On Oct 18, major Wall Street analysts update their ratings for $Liberty Energy (LBRT.US)$, with price targets ranging from $19 to $27.
Morgan Stanley analyst Daniel Kutz maintains with a hold rating, and maintains the target price at $22.
Citi analyst Scott Gruber downgrades to a hold rating, and adjusts the target price from $25 to $19.
Barclays analyst Eddie Kim maintains with a buy rating, and adjusts the target price from $24 to $21.
Wells Fargo analyst Roger Read maintains with a buy rating, and maintains the target price at $24.
Evercore analyst James West maintains with a buy rating, and maintains the target price at $27.
Furthermore, according to the comprehensive report, the opinions of $Liberty Energy (LBRT.US)$'s main analysts recently are as follows:
Liberty Energy experienced a challenging quarter, missing Q3 EBITDA expectations by 5% and forecasting Q4 to be approximately 25% below the consensus. This period has resulted in management losing some credibility with investors.
The intensifying downcycle is evidenced by Liberty Energy idling two fleets, alongside margin compression due to pricing concessions. Seasonal improvement is anticipated in the first half of 2025, yet exploration and production companies are expected to persist in seeking pricing concessions amid oil price uncertainties. A faster decline in EBITDA compared to capital expenditures has led to reduced estimates for the company's 2025 free cash flow, now projected at $180M, which suggests a modest yield of 6% based on the current share price. Additionally, facing seasonal working capital challenges in the first quarter, the company's ability to repurchase shares seems constrained in the near term without resorting to balance sheet utilization.
Liberty Energy's reported EBITDA fell short of expectations, suggesting a subdued outlook for frac activity and pricing towards the end of 2024. Despite a less optimistic view for the second half and a diminished free cash flow outlook, an upcoming update on Liberty Power Innovations in early 2025 is anticipated to act as a significant catalyst for the stock.
Liberty Energy's Q4 guidance and comments on pricing challenges were described as lackluster. Nonetheless, it is anticipated that the company will experience improved results in the first half of 2025 following a seasonal decline in Q4.
Here are the latest investment ratings and price targets for $Liberty Energy (LBRT.US)$ from 8 analysts:
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