Wells Fargo & Company Has Lowered Expectations for Matador Resources (NYSE:MTDR) Stock Price

Key Points

• Wells Fargo lowered Matador Resources’ price target to $76 from $77 while maintaining an “overweight” rating, implying 36.58% upside from the previous close.
• Analyst sentiment remains broadly positive, with a consensus “Moderate Buy” rating and an average price target of $66.73, despite differing recommendations from other firms.
• Matador reported stronger-than-expected quarterly results, including EPS of $2.61 versus $2.08 expected and revenue growth of 32.5% year over year; company insiders have also purchased more than 23,000 shares over the past 90 days.

Matador Resources (NYSE:MTDR - Get Free Report) had its price objective reduced by equities researchers at Wells Fargo & Company from $77.00 to $76.00 in a research note issued to investors on Wednesday, Benzinga reports. The brokerage currently has an "overweight" rating on the energy company's stock. Wells Fargo & Company's price objective would indicate a potential upside of 36.58% from the company's previous close.

A number of other equities research analysts also recently issued reports on the stock. Seaport Research Partners began coverage on shares of Matador Resources in a research report on Thursday, September 3rd. They issued a "neutral" rating for the company. Mizuho upgraded Matador Resources to a "strong-buy" rating in a research note on Friday, July 31st. Morgan Stanley cut their price target on Matador Resources from $75.00 to $66.00 and set an "equal weight" rating for the company in a research note on Monday, June 29th. Weiss Ratings raised Matador Resources from a "hold (c)" rating to a "hold (c+)" rating in a report on Thursday, October 8th. Finally, Stephens boosted their price objective on Matador Resources from $92.00 to $93.00 and gave the company an "overweight" rating in a research note on Tuesday, July 28th. One research analyst has rated the stock with a Strong Buy rating, twelve have assigned a Buy rating and four have issued a Hold rating to the company. Based on data from MarketBeat, Matador Resources presently has a consensus rating of "Moderate Buy" and an average target price of $66.73.

Matador Resources Stock Down 0.4%

Matador Resources stock traded down $0.24 during trading on Wednesday, hitting $55.64. 85,569 shares of the company were exchanged, compared to its average volume of 1,852,549. The company has a current ratio of 0.65, a quick ratio of 0.62 and a debt-to-equity ratio of 0.67. The business's 50 day moving average is $55.47 and its 200 day moving average is $55.45. Matador Resources has a 52 week low of $37.14 and a 52 week high of $66.84. The company has a market capitalization of $6.89 billion, a P/E ratio of 9.53 and a beta of 0.98.

Matador Resources (NYSE:MTDR - Get Free Report) last posted its quarterly earnings data on Wednesday, August 5th. The energy company reported $2.61 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $2.08 by $0.53. Matador Resources had a net margin of 19.85% and a return on equity of 13.18%. The firm had revenue of $1.17 billion for the quarter, compared to the consensus estimate of $1.06 billion. During the same period in the previous year, the firm earned $1.53 EPS. The business's revenue for the quarter was up 32.5% compared to the same quarter last year. Analysts predict that Matador Resources will post 7.50 earnings per share for the current year.

Insider Transactions at Matador Resources

In other news, CEO Joseph Foran bought 555 shares of the stock in a transaction on Wednesday, August 26th. The shares were acquired at an average cost of $54.49 per share, for a total transaction of $30,241.95. Following the purchase, the chief executive officer directly owned 4,772 shares of the company's stock, valued at $260,026.28. This trade represents a 13.16% increase in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, CFO Christopher P. Calvert purchased 2,500 shares of the business's stock in a transaction on Thursday, August 27th. The stock was purchased at an average cost of $56.64 per share, with a total value of $141,600.00. Following the completion of the acquisition, the chief financial officer owned 44,000 shares in the company, valued at approximately $2,492,160. This trade represents a 6.02% increase in their ownership of the stock. The disclosure for this purchase is available in the SEC filing. Over the last ninety days, insiders have bought 23,144 shares of company stock valued at $1,211,793. 5.90% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Matador Resources

Several large investors have recently added to or reduced their stakes in the business. GAMMA Investing LLC raised its holdings in shares of Matador Resources by 11.6% in the 3rd quarter. GAMMA Investing LLC now owns 3,460 shares of the energy company's stock valued at $178,000 after acquiring an additional 361 shares in the last quarter. Congress Asset Management Co. lifted its position in Matador Resources by 36.4% during the third quarter. Congress Asset Management Co. now owns 142,738 shares of the energy company's stock valued at $7,362,000 after purchasing an additional 38,119 shares during the last quarter. Cim Investment Management Inc. grew its stake in Matador Resources by 7.3% in the 2nd quarter. Cim Investment Management Inc. now owns 4,488 shares of the energy company's stock worth $223,000 after buying an additional 307 shares in the last quarter. Sequoia Financial Advisors LLC increased its holdings in shares of Matador Resources by 80.2% in the 2nd quarter. Sequoia Financial Advisors LLC now owns 19,285 shares of the energy company's stock worth $960,000 after buying an additional 8,581 shares during the last quarter. Finally, Tidal Investments LLC purchased a new position in Matador Resources in the second quarter worth $305,000. Institutional investors own 91.98% of the company's stock.

Matador Resources Company Profile

Matador Resources Company is an independent energy company engaged in the exploration, development, production and acquisition of oil and natural gas properties. Its operations are focused primarily on unconventional, or shale, formations, with oil, natural gas and natural gas liquids among its principal products.

The company's main exploration and production activities are concentrated in the Delaware Basin, part of the Permian Basin in southeastern New Mexico and West Texas. Matador has also historically held interests in other U.S.

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