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Tag: U.S. Well Services

  • U.S. Well Services Inc. (USWS) Down Pre-Market on Missed Q4 2021 Earnings

    Amid the ongoing Russia-Ukraine conflict and oil price upsurge, the oil & gas industry has recently gone through some turbulent times with high volatility in the industry stocks. One of the trending stocks in the industry has been the U.S. Well Services Inc. (USWS). The high-pressure and hydraulic services provider despite the high volatility has secured its place in 2022.

    On March 30, 2022, the company announced its Q4 and fiscal 2021 results and provided an outlook for 2022. While the company looks forward to a better year, the 2021 financials were anything but impressive. Failing to meet the earnings and revenue expectations, USWS stock plunged down by 9.09% in the pre-market.

    Analysts were expecting a YOY increase in earnings on higher revenues, thus investors were looking forward to the earnings with much enthusiasm. Hence, the regular session culminated in a gain of 4.31% for the stock at its closing price of $1.21. But the disappointing earnings caused USWS to trade at $1.10 in the pre-market session.

    USWS 2021 Earnings Overview

    Source: InvestmentBank

    The company took severe impact from supply chain disruptions including the availability of truck drivers, proppant, and water requirements for operations. This resulted in a decline in the company’s pumping activities. Added to this, the resurgence of Covid-19 also imparted its own woes on the company’s operations.

    Thus, USWS Q4 revenue suffered a decline to the reported $38.9 million against the previous quarter’s $56.5 million. The analysts’ estimates placed the quarterly revenue at $51.95 million with a growth of 18% YOY.

    Moreover, the company’s net loss also expanded in the quarter to reach $22.7 million against $9.6 million in the earlier quarter. Resultantly, the company posted negative EPS of $0.46 while forecasts were for $0.28.

    Additionally, the company’s adjusted EBITDA also took a hit and declined to a loss of $7.9 million in the quarter. The prior quarter’s EBITDA was a loss of $0.5 million.

    What Else Happened?

    The company has been busy in 2022 with many new developments taking place continuously. USWS has extended its existing electric fleet contract with Range Resources to the end of 2024. Furthermore, the company also finalized an electric frac contract with Olympus Energy as well as XCL Resources earlier this year.

    How Does 2022 Look?

    While the supply chain disruptions did continue into the first quarter of 2022, the company is expecting better performance in the year. Building on the upsurge in oil and natural gas and elevated demand for pressure pumping, USWS’ high-spec, next-gen Clean Fleets® have commanded the most attractive pricing. With the improving dynamics in the market, the company is poised for excellent performance in 2022.

  • Here is why U.S. Well Services Inc. (USWS) performed well on Wednesday?

    Here is why U.S. Well Services Inc. (USWS) performed well on Wednesday?

    U.S. Well Services Inc. (USWS) shares jumped 14.85% in after-hours on Wednesday, June 30, 2021, and closed the day at $1.16 per share. Earlier in the morning session, USWS’s stock gained 2.34% to close Wednesday’s normal trading session at $1.01 per share. USWS shares have risen 107.18% over the last 12 months, and they have moved up 4.12% in the past week. Over the past three months, the stock has lost 2.88%, while over the past six months, it has declined 146.34%.

    Let’s have a look at its recent development.

    Commitment to Purchase 120 Electric Motors 

    on June 30, 2021, U.S. Well Services committed to purchase 60 Power Cubes from AmeriMex Motor & Controls, LLC which is a subsidiary of Industrial Service Solutions. Each patented Power Cube contains two 3,000 HHP electric motors, two variable frequency drives, a power transformer, and other components that combine to create a self-contained power centre. The Company expects to begin taking delivery of the Power Cubes in the third quarter of 2021.

    Important updates to execute strategic plans

    On June 28, 2021, U.S. Well Services issued $125.5 million of 16.0% Convertible Senior SecuredPIK Notes due June 2026 in a private placement to institutional investors. The Company sold $64.0 million of Notes convertible into U.S. Well Services Class A Common Stock and $22.5 million of Notes convertible into licenses to ProFrac Manufacturing, LLC. The above-mentioned transactions are done to execute its previously announced strategic plan to grow and become a fully electric hydraulic fracturing services provider.

    Surge EnergyElectric Frack Fleet Field Trial

    On June 25, 2021, Surge Energy US Holdings Company partnered with the U.S. Well Services on a field trial using USWS’ all-electric Clean Fleet®. This project represents Surge’s first well completions using all-electric hydraulic fracturing technology.

    USWS leaving Diesel Frac Market

    USWS reassured its commitment to fully exit the diesel frac market by the end of 2021 and replacing it with all-electric hydraulic fracturing.

    The company can become the first publicly traded, pure-play electric completion service provider if it fulfils its commitment.

    USWS electric frac technology significantly reduce emissions and sound pollutions. It also increased operating efficacies which reduced major fuel cost savings for the end customers.

    Next-Generation Nyx Clean Fleet® Pump

    On May 19, 2021, U.S. Well Services released the next generation of its proprietary Clean Fleet® technology with the unveiling of its newly designed Nyx Clean Fleet® frac pump. Nyx will use USWS patented PowerCube, driving two independently controlled electric motors and frac pumps to provide 6,000 hydraulic horsepower on a single trailer.

    Partnership with Northeast Natural Energy for Clean Fleet® Trial

    On May 18, 2021, U.S. Well Services announced that it is preparing to commence operations on a 5 well pad located in Monongalia County, W.Va. for Northeast Natural Energy LLC. This project will be NNE’s first well completion using an all-electric hydraulic fracturing fleet provided by USWS.

    Conclusion

    The purchasing of 120 electric motors could be the reason behind its exceptional performance on Thursday. the company is fulfilling its commitment which is providing more trust to investors and hence USWS stock price is going up.

  • Up’s and downs of Oil sector

    Up’s and downs of Oil sector

    As the market pondered the possibility of strengthening New York and London restrictions before a readily accessible vaccine, oil prices increased.

    Since switching earlier between losses and gains, futures ended at a nine-month high. The U.S. began distributing the Covid-19 vaccine and national immunization initiatives in other countries, offering a roadmap for stabilizing oil demand.

    However, price gains remain minimal as reopening plans across the globe are affected by the virus’s spread. In the middle of a new strain of the epidemic, London is growing pandemic controls this week while New York City’s mayor said people should be prepared for a complete lockdown. The Association of Petroleum Exporting Countries, meanwhile, cut forecasts for global fuel demand by 1 million barrels a day in the first quarter of 2021.

    GasLog Partners LP (NYSE:GLOP) shares were trading up 31.18% at $3.45 at the time of writing on Monday.

    GasLog Partners LP (NYSE:GLOP) share price went from a low point around $1.51 to briefly over $16.20 in past 52 weeks, though shares have since pulled back to $3.45. GLOP market cap has remained high, hitting $177.88M at the time of writing, giving it price-to-sales ratio of more than 0.

    If we look at the recent analyst rating GLOP, BTIG Research downgraded coverage on GLOP shares with a Neutral rating and a $3.28 price target, which implies room for -0.17% downside momentum this year.

    Mid-Con Energy Partners LP (MCEP) last closed at $3.78, in a 52-week range of $1.14 to $8.70.

    SandRidge Energy Inc. (SD) stock soar by 10.61% to $3.44 after reporting that it has entered into a definitive agreement for the sale of its North Park Basin assets. The most recent rating by Seaport Global Securities, on June 21, 2017, is at a Neutral.

    Enservco Corporation (AMEX:ENSV) Shares headed rising, higher as much as 5.73%. The most recent rating by Northland Capital, on November 13, 2015, is at an Outperform.

    Renewable Energy Group Inc. (NASDAQ:REGI) rose 4.31% after gaining more than $2.68 on Monday. The company on December 3, 2020 declared changes to the organizational construct of its senior leadership team intended to accelerate the company’s performance as a leader in a rapidly growing industry.

    U.S. Well Services Inc. (USWS) last closed at $0.48, in a 52-week range of $0.23 to $2.02.

    NOW Inc. (DNOW) stock soar by 2.38% to $6.45. The firm has scheduled a conference call to discuss fourth quarter and full-year 2020 earnings on Wednesday, February 17, 2021 at 8:00 am (US Central Time). The most recent rating by Stephens, on October 16, 2020, is at an Equal-weight.

    Ultrapar Participacoes S.A. (NYSE:UGP) Shares headed rising, higher as much as 2.21%. The most recent rating by Morgan Stanley, on June 02, 2020, is at an Overweight.

    ChampionX Corporation (NYSE:CHX) rose 1.08% after gaining more than $0.15 on Monday following the announcement of early tender offer results and extension of early tender premium.

    Oceaneering International Inc. (OII) last closed at $8.25, in a 52-week range of $2.01 to $15.99. Analysts have a consensus price target of $7.48.

    Euronav NV (EURN) stock soar by 0.61% to $8.25. The most recent rating by BTIG Research, on October 21, 2020, is at a Neutral.

    TransAtlantic Petroleum Ltd. (AMEX:TAT) Shares headed rising, higher as much as 0.60%. On November 20, 2020, the company released its financial results for the quarter ended September 30, 2020. The most recent rating by TD Securities, on September 09, 2016, is at a Speculative buy.

    Pacific Ethanol Inc. (NASDAQ:PEIX) rose 0.17% after gaining more than $0.01 on Monday. The firm declared on December 1, 2020, the closing of its agreement with Liberty Basin, LLC to sell 134 acres, rail loop and grain handling assets at its Pacific Ethanol Magic Valley plant in Burley, Idaho for $10 million in cash.

    Talos Energy Inc. (TALO) last closed at $9.21, in a 52-week range of $5.00 to $31.34 after declaring proposed offering of $400 million of second-priority senior secured notes due 2026. Analysts have a consensus price target of $13.17.

    Valvoline Inc. (VVV) stock drop by -0.17% to $23.01. The most recent rating by JP Morgan, on August 05, 2020, is at an Overweight. The company on December 2, 2020 reported that it plans to acquire 27 quick-lube locations that will expand its service center network across the U.S.