U.S. Silica Holdings Inc. (NYSE: SLCA) reached its 52-week low today, after dropping more almost $4 from $34.16 at open to $30.51 around noon today. The stock has rebounded slightly, but is still 7% under today’s open price, even after almost a month of consistent growth.
The stock has been in near free fall for months now, but with highly attractive revenue and profits expected to be released on August 1st, investors on Wall Street are becoming more bullish, with 18 out of 22 analysts supporting a Buy rating and projecting a $58.64 target price. EPS is expected to jump all the way to $0.34 from last year’s -$0.17 and profit is predicted to reach $26 million for a 23.56 P/E, if the EPS does indeed come out to $0.34. Furthermore, the company has outperformed S&P 500 by 40.33% from July 7th, 2016.
The stock bottoming out about a month before its expected reports are released is a tantalizing opportunity considering how positive investors expect the reports to be. With the increased reliance on shale in the United States and the constant growth of fracing fields, U.S. Silica is expected to continue growing and should see a rebound in their stock troubles.