Granite Ridge Resources (NYSE:GRNT) Trading Down 8% - Here's What Happened

Key Points

• Granite Ridge Resources (GRNT) fell about 8% intraday to roughly $4.94, with trading volume of ~115,081 shares—an 86% drop versus its average daily volume.
• The company missed quarterly estimates, reporting $0.01 EPS versus $0.10 expected and $105.49M in revenue vs. $120.76M expected, and currently carries a consensus analyst rating of "Hold."
• Granite Ridge declared a quarterly dividend that annualizes to a 8.9% yield but has a very high payout ratio (244%), while insiders recently bought shares (CFO and a director added 5,000 shares each).

Granite Ridge Resources, Inc. (NYSE:GRNT - Get Free Report) was down 8% during mid-day trading on Friday . The company traded as low as $4.93 and last traded at $4.9430. Approximately 115,081 shares were traded during trading, a decline of 86% from the average daily volume of 814,825 shares. The stock had previously closed at $5.37.

Wall Street Analyst Weigh In

A number of research analysts have recently issued reports on GRNT shares. Weiss Ratings upgraded shares of Granite Ridge Resources from a "sell (d+)" rating to a "hold (c-)" rating in a report on Monday, January 26th. Zacks Research upgraded shares of Granite Ridge Resources from a "strong sell" rating to a "hold" rating in a report on Monday, March 9th. Two research analysts have rated the stock with a Hold rating, Based on data from MarketBeat, the company currently has a consensus rating of "Hold".

Granite Ridge Resources Trading Down 7.7%

The firm has a market capitalization of $653.61 million, a PE ratio of 27.53, a PEG ratio of 0.99 and a beta of 0.26. The firm's fifty day moving average is $5.35 and its two-hundred day moving average is $5.13. The company has a debt-to-equity ratio of 0.61, a current ratio of 1.25 and a quick ratio of 1.25.

Granite Ridge Resources (NYSE:GRNT - Get Free Report) last released its quarterly earnings results on Thursday, March 5th. The company reported $0.01 earnings per share for the quarter, missing the consensus estimate of $0.10 by ($0.09). Granite Ridge Resources had a return on equity of 8.91% and a net margin of 5.41%.The firm had revenue of $105.49 million for the quarter, compared to analysts' expectations of $120.76 million. On average, equities analysts predict that Granite Ridge Resources, Inc. will post 0.52 EPS for the current fiscal year.

Granite Ridge Resources Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Friday, March 13th. Shareholders of record on Friday, February 27th were given a $0.11 dividend. The ex-dividend date of this dividend was Friday, February 27th. This represents a $0.44 annualized dividend and a yield of 8.9%. Granite Ridge Resources's payout ratio is currently 244.44%.

Insiders Place Their Bets

In related news, CFO Ronald Kyle Kettler acquired 5,000 shares of the stock in a transaction on Tuesday, March 10th. The shares were acquired at an average price of $5.18 per share, with a total value of $25,900.00. Following the completion of the transaction, the chief financial officer owned 120,276 shares in the company, valued at approximately $623,029.68. The trade was a 4.34% increase in their position. The purchase was disclosed in a legal filing with the SEC, which is accessible through this link. Also, Director Michele J. Everard acquired 5,000 shares of the stock in a transaction on Thursday, March 12th. The stock was bought at an average cost of $5.17 per share, for a total transaction of $25,850.00. Following the transaction, the director owned 71,143 shares of the company's stock, valued at approximately $367,809.31. This trade represents a 7.56% increase in their position. The SEC filing for this purchase provides additional information. In the last quarter, insiders have purchased 43,158 shares of company stock valued at $222,814. Company insiders own 8.50% of the company's stock.

Hedge Funds Weigh In On Granite Ridge Resources

Several large investors have recently modified their holdings of GRNT. State of Alaska Department of Revenue purchased a new position in shares of Granite Ridge Resources in the third quarter worth about $26,000. First Horizon Corp purchased a new position in Granite Ridge Resources during the fourth quarter valued at approximately $35,000. Osaic Holdings Inc. grew its stake in Granite Ridge Resources by 264.2% during the second quarter. Osaic Holdings Inc. now owns 5,506 shares of the company's stock valued at $35,000 after acquiring an additional 3,994 shares in the last quarter. EverSource Wealth Advisors LLC grew its stake in Granite Ridge Resources by 2,398.3% during the second quarter. EverSource Wealth Advisors LLC now owns 5,721 shares of the company's stock valued at $36,000 after acquiring an additional 5,492 shares in the last quarter. Finally, OpenArc Corporate Advisory LLC purchased a new position in Granite Ridge Resources during the fourth quarter valued at approximately $52,000. Hedge funds and other institutional investors own 31.56% of the company's stock.

About Granite Ridge Resources

Granite Ridge Resources, Inc operates as a non-operated oil and gas exploration and production company. It owns a portfolio of wells and acreage across the Permian and other unconventional basins in the United States. Granite Ridge Resources, Inc is based in Dallas, Texas.

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