ProPetro stock: buy or sell?

PUMP stock price: $9.45 -4.06% At close on September 20th, 2019

Updated on:
September 20th, 2019

1

ProPetro shares plunged -4.06% to $9.45 today. On Tuesday PUMP plummed a dreadful -9.80%. Friday was the 4th red session in a row, sliding in full a -18.66%. On Monday PUMP climbed an extraordinary 7.17%.

ProPetro Holding Corp. provides oilfield services. The company offers hydraulic fracturing and other complementary services, including cementing, acidizing, coiled tubing, flowback, and surface air drilling services to upstream oil and gas companies engaged in the exploration and production of North American unconventional oil and natural gas resources in the Permian Basin.

Should I buy ProPetro stock?

You can't be a successful trader if you don't follow a methodolgy or system that assist you in choosing companies and the correct market timing. Trading strategies are meant for helping you in the decision process of what stocks to choose and when is the best moment to buy them. There are thousands of trading strategies for you to choose, but at Stocks2.com we prefer those that are simple but successful.

None of our preferred buy setups matches with ProPetro stock situation right now, hence this is not a suitable entry point.

Buy setupElegible
New all-time highNo
New 52 week highNo
Price crossing up 200d MANo
100d MA crossing up 200d MANo
This is not a selling recommendation at all, just it's not the best moment to buy if you follow any of these trading strategies.

Is ProPetro stock a buy?

Everyday, hundreds of stock ratings are published by financial analysts to indicate a particular stock's attractiveness. At Stocks2.com, we gathered 15 ratings published for PUMP stock in the last month.

The general sentiment of these ratings is bullish for PUMP stock, with 7 positive ratings.
Is PUMP a good stock to buy?
DateAnalyst / BrokerPrevious ratingCurrent rating
2019-9-4R. F. LaffertyBuyHold
2019-9-3Piper Jaffray CompaniesOverweightNeutral
2019-9-12Wells Fargo & Con/aOutperform
2019-9-12CowenOutperformMarket Perform
2019-8-9CitigroupBuyNeutral
2019-8-9Bank of American/aNeutral
2019-8-9Bank of American/aNeutral
2019-8-28Bank of American/aNeutral
2019-8-12Wells Fargo & Con/aOutperform
2019-8-12CowenOutperformOutperform
2019-7-2Raymond Jamesn/aBuy
2019-7-2Citigroupn/aBuy
2019-4-4Raymond JamesStrong-BuyOutperform
2019-4-16Bank of AmericaBuyNeutral
2019-3-29Wells Fargo & Con/aOutperform

ProPetro stock analysis

Daily outlook

ProPetro shares plunged -4.06% to $9.45 today.

Shares of ProPetro plunged a spooky -4.06% and closed at $9.45. Since price and SMA200d lines crossed down on July, PUMP fell $-9.83 per share (-50.99%).

PUMP stock chart (daily)

Weekly outlook

Shares of ProPetro plummed a chilling -10.93% this week.

Since mid July, when PUMP stock price broke down the 40-weeks moving avarage line, it slid $-9.83 per share (-50.99%). Trading stocks that are under the 40-weeks (that is, 200-days) moving average line is not recommended by many experts, as it indicates that the stock has not enough institutional support. Far behind is the all-time high ProPetro recorded late April and since then the price is -62.77% below that top.

PUMP stock chart (weekly)

ProPetro stock price history

ProPetro stock went public on March 17th, 2017 with a price of $15.001. Since then, PUMP stock sliced a -37.00%, with a yearly average of -18.50%.

1: Adjusted price after possible price splits or reverse-splits.

ProPetro stock historical price chart

PUMP stock reached all-time highs on April with a price of $25.38.

ProPetro stock price target is $18.80

Nobody can reliably foresee how stock prices may evolve in the future. However, many stock price predictions are published every day by banks, financial institutions and independent analysts. You should not follow the analysts' PUMP stock price predictions in the hope that they will be met as they may be wrong and not met. For the last month we found 11 price forecasts for ProPetro stock:
PUMP stock price predictions
DateAnalyst / BrokerActionPrevious targetCurrent targetDiff
2019-9-4R. F. LaffertyReiterates$40.00$18.00-55%
2019-9-3Piper Jaffray CompaniesDowngrades$32.50$17.00-47.7%
2019-9-12Wells Fargo & CoLowers Target$22.00$15.00-31.8%
2019-8-9CitigroupDowngrades$25.00$17.60-29.6%
2019-8-9Bank of AmericaReiterates$22.00$18.00-18.2%
2019-8-9Bank of AmericaLowers Target$22.00$18.00-18.2%
2019-8-28Bank of AmericaLowers Target$18.00$13.00-27.8%
2019-8-12Wells Fargo & CoLowers Target$27.00$22.00-18.5%
2019-8-12CowenReiterates$25.00$17.00-32%
2019-7-2Raymond JamesSet Price Targetn/a$26.00-
2019-7-2CitigroupSet Price Targetn/a$25.00-
(in average)$25.90$18.80-27.0%
Moving in a range from $26.00 and $13.00, the price target for PUMP stock is $18.80. In average, analysts' outlook on PUMP price target is negative, reducing the forecast by a -27.00% from previous estimations.

Financials and fundamental analysis

Earnings date and Earnings per Share

ProPetro presented nice results for 2018-Q4 on February. ProPetro jumped Earnings per Share (EPS) by 11.30%, beating experts consensus of $0.53. ProPetro posted $0.59.
PUMP earnings date and EPS evolution
QuarterReporting dateEstimated EPSActual EPSSurprise
2017-Q1-n/a-0.31n/a
2017-Q2-n/a0.17n/a
2017-Q3-n/a0.32n/a
2017-Q42018-03-260.390.12-69.2%
2018-Q12018-05-080.380.4210.5%
2018-Q22018-08-070.540.45-16.7%
2018-Q32018-11-060.540.53-1.9%
2018-Q42019-02-260.530.5911.3%
2019-Q1-n/an/an/a
2019-Q2-n/an/an/a

Annual financial results

In 2017, ProPetro annual turnover rocketed an exceptional 124.22% to $983.71 M USD from $438.72 marked in 2016. Aligned with this, its profit margin (compared to sales) boosted to 1.28%, that is $12.61 million.

ProPetro presents anual results in December, and to evaluate its evolution since then, we estimate annual sales and income figures by adding results from the last 4 quarters. This is called TTM (or Twelve Trailing Months). So, ProPetro TTM sales up to December 2018 were $1,704.56 and income $173.86 million dollars. When comparing this TTM figures with the last reported annuality, we can review ProPetro business evolution since December 2017: Annual sales up to December, compared to lastest yearly report, skyrocketed an amazing 73.28%. Likewise, profit margin (net income/sales) escalated at 1.28%.

PUMP annual Sales and Income evolution
YearSalesYoYIncome/(margin)YoY
2015$570 M-$-45.85 M-8.0%-
2016$439 M-22.98%$-53.15 M-12.1%15.92%
2017$984 M124.22%$13 M1.3%-123.73%
TTM $1,705 M73.28%$174 M10.2%1,278.76%

Quarterly financial results

ProPetro reported $425.41 M in sales for 2018-Q4, a -1.99% decline compared to previous quarter. Reported quarter earnings marked $51.78 million with a profit margin of 12.17%. Profit margin inched a 1.51% compared to previous quarter when profit margin was 10.66%. When comparing turnover to same quarter last year, ProPetro sales marked a dazzling increase and climbed a 35.61%. Looking back to recent quarterly results, ProPetro posted 2 positive quarters in a row.
PUMP quarterly Sales and Income evolution
QuarterSales1QoQ2Income1/(margin)QoQ2
2017-Q1$172 M-$-24 M-14.2%-
2017-Q2$213 M24.17%$5 M2.3%-120.21%
2017-Q3$283 M32.43%$22 M7.8%346.54%
2017-Q4$314 M10.96%$10 M3.2%-54.13%
2018-Q1$385 M22.79%$37 M9.5%264.24%
2018-Q2$460 M19.38%$39 M8.5%6.49%
2018-Q3$434 M-5.62%$46 M10.7%18.40%
2018-Q4$425 M-1.99%$52 M12.2%11.87%

ProPetro ownership

When you are planning to invest in a stock, it's worth to have a look its ownership structure.

ProPetro shares owned by insiders (that is, founders, CEO, CTO, main executives or other management staff) currently counts a 21.36% of all shares.

Bearish positions for PUMP stock account 0.00%, no big difference from last month.

The following table compares ownership indicators for other stocks related to ProPetro:

PUMP
Market cap$950.2 M
Total shares100.6 M
Float shares82.1 M
  - Institutional holdings (%)93.4%
  - Insider holdings (%)21.4%
Shares in short selling0.0%

ProPetro summary

Friday, September 20th, 2019
Open$9.78
Close$9.45
Day range$9.43 - $9.95
Previous close$9.85
Session gain-4.06%
Average true range$0.78
50d mov avg$13.42
100d mov avg$16.81
200d mov avg$17.55
Daily patternlt06c
Weekly pattern lb06a

ProPetro performance

To measure stock performance is always good to benchmark with competitors or related stocks. We compared ProPetro against in the following table:
Stock3m6m12m
PUMPProPetro-51.26%-56.43%-45.47%

ProPetro competitors

Unfortunately, we could not find any public company that could be defined as ProPetro competitor. This doesn't mean ProPetro does not have any competitor in the market, it's just we could not detected it.