Boston, MA 03/18/2014 (wallstreetpr) – Emerge Energy Services LP (NYSE:EMES) through its analyst Vaibhav Vaishnav has reiterated a buy rating on Emerge Energy stock which continues to show significant strengths in the market. The company’s share price has also been raised from $50 to $61
Bank of America now maintain a distribution estimate of $4.30 per unit of Emerge Energy above the earlier issued guidance of between $3.80 and $4. This is mainly as a result of increased demand of frac sand.
Emerge Energy Services LP (NYSE:EMES) had announced the opening of two more frac sand facilities that are expected to double the company’s capacity by the end of the year. The company expects its distribution estimate for 2015 to surge to a high of $6.35 up from $4.35 reported in the fourth quarter of 2013.
Emerge Energy last posted its fourth quarter and full year results on March 13 in which adjusted EBITDA for the fourth quarter came in at $24.6 million with distributable cash flow of $22.1 million.
Emerge Energy Fourth quarter and Full year results’
Emerge Energy Services LP (NYSE:EMES) fourth quarter net income came in at $14 million an increase, compared to a net income of $2.9 million reported for the same period in 2012. Full year net income clocked in at a high of $35.2 million up from $17.2 million reported in 2012.
Emerge Energy fourth quarter distribution grew by 61% over the initial $0.62 distribution estimate with the company announcing a distribution of $1 per unit for the quarter. The company’s fuel segment has been on a roll over the past year recording impressive adjusted EBITDA that beat estimates. Emerge Energy expects its terminalling operations to perform even better in the current fiscal year having taken delivery of the first shipments on the colonial shipments
Emerge Energy Services LP (NYSE:EMES) continues with its rally in the recent trading session with its stock gaining by as much as 4.09% on Monday trading session to close the day at a high of $55.43.
