---
title: "Cap Rock Energy Corporation"
url: https://duttonassociates.com/research/RKE/
description: "Company profile for Cap Rock Energy Corporation (RKE) as published by Dutton Associates, with company facts and the firm's published research on the company."
---

# Cap Rock Energy Corporation

RKE

AMEX

500 West Wall Street
Suite 400
Midland, TX 79701
(915) 683-5422

Cap Rock Energy (formerly Cap Rock Cooperative) was established in 1939 to provide electric service to rural customers in West Texas. They currently serve over 34,000 customers (meters) in 31 counties in Texas, manage a municipal electric utility, and operate a 10,400-member electric cooperative. The Company currently has 92 full-time employees and operates from its 50,000-square-foot home office in Midland, Texas. Historically, the Company has been involved in many areas of the electric utility industry. This has included the transmission, distribution, and sale of electricity purchased from electric generating companies under long-term contracts. The future focus will be primarily on distribution in larger markets.

The $210 billion electric utility industry is undergoing a regulatory

transition. Cap Rock has an opportunity to transform itself from a cooperative

structure with capital limitations to a more dynamic electrical distribution

stock company. This would provide the ability to expand its customer base

by acquiring small to medium-sized electric distribution companies with

growth opportunities, and smaller telecommunications companies. Growth

through acquisition will provide significant benefit to Cap Rock in a

deregulated market. For example, the Company plans to cross-sell services

across various lines of service, including telephone and wireless customers,

to mitigate the cyclical nature of the electric distribution business.

The Company has applied for listing of its shares on the American Stock

## Company Facts

**Symbol**: RKE

**Exchange**: AMEX

**Equity Data**: (as of 3/31/01)

**Shares Outstanding**: 1,302,000 shares

**Recent Trading Price**: $12.10

**J.M. Dutton Analyst**: Michael Schmidt, CFA

**Current rating**: Sell

**Price target**: $21.75

**Rating established**: 11/07/2005

www.caprockenergy.com

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[Rating schedule](https://duttonassociates.com/Ratings/Ratings.html)

## Published Research

- 11/17/2003Research noteCap Rock Energy Reports Good Q3 And Nine Mos. Results
- 09/18/2003Research noteCap Rock Energy Arranges $31.5 Million Finance Package
- 08/27/2003Research noteCap Rock Q2 Net Up 181% to $2.6 Million On 5% Revenues Gain
- 05/20/2003Research noteLegislature Passes Bill 1280 Which Could Affect Cap Rock Energy
- 05/19/2003Research noteCap Rock Energy Reports Higher Q1 Results
- 04/17/2003Research noteCap Rock - Special Interest Group Gets Senate Bill 1280 Passed, Defeat Expected In Texas House
- 04/15/2003Research noteCap Rock Q4 & 2002 Net Income Soars; EPS For 2002 Hits $6.75
- 02/13/2003Research noteElectric Distributors Show Strength
- 10/23/2002Research noteCap Rock Regulation Update - Good News