ProFrac up after brokerages start coverage with top ratings
07/06/2022 15:32
** U.S. oilfield services company ProFrac Holding Corp
PFHC.O up 5% at $21.24
** Brokerages JP Morgan Chase and Piper Sandler start
coverage on ProFrac with "buy" ratings; Stifel, Seaport Research
start with "overweight"
** JP Morgan sets PT of $25, Piper Sandler $31.5, Stifel $24
and Seaport Research $26
** "The company is poised to be a market share gainer over
time through its 'Acquire, Retire, Replace' strategy, which
includes the acquisition of older generation spreads at low
prices, retiring legacy fleets, and replacing the fleets with
dual fuel or eFrac pumps" -JP Morgan
** PFHC fell in Nasdaq debut in May after IPO priced at $18,
well below target range of $21 to $24 urn:newsml:reuters.com:*:nL3N2X52ZI
** Has a diversified mix of customers and one of the largest
footprints in U.S. pressure pumping, with fleets active in five
leading U.S. shale basins including Permian, Eagle Ford,
Marcellus, Rockies, and Haynesville Shale.
(Reporting by Mehnaz Yasmin in Bengaluru)
((Mehnaz.Yasmin@thomsonreuters.com))