Archrock, Inc. (NYSE:AROC) Given Consensus Recommendation of “Buy” by Brokerages

Shares of Archrock, Inc. (NYSE:AROC) have earned a consensus recommendation of “Buy” from the ten ratings firms that are covering the stock, MarketBeat reports. One research analyst has rated the stock with a hold rating, eight have issued a buy rating and one has assigned a strong buy rating to the company. The average 1-year price target among brokers that have updated their coverage on the stock in the last year is $41.2857.

A number of research firms have commented on AROC. Mizuho lifted their price objective on shares of Archrock from $38.00 to $40.00 and gave the company an “outperform” rating in a research note on Wednesday, June 3rd. Citigroup raised their price target on Archrock from $40.00 to $43.00 and gave the stock a “buy” rating in a report on Wednesday, May 13th. Weiss Ratings raised Archrock from a “buy (b+)” rating to a “buy (a-)” rating in a research note on Tuesday, July 28th. Royal Bank Of Canada lifted their target price on Archrock from $41.00 to $44.00 and gave the company an “outperform” rating in a research note on Tuesday, July 21st. Finally, Stifel Nicolaus set a $41.00 target price on Archrock in a report on Thursday, May 7th.

Trending Headlines about Archrock

Here are the key news stories impacting Archrock this week:

• Positive Sentiment: Archrock outlined a $1.4 billion-$1.6 billion growth capital-spending plan for 2027-2030, signaling continued investment in expanding its compression fleet and future earnings capacity. Archrock outlines growth capex plan
• Positive Sentiment: Management emphasized growth and capital discipline on its earnings call, which could support the company’s longer-term outlook if new investments generate the expected returns. Archrock earnings call highlights
• Neutral Sentiment: Sidoti’s estimates imply 2027 EPS of $2.17, but the forecast remains below its prior $2.26 estimate. The revisions suggest analysts still expect growth, but at a slower pace.
• Negative Sentiment: Archrock reported second-quarter EPS of $0.38, below the $0.45 consensus estimate, while revenue of $371.2 million also missed expectations of $393.2 million and declined 3.1% year over year. The results prompted the stock to gap lower. Archrock shares gap down on disappointing earnings
• Negative Sentiment: Sidoti cut its 2026 EPS forecast to $1.71 from $1.89 and reduced estimates for every reported 2027 quarter, lowering FY2027 EPS to $2.17 from $2.26. The revisions are below the current full-year consensus of $1.90 and indicate increased concerns about near-term operating performance.
• Negative Sentiment: Management tightened its 2026 adjusted EBITDA outlook to $865 million-$885 million, adding to pressure on the shares despite the company’s longer-term capital-spending plans.

Insider Activity

In other news, CFO Doug S. Aron sold 35,000 shares of the business’s stock in a transaction dated Monday, May 18th. The shares were sold at an average price of $38.30, for a total transaction of $1,340,500.00. Following the transaction, the chief financial officer directly owned 359,337 shares in the company, valued at $13,762,607.10. The trade was a 8.88% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this link. Also, SVP Jason Ingersoll sold 33,000 shares of the stock in a transaction dated Monday, May 18th. The stock was sold at an average price of $38.19, for a total transaction of $1,260,270.00. Following the transaction, the senior vice president directly owned 277,454 shares of the company’s stock, valued at $10,595,968.26. This represents a 10.63% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last ninety days, insiders sold 158,000 shares of company stock worth $5,907,370. Insiders own 2.90% of the company’s stock.

Hedge Funds Weigh In On Archrock

A number of large investors have recently modified their holdings of AROC. Sound Income Strategies LLC boosted its stake in shares of Archrock by 71.0% in the fourth quarter. Sound Income Strategies LLC now owns 971 shares of the energy company’s stock valued at $26,000 after buying an additional 403 shares in the last quarter. Valued Wealth Advisors LLC purchased a new position in Archrock in the first quarter worth $26,000. Garton & Associates Financial Advisors LLC purchased a new position in Archrock in the fourth quarter worth $27,000. Thurston Springer Miller Herd & Titak Inc. acquired a new stake in Archrock in the fourth quarter valued at $33,000. Finally, Jones Financial Companies Lllp lifted its holdings in Archrock by 217.9% in the first quarter. Jones Financial Companies Lllp now owns 1,316 shares of the energy company’s stock valued at $35,000 after acquiring an additional 902 shares during the period. 95.45% of the stock is owned by hedge funds and other institutional investors.

Archrock Price Performance

AROC stock opened at $33.04 on Friday. The company has a current ratio of 1.39, a quick ratio of 0.91 and a debt-to-equity ratio of 1.51. The company has a market capitalization of $5.79 billion, a P/E ratio of 17.77, a PEG ratio of 1.54 and a beta of 0.86. The business has a 50 day simple moving average of $36.76 and a 200-day simple moving average of $35.39. Archrock has a twelve month low of $22.74 and a twelve month high of $42.23.

Archrock (NYSE:AROC) last announced its earnings results on Tuesday, August 4th. The energy company reported $0.38 EPS for the quarter, missing analysts’ consensus estimates of $0.45 by ($0.07). Archrock had a net margin of 21.84% and a return on equity of 22.22%. The business had revenue of $371.24 million during the quarter, compared to analyst estimates of $393.19 million. During the same period in the previous year, the firm earned $0.39 earnings per share. The business’s revenue was down 3.1% compared to the same quarter last year. As a group, equities analysts anticipate that Archrock will post 1.81 EPS for the current year.

Archrock Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Tuesday, August 11th. Shareholders of record on Tuesday, August 4th will be given a dividend of $0.23 per share. This represents a $0.92 dividend on an annualized basis and a yield of 2.8%. The ex-dividend date is Tuesday, August 4th. This is an increase from Archrock’s previous quarterly dividend of $0.22. Archrock’s payout ratio is currently 49.46%.

About Archrock

Archrock, Inc is a Houston‐based provider of natural gas compression services and equipment to the oil and gas industry in North America. Founded in 2004, the company supplies both short‐term rentals and long‐term contracts for compression solutions, serving upstream and midstream producers. Archrock’s offerings include engineered compression systems, aftermarket parts, maintenance and field services designed to optimize wellhead and pipeline operations.

The company’s core business activities focus on the design, manufacture, rental and sale of gas compression equipment.