Kimbell Royalty (NYSE:KRP) Receives Average Recommendation of “Moderate Buy” from Analysts

Kimbell Royalty (NYSE:KRP) has received an average recommendation of “Moderate Buy” from the six brokerages that are currently covering the stock, MarketBeat.com reports. Two investment analysts have rated the stock with a hold recommendation, three have given a buy recommendation and one has given a strong buy recommendation to the company. The average twelve-month target price among analysts that have issued ratings on the stock in the last year is $18.25.

Several equities analysts have recently weighed in on the company. Zacks Research raised Kimbell Royalty from a “hold” rating to a “strong-buy” rating in a research report on Wednesday, September 30th. Wall Street Zen upgraded Kimbell Royalty from a “hold” rating to a “buy” rating in a research report on Saturday, August 15th. KeyCorp increased their target price on shares of Kimbell Royalty from $17.00 to $18.00 and gave the company an “overweight” rating in a research note on Tuesday, September 15th. Finally, Weiss Ratings raised shares of Kimbell Royalty from a “hold (c)” rating to a “hold (c+)” rating in a research report on Tuesday, August 25th.

Kimbell Royalty Stock Performance

Kimbell Royalty stock opened at $14.96 on Friday. The company’s 50-day moving average price is $14.85 and its 200-day moving average price is $14.84. The company has a quick ratio of 7.30, a current ratio of 7.30 and a debt-to-equity ratio of 0.71. The company has a market cap of $1.72 billion, a PE ratio of 17.80 and a beta of 0.44. Kimbell Royalty has a twelve month low of $11.31 and a twelve month high of $15.80.

Kimbell Royalty (NYSE:KRP) last announced its quarterly earnings results on Friday, August 7th. The energy company reported $0.40 EPS for the quarter, beating analysts’ consensus estimates of $0.23 by $0.17. Kimbell Royalty had a net margin of 27.17% and a return on equity of 14.95%. The firm had revenue of $112.48 million during the quarter, compared to the consensus estimate of $93.45 million. During the same quarter last year, the firm earned $0.02 EPS. The firm’s revenue for the quarter was up 29.9% compared to the same quarter last year. On average, equities research analysts forecast that Kimbell Royalty will post 1.1 EPS for the current fiscal year.

Kimbell Royalty Increases Dividend

The firm also recently declared a quarterly dividend, which was paid on Monday, August 24th. Stockholders of record on Monday, August 17th were issued a $0.47 dividend. The ex-dividend date was Monday, August 17th. This is a positive change from Kimbell Royalty’s previous quarterly dividend of $0.41. This represents a $1.88 annualized dividend and a dividend yield of 12.6%. Kimbell Royalty’s dividend payout ratio (DPR) is currently 223.81%.

Insider Activity

In related news, insider Blayne Rhynsburger sold 4,524 shares of the firm’s stock in a transaction that occurred on Tuesday, August 25th. The stock was sold at an average price of $15.08, for a total transaction of $68,221.92. Following the completion of the sale, the insider directly owned 70,639 shares of the company’s stock, valued at approximately $1,065,236.12. This trade represents a 6.02% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Corporate insiders own 5.60% of the company’s stock.

Institutional Trading of Kimbell Royalty

A number of hedge funds and other institutional investors have recently bought and sold shares of KRP. Integrated Wealth Concepts LLC purchased a new stake in shares of Kimbell Royalty during the second quarter valued at $37,000. Hilltop National Bank purchased a new position in Kimbell Royalty in the 2nd quarter worth about $44,000. Ascentis Independent Advisors bought a new stake in Kimbell Royalty during the 1st quarter valued at about $60,000. EverSource Wealth Advisors LLC lifted its holdings in Kimbell Royalty by 29.8% during the 4th quarter. EverSource Wealth Advisors LLC now owns 5,450 shares of the energy company’s stock valued at $64,000 after buying an additional 1,250 shares in the last quarter. Finally, First Bancorp Inc ME purchased a new stake in Kimbell Royalty in the 2nd quarter valued at about $90,000. 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 publicly traded oil and gas mineral and royalty company headquartered in Fort Worth, Texas. The partnership owns and acquires mineral, royalty, overriding royalty and other non-cost-bearing interests in oil and natural gas properties across the United States.

Kimbell’s interests are located primarily in major onshore producing regions, including the Permian, Eagle Ford, Bakken, Haynesville, Mid-Continent and Rocky Mountain basins. Because royalty interests generally do not require the owner to fund drilling, completion or operating expenses, the company’s business model is focused on receiving a share of production revenues from wells operated by exploration and production companies.

The company was formed in 2015 and completed its initial public offering in 2017.