USA Compression Partners Sets New Revenue Records, Analysts Anticipate 12.27% Upside

USA Compression Partners (USAC) reported record Q2 revenues and growth forecasts, driven by strong natural gas demand and strategic horsepower acquisitions. Analysts expect a potential upside of 12.27% with a "Hold" recommendation. The company's future growth is expected to continue due to robust margins and high utilization rates.

USA Compression Partners, LP (USAC) has reported record second-quarter (Q2) revenues and growth forecasts, driven by strong natural gas demand and strategic horsepower acquisitions. The company's Q2 revenue stood at $250.1 million, exceeding FactSet estimates of $246.7 million [1].

Key highlights from the report include robust margins and high utilization rates, indicating efficient operational management. Despite economic challenges, USAC maintained solid margins and high utilization rates, setting new benchmarks in revenue and average revenue per horsepower [2]. Analysts anticipate a potential upside of 12.27% with a "Hold" recommendation, suggesting a neutral sentiment from industry experts [2].

The company's future growth is expected to continue, driven by an increase in global natural gas demand. USAC recently acquired 48,000 new horsepower, aiming to reach a projected record of over 3.6 million active horsepower in the fourth quarter [2]. The acquisition is a strategic move to capitalize on the growing demand for natural gas compression services.

Wall Street analysts have an average target price of $27.00 for USAC, with estimates ranging from $30.00 to $22.00. This suggests a potential upside of 12.27% from the current stock price of $24.05 [2]. The consensus recommendation from six brokerage firms is a "Hold," indicating a neutral sentiment [2].

USA Compression Partners LP reported a GAAP EPS of $0.22 for Q2 2025, with revenue of $250.1 million, up 6.3% year-over-year and beating estimates by $3.11 million [3]. Distributable Cash Flow (DCF) was $89.9 million for the second quarter of 2025, compared to $85.9 million for the same period in 2024. DCF coverage was 1.40x for the second quarter of 2025, consistent with the previous year [3].

GuruFocus estimates the GF Value for USAC in the coming year at $24.20, suggesting a modest upside potential of 0.62% from the current share price of $24.05 [2].

References:

[1] https://www.marketscreener.com/news/earnings-flash-usac-usa-compression-partners-lp-reports-q2-revenue-250-1m-vs-factset-est-of-2-ce7c5ed9df89fe24
[2] https://www.gurufocus.com/news/3041162/usa-compression-partners-usac-reports-record-q2-revenues-and-growth-forecast
[3] https://seekingalpha.com/news/4479622-usa-compression-partners-gaap-eps-of-0_22-in-line-revenue-of-250_1m-beats-by-3_11m