Stephens Has Lowered Expectations for Granite Ridge Resources (NYSE:GRNT) Stock Price

Key Points

• Stephens cut its price target on Granite Ridge to $11 (from $12) while keeping an "overweight" rating, implying roughly a 97% upside from the recent ~$5.59 share price; the Street consensus also sits at an average target of $11 with a "Hold" rating.
• The company missed quarterly EPS expectations (reported $0.02 vs. $0.09 est.) while posting revenue of $128.3M (slightly above estimates), and trades with a market cap of about $737M and a P/E of 31.0.
• Insiders have been buying: the CFO and a director each purchased 5,000 shares in March, contributing to 43,158 insider-purchased shares (~$222,814) over 90 days, and insiders now own about 8.4% of the stock.

Granite Ridge Resources (NYSE:GRNT - Get Free Report) had its price target reduced by equities researchers at Stephens from $12.00 to $11.00 in a note issued to investors on Friday, MarketBeat.com reports. The firm presently has an "overweight" rating on the stock. Stephens' price target indicates a potential upside of 96.96% from the company's current price.

A number of other equities analysts also recently commented on GRNT. Zacks Research raised shares of Granite Ridge Resources from a "strong sell" rating to a "hold" rating in a research note on Monday, March 9th. Weiss Ratings reaffirmed a "hold (c-)" rating on shares of Granite Ridge Resources in a research report on Friday, April 24th. One equities research analyst has rated the stock with a Buy rating and two have given a Hold rating to the stock. According to MarketBeat.com, the company presently has a consensus rating of "Hold" and an average price target of $11.00.

Granite Ridge Resources Stock Down 2.0%

Shares of NYSE:GRNT opened at $5.59 on Friday. The company has a debt-to-equity ratio of 0.61, a quick ratio of 1.25 and a current ratio of 1.25. Granite Ridge Resources has a 1 year low of $4.18 and a 1 year high of $6.72. The stock has a market capitalization of $736.72 million, a P/E ratio of 31.03, a PEG ratio of 0.51 and a beta of 0.26. The stock has a 50-day simple moving average of $5.48 and a 200-day simple moving average of $5.15.

Granite Ridge Resources (NYSE:GRNT - Get Free Report) last posted its earnings results on Thursday, May 7th. The company reported $0.02 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.09 by ($0.07). Granite Ridge Resources had a return on equity of 8.91% and a net margin of 5.41%.The business had revenue of $128.26 million for the quarter, compared to analyst estimates of $126.68 million. Equities analysts forecast that Granite Ridge Resources will post 0.7 earnings per share for the current year.

Insider Transactions at Granite Ridge Resources

In other news, CFO Ronald Kyle Kettler acquired 5,000 shares of the stock in a transaction on Tuesday, March 10th. The stock was bought 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 directly owned 120,276 shares of the company's stock, valued at $623,029.68. The trade was a 4.34% increase in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which can be accessed through the SEC website. Also, Director Michele J. Everard bought 5,000 shares of Granite Ridge Resources stock in a transaction dated Thursday, March 12th. The shares were purchased at an average cost of $5.17 per share, for a total transaction of $25,850.00. Following the completion of the transaction, the director owned 71,143 shares of the company's stock, valued at approximately $367,809.31. This represents a 7.56% increase in their position. The SEC filing for this purchase provides additional information. Insiders have bought 43,158 shares of company stock worth $222,814 over the last 90 days. 8.40% of the stock is owned by corporate insiders.

Institutional Trading of Granite Ridge Resources

Several large investors have recently modified their holdings of the business. Sherbrooke Park Advisers LLC lifted its stake in shares of Granite Ridge Resources by 12.9% in the third quarter. Sherbrooke Park Advisers LLC now owns 20,573 shares of the company's stock worth $111,000 after acquiring an additional 2,357 shares in the last quarter. Mercer Global Advisors Inc. ADV grew its stake in Granite Ridge Resources by 10.2% during the 4th quarter. Mercer Global Advisors Inc. ADV now owns 28,051 shares of the company's stock valued at $132,000 after purchasing an additional 2,596 shares in the last quarter. The Manufacturers Life Insurance Company increased its holdings in Granite Ridge Resources by 13.3% during the 2nd quarter. The Manufacturers Life Insurance Company now owns 23,883 shares of the company's stock worth $152,000 after purchasing an additional 2,798 shares during the last quarter. Wilmington Savings Fund Society FSB increased its holdings in Granite Ridge Resources by 35.5% during the 3rd quarter. Wilmington Savings Fund Society FSB now owns 11,499 shares of the company's stock worth $62,000 after purchasing an additional 3,010 shares during the last quarter. Finally, Intech Investment Management LLC raised its position in shares of Granite Ridge Resources by 15.9% in the 3rd quarter. Intech Investment Management LLC now owns 25,812 shares of the company's stock valued at $140,000 after purchasing an additional 3,550 shares in the last quarter. 31.56% of the stock is currently owned by institutional investors and hedge funds.

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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