Dan Wilks Acquires 202,331 Shares of ProFrac (NASDAQ:ACDC) Stock

ProFrac Holding Corp. (NASDAQ:ACDC) major shareholder Dan Wilks purchased 202,331 shares of the company’s stock in a transaction dated Tuesday, August 11th. The shares were bought at an average cost of $5.44 per share, for a total transaction of $1,100,680.64. Following the acquisition, the insider owned 87,500,195 shares in the company, valued at approximately $476,001,060.80. The trade was a 0.23% increase in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Major shareholders that own 10% or more of a company’s shares are required to disclose their transactions with the SEC.

ProFrac Stock Up 2.3%

ACDC opened at $5.26 on Friday. The company has a quick ratio of 0.59, a current ratio of 0.84 and a debt-to-equity ratio of 1.42. The firm has a 50 day moving average price of $5.32 and a 200-day moving average price of $5.90. ProFrac Holding Corp. has a twelve month low of $3.08 and a twelve month high of $8.22. The stock has a market capitalization of $951.64 million, a price-to-earnings ratio of -2.26 and a beta of 1.46.

Wall Street Analysts Forecast Growth

ACDC has been the topic of several research analyst reports. Morgan Stanley set a $5.00 price target on ProFrac in a report on Wednesday, July 15th. Weiss Ratings reiterated a “sell (d-)” rating on shares of ProFrac in a research report on Wednesday, June 24th. Piper Sandler increased their target price on ProFrac from $5.00 to $6.00 and gave the company a “neutral” rating in a report on Monday, May 18th. Finally, Wall Street Zen downgraded ProFrac from a “hold” rating to a “sell” rating in a research note on Saturday, May 9th. One research analyst has rated the stock with a Buy rating, two have given a Hold rating and two have assigned a Sell rating to the company. According to MarketBeat, the stock currently has a consensus rating of “Reduce” and a consensus target price of $5.50.

Institutional Inflows and Outflows

A number of large investors have recently made changes to their positions in ACDC. AQR Capital Management LLC increased its holdings in ProFrac by 61.7% in the 4th quarter. AQR Capital Management LLC now owns 1,638,822 shares of the company’s stock worth $6,375,000 after acquiring an additional 625,596 shares in the last quarter. Hotchkis & Wiley Capital Management LLC boosted its position in shares of ProFrac by 27.8% in the third quarter. Hotchkis & Wiley Capital Management LLC now owns 1,484,760 shares of the company’s stock worth $5,494,000 after purchasing an additional 322,860 shares during the period. Bridgeway Capital Management LLC increased its stake in shares of ProFrac by 2.8% in the second quarter. Bridgeway Capital Management LLC now owns 1,199,562 shares of the company’s stock worth $9,309,000 after purchasing an additional 32,382 shares in the last quarter. Wells Fargo & Company MN increased its stake in shares of ProFrac by 12.1% in the fourth quarter. Wells Fargo & Company MN now owns 1,088,687 shares of the company’s stock worth $4,235,000 after purchasing an additional 117,608 shares in the last quarter. Finally, Empowered Funds LLC raised its position in shares of ProFrac by 9.6% during the 4th quarter. Empowered Funds LLC now owns 776,893 shares of the company’s stock valued at $3,022,000 after purchasing an additional 67,939 shares during the period. 12.75% of the stock is owned by hedge funds and other institutional investors.

ProFrac News Roundup

Here are the key news stories impacting ProFrac this week:

• Positive Sentiment: CEO Matthew Wilks purchased 80,000 shares across August 10 and 11 for approximately $401,839, increasing his position by roughly 22%. Major shareholder Dan H. Wilks also bought 720,000 shares for approximately $3.62 million. The transactions may support sentiment by signaling that insiders view recent prices as attractive. Matthew Wilks Buys 22,481 Shares of ProFrac Stock
• Neutral Sentiment: During its Q2 earnings call, ProFrac discussed ongoing growth opportunities and the need to maintain operating and capital-allocation discipline. The outlook appears constructive for demand, but investors are likely focused on whether expansion can translate into stronger cash generation. ProFrac Q2 Earnings Call: Growth, Cash Strain, Discipline
• Negative Sentiment: Analysts’ questions on the Q2 call highlighted investor concerns about ProFrac’s cash strain, financial flexibility and the pace at which growth investments can produce returns. Those issues may limit valuation upside, particularly given the company’s elevated leverage and weak liquidity ratios. Five revealing analyst questions from ProFrac’s Q2 earnings call

About ProFrac

ProFrac Holding Corp. operates as a technology-focused energy services holding company in the United States. It operates through three segments: Stimulation Services, Manufacturing, and Proppant Production. The company offers hydraulic fracturing, well stimulation, in-basin frac sand, and other completion services and complementary products and services to upstream oil and natural gas companies engaged in the exploration and production of unconventional oil and natural gas resources. It also manufactures and sells high horsepower pumps, valves, piping, swivels, large-bore manifold systems, and fluid ends.