquired from Talen Energy by a subsidiary of ArcLight Capital Partners, forming a comprehensive portfolio of pipelines, compression facilities and underground storage assets.