Solaris (SOI) Q3 Results - Nov 3

[dan_s]

Stifel's take

Solaris Oilfield Infrastructure, Inc. (SOI, $8.05, Buy; Target $12.00) - SOI Beats
on Higher Deployed Systems, Solid 2022 Growth Expected - Stephen Gengaro -

Solaris' 3Q21 revenue EBITDA improved sequentially and exceeded our projections,
driven by higher deployed systems. We expect about flat 4Q21 activity and a solid
improvement in 2022 with U.S. upstream spending likely rising 20%+. We are
expecting solid 2022-23 growth, but we are lowering our 2022 EBITDA forecast based
on a 26% rise in fully utilized systems. Strong traction from new products and potential
share gain could lead to upside to our projections. We are trimming our target price
to $12 from $13.
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Solaris has a "pristine" balance sheet and strong cash flow to support their dividend. I think it has a lot of upside for us in 2022. BUY for nice dividend and shot at 50% share price appreciation over next 12 months.