Matador Resources (NYSE:MTDR) Trading Down 6% – Here’s Why

Matador Resources Company (NYSE:MTDR) shares traded down 6% on Monday . The stock traded as low as $40.50 and last traded at $40.76. 348,577 shares changed hands during mid-day trading, a decline of 61% from the average session volume of 902,016 shares. The stock had previously closed at $43.36.

Wall Street Analysts Forecast Growth

A number of analysts have weighed in on the company. Royal Bank Of Canada increased their target price on Matador Resources from $60.00 to $62.00 and gave the stock an “outperform” rating in a research note on Wednesday, October 8th. Mizuho boosted their price target on Matador Resources from $67.00 to $70.00 and gave the company an “outperform” rating in a report on Friday, December 12th. Wells Fargo & Company reduced their price objective on Matador Resources from $71.00 to $61.00 and set an “overweight” rating on the stock in a report on Friday, October 24th. UBS Group upped their target price on Matador Resources from $46.00 to $50.00 and gave the stock a “neutral” rating in a report on Friday, December 12th. Finally, Raymond James Financial reiterated an “outperform” rating and set a $55.00 target price (down from $63.00) on shares of Matador Resources in a report on Monday, October 20th. One equities research analyst has rated the stock with a Strong Buy rating, thirteen have given a Buy rating and three have assigned a Hold rating to the company. Based on data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and an average price target of $61.77.

Matador Resources Stock Performance

The company has a debt-to-equity ratio of 0.55, a current ratio of 0.73 and a quick ratio of 0.69. The firm has a fifty day moving average of $41.59 and a 200 day moving average of $45.59. The stock has a market capitalization of $5.14 billion, a price-to-earnings ratio of 6.62 and a beta of 1.09.

Matador Resources (NYSE:MTDR) last issued its quarterly earnings data on Tuesday, October 21st. The energy company reported $1.36 EPS for the quarter, beating the consensus estimate of $1.22 by $0.14. Matador Resources had a return on equity of 14.80% and a net margin of 20.46%.The company had revenue of $939.02 million for the quarter, compared to analyst estimates of $893.22 million. During the same period last year, the company earned $1.89 earnings per share. Matador Resources’s quarterly revenue was up 4.4% compared to the same quarter last year. On average, sell-side analysts anticipate that Matador Resources Company will post 8.53 earnings per share for the current fiscal year.

Matador Resources Increases Dividend

The business also recently declared a quarterly dividend, which was paid on Friday, December 5th. Stockholders of record on Monday, November 10th were issued a dividend of $0.375 per share. The ex-dividend date was Monday, November 10th. This represents a $1.50 annualized dividend and a dividend yield of 3.6%. This is a boost from Matador Resources’s previous quarterly dividend of $0.31. Matador Resources’s payout ratio is presently 23.96%.

Insiders Place Their Bets

In other news, CEO Joseph Wm Foran bought 1,000 shares of the business’s stock in a transaction on Thursday, November 6th. The shares were bought at an average price of $38.14 per share, with a total value of $38,140.00. Following the completion of the transaction, the chief executive officer directly owned 23,867 shares in the company, valued at $910,287.38. This trade represents a 4.37% increase in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, Director Susan M. Ward acquired 5,000 shares of the business’s stock in a transaction that occurred on Monday, November 3rd. The stock was purchased at an average price of $39.04 per share, for a total transaction of $195,200.00. Following the acquisition, the director directly owned 14,923 shares in the company, valued at approximately $582,593.92. This trade represents a 50.39% increase in their position. The SEC filing for this purchase provides additional information. Over the last 90 days, insiders have bought 37,346 shares of company stock worth $1,463,396. 5.80% of the stock is currently owned by company insiders.

Institutional Trading of Matador Resources

A number of institutional investors and hedge funds have recently bought and sold shares of the business. NBC Securities Inc. boosted its position in Matador Resources by 113.4% during the second quarter. NBC Securities Inc. now owns 15,896 shares of the energy company’s stock worth $758,000 after acquiring an additional 8,447 shares during the last quarter. Royal Bank of Canada raised its holdings in Matador Resources by 13.3% in the 1st quarter. Royal Bank of Canada now owns 439,972 shares of the energy company’s stock valued at $22,478,000 after acquiring an additional 51,499 shares during the last quarter. LSV Asset Management lifted its stake in shares of Matador Resources by 45.7% during the 2nd quarter. LSV Asset Management now owns 3,334,775 shares of the energy company’s stock worth $159,135,000 after purchasing an additional 1,045,396 shares during the period. Thomist Capital Management LP purchased a new position in shares of Matador Resources during the 2nd quarter worth $4,289,000. Finally, Dynamic Technology Lab Private Ltd acquired a new stake in shares of Matador Resources during the first quarter worth $1,712,000. 91.98% of the stock is currently owned by hedge funds and other institutional investors.

About Matador Resources

Matador Resources Company is an independent energy firm primarily engaged in the exploration, development and production of oil, natural gas liquids (NGLs) and natural gas. The company focuses on upstream operations, utilizing horizontal drilling and hydraulic fracturing techniques to unlock hydrocarbons from key reservoirs. Its asset base includes both operated and non‐operated positions, with a particular emphasis on the Permian Basin, one of the most prolific oil-producing regions in North America.

Matador’s core operations are concentrated in the Delaware Basin segment of the Permian Basin, where it holds substantial acreage in both Reeves and Culberson counties in West Texas and Eddy and Lea counties in New Mexico.