Movers and SHAKERS
Flotek Industries (FTK)
Estimates and Price Target Raised On Transaction Details
Flotek Industries, Inc. creates solutions to reduce the environmental impact of energy on air, water, land and people. Flotek Industries, Inc. is a technology-driven, specialty chemistry and data company that helps customers across industrial, commercial and consumer markets improve their Environmental, Social and Governance performance. Flotek’s Chemistry Technologies segment develops, manufactures, packages, distributes, delivers, and markets high-quality cleaning, disinfecting and sanitizing products for commercial, governmental and personal consumer use. Additionally, Flotek empowers the energy industry to maximize the value of their hydrocarbon streams and improve return on invested capital through its real-time data platforms and green chemistry technologies. Flotek serves downstream, midstream and upstream customers, both domestic and international. Flotek is a publicly traded company headquartered in Houston, Texas, and its common shares are traded on the New York Stock Exchange under the ticker symbol "FTK." For additional information, please visit Flotek's web site at www.flotekind.com.
Michael Heim, Senior Research Analyst, Noble Capital Markets, Inc.
Refer to the full report for the price target, fundamental analysis, and rating.
Flotek expands its agreement with Profrac. Revenues now estimated to be $2 billion. Management held a call with analysts and investors to discuss an expansion of its agreement with Profrac. Management was very upbeat about the deal and provided additional details regarding its expectations for revenues ($200 million/year), timing details (in place by summer), and the company's ability grow supply (plant at 50% capacity, little additional capital required). Management also indicated that it now expects Flotek to be cash flow positive by year end and throughout the life of the contract.
The arrangement provides additional benefits. In addition to the bottom line, the agreement provides other, less-quantifiable benefits. These include revenue stability, critical mass to expand its customer base and purchase supplies at better rates, and a partner to draw attention to its environmentally-friendly energy solutions. Both firms have an incentive to see the other's operations grow and ...
This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).
*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary. Proper due diligence is required before making any investment decision.