Magnolia Oil & Gas (NYSE:MGY) Given New $30.00 Price Target at Wells Fargo & Company

Key Points

• Wells Fargo cut Magnolia Oil & Gas’s price target from $36 to $30 while maintaining an “equal weight” rating, implying roughly 20% upside from the prior close.
• Analyst sentiment remains generally positive, with the stock carrying a consensus “Moderate Buy” rating and an average price target of $31.50 after several firms upgraded their ratings.
• Magnolia reported quarterly earnings and revenue above expectations, with revenue up 50.1% year over year; shares recently traded at $24.91, down 0.8%.

Magnolia Oil & Gas (NYSE:MGY - Get Free Report) had its price target reduced by analysts at Wells Fargo & Company from $36.00 to $30.00 in a note issued to investors on Wednesday, Benzinga reports. The firm currently has an "equal weight" rating on the stock. Wells Fargo & Company's price target indicates a potential upside of 20.46% from the company's previous close.

A number of other research firms also recently commented on MGY. Johnson Rice upgraded Magnolia Oil & Gas from a "hold" rating to an "accumulate" rating and dropped their price objective for the stock from $33.00 to $32.00 in a report on Monday, August 17th. Weiss Ratings upgraded Magnolia Oil & Gas from a "hold (c)" rating to a "buy (b-)" rating in a research note on Tuesday, August 11th. JPMorgan Chase & Co. upgraded Magnolia Oil & Gas from a "neutral" rating to an "overweight" rating and raised their price objective for the stock from $32.00 to $33.00 in a report on Tuesday, September 8th. Citigroup reduced their price objective on Magnolia Oil & Gas from $29.00 to $27.00 and set a "neutral" rating on the stock in a research note on Tuesday, August 11th. Finally, Zacks Research upgraded Magnolia Oil & Gas from a "hold" rating to a "strong-buy" rating in a report on Monday, September 14th. Two research analysts have rated the stock with a Strong Buy rating, eleven have given a Buy rating and five have issued a Hold rating to the company's stock. Based on data from MarketBeat.com, Magnolia Oil & Gas presently has an average rating of "Moderate Buy" and a consensus price target of $31.50.

Magnolia Oil & Gas Trading Down 0.8%

Magnolia Oil & Gas stock traded down $0.20 during trading on Wednesday, reaching $24.91. The company had a trading volume of 537,092 shares, compared to its average volume of 3,573,830. Magnolia Oil & Gas has a 12-month low of $21.07 and a 12-month high of $32.76. The company has a debt-to-equity ratio of 0.18, a quick ratio of 1.58 and a current ratio of 1.58. The stock's 50 day moving average price is $25.84 and its two-hundred day moving average price is $27.15. The firm has a market capitalization of $5.90 billion, a price-to-earnings ratio of 10.91 and a beta of 0.80.

Magnolia Oil & Gas (NYSE:MGY - Get Free Report) last posted its quarterly earnings results on Wednesday, August 5th. The company reported $0.99 earnings per share for the quarter, topping analysts' consensus estimates of $0.93 by $0.06. The company had revenue of $478.81 million for the quarter, compared to the consensus estimate of $458.10 million. Magnolia Oil & Gas had a net margin of 28.77% and a return on equity of 21.04%. Magnolia Oil & Gas's revenue was up 50.1% on a year-over-year basis. During the same quarter last year, the firm posted $0.41 earnings per share. As a group, equities analysts expect that Magnolia Oil & Gas will post 2.75 earnings per share for the current fiscal year.

Insider Buying and Selling

In related news, Director David Khani purchased 8,000 shares of the firm's stock in a transaction on Friday, August 7th. The stock was purchased at an average price of $25.00 per share, for a total transaction of $200,000.00. Following the acquisition, the director directly owned 30,622 shares in the company, valued at $765,550. The trade was a 35.36% increase in their ownership of the stock. The acquisition was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this link. Company insiders own 0.92% of the company's stock.

Institutional Trading of Magnolia Oil & Gas

Hedge funds have recently made changes to their positions in the company. Central Pacific Bank Trust Division lifted its position in shares of Magnolia Oil & Gas by 96.4% during the third quarter. Central Pacific Bank Trust Division now owns 11,430 shares of the company's stock worth $268,000 after purchasing an additional 5,610 shares in the last quarter. Tidal Investments LLC grew its holdings in Magnolia Oil & Gas by 34.3% during the 2nd quarter. Tidal Investments LLC now owns 93,383 shares of the company's stock valued at $2,389,000 after purchasing an additional 23,833 shares in the last quarter. Integrated Wealth Concepts LLC acquired a new stake in Magnolia Oil & Gas during the 2nd quarter valued at $72,000. IFP Advisors Inc grew its holdings in Magnolia Oil & Gas by 12.2% during the 2nd quarter. IFP Advisors Inc now owns 9,180 shares of the company's stock valued at $235,000 after purchasing an additional 999 shares in the last quarter. Finally, Allworth Financial LP increased its stake in Magnolia Oil & Gas by 11.0% during the 2nd quarter. Allworth Financial LP now owns 5,760 shares of the company's stock worth $147,000 after buying an additional 571 shares during the period. Hedge funds and other institutional investors own 94.73% of the company's stock.

Magnolia Oil & Gas Company Profile

Magnolia Oil & Gas Corporation is an independent oil and natural gas exploration and production company. The company focuses on the acquisition, development, exploration and production of crude oil, natural gas and natural gas liquids.

Magnolia's operations are concentrated in the Eagle Ford Shale and Austin Chalk formations in South Texas, including its Karnes and Giddings areas. Its production activities are supported by established infrastructure and involve the development of unconventional oil and gas resources.

The company was formed in 2017 through a business combination involving TPG Pace Energy Holdings Corp.

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