Piper Sandler Cuts Flowco (FLOC) PT to $33, Keeps Overweight Rating

Flowco Holdings Inc. (NYSE:FLOC) is one of the cheap new stocks to buy according to analysts. Earlier on May 13, Flowco announced its results for Q1 2025, which later prompted Piper Sandler analyst Derek Podhaizer to lower Flowco’s price target to $33 from $34 on May 14, while maintaining an Overweight rating on the shares. The revision followed a slight earnings miss and an underperformance in stock price, contrasting with a flat performance in the broader oil services ETF (OIH).

In Q1, Flowco reported a revenue of $192.4 million, which is higher than the Q4 2024 revenue of $186 million. Flowco operates in two segments, called Production Solutions and Natural Gas Technologies. The Production Solutions segment generated revenues of $116 million in Q1, which was a 2.3% sequential increase. While the Natural Gas Technologies segment reported revenues of $76.4 million, which was up 5.1%.

An oil tanker heading out to sea, a symbol of the company’s processes and operations.

However, at the same time, the President and CEO, Joe Bob Edwards, acknowledged the challenging US upstream outlook due to evolving tariff policies, OPEC+ commentary that suggests accelerated production, and economic uncertainty. He believes that these factors may have led many customers to modestly reduce capital spending.

Flowco Holdings Inc. (NYSE:FLOC) provides production optimization, artificial lift, and methane abatement solutions for the oil & natural gas industry in the US.

While we acknowledge the potential of FLOC as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.