ProPetro (PUMP): Assessing Valuation After a 118% Three-Month Share Price Surge

ProPetro Holding Corp. +0.43% Post

ProPetro Holding Corp.

PUMP

9.39

9.39

+0.43%

0.00% Post

ProPetro Holding (PUMP) has quietly outpaced many energy peers over the past 3 months, with the stock up around 118%, even as recent daily and weekly moves have turned negative.

That surge sits against a more modest backdrop, with a year-to-date share price return of 3.75%, a 12.28% one-year total shareholder return and a 40.66% five-year total shareholder return, suggesting momentum is building but still vulnerable to pullbacks at the current 10.24 dollars share price.

If ProPetro’s recent run has you scanning for the next opportunity, now is a good time to broaden your search and discover fast growing stocks with high insider ownership.

With revenue grinding higher but profitability still uneven and the stock trading at a sizable discount to analyst targets, is ProPetro genuinely undervalued here, or is the market already baking in the next leg of growth?

Most Popular Narrative: 15.4% Undervalued

With ProPetro’s narrative fair value set at 12.11 dollars against a 10.24 dollars close, the story hinges on patient cash flow compounding and margin rebuild.

The company's accelerated transition to next-generation, dual-fuel and electric fleets, now comprising about 75% of its total fleet, positions ProPetro to capture premium contract pricing, win longer-term agreements, and benefit from rising ESG and efficiency standards, thereby improving net margins as older diesel competitors exit or are forced to idle capacity.

Curious how modest revenue growth, a sharp profit swing, and a lower than sector earnings multiple can still justify upside from here? The full narrative breaks down the math behind that gap in precise detail.

Result: Fair Value of $12.11 (UNDERVALUED)

However, significant oversupply in Permian pressure pumping and customer consolidation driven pullbacks could prolong weak utilization, undermining ProPetro’s pricing power and margin recovery.

Build Your Own ProPetro Holding Narrative

If you see the story differently or simply want to dig into the numbers yourself, you can build a custom view in just minutes: Do it your way.

A great starting point for your ProPetro Holding research is our analysis highlighting 3 key rewards and 2 important warning signs that could impact your investment decision.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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