Emerge Energy LP Downgraded to ” SELL” by Zacks
Emerge Energy Services LP (NYSE:EMES) was downgraded by Zacks Investment Research from a “hold” rating to a “sell” rating in a research note issued to investors on Monday.
Emerge Energy Services LP is a “growth-oriented” limited partnership engaged in the businesses of mining, producing, and distributing silica sand, a key input for the hydraulic fracturing of oil and natural gas wells, according to their website. Emerge Energy also processes transmix, distributes refined motor fuels, operates bulk motor fuel storage terminals, and provides complementary fuel services.
According to Zacks, “Emerge Energy Services LP is engaged in owning, operation, acquisition and development of energy service assets primarily in the United States. It operates in two business segments: sand and fuel processing and distribution. Emerge Energy Services LP is based in Southlake, Texas. “
EMES has been the topic of several other reports, according to The Cerbat Gem Market News and Analysis. Seaport Global Securities raised Emerge Energy Services from a “neutral” rating to a “buy” rating and set a $14.00 price objective on the stock in a report on Friday, June 24th.
Wunderlich raised their price objective on Emerge Energy Services from $4.00 to $9.00 and gave the company a “hold” rating in a report on Tuesday, June 14th.
Finally, DA Davidson lowered Emerge Energy Services from a “buy” rating to an “underperform” rating and set a $5.00 price objective on the stock. in a report on Monday, June 13th.
Three research analysts have rated the stock with a sell rating, two have issued a hold rating and two have issued a buy rating to the company. The stock currently has a consensus rating of “Hold” and an average target price of $8.92.
A Master Limited Partnership (MLP) is a type of limited partnership that is publicly traded. MLP’s receive the same tax benefits of a limited partnership combined with the liquidity of a publically traded security. In order to be classified as an MLP the partnership must receive 90% of its cash flow from a “qualifying source” – such as real estate, natural resources or commodities.
MLP’s are extremely complex and risky. They are only suitable for wealthy, sophisticated retail investors or institutional investors.
The White Law Group continues to investigate the liability that brokerage firms have for recommending oil and gas MLPs like Emerge Energy LP. For more information see, Update: Emerge Energy LP MLP Losses.
Brokerage firms that sell such products are required to perform adequate due diligence on the investments to ensure a reasonable likelihood of success, and to evaluate whether the investments are suitable in light of the client’s age, net worth, investment experience, and investment objectives. Firms that fail to perform adequate due diligence, or that make unsuitable recommendations, can be held responsible for losses in a FINRA arbitration claim.
If you suffered losses investing in Emerge Energy LP or another MLP and would like a free consultation with a securities attorney, please call The White Law Group at 1-888-637-5510.
The White Law Group is a national securities arbitration, securities fraud, and investor protection law firm with offices in Chicago, Illinois and Vero Beach, Florida.
For more information on The White Law Group, visit www.whitesecuritieslaw.com.