Northern Oil and Gas (NYSE:NOG) Shares Gap Up Following Strong Earnings

Northern Oil and Gas, Inc. (NYSE:NOG - Get Free Report)'s share price gapped up prior to trading on Wednesday following a better than expected earnings announcement. The stock had previously closed at $24.76, but opened at $26.08. Northern Oil and Gas shares last traded at $23.86, with a volume of 422,940 shares changing hands.

The company reported $1.33 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $1.12 by $0.21. The firm had revenue of $602.10 million for the quarter, compared to the consensus estimate of $568.87 million. Northern Oil and Gas had a net margin of 23.38% and a return on equity of 24.41%. The company's revenue for the quarter was up 51.9% on a year-over-year basis. During the same quarter in the previous year, the company earned $1.28 EPS.

Northern Oil and Gas Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Thursday, July 31st. Stockholders of record on Friday, June 27th will be issued a $0.45 dividend. This represents a $1.80 dividend on an annualized basis and a dividend yield of 7.40%. The ex-dividend date is Friday, June 27th. Northern Oil and Gas's payout ratio is 28.04%.

Northern Oil and Gas declared that its Board of Directors has approved a share repurchase plan on Tuesday, March 11th that allows the company to buyback $100.00 million in shares. This buyback authorization allows the company to buy up to 3.6% of its stock through open market purchases. Stock buyback plans are typically an indication that the company's leadership believes its shares are undervalued.

Analyst Upgrades and Downgrades

Several research analysts have recently weighed in on the stock. Truist Financial boosted their price objective on shares of Northern Oil and Gas from $52.00 to $55.00 and gave the company a "buy" rating in a report on Monday, January 13th. Bank of America reduced their price target on Northern Oil and Gas from $48.00 to $41.00 and set a "buy" rating for the company in a research report on Tuesday, April 1st. Capital One Financial lowered shares of Northern Oil and Gas from an "overweight" rating to an "equal weight" rating in a research report on Friday, February 21st. Morgan Stanley dropped their price objective on Northern Oil and Gas from $43.00 to $38.00 and set an "equal weight" rating on the stock in a report on Thursday, March 27th. Finally, Citigroup dropped their target price on shares of Northern Oil and Gas from $55.00 to $45.00 and set a "buy" rating for the company in a report on Tuesday, February 25th. One analyst has rated the stock with a sell rating, five have assigned a hold rating and four have given a buy rating to the company's stock. According to MarketBeat.com, the company has an average rating of "Hold" and a consensus price target of $43.50.

Insider Activity

In other news, Director Bahram Akradi acquired 40,000 shares of the stock in a transaction that occurred on Tuesday, March 4th. The stock was acquired at an average price of $28.03 per share, for a total transaction of $1,121,200.00. Following the transaction, the director now directly owns 1,662,016 shares in the company, valued at approximately $46,586,308.48. This represents a 2.47 % increase in their ownership of the stock. The purchase was disclosed in a document filed with the SEC, which is available at this link. Also, CEO Nicholas L. O'grady bought 1,000 shares of the business's stock in a transaction on Friday, March 7th. The stock was purchased at an average price of $27.48 per share, for a total transaction of $27,480.00. Following the purchase, the chief executive officer now directly owns 226,189 shares in the company, valued at approximately $6,215,673.72. This represents a 0.44 % increase in their position. The disclosure for this purchase can be found here. 2.90% of the stock is owned by corporate insiders.

Institutional Trading of Northern Oil and Gas

A number of hedge funds have recently modified their holdings of the stock. Avior Wealth Management LLC grew its holdings in shares of Northern Oil and Gas by 23.3% during the fourth quarter. Avior Wealth Management LLC now owns 1,372 shares of the company's stock worth $51,000 after purchasing an additional 259 shares during the last quarter. First Horizon Advisors Inc. raised its position in shares of Northern Oil and Gas by 9.1% in the fourth quarter. First Horizon Advisors Inc. now owns 3,473 shares of the company's stock valued at $129,000 after purchasing an additional 289 shares during the period. Avantax Advisory Services Inc. increased its holdings in shares of Northern Oil and Gas by 2.3% in the fourth quarter. Avantax Advisory Services Inc. now owns 13,112 shares of the company's stock worth $487,000 after purchasing an additional 298 shares during the period. Summit Investment Advisors Inc. increased its stake in Northern Oil and Gas by 3.3% in the fourth quarter. Summit Investment Advisors Inc. now owns 10,378 shares of the company's stock valued at $386,000 after acquiring an additional 329 shares during the last quarter. Finally, Legato Capital Management LLC grew its position in Northern Oil and Gas by 5.8% during the 4th quarter. Legato Capital Management LLC now owns 6,383 shares of the company's stock worth $237,000 after acquiring an additional 349 shares during the last quarter. Institutional investors and hedge funds own 98.80% of the company's stock.

Northern Oil and Gas Trading Down 4.4 %

The firm's fifty day moving average is $26.74 and its two-hundred day moving average is $34.41. The firm has a market cap of $2.40 billion, a P/E ratio of 4.73 and a beta of 1.47. The company has a quick ratio of 1.23, a current ratio of 0.92 and a debt-to-equity ratio of 1.02.

About Northern Oil and Gas

Northern Oil and Gas, Inc, an independent energy company, engages in the acquisition, exploration, exploitation, development, and production of crude oil and natural gas properties in the United States. It primarily holds interests in the Williston Basin, the Appalachian Basin, and the Permian Basin in the United States.