Viper Energy Inc. (NASDAQ:VNOM) Sees Significant Drop in Short Interest

Key Points

• Viper Energy Inc. saw a significant drop in short interest, decreasing by 36.4% from mid-August to the end of August, bringing the total to 9,490,000 shares, which is approximately 3.3% of the company's shares.
• Institutional investment in Viper Energy is strong, with 87.72% of the stock owned by institutional investors and hedge funds, and several firms increasing their stakes in recent quarters.
• The company recently reported earnings of $0.41 EPS, exceeding analyst expectations, and announced a quarterly dividend of $0.53 per share, resulting in a 5.5% yield.

Viper Energy Inc. (NASDAQ:VNOM - Get Free Report) was the target of a significant drop in short interest in the month of August. As of August 31st, there was short interest totaling 9,490,000 shares, a drop of 36.4% from the August 15th total of 14,910,000 shares. Approximately 3.3% of the company's shares are sold short. Based on an average trading volume of 2,030,000 shares, the days-to-cover ratio is presently 4.7 days. Based on an average trading volume of 2,030,000 shares, the days-to-cover ratio is presently 4.7 days. Approximately 3.3% of the company's shares are sold short.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently added to or reduced their stakes in the business. Financial Gravity Companies Inc. acquired a new position in Viper Energy during the second quarter valued at $27,000. UMB Bank n.a. lifted its position in Viper Energy by 129.0% during the first quarter. UMB Bank n.a. now owns 735 shares of the oil and gas producer's stock valued at $33,000 after purchasing an additional 414 shares during the period. Cullen Frost Bankers Inc. acquired a new position in Viper Energy during the first quarter valued at $34,000. AlphaQuest LLC acquired a new position in Viper Energy during the first quarter valued at $41,000. Finally, Assetmark Inc. lifted its position in Viper Energy by 48.7% during the second quarter. Assetmark Inc. now owns 1,068 shares of the oil and gas producer's stock valued at $41,000 after purchasing an additional 350 shares during the period. 87.72% of the stock is currently owned by institutional investors and hedge funds.

Analyst Upgrades and Downgrades

A number of equities analysts have recently commented on the stock. Evercore ISI raised their target price on shares of Viper Energy from $49.00 to $51.00 and gave the stock an "outperform" rating in a research report on Wednesday, June 4th. Raymond James Financial reaffirmed an "outperform" rating and set a $57.00 target price (down from $60.00) on shares of Viper Energy in a research report on Tuesday, July 29th. Morgan Stanley assumed coverage on shares of Viper Energy in a research report on Monday, August 18th. They set an "overweight" rating and a $46.00 target price on the stock. Roth Capital set a $50.00 target price on shares of Viper Energy and gave the stock a "buy" rating in a research report on Tuesday, August 26th. Finally, Mizuho raised their target price on shares of Viper Energy from $54.00 to $55.00 and gave the stock an "outperform" rating in a research report on Wednesday, June 4th. Sixteen investment analysts have rated the stock with a Buy rating, According to MarketBeat, the company presently has a consensus rating of "Buy" and a consensus price target of $55.80.

Viper Energy Trading Down 1.1%

NASDAQ:VNOM opened at $38.57 on Monday. Viper Energy has a 12 month low of $34.71 and a 12 month high of $56.76. The firm has a fifty day simple moving average of $38.06 and a 200-day simple moving average of $40.04. The company has a current ratio of 6.15, a quick ratio of 6.15 and a debt-to-equity ratio of 0.13. The company has a market capitalization of $11.13 billion, a P/E ratio of 11.15, a PEG ratio of 17.26 and a beta of 1.04.

Viper Energy (NASDAQ:VNOM - Get Free Report) last posted its quarterly earnings data on Monday, August 4th. The oil and gas producer reported $0.41 EPS for the quarter, topping the consensus estimate of $0.34 by $0.07. Viper Energy had a net margin of 37.84% and a return on equity of 3.92%. The business had revenue of $297.00 million during the quarter, compared to the consensus estimate of $285.35 million. During the same period in the previous year, the firm posted $0.62 earnings per share. The business's revenue for the quarter was up 37.1% compared to the same quarter last year. On average, equities research analysts anticipate that Viper Energy will post 2.02 earnings per share for the current year.

Viper Energy Cuts Dividend

The firm also recently announced a quarterly dividend, which was paid on Thursday, August 21st. Investors of record on Thursday, August 14th were given a dividend of $0.53 per share. The ex-dividend date was Thursday, August 14th. This represents a $2.12 dividend on an annualized basis and a yield of 5.5%. Viper Energy's payout ratio is currently 38.15%.

Viper Energy Company Profile

Viper Energy, Inc engages in the acquisition of oil and natural gas properties. It owns, acquires, and exploits oil and natural gas properties in North America. The company was founded on February 27, 2014 and is headquartered in Midland, TX.

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