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Emerge Energy Services LP (NYSE:EMES): This Fast-Growth Stock Deserve Attention

Boston, MA 04/07/2014 (wallstreetpr) – Emerge Energy Services LP (NYSE:EMES) is a relatively young partnership limited company, having gone public last May. But despite  being at an early stage, the company has managed to push forward its stock in the past several months and on top of that it maintains high dividend payout.

The company is benefiting from the widely bullish business atmosphere in the energy sector and the fact that its production capacity is in progressive growth.  Moreover, the management can be seeing doing all that is possible to contain costs and expenses, not to forget efforts to gain market share. All these are helping the company to realize revenue growth and earnings improvement. Perhaps this explains why analysts have started getting more optimistic on the stock.

Although the latest unemployment numbers resulted in the fallout of many stocks, Emerge Energy Services LP (NYSE:EMES) was among the few stocks which defied market trend to register significant gain Friday. Shares rose to a new 52-week high at $72.50 and closed with a gain of almost 12 percent.

The gain in the stock came on the back of a bullish note on the stock from analysts at Robert W. Baird. The analysts upgraded the stock to outperform from neutral. As for the stock price, the analysts lifted their price target to $85 from $50. The new price target suggests a significant upside potential from the prevailing price which is in the range of $72. The positive change in analyst view on the stock seems to be influenced by the understanding that the management is executing well to put the company on a long-term profitability path.

High dividend

Emerge Energy Services LP (NYSE:EMES) pays significantly high dividend than many of its competitors. High dividend payout means that a lot of money is getting its way back to shareholders, which is good news for income investors.

New facility

Emerge Energy Services LP (NYSE:EMES) has a new facility which is expected to commence operations over the coming year. The management stated that the new facility will be able to increase production capacity by almost 70 percent and generate revenue of more than $110 million.

Published by Duncan Oleinic

Duncan Oleinic is from New Yourk. After graduating with a degree in physics, he began his career as an analyst in a broking firm. Through this experience he was able to advance to the role of correspondent for a U.S based financial news provider, where he worked from 2001 to 2007. He subsequently joined a merchant banking firm as a financial analyst focused on valuing unlisted companies in the sub-continent. Over the course of his two years here, he performed valuations of several media companies which were later acquired by peers.

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