Washington-based EIG Veteran Equity Aggregator, L.P., a significant stakeholder in USA Compression Partners, LP (NYSE:USAC), has recently sold a substantial number of common units in the company. The transactions, which occurred on May 22 and May 23, 2024, involved the sale of a total of 95,145 common units, resulting in aggregate proceeds of over $2.3 million.
On the first day of the sale, EIG Veteran Equity Aggregator unloaded 65,432 units at an average price of $24.4681 per share. The following day, the firm continued to divest its holdings, selling an additional 29,713 units at a slightly lower price of $24.1629 each. The sales took place within a price range of $24.1629 to $24.4681, reflecting a small variation in market prices over the two days.
After these transactions, EIG Veteran Equity Aggregator still holds a significant number of units in USA Compression Partners, indicating a continued investment in the natural gas transmission company. As of the last transaction, their holdings amounted to 5,585,634 common units.
The sales were disclosed in a regulatory filing with the Securities and Exchange Commission. EIG Veteran Equity Aggregator is known for its investments in energy and infrastructure, with a particular focus on long-term value creation. The managing entities involved in the sale included EIG Veteran Equity GP, LLC, and EIG Asset Management, LLC, with signatures from Managing Director Matthew Hartman and Senior Vice President Nick Williams.
Investors often monitor such transactions by major stakeholders to gauge insider sentiment and potential shifts in company ownership. The sale of USA Compression Partners units by EIG Veteran Equity Aggregator may be of interest to those following the market for energy-related investments.
InvestingPro Insights
As EIG Veteran Equity Aggregator divests a portion of its stake in USA Compression Partners, LP (NYSE:USAC), investors may be evaluating the company's financial health and future prospects. According to the latest data from InvestingPro, USA Compression Partners has a market capitalization of $2.81 billion and is experiencing notable revenue growth. The company's revenue for the last twelve months as of Q1 2024 amounted to $878.33 million, marking an 18.96% increase. This growth trend is also reflected in the quarterly figures, with a 16.31% rise in revenue in Q1 2024.
One of the InvestingPro Tips highlights that USAC operates with a significant debt burden, which is an important consideration for investors. However, it's also noted that the company has been able to maintain its dividend payments for 7 consecutive years, which can be attractive for income-focused investors. The dividend yield stands at a substantial 8.76% as of the latest data, with the ex-date of the last dividend being April 19, 2024.
While the P/E ratio of 58.78 suggests that the stock is trading at a high earnings multiple, the PEG ratio of 0.15 indicates potential for growth relative to earnings, which may be a factor for investors expecting future earnings improvements. Moreover, the company's stock generally trades with low price volatility, which could be a point of interest for those seeking stability in their investments.
For investors interested in a deeper analysis, there are additional InvestingPro Tips available at InvestingPro, which provide further insights into USA Compression Partners' financial metrics and investment profile. For those considering an InvestingPro subscription, use the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription. With this subscription, you can access a total of 12 InvestingPro Tips for USA Compression Partners, offering a comprehensive understanding of the company's financial standing and market position.
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