Latest news with #AtlasEnergySolutionsInc
Yahoo
22-05-2025
- Business
- Yahoo
Stifel Initiates Atlas Energy (AESI) with Buy
It was recently reported that Stifel initiated Atlas Energy Solutions Inc. (NYSE:AESI) with a Buy rating. Let's shed some light on the development. Aerial view of oil rig in the Permian Basin, illustrating the expansive operations in West Texas and New Mexico. Atlas Energy Solutions Inc. (NYSE:AESI) is a leading provider of proppant and logistics services to the oil and gas industry within the Permian Basin of West Texas and New Mexico. On May 20, analysts at Stifel initiated coverage on Atlas Energy Solutions Inc. (NYSE:AESI) with a Buy rating and a price target of $15. The positive outlook comes as a result of the company's 'high-quality, low cost' mines and its low-cost delivery system, particularly the Dune Express conveyor delivery system, which the analyst believes is 'a truly differentiated offering in an otherwise commoditized frac sand business and should help support margins despite pricing headwinds'. The analyst acknowledges the potential of Atlas Energy Solutions Inc. (NYSE:AESI) despite the near-term pricing headwinds faced by the frac sand market, thanks to the company's differentiated offerings, which should sustain its margins. The recent acquisition of Moser is also seen as a significant growth opportunity for Atlas, building on the company's impressive 54.46% YoY revenue growth in the first quarter of 2025. However, it must also be mentioned that AESI's net income declined by over 95% YoY to around $1.22 million during the quarter, with its adjusted EPS of $0.03 falling significantly below estimates of $0.18. That said, the company maintained its quarterly dividend of $0.25 per share, which Stifel expects should increase in the future due to a growing free cash flow. While we acknowledge the potential of AESI to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than AESI and that has 100x upside potential, check out our report about this cheapest AI stock. READ NEXT: 10 Cheap Energy Stocks to Buy Now and 10 Most Undervalued Energy Stocks According to Hedge Funds. Disclosure: None. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
22-05-2025
- Business
- Yahoo
Stifel Initiates Atlas Energy (AESI) with Buy
It was recently reported that Stifel initiated Atlas Energy Solutions Inc. (NYSE:AESI) with a Buy rating. Let's shed some light on the development. Aerial view of oil rig in the Permian Basin, illustrating the expansive operations in West Texas and New Mexico. Atlas Energy Solutions Inc. (NYSE:AESI) is a leading provider of proppant and logistics services to the oil and gas industry within the Permian Basin of West Texas and New Mexico. On May 20, analysts at Stifel initiated coverage on Atlas Energy Solutions Inc. (NYSE:AESI) with a Buy rating and a price target of $15. The positive outlook comes as a result of the company's 'high-quality, low cost' mines and its low-cost delivery system, particularly the Dune Express conveyor delivery system, which the analyst believes is 'a truly differentiated offering in an otherwise commoditized frac sand business and should help support margins despite pricing headwinds'. The analyst acknowledges the potential of Atlas Energy Solutions Inc. (NYSE:AESI) despite the near-term pricing headwinds faced by the frac sand market, thanks to the company's differentiated offerings, which should sustain its margins. The recent acquisition of Moser is also seen as a significant growth opportunity for Atlas, building on the company's impressive 54.46% YoY revenue growth in the first quarter of 2025. However, it must also be mentioned that AESI's net income declined by over 95% YoY to around $1.22 million during the quarter, with its adjusted EPS of $0.03 falling significantly below estimates of $0.18. That said, the company maintained its quarterly dividend of $0.25 per share, which Stifel expects should increase in the future due to a growing free cash flow. While we acknowledge the potential of AESI to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than AESI and that has 100x upside potential, check out our report about this cheapest AI stock. READ NEXT: 10 Cheap Energy Stocks to Buy Now and 10 Most Undervalued Energy Stocks According to Hedge Funds. Disclosure: None. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
08-05-2025
- Business
- Yahoo
Why Atlas Energy Solutions Inc. (AESI) is Losing This Week
We recently published a list of Energy Stocks that are Losing This Week. In this article, we are going to take a look at where Atlas Energy Solutions Inc. (NYSE:AESI) stands against other energy stocks that are declining this week. The energy sector suffered a massive blow this week after the West Texas Intermediate (WTI) crude price plunged even further to just over $57, a level it last hit in 2021 during the COVID-19 pandemic. The sharp decline comes as a result of OPEC+ announcing a larger-than-expected output increase for June. This follows a similar production boost announced for May, meaning that the group is now bringing more than 800,000 bpd of additional supply to the market over the course of two months. Instead of acting like a stabilizing force in global oil markets, Saudi Arabia has now adopted an aggressive strategy aimed at disciplining overproducing members like Kazakhstan and Iraq, and expanding its own market share. This could also be a part of the country's efforts to build good relations with Donald Trump, who has repeatedly called on Riyadh to increase production and bring prices down. Goldman Sachs has now cut its forecast for US crude prices this year by $3 to $56 per barrel. With oil currently hovering around the $58 mark, many US shale producers will struggle to break even, forcing them to potentially stop drilling and cut jobs. In fact, two big American shale producers revealed earlier this week that they are cutting capital expenditure in response to sliding oil prices, prompting industry warnings that US production had peaked and could begin to decline. Aerial view of oil rig in the Permian Basin, illustrating the expansive operations in West Texas and New Mexico. To collect data for this article, we have referred to several stock screeners to find energy stocks that have fallen the most between April 30 to May 7, 2025. The following are the Energy Stocks that Lost the Most This Week. The stocks are ranked according to their share price decline during this period. At Insider Monkey, we are obsessed with the stocks that hedge funds pile into. The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter's strategy selects 14 small-cap and large-cap stocks every quarter and has returned 275% since May 2014, beating its benchmark by 150 percentage points (see more details here). Share Price Decline Between Apr. 30 – May. 7: 11.68% Atlas Energy Solutions Inc. (NYSE:AESI) is a leading provider of proppant and logistics services to the oil and gas industry within the Permian Basin of West Texas and New Mexico. The market reacted negatively after Atlas Energy Solutions Inc. (NYSE:AESI) missed earnings expectations in its Q1 2025 results reported this week. The company's adjusted EPS of $0.03 fell significantly below estimates of $0.18, while its net income declined by over 95% YoY to around $1.22 million. However, AESI's revenue surged by over 54.46% YoY to $297.6 million and topped expectations by $6.4 million. Overall, AESI ranks 6th on our list of the energy stocks that lost the most this week. While we acknowledge the potential of AESI as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns, and doing so within a shorter time frame. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. If you are looking for an AI stock that is more promising than AESI but that trades at less than 5 times its earnings, check out our report about this cheapest AI stock. READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires. Disclosure: None. This article is originally published at Insider Monkey.
Yahoo
08-05-2025
- Business
- Yahoo
Atlas Energy Solutions Inc. Just Missed EPS By 93%: Here's What Analysts Think Will Happen Next
It's been a sad week for Atlas Energy Solutions Inc. (NYSE:AESI), who've watched their investment drop 12% to US$11.95 in the week since the company reported its first-quarter result. Revenue of US$298m surpassed estimates by 2.2%, although statutory earnings per share missed badly, coming in 93% below expectations at US$0.01 per share. Earnings are an important time for investors, as they can track a company's performance, look at what the analysts are forecasting for next year, and see if there's been a change in sentiment towards the company. So we gathered the latest post-earnings forecasts to see what estimates suggest is in store for next year. AI is about to change healthcare. These 20 stocks are working on everything from early diagnostics to drug discovery. The best part - they are all under $10bn in marketcap - there is still time to get in early. Taking into account the latest results, the current consensus from Atlas Energy Solutions' seven analysts is for revenues of US$1.27b in 2025. This would reflect a notable 9.2% increase on its revenue over the past 12 months. Statutory earnings per share are predicted to expand 10% to US$0.31. Before this earnings report, the analysts had been forecasting revenues of US$1.28b and earnings per share (EPS) of US$1.57 in 2025. So there's definitely been a decline in sentiment after the latest results, noting the pretty serious reduction to new EPS forecasts. Check out our latest analysis for Atlas Energy Solutions It might be a surprise to learn that the consensus price target fell 13% to US$18.78, with the analysts clearly linking lower forecast earnings to the performance of the stock price. The consensus price target is just an average of individual analyst targets, so - it could be handy to see how wide the range of underlying estimates is. The most optimistic Atlas Energy Solutions analyst has a price target of US$29.00 per share, while the most pessimistic values it at US$12.00. This is a fairly broad spread of estimates, suggesting that analysts are forecasting a wide range of possible outcomes for the business. These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the Atlas Energy Solutions' past performance and to peers in the same industry. We would highlight that Atlas Energy Solutions' revenue growth is expected to slow, with the forecast 13% annualised growth rate until the end of 2025 being well below the historical 44% p.a. growth over the last three years. Juxtapose this against the other companies in the industry with analyst coverage, which are forecast to grow their revenues (in aggregate) 3.2% per year. So it's pretty clear that, while Atlas Energy Solutions' revenue growth is expected to slow, it's still expected to grow faster than the industry itself. The biggest concern is that the analysts reduced their earnings per share estimates, suggesting business headwinds could lay ahead for Atlas Energy Solutions. Happily, there were no major changes to revenue forecasts, with the business still expected to grow faster than the wider industry. The consensus price target fell measurably, with the analysts seemingly not reassured by the latest results, leading to a lower estimate of Atlas Energy Solutions' future valuation. With that in mind, we wouldn't be too quick to come to a conclusion on Atlas Energy Solutions. Long-term earnings power is much more important than next year's profits. We have estimates - from multiple Atlas Energy Solutions analysts - going out to 2027, and you can see them free on our platform here. And what about risks? Every company has them, and we've spotted 3 warning signs for Atlas Energy Solutions (of which 1 is a bit concerning!) you should know about. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Sign in to access your portfolio
Yahoo
07-05-2025
- Business
- Yahoo
Atlas Energy Solutions Inc. (AESI): A Bull Case Theory
We came across a bullish thesis on Atlas Energy Solutions Inc. (AESI) on Substack by Unemployed Value Degen. In this article, we will summarize the bulls' thesis on AESI. Atlas Energy Solutions Inc. (AESI)'s share was trading at $13.53 as of April 30th. AESI's trailing and forward P/E were 24.60 and 9.80 respectively according to Yahoo Finance. An aerial view of an oil rig in the Permian Basin of West Texas. Atlas Energy Solutions (AESI) represents a unique opportunity to invest in the ongoing shale revolution by owning a critical input: proppant, or sand, used to keep hydraulic fractures open. While rig counts and frac fleets have declined, well laterals and perforation density continue to rise, driving growing demand for sand. AESI, alongside Smart Sand (SND) and the soon-to-be-public Alpine Silica (a ProFrac spin-off), is one of the few public players in this space. AESI stands out due to its strong positioning with in-basin sand production in the Permian, allowing it to avoid the high logistics costs associated with SND's Northern White sand, which is mined in Wisconsin and Illinois. Although Northern White fetches a premium price, AESI benefits from lower transportation costs and strong customer demand for more accessible proppant, even if quality differences persist. AESI generated $1.1 billion in revenue and $288 million in EBITDA in 2024, with strong 26% EBITDA margins, and is guiding toward a 25% increase in volumes sold for 2025. This growth is expected to be further supported by rising proppant prices. The company is also innovating aggressively. It recently completed the 42-mile Dune Express conveyor belt—the second largest in North America—which delivers sand directly in the Delaware Basin. AESI is rolling out autonomous trucks and a new multi-trailer system that increases sand delivery per trip from 23.5 to 105 tons, aiming to reduce labor-related costs, which make up the bulk of trucking expenses. Despite these strengths, AESI's share price has dropped from $24 to $14, partially due to macroeconomic pressures on small caps and a recent acquisition of a power generation business. While such vertical integration might ultimately enhance margins, it risks a "conglomerate discount" from investors wary of scope expansion. This acquisition, although partially financed with stock (causing some dilution), could pay off if the power business achieves high standalone valuations like peers such as Kodiak Gas Services. The founder's 13% ownership aligns incentives for thoughtful capital allocation, and AESI offers a 7% dividend yield that could support the stock.
