Magnolia Oil & Gas (NYSE:MGY) Lowered to Hold Rating by Zacks Research

Key Points

• Zacks Research downgraded Magnolia Oil & Gas from a “strong-buy” to a “hold” rating, adding to a generally cautious analyst sentiment around the stock.
• The broader analyst view remains mixed: 7 analysts rate MGY a Buy and 10 rate it a Hold, with MarketBeat showing an overall “Hold” consensus and an average price target of $31.00.
• Magnolia reported better-than-expected quarterly results, posting EPS of $0.54 versus $0.51 expected and revenue of $358.51 million versus $349.89 million expected, while insiders recently sold shares and institutional ownership remains high at 94.73%.

Magnolia Oil & Gas (NYSE:MGY - Get Free Report) was downgraded by stock analysts at Zacks Research from a "strong-buy" rating to a "hold" rating in a note issued to investors on Tuesday,Zacks.com reports.

MGY has been the topic of several other research reports. The Goldman Sachs Group increased their target price on Magnolia Oil & Gas from $23.00 to $26.00 and gave the stock a "neutral" rating in a report on Wednesday, February 11th. Susquehanna decreased their target price on Magnolia Oil & Gas from $30.00 to $28.00 and set a "positive" rating on the stock in a report on Monday, January 26th. Roth Mkm restated a "neutral" rating and set a $32.00 target price (up from $29.00) on shares of Magnolia Oil & Gas in a report on Wednesday, April 8th. Mizuho set a $30.00 target price on Magnolia Oil & Gas in a report on Friday, February 6th. Finally, Piper Sandler increased their target price on Magnolia Oil & Gas from $28.00 to $31.00 and gave the stock a "neutral" rating in a report on Thursday, March 12th. Seven research analysts have rated the stock with a Buy rating and ten have assigned a Hold rating to the stock. According to MarketBeat, the company presently has an average rating of "Hold" and an average target price of $31.00.

Magnolia Oil & Gas Price Performance

Shares of MGY stock opened at $29.72 on Tuesday. The stock's fifty day moving average is $29.78 and its 200-day moving average is $26.01. The company has a debt-to-equity ratio of 0.19, a quick ratio of 1.10 and a current ratio of 1.10. The stock has a market capitalization of $5.50 billion, a PE ratio of 17.28 and a beta of 0.75. Magnolia Oil & Gas has a 52 week low of $21.07 and a 52 week high of $32.76.

Magnolia Oil & Gas (NYSE:MGY - Get Free Report) last announced its earnings results on Wednesday, May 6th. The company reported $0.54 EPS for the quarter, topping the consensus estimate of $0.51 by $0.03. The company had revenue of $358.51 million for the quarter, compared to analysts' expectations of $349.89 million. Magnolia Oil & Gas had a return on equity of 16.28% and a net margin of 24.40%.The business's revenue for the quarter was up 2.3% on a year-over-year basis. During the same quarter in the prior year, the business earned $0.54 earnings per share. Equities research analysts expect that Magnolia Oil & Gas will post 2.91 EPS for the current fiscal year.

Insider Activity

In other Magnolia Oil & Gas news, Director Edward P. Djerejian sold 18,000 shares of the firm's stock in a transaction dated Tuesday, March 10th. The stock was sold at an average price of $28.98, for a total transaction of $521,640.00. Following the transaction, the director owned 110,425 shares in the company, valued at approximately $3,200,116.50. This trade represents a 14.02% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, CEO Christopher G. Stavros sold 119,954 shares of the firm's stock in a transaction dated Monday, March 9th. The stock was sold at an average price of $29.29, for a total value of $3,513,452.66. Following the transaction, the chief executive officer owned 883,592 shares in the company, valued at approximately $25,880,409.68. This trade represents a 11.95% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last 90 days, insiders have sold 338,954 shares of company stock valued at $9,911,733. Insiders own 0.92% of the company's stock.

Hedge Funds Weigh In On Magnolia Oil & Gas

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in MGY. AQR Capital Management LLC boosted its holdings in Magnolia Oil & Gas by 77.7% during the first quarter. AQR Capital Management LLC now owns 56,346 shares of the company's stock worth $1,423,000 after buying an additional 24,631 shares during the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. boosted its holdings in Magnolia Oil & Gas by 4.6% during the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 103,109 shares of the company's stock worth $2,605,000 after buying an additional 4,512 shares during the last quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC raised its position in shares of Magnolia Oil & Gas by 8.2% during the first quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 242,880 shares of the company's stock worth $6,135,000 after purchasing an additional 18,447 shares during the period. Intech Investment Management LLC raised its position in shares of Magnolia Oil & Gas by 11.3% during the first quarter. Intech Investment Management LLC now owns 68,814 shares of the company's stock worth $1,738,000 after purchasing an additional 7,008 shares during the period. Finally, EverSource Wealth Advisors LLC raised its position in shares of Magnolia Oil & Gas by 165.5% during the second quarter. EverSource Wealth Advisors LLC now owns 1,386 shares of the company's stock worth $31,000 after purchasing an additional 864 shares during the period. Institutional investors own 94.73% of the company's stock.

Magnolia Oil & Gas Company Profile

Magnolia Oil & Gas Corp NYSE: MGY is an independent exploration and production company focused on the acquisition, development and optimization of onshore oil and gas assets in South Texas. Headquartered in Houston, the company concentrates its efforts on the Eagle Ford Shale, where it holds significant working interests in key producing counties.

The company's core operations center on horizontal drilling and multi-stage completions designed to extract light crude oil, natural gas and natural gas liquids (NGLs).

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