Stifel maintains Buy rating on Atlas Energy stock despite dividend suspension

Published 13/11/2025, 16:28
Stifel maintains Buy rating on Atlas Energy stock despite dividend suspension

Investing.com - Stifel has reiterated its Buy rating and $13.00 price target on Atlas Energy Solutions Inc (NYSE:AESI) despite recent share price weakness following disappointing third-quarter results. This target represents a 45% upside from the current price of $8.97, aligning with InvestingPro data showing the stock is currently undervalued.

Atlas Energy shares have declined after the company reported weaker-than-expected third-quarter 2025 results, provided soft guidance for the fourth quarter, and suspended its dividend payments. InvestingPro data reveals the stock has plummeted 23.77% in the past week alone and 57.48% over the last year, with shares now trading near their 52-week low of $8.47.

According to Stifel, the dividend suspension will allow Atlas Energy to maintain balance sheet flexibility while investing in Power Generation opportunities, which the firm views as a strategic priority.

The research firm acknowledged that near-term headwinds persist from weak U.S. completion activity in the energy sector, prompting Stifel to reduce its near-term forecasts for the company.

Despite these challenges, Stifel believes the risk/reward profile for Atlas Energy remains "compelling at current levels," citing a likely bottoming in U.S. land activity coupled with the company’s efficient logistics operations and growth opportunities in Power Generation. While currently unprofitable with a -$0.11 EPS over the last twelve months, analysts tracked by InvestingPro predict AESI will return to profitability this year, with targets ranging from $11 to $20 per share. Discover more insights in AESI’s comprehensive Pro Research Report, available with an InvestingPro subscription.

In other recent news, Atlas Energy Solutions reported its financial results for the third quarter of 2025, revealing a net loss with earnings per share of -$0.19. This figure was significantly below analysts’ expectations, which had projected earnings per share of $1.07. Despite the disappointing earnings, the company’s revenue exceeded forecasts, coming in at $259.6 million compared to the anticipated $237.1 million. These developments are part of the latest updates concerning Atlas Energy Solutions. The company’s financial performance has been closely watched by investors and analysts alike. The earnings miss and revenue beat indicate mixed results for the quarter. Analysts from various firms have been reviewing these outcomes to assess future implications. The company’s recent financial data provides essential insights for stakeholders.

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