RBC Capital Downgrades Atlas Energy Solutions Inc (AESI) to Sector Perform

RBC Capital analyst Keith Mackey downgraded Atlas Energy Solutions Inc (NYSE: AESI) from Outperform to Sector Perform with a price target of $13.00 (from $16.00).

The analyst comments: "Soft Permian sand supply-demand balance to keep prices low. The Permian market remains relatively soft as we see about 59MM tons of sand demand in 2026 versus 64MM in 2025. As such, we are lowering our 2026 AESI sand sales volume forecast by 2MM to 23MM tons. Given soft demand, we expect sand prices to remain between $15-20/ton. Granted, some capacity has been reduced from the industry, but Atlas also has 5-10MM of spare capacity versus its 30MM ton nameplate. Low trucking rates hinder Dune Express from reaching full potential. Our bullish outlook for AESI included significant growth and margin expansion from the Dune Express. While the Dune has ramped up to about 1.5MM tons per quarter, gross margins in the logistics segment remain relatively soft at 21% in 2026, versus 17% in 2024. We believe the trucking industry's tolerance to work for compressed margins has delayed full margin realization of the Dune Express."

For an analyst ratings summary and ratings history on Atlas Energy Solutions Inc click here. For more ratings news on Atlas Energy Solutions Inc click here.

Shares of Atlas Energy Solutions Inc closed at $11.60 yesterday.

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