
TH Stock Forecast & Price Target
TH Analyst Ratings
Bulls say
Target Hospitality Corp's stock outlook is bolstered by a substantial $1.2 trillion investment in data center infrastructure aimed at supporting artificial intelligence projects, which is anticipated to drive demand for the company’s specialty rental and hospitality services. The company recently secured a five-year contract in South Dilley projected to generate $246 million in revenue, providing strong revenue visibility and stability. Furthermore, the potential for up to 1,500 beds in this contract highlights significant growth opportunities to cater to housing needs near these data centers, particularly in remote locations.
Bears say
Target Hospitality Corp faces a negative outlook primarily due to the anticipated unfavorable terms associated with contracting its PCC assets (Pecos) for government work or alternative markets, which diverges from more favorable conditions of previously canceled contracts. The company's vulnerability is further underscored by the risks associated with a potential decline in U.S. land drilling and completions activity, which could exacerbate issues of idled rooms and underutilization of resources. Additionally, reliance on government contracts for revenue makes the company susceptible to fluctuations in government spending and contract awards, heightening financial uncertainty.
This aggregate rating is based on analysts' research of Target Hospitality Corp and is not a guaranteed prediction by Public.com or investment advice.
TH Analyst Forecast & Price Prediction
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