USA Compression Partners, LP (USAC)
For informational purposes only. Not financial advice. Analysis by Sedat ANAK, Founder & Editor-in-Chief | AI-powered analysis. Data sourced from SEC filings and institutional-grade financial providers. Editorially reviewed. Not financial advice.
USA Compression Partners, LP (USAC) trades at $25.84 with AI Score 63/100 (Grade B+). USA Compression Partners, LP (USAC) is a growth-oriented Delaware limited partnership focused on providing natural gas compression services. Market cap: $3.12B, Sector: Energy.
Price live · AI analysis from May 10, 2026USAC stock analysis for 2026: Analysts have set a consensus price target of $27.50 for USA Compression Partners, LP, suggesting 6.4% upside from the current price of $25.84. The AI MoonshotScore is 63/100, indicating a bullish outlook. Key factors: analyst coverage, AI-driven quantitative scoring.
USAC: 4/7 perspectives are bullish. Dominant signal: Seth Klarman bullish.
How is this calculated? →USA Compression Partners, LP (USAC) Energy Operations & Outlook
USA Compression Partners, LP (USAC) specializes in natural gas compression services, boasting a significant compression fleet horsepower. Serving oil and gas infrastructure, including gathering systems and processing facilities, USAC distinguishes itself through its focus on centralized compression solutions within the energy sector.
What Is the Investment Thesis for USAC?
USA Compression Partners, LP presents a compelling investment thesis centered on its strategic position in the natural gas compression services market. With a market capitalization of $3.12B and a dividend yield of 7.46%, USAC offers an attractive income stream for investors. The company's profit margin of 11.9% and gross margin of 51.6% indicate strong operational efficiency. Growth catalysts include increasing demand for natural gas compression services driven by rising natural gas production and infrastructure development. However, potential risks include fluctuations in natural gas prices and regulatory changes affecting the energy sector. The company's beta of 0.17 suggests relatively low volatility compared to the broader market.
Based on FMP financials and quantitative analysis
USAC Key Highlights
- Market capitalization of $3.12B, reflecting significant investor confidence in the company's market position.
- Dividend yield of 7.46%, providing a substantial income stream for investors.
- Profit margin of 11.9%, indicating effective cost management and operational efficiency.
- Gross margin of 51.6%, showcasing the company's ability to generate revenue from its compression services.
- Beta of 0.17, suggesting lower volatility compared to the overall market, making it a potentially stable investment.
Who Are USAC's Competitors?
USAC is benchmarked below against 8 industry peers on price, market cap, and our AI MoonshotScore.
| Company | Price | Change | Market Cap | AI Score |
|---|---|---|---|---|
| KGS Kodiak Gas Services, Inc. | $66.78 | -1.71% | $6.74B | 88 |
| LBRT Liberty Energy Inc. | $23.50 | -1.20% | $3.84B | 55 |
| HP Helmerich & Payne, Inc. | $30.69 | -1.95% | $3.07B | 50 |
| BSM Black Stone Minerals, L.P. | $13.54 | -1.78% | $2.88B | 99 |
| KNTK Kinetik Holdings Inc. | $47.44 | -0.65% | $3.49B | 48 |
| PLSDF Pulse Seismic Inc. | $2.39 | +1.27% | $121.21M | 67 |
| LB LandBridge Company LLC | $76.84 | +4.19% | $5.92B | 63 |
| SEI Solaris Energy Infrastructure, Inc. | $67.46 | +0.40% | $4.84B | 63 |
AI Score by Stock Expert AI · Price data: FMP / Yahoo Finance
What Are USAC's Key Strengths?
- Large compression fleet horsepower.
- Established customer base in key energy-producing regions.
- Expertise in operating and maintaining compression equipment.
- Strong financial performance with solid profit and gross margins.
What Are USAC's Weaknesses?
- Dependence on the cyclical oil and gas industry.
- Exposure to fluctuations in natural gas prices.
- Potential for equipment failures and downtime.
- Sensitivity to regulatory changes affecting the energy sector.
What Could Drive USAC Stock Higher?
- Increasing natural gas production in key shale plays driving demand for compression services.
- Infrastructure development projects requiring compression solutions.
- Potential acquisitions of smaller compression service providers to expand market share.
- Technological advancements leading to more efficient compression equipment.
What Are the Key Risks for USAC?
- Financial-distress signal — its Altman Z-Score of 1.18 sits in the distress zone (elevated bankruptcy risk).
- Rich valuation — a P/E of 27.7 runs well above the Energy sector’s ~17x, leaving little room for a miss.
- Fluctuations in natural gas prices impacting profitability.
- Stricter environmental regulations increasing compliance costs.
- Increased competition from other compression service providers.
- Equipment failures and downtime affecting service delivery.
What Are the Growth Opportunities for USAC?
- Growth opportunity 1: Expansion of Compression Fleet: Investing in and deploying additional compression units to capitalize on growing demand in key shale plays. The market for compression services is directly tied to natural gas production volumes, which are projected to increase in the coming years. This expansion allows USAC to secure new contracts and increase revenue, with a potential timeline of 1-3 years for significant fleet growth.
- Growth opportunity 2: Strategic Acquisitions: Pursuing strategic acquisitions of smaller compression service providers to consolidate market share and expand geographic reach. The fragmented nature of the compression services market presents opportunities for USAC to acquire complementary businesses and integrate them into its existing operations. This strategy could yield significant synergies and enhance USAC's competitive position within 2-5 years.
- Growth opportunity 3: Technological Innovation: Investing in research and development to develop and deploy more efficient and environmentally friendly compression technologies. The demand for lower-emission compression solutions is growing, driven by stricter environmental regulations and increasing focus on sustainability. USAC's investment in innovation will enable it to offer differentiated services and attract environmentally conscious customers within 3-5 years.
- Growth opportunity 4: Infrastructure Development: Capitalizing on the growing need for natural gas infrastructure, including pipelines and processing facilities, to provide compression services for new projects. As natural gas production increases, the demand for infrastructure to transport and process the gas will also grow. USAC can leverage its expertise and experience to secure contracts for these new projects, with a potential timeline of 2-4 years for significant infrastructure development.
- Growth opportunity 5: Renewable Natural Gas (RNG) Compression: Expanding into the renewable natural gas (RNG) sector by providing compression services for RNG production facilities. The RNG market is experiencing rapid growth, driven by increasing demand for renewable energy sources and government incentives. USAC can leverage its existing compression expertise to serve this emerging market, with a potential timeline of 1-3 years for significant RNG market penetration.
What Opportunities Does USAC Have?
- Expansion into new geographic markets.
- Strategic acquisitions of smaller compression service providers.
- Development and deployment of more efficient compression technologies.
- Capitalizing on the growing demand for natural gas infrastructure.
What Threats Does USAC Face?
- Increased competition from other compression service providers.
- Decline in natural gas production due to market conditions.
- Stricter environmental regulations impacting compression operations.
- Technological advancements rendering existing compression equipment obsolete.
What Are USAC's Competitive Advantages?
- Significant compression fleet horsepower, providing economies of scale.
- Established relationships with key players in the oil and gas industry.
- Expertise in operating and maintaining compression equipment.
- Focus on infrastructure applications, providing essential services.
What Does USAC Do?
USA Compression Partners, LP, established in 1998 and headquartered in Dallas, Texas, operates as a growth-oriented Delaware limited partnership. The company is a major player in the natural gas compression services sector, distinguished by its substantial compression fleet horsepower. USAC provides compression services to a diverse clientele, including oil companies, independent producers, processors, gatherers, and transporters of natural gas and crude oil. Its operations extend to operating compression stations, primarily catering to infrastructure applications such as centralized natural gas gathering systems and processing facilities. These services are critical for maintaining and enhancing the efficiency of natural gas transportation and processing. USAC's strategic focus on infrastructure applications positions it as a key enabler in the midstream energy sector, supporting the flow of natural gas from production sites to end-users. The company's commitment to growth is reflected in its continuous investment in its compression fleet and its expansion into key energy-producing regions. With a history spanning over two decades, USA Compression Partners, LP has established itself as a reliable and experienced provider of natural gas compression solutions.
What Products and Services Does USAC Offer?
- Provides natural gas compression services.
- Offers compression services to oil companies and independent producers.
- Serves processors, gatherers, and transporters of natural gas and crude oil.
- Operates compression stations.
- Focuses on infrastructure applications like centralized natural gas gathering systems.
- Supports processing facilities.
How Does USAC Make Money?
- Generates revenue by providing natural gas compression services.
- Contracts with oil and gas companies for compression capacity.
- Operates and maintains compression equipment and facilities.
- Focuses on long-term contracts to ensure stable revenue streams.
What Industry Does USAC Operate In?
USA Compression Partners, LP operates within the oil and gas equipment and services industry, a sector characterized by its cyclical nature and sensitivity to energy prices. The industry is currently experiencing growth driven by increasing natural gas production and infrastructure development. Key trends include the adoption of advanced compression technologies and a focus on environmental sustainability. The competitive landscape includes companies such as KGS: Kodiak Gas Services, Inc. and KNTK: Kinetik Holdings Inc., which also provide natural gas compression services. USAC's focus on infrastructure applications positions it as a key player in supporting the midstream energy sector.
Who Are USAC's Key Customers?
- Oil companies
- Independent producers
- Processors of natural gas
- Gatherers of natural gas
- Transporters of natural gas and crude oil
Company Profile
USA Compression Partners, LP operates in the Oil & Gas Equipment & Services industry within the Energy sector. It is headquartered in Dallas, US. The company is led by CEO Micah C. Green. USAC has traded publicly since 2013.
How USA Compression Partners, LP Is Valued
USA Compression Partners, LP carries a market capitalization of $3.12B, placing it in the mid-cap category. Relative to its peer group, USAC's quantitative score of 63/100 is roughly in line with the peer average of 68/100.
P/E 27.7Key Financial Metrics
Return on assets is 3.5%, showing how much profit it generates from its asset base. USAC trades at a trailing price-to-earnings ratio of 27.70, above the Energy sector average of ~17x. Its free cash flow yield is 9.5%, a gauge of the cash the business throws off relative to its market value. A current ratio of 1.55 indicates the company holds enough short-term assets to cover its near-term obligations. Its earnings yield is 3.4%, the inverse of the P/E and a quick read on earnings relative to price.
F-Score 6/9Financial Health
USA Compression Partners, LP's Piotroski F-Score is 6/9, a 9-point checklist of profitability, leverage and efficiency — a middling fundamental profile. Its Altman Z-Score of 1.18 places it in the distress zone, a signal of elevated financial risk.
FY2026 estForward Outlook
Wall Street analysts project USA Compression Partners, LP revenue of about $1.36B for fiscal 2026, with EPS near $1.16. The estimate reflects 3 contributing analysts.
USAC Financials
Fundamental Snapshot
Based on FMP financials and quantitative analysis · FY 2025
Bull Case vs Bear Case
Bull Case
- Insiders seem to be accumulating shares, which often signals confidence in the company's future prospects.
- The general buzz in the community suggests people think the energy sector, where USAC operates, is poised for growth.
- There's a growing perception that natural gas compression services, which USAC provides, are becoming increasingly vital for energy infrastructure.
- Recent market developments indicate a renewed interest in midstream energy companies, potentially benefiting USAC.
Bear Case
- Some community members are worried about the long-term viability of fossil fuel infrastructure, which could impact USAC's business.
- There's concern that increasing competition in the gas compression space might squeeze USAC's margins.
- A few insiders have recently reduced their holdings, raising questions about their long-term commitment.
- The overall market sentiment, while positive for energy, shows some apprehension about regulatory changes affecting the sector.
AI-generated arguments based on insider flow, news sentiment and technicals — not financial advice · March 2026
USAC Latest News
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benzinga · May 19, 2026
USAC Analyst Consensus
Consensus Rating
Aggregated Buy/Hold/Sell recommendations from Benzinga, Yahoo Finance, and Finnhub for USAC.
Price Targets
Consensus target: $27.50
USAC MoonshotScore
What does this score mean?
The MoonshotScore rates USAC's growth potential on a scale of 0-100 across multiple factors including innovation, market disruption, financial health, and momentum.
Leadership: Micah C. Green
CEO
Micah C. Green serves as the CEO of USA Compression Partners, LP, bringing extensive experience in the energy sector. His career spans various leadership roles, with a focus on operations and strategic development. Green's background includes a strong emphasis on optimizing asset performance and driving growth initiatives within the energy infrastructure space. He has a proven track record of managing large teams and implementing innovative solutions to enhance operational efficiency. He manages 854 employees.
Track Record: Under Micah C. Green's leadership, USA Compression Partners, LP has focused on expanding its compression fleet and strengthening its market position. Key achievements include securing long-term contracts with major oil and gas producers and implementing operational improvements to enhance profitability. Green has also overseen strategic initiatives to optimize the company's asset portfolio and drive sustainable growth.
Common Questions About USAC (Energy)
What does USA Compression Partners, LP do?
USA Compression Partners, LP specializes in providing natural gas compression services to the oil and gas industry. The company operates a large fleet of compression equipment and offers services to oil companies, independent producers, processors, gatherers, and transporters of natural gas and crude oil. USAC focuses on infrastructure applications, including centralized natural gas gathering systems and processing facilities, ensuring the efficient transportation and processing of natural gas from production sites to end-users. Their expertise lies in maintaining and optimizing compression operations, which are critical for the energy sector.
What do analysts say about USAC stock?
Analyst consensus on USA Compression Partners, LP (USAC) reflects a generally positive outlook, driven by the company's strong market position and attractive dividend yield. Key valuation metrics, such as the price-to-earnings ratio of 27.7, are considered in relation to the company's growth prospects and industry trends. Analysts also consider the company's ability to maintain its profit and gross margins, as well as its exposure to fluctuations in natural gas prices. The overall sentiment suggests that USAC is a stable investment with potential for long-term growth, but investors should carefully consider the risks associated with the energy sector.
What are the main risks for USAC?
The primary risks for USA Compression Partners, LP stem from its dependence on the cyclical nature of the oil and gas industry. Fluctuations in natural gas prices can significantly impact the demand for compression services, affecting the company's revenue and profitability. Stricter environmental regulations could increase compliance costs and require investments in new technologies. Increased competition from other compression service providers could put pressure on pricing and market share. Additionally, equipment failures and downtime pose operational risks that could disrupt service delivery and impact customer satisfaction.
What are the key factors to evaluate for USAC?
USA Compression Partners, LP (USAC) holds an AI score of 63/100 (moderate). P/E: 27.7x vs the S&P 500's ~20-25x. Analysts target $27.50 (+6%). Not financial advice.
How frequently does USAC data refresh on this page?
USAC prices update in real time during U.S. market hours. Fundamentals refresh after quarterly filings; analyst ratings and AI insights update daily; news is aggregated continuously.
What has driven USAC's recent stock price performance?
USA Compression Partners, LP (USAC) moves on earnings results, analyst revisions, sector rotation, and market sentiment. Notable catalyst: Large compression fleet horsepower. See the News tab for the latest drivers. Past performance does not predict future results.
Should investors consider USAC overvalued or undervalued right now?
USA Compression Partners, LP (USAC) trades at 27.7x earnings. Analysts target $27.50 (+6%) — near fair value. Compare P/E, P/S, and EV/EBITDA against sector peers for a full view.
What research should beginners do before buying USAC?
Before investing in USA Compression Partners, LP (USAC), research these four areas: (1) the company's revenue model and competitive position (see Company Overview), (2) financial health through revenue growth, margins, and cash flow (see MoonshotScore), (3) what Wall Street analysts recommend and their price targets (see Analyst tab), and (4) specific risk factors that could impact the stock (see Risk Factors section).
Disclaimer: This content is for informational purposes only and does not constitute investment advice. Always do your own research and consult a financial advisor.
Official Resources
Data provided for informational purposes only.
- Information is based on available data and may be subject to change.
- Financial metrics are as of the latest available reporting period.