USA Compression Partners (NYSE:USAC) Issues Quarterly Earnings Results, Hits Expectations

USA Compression Partners (NYSE:USAC) released its earnings results on Tuesday. The oil and gas company reported $0.28 earnings per share (EPS) for the quarter, hitting the consensus estimate of $0.28, Zacks reports. The company had revenue of $252.48 million during the quarter, compared to analyst estimates of $253.43 million. USA Compression Partners had a net margin of 10.99% and a negative return on equity of 76.84%.

Here are the key takeaways from USA Compression Partners’ conference call:

• The company closed the J-W Power acquisition (Jan 12, 2026), expanding its national footprint and active horsepower (Permian ~1.7M hp) and adding a manufacturing business plus ~200,000 idle hp (≈50,000 hp deemed readily deployable).
• USA Compression reported record 2025 results—Adjusted EBITDA $613.8M and DCF $385.7M—and provided 2026 guidance with J-W of Adj. EBITDA $770–800M and DCF $480–510M, while targeting leverage improvement to ~3.75x.
• 2026 capital plan calls for $230–250M expansion capex (≈105,000 new hp, ~2% fleet growth) with most deliveries expected in late Q3–Q4 and ~50% of new hp already contracted; the acquired manufacturing capacity offers optionality to help address long lead times.
• Management expects to realize about $10–20M of annual run-rate synergies by end of 2027 from route, inventory, contract, and G&A optimization, but warned J-W’s inclusion will initially lower aggregate gross margins with alignment over the next two years.
• Industry lead times for new equipment have stretched to over two years (driven by Caterpillar engine demand), and management flagged potential future equipment price increases, posing timing and cost risks to growth and margins.

USA Compression Partners Stock Down 0.8%

USAC opened at $26.38 on Wednesday. The company has a market cap of $3.24 billion, a P/E ratio of 32.98 and a beta of 0.23. The firm’s 50-day moving average price is $24.76 and its 200-day moving average price is $24.07. USA Compression Partners has a 52-week low of $21.59 and a 52-week high of $28.79.

USA Compression Partners Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Friday, February 6th. Stockholders of record on Monday, January 26th were given a $0.525 dividend. The ex-dividend date of this dividend was Monday, January 26th. This represents a $2.10 dividend on an annualized basis and a dividend yield of 8.0%. USA Compression Partners’s dividend payout ratio (DPR) is presently 262.50%.

Institutional Investors Weigh In On USA Compression Partners

A number of institutional investors have recently modified their holdings of USAC. Royal Bank of Canada raised its holdings in shares of USA Compression Partners by 0.4% during the fourth quarter. Royal Bank of Canada now owns 127,146 shares of the oil and gas company’s stock valued at $2,924,000 after acquiring an additional 521 shares during the last quarter. Commonwealth Equity Services LLC raised its stake in USA Compression Partners by 5.7% in the 4th quarter. Commonwealth Equity Services LLC now owns 13,482 shares of the oil and gas company’s stock valued at $310,000 after purchasing an additional 724 shares during the last quarter. Kestra Advisory Services LLC boosted its stake in USA Compression Partners by 1.7% during the 4th quarter. Kestra Advisory Services LLC now owns 45,800 shares of the oil and gas company’s stock worth $1,053,000 after purchasing an additional 758 shares during the last quarter. BNP Paribas Financial Markets raised its position in shares of USA Compression Partners by 233.3% in the third quarter. BNP Paribas Financial Markets now owns 1,443 shares of the oil and gas company’s stock valued at $35,000 after buying an additional 1,010 shares during the last quarter. Finally, Mariner LLC lifted its stake in shares of USA Compression Partners by 8.6% in the fourth quarter. Mariner LLC now owns 16,565 shares of the oil and gas company’s stock worth $381,000 after buying an additional 1,313 shares in the last quarter. 47.77% of the stock is currently owned by institutional investors and hedge funds.

Analyst Ratings Changes

A number of research firms recently weighed in on USAC. Citigroup restated a “neutral” rating on shares of USA Compression Partners in a research note on Tuesday, December 2nd. Wall Street Zen upgraded USA Compression Partners from a “hold” rating to a “buy” rating in a research report on Saturday, February 7th. Mizuho boosted their price target on shares of USA Compression Partners from $23.00 to $25.00 and gave the stock a “neutral” rating in a research report on Monday, January 12th. Finally, Zacks Research cut shares of USA Compression Partners from a “strong-buy” rating to a “hold” rating in a research note on Thursday, January 1st. Three investment analysts have rated the stock with a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat.com, the stock currently has an average rating of “Reduce” and an average target price of $25.67.

Trending Headlines about USA Compression Partners

Here are the key news stories impacting USA Compression Partners this week:

• Positive Sentiment: Reported record Q4 revenue and strong EBITDA results, which management highlighted on the earnings call and in the press release — supports the Partnership’s growth narrative and cash-generation profile. USA Compression Reports Fourth-Quarter 2025 Results
• Positive Sentiment: Management gave forward guidance for 2026 adjusted EBITDA of $770M–$800M while integrating the J-W Power acquisition — a sizable EBITDA target that suggests meaningful scale and supports valuation multiple expansion if achieved. USA Compression forecasts $770M–$800M adjusted EBITDA in 2026
• Neutral Sentiment: Filed the 2025 Form 10‑K (timely SEC filing), providing full-year disclosures and transparency for investors evaluating leverage, covenants and acquisition-related disclosures. Form 10-K Filing Announcement
• Neutral Sentiment: Earnings call presentation and transcript are available for detail on performance drivers, pro forma metrics and integration plans — useful for assessing whether the guidance and one-time items are being phased as management describes. Earnings Call Presentation
• Negative Sentiment: Reported EPS of $0.22 missed consensus ($0.28); revenue was essentially flat vs. estimates — the earnings miss is driving near-term pressure as it underscores margins and one-off impacts despite record revenue. Q4 Earnings Miss Coverage
• Negative Sentiment: Commentary and filings flag integration costs and transitional items tied to J‑W Power that could keep near-term margins and reported earnings volatile even as EBITDA scales — investors may punish short-term EPS misses. Earnings Call Transcript

About USA Compression Partners

USA Compression Partners (NYSE: USAC) is a Houston-based master limited partnership specializing in natural gas compression services for oil and gas producers. The company offers a full suite of midstream compression solutions designed to enhance production flow and optimize field operations. Its core activities include the design, engineering, fabrication, installation, operation and maintenance of natural gas compression equipment onshore across key U.S. basins.

USA Compression’s product and service offerings encompass new equipment deployment, aftermarket parts and component sales, field service support, and instrumentation and control systems.