3 Hold-Rated Dividend Stocks
Eagle Rock Energy Partners (NASDAQ: EROC) shares currently have a dividend yield of 9.20%. Eagle Rock Energy Partners, L.P., together with its subsidiaries, engages in gathering, compressing, treating, processing, transporting, marketing, and trading natural gas, as well as fractionating and transporting natural gas liquids (NGL). Currently there are 3 analysts that rate Eagle Rock Energy Partners a buy, no analysts rate it a sell, and 2 rate it a hold. The average volume for Eagle Rock Energy Partners has been 503,500 shares per day over the past 30 days. Eagle Rock Energy Partners has a market cap of $1.4 billion and is part of the energy industry. Shares are up 11% year to date as of the close of trading on Monday. TheStreet Ratings rates Eagle Rock Energy Partners as a hold. The company's strengths can be seen in multiple areas, such as its revenue growth and good cash flow from operations. However, as a counter to these strengths, we also find weaknesses including deteriorating net income, generally higher debt management risk and disappointing return on equity. Highlights from the ratings report include:
- The revenue growth greatly exceeded the industry average of 2.9%. Since the same quarter one year prior, revenues rose by 41.6%. This growth in revenue does not appear to have trickled down to the company's bottom line, displayed by a decline in earnings per share.
- Net operating cash flow has remained constant at $34.50 million with no significant change when compared to the same quarter last year. Despite stable cash flow, EAGLE ROCK ENERGY PARTNRS LP's cash flow growth rate is still lower than the industry average growth rate of 29.14%.
- EAGLE ROCK ENERGY PARTNRS LP has exprienced a steep decline in earnings per share in the most recent quarter in comparison to its performance from the same quarter a year ago. The company has reported a trend of declining earnings per share over the past two years. However, the consensus estimate suggests that this trend should reverse in the coming year. During the past fiscal year, EAGLE ROCK ENERGY PARTNRS LP swung to a loss, reporting -$1.11 versus $0.38 in the prior year. This year, the market expects an improvement in earnings ($0.21 versus -$1.11).
- Return on equity has greatly decreased when compared to its ROE from the same quarter one year prior. This is a signal of major weakness within the corporation. Compared to other companies in the Oil, Gas & Consumable Fuels industry and the overall market, EAGLE ROCK ENERGY PARTNRS LP's return on equity significantly trails that of both the industry average and the S&P 500.
- The gross profit margin for EAGLE ROCK ENERGY PARTNRS LP is currently extremely low, coming in at 7.80%. It has decreased significantly from the same period last year. Along with this, the net profit margin of -17.65% is significantly below that of the industry average.
- You can view the full Eagle Rock Energy Partners Ratings Report.
- Our dividend calendar.
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