ProPetro: Pivot Into Industrial For A Multiple Rerate, But No Margin Of Safety

Core Insights - ProPetro (NYSE: PUMP) provides complementary services to upstream exploration and production (E&P) companies exclusively within the Permian Basin, indicating a focused operational strategy in a key oil-producing region [1] - The activity in the Permian Basin is closely tied to oil prices, suggesting that fluctuations in oil prices will directly impact ProPetro's business performance [1] - ProPetro is transitioning to electric fleets, which is expected to reduce sustaining capital expenditures (capex), indicating a strategic move towards more sustainable and cost-effective operations [1]