Ferrellgas Partners (NYSE: FGP) was upgraded by Zacks from a “neutral” rating to an “outperform” rating in a research note issued on Tuesday. The firm currently has a $25.00 price target on the stock.
Zacks‘ analyst wrote, “We have upgraded our recommendation on Ferrellgas Partners L.P. to Outperform from Neutral. This was driven by the partnership’s strong acquisition strategy, the decline in cost of operations, its solid liquidity position and the steady effort toward debt minimization. The recent acquisition of IGS Propane will allow Ferrellgas to provide on-time services with lower transportation costs given its positional advantage. These acquisitions are part of the partnership’s long-term strategy to grow as one of the top propane companies. In addition, Ferrellgas has also adopted a restructuring plan for its balance sheet and aims to lower its debt level with the issuance of common units.”
Shares of Ferrellgas Partners traded down 0.71% during mid-day trading on Tuesday, hitting $21.05. Ferrellgas Partners has a 52 week low of $13.35 and a 52 week high of $21.85. The stock’s 50-day moving average is currently $19.57. The company has a market cap of $1.663 billion and a P/E ratio of 451.06.
Ferrellgas Partners last announced its earnings results on Monday, December 10th. The company reported ($0.22) earnings per share (EPS) for the quarter, beating the consensus estimate of ($0.28) by $0.06. The company had revenue of $454.29 million for the quarter, compared to the consensus estimate of $454.29 million. During the same quarter in the previous year, the company posted ($0.42) earnings per share. The company’s revenue for the quarter was down 32.6% on a year-over-year basis. Analysts expect that Ferrellgas Partners will post $0.59 EPS for the current fiscal year.
The company also recently declared a quarterly dividend, which is scheduled for Friday, March 15th. Shareholders of record on Friday, March 8th will be given a dividend of $0.50 per share. This represents a $2.00 dividend on an annualized basis and a yield of 9.50%. The ex-dividend date of this dividend is Wednesday, March 6th.
Ferrellgas Partners, L.P. (Ferrellgas Partners) is a distributor of propane and related equipment and supplies to customers primarily in the United States and conduct its business as a single reportable operating segment.
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