LandBridge (NYSE:LB) Stock Price Down 6.3% - Time to Sell?

Key Points

• LandBridge shares dropped 6.3% intraday to $64.36 (low $63.19) on thin volume of 126,404 shares, about 75% below the average session volume.
• Analysts maintain a consensus "Hold" rating with a $76 price target (3 Buys, 6 Holds, 1 Sell), though several firms raised targets recently — Wells Fargo to $92, Goldman Sachs to $84 and Barclays to $75.
• The company boosted its quarterly dividend to $0.12 (annualized $0.48, ~0.7% yield) and authorized a $50 million buyback (up to ~1% of shares), while insiders have sold shares recently (53,350 shares in the last 90 days, including a 30,680-share sale by a director) despite insiders owning 70.42% of stock.

LandBridge Company LLC (NYSE:LB - Get Free Report)'s share price traded down 6.3% during mid-day trading on Thursday . The stock traded as low as $63.19 and last traded at $64.36. 126,404 shares changed hands during trading, a decline of 75% from the average session volume of 501,564 shares. The stock had previously closed at $68.67.

Analysts Set New Price Targets

Several research analysts have issued reports on the stock. Wells Fargo & Company raised their price objective on shares of LandBridge from $90.00 to $92.00 and gave the stock an "overweight" rating in a research report on Wednesday, March 18th. Weiss Ratings reaffirmed a "hold (c)" rating on shares of LandBridge in a report on Friday, January 9th. Zacks Research raised shares of LandBridge from a "strong sell" rating to a "hold" rating in a report on Monday, March 23rd. The Goldman Sachs Group lifted their target price on shares of LandBridge from $69.00 to $84.00 and gave the company a "buy" rating in a report on Friday, March 13th. Finally, Barclays raised their price objective on shares of LandBridge from $57.00 to $75.00 and gave the company an "equal weight" rating in a research note on Friday, February 27th. Three equities research analysts have rated the stock with a Buy rating, six have assigned a Hold rating and one has issued a Sell rating to the company. According to MarketBeat, the stock presently has a consensus rating of "Hold" and a consensus price target of $76.00.

LandBridge Price Performance

The company has a debt-to-equity ratio of 0.70, a current ratio of 4.87 and a quick ratio of 4.87. The company's 50 day moving average is $67.57 and its 200 day moving average is $60.65. The stock has a market cap of $4.96 billion, a price-to-earnings ratio of 68.68 and a beta of 0.54.

LandBridge Increases Dividend

The firm also recently announced a quarterly dividend, which was paid on Thursday, March 19th. Shareholders of record on Thursday, March 5th were given a dividend of $0.12 per share. The ex-dividend date was Thursday, March 5th. This is an increase from LandBridge's previous quarterly dividend of $0.10. This represents a $0.48 dividend on an annualized basis and a yield of 0.7%. LandBridge's dividend payout ratio (DPR) is presently 51.06%.

LandBridge declared that its Board of Directors has initiated a share repurchase program on Wednesday, February 25th that allows the company to buyback $50.00 million in shares. This buyback authorization allows the company to buy up to 1% of its stock through open market purchases. Stock buyback programs are usually an indication that the company's management believes its stock is undervalued.

Insider Transactions at LandBridge

In other LandBridge news, Director Charles L. Watson sold 30,680 shares of LandBridge stock in a transaction dated Monday, March 2nd. The shares were sold at an average price of $74.07, for a total transaction of $2,272,467.60. Following the completion of the transaction, the director owned 86,920 shares in the company, valued at approximately $6,438,164.40. The trade was a 26.09% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. Insiders have sold a total of 53,350 shares of company stock worth $3,974,555 in the last ninety days. Insiders own 70.42% of the company's stock.

Hedge Funds Weigh In On LandBridge

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in LB. Royal Bank of Canada raised its position in LandBridge by 20.3% during the first quarter. Royal Bank of Canada now owns 27,008 shares of the company's stock worth $1,944,000 after acquiring an additional 4,554 shares during the last quarter. Empowered Funds LLC acquired a new position in LandBridge during the first quarter worth about $494,000. Geode Capital Management LLC raised its position in LandBridge by 0.8% during the second quarter. Geode Capital Management LLC now owns 28,971 shares of the company's stock worth $1,958,000 after acquiring an additional 230 shares during the last quarter. Cetera Investment Advisers acquired a new position in LandBridge during the second quarter worth about $218,000. Finally, Legal & General Group Plc raised its position in LandBridge by 27.3% during the second quarter. Legal & General Group Plc now owns 16,114 shares of the company's stock worth $1,089,000 after acquiring an additional 3,459 shares during the last quarter.

About LandBridge

LandBridge Company LLC owns and manages land and resources to support and enhance oil and natural gas development in the United States. It owns surface acres in and around the Delaware Basin in Texas and New Mexico. The company holds a portfolio of oil and gas royalties. It also sells brackish water and other surface composite materials. The company was founded in 2021 and is based in Houston, Texas. LandBridge Company LLC operates as a subsidiary of LandBridge Holdings LLC.

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