Stock of the Day

October 18, 2023

USA Compression Partners (USAC)

$24.88
+$0.02 (+0.1%)
Market Cap: $3.60B

About USA Compression Partners

USA Compression Partners, LP provides compression services under term contracts with customers in the natural gas and crude oil industries in the United States. The company engineers, designs, operates, services, and repairs its compression units; and maintains related support inventory and equipment. It also provides compression services in various shale plays, including the Utica, Marcellus, Permian Basin, Delaware Basin, Eagle Ford, Mississippi Lime, Granite Wash, Woodford, Barnett, Haynesville, Niobrara, and Fayetteville shales. As of December 31, 2017, the company had approximately 1,799,781 horsepower in its fleet. It serves oil companies; and independent producers, processors, gatherers, and transporters of natural gas and crude oil. USA Compression GP, LLC operates as the general partner of USA Compression Partners, LP. The company was formerly known as Compression Holdings, LP, and changed its name to USA Compression Partners, LP in June 2011. USA Compression Partners, LP was founded in 1998 and is headquartered in Austin, Texas.

Today's Trend

USA Compression Partners, LP (NYSE: USAC) is receiving a modestly positive signal from updated analyst earnings forecasts. Zacks Research raised its EPS estimates across several upcoming periods, suggesting improved expectations for the company’s earnings trajectory.

  • Zacks increased its 2026 estimates to $0.21 EPS for the third quarter, $0.25 for the fourth quarter, and $1.04 for full-year 2026, up from $0.20, $0.24 and $1.02, respectively.
  • Forecasts for 2027 were also raised, with first-quarter EPS lifted to $0.31 from $0.30, second-quarter EPS to $0.29 from $0.28, and full-year EPS to $1.19 from $1.15.
  • Zacks raised its 2028 outlook as well: first-quarter EPS increased to $0.33 from $0.32, second-quarter EPS to $0.36 from $0.35, third-quarter EPS to $0.38 from $0.37, and full-year EPS to $1.41 from $1.38. These revisions may support the stock by indicating stronger long-term earnings expectations.
  • Despite the upward revisions, Zacks maintained a “Hold” rating on USA Compression Partners. The firm’s current full-year consensus EPS estimate remains $1.17, so the revisions are constructive but do not represent a broad analyst upgrade.

Overall, the news is mildly favorable for USAC because estimates improved for 2026 through 2028. However, the unchanged Hold rating and the relatively small size of the revisions may limit the stock’s upside reaction.

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