ProPetro Holding (PUMP)

PROPWR is becoming the real story here, landing a hyperscaler data center contract just 10 months after launch while the legacy frac business controlled flight into terrain continues. The market sees an OFS company getting crushed by oversupply, but the reality is a power generation startup using completions cash flow as rocket fuel, with 220MW contracted by year-end growing to 1GW by 2030. The binding constraint isn't demand but execution risk on scaling 5x in 3 years with mostly non-binding financing. Management's quote that they 'could be fully utilized today easily' but chose not to reveals they're picking margin over volume, rare discipline in OFS. My view changes if the $350M facility terms prove onerous or if completions FCF turns negative, killing the self-funding story.