Usa Compression Partners LP Rating Lowered to Neutral at Goldman Sachs Group Inc. (USAC)

Usa Compression Partners LP (NASDAQ:USAC) was downgraded by equities research analysts at Goldman Sachs Group Inc. from a “buy” rating to a “neutral” rating in a research note issued to investors on Wednesday, Analyst Ratings.Net reports. They currently have a $25.00 target price on the stock, up from their previous target price of $22.00. Goldman Sachs Group Inc.’s target price indicates a potential upside of 2.12% from the stock’s previous close.

The analysts wrote, “We downgrade USA Compression Partners (USAC) to Neutral from Buy with 9% total return upside to our new 12-month $25 target price. We still like USAC’s exposure to shale-driven infrastructure growth via fee-based cash flows with no commodity risk, backed by younger and higher-margin compression assets. However, we believe current valuation adequately reflects its group-average growth potential given its short-duration contracts which drive higher-margin cyclicality, along with tight coverage and high leverage. Since adding USAC to the Buy list on 2/10/13, units are up 37.4% vs. the S&P 500 up 12.0%.”

Usa Compression Partners LP (NASDAQ:USAC) traded up 2.93% on Wednesday, hitting $25.198. Usa Compression Partners LP has a 1-year low of $17.25 and a 1-year high of $26.50. The stock’s 50-day moving average is currently $24.87. The company has a market cap of $733.2 million and a price-to-earnings ratio of 111.27.

Usa Compression Partners LP (NASDAQ:USAC) last released its earnings data on Tuesday, August 13th. The company reported $0.08 earnings per share for the quarter, missing the analysts’ consensus estimate of $0.12 by $0.04. The company had revenue of $33.31 million for the quarter, compared to the consensus estimate of $34.14 million. The company’s revenue for the quarter was up 15.2% on a year-over-year basis. On average, analysts predict that Usa Compression Partners LP will post $0.56 earnings per share for the current fiscal year.

Separately, analysts at RBC Capital initiated coverage on shares of Usa Compression Partners LP in a research note to investors on Wednesday, June 26th. They set an “outperform” rating and a $26.00 price target on the stock.

One analyst has rated the stock with a hold rating and four have given a buy rating to the stock. Usa Compression Partners LP currently has an average rating of “Buy” and a consensus price target of $23.70.

The company also recently declared a quarterly dividend, which is scheduled for Wednesday, August 14th. Stockholders of record on Friday, August 2nd will be given a dividend of $0.44 per share. This represents a $1.76 dividend on an annualized basis and a yield of 7.19%.

USA Compression Partners, LP (NASDAQ:USAC) is a provider of compression services in the United States.