Wells Fargo & Company Has Lowered Expectations for Matador Resources (NYSE:MTDR) Stock Price

Key Points

• Wells Fargo & Company has reduced the target price for Matador Resources from $71.00 to $61.00 while maintaining an "overweight" rating, suggesting a potential upside of 50.93% from the previous close.
• Analyst ratings for Matador Resources vary, with 1 strong buy, 12 buy, and 3 hold ratings, along with an average consensus price target of $63.93.
• In the latest earnings report, Matador exceeded expectations with an EPS of $1.36, surpassing analyst estimates of $1.22, and showing a year-over-year revenue increase of 4.4%.

Matador Resources (NYSE:MTDR - Get Free Report) had its target price decreased by equities researchers at Wells Fargo & Company from $71.00 to $61.00 in a research note issued to investors on Friday,Benzinga reports. The brokerage currently has an "overweight" rating on the energy company's stock. Wells Fargo & Company's price target suggests a potential upside of 50.93% from the company's previous close.

Several other analysts also recently weighed in on MTDR. Royal Bank Of Canada boosted their price target on shares of Matador Resources from $60.00 to $62.00 and gave the stock an "outperform" rating in a research note on Wednesday, October 8th. William Blair began coverage on Matador Resources in a report on Monday, August 25th. They set an "outperform" rating for the company. KeyCorp decreased their price target on Matador Resources from $61.00 to $52.00 and set an "overweight" rating on the stock in a research note on Friday. Bank of America dropped their price objective on Matador Resources from $56.00 to $55.00 and set a "buy" rating for the company in a research note on Thursday, October 16th. Finally, TD Cowen raised shares of Matador Resources to a "strong-buy" rating in a research note on Monday, July 7th. One investment analyst has rated the stock with a Strong Buy rating, twelve have given a Buy rating and three have issued a Hold rating to the company's stock. Based on data from MarketBeat, the stock has an average rating of "Moderate Buy" and a consensus price target of $63.93.

Matador Resources Price Performance

NYSE MTDR traded down $0.08 during trading hours on Friday, reaching $40.42. 107,469 shares of the stock traded hands, compared to its average volume of 1,731,983. The company has a debt-to-equity ratio of 0.55, a current ratio of 0.73 and a quick ratio of 0.81. The stock has a 50 day simple moving average of $46.37 and a two-hundred day simple moving average of $46.15. Matador Resources has a 1 year low of $35.19 and a 1 year high of $64.04. The company has a market cap of $5.03 billion, a price-to-earnings ratio of 6.42 and a beta of 1.41.

Matador Resources (NYSE:MTDR - Get Free Report) last issued its earnings results on Tuesday, October 21st. The energy company reported $1.36 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.22 by $0.14. The business had revenue of $939.02 million during the quarter, compared to analyst estimates of $893.22 million. Matador Resources had a return on equity of 14.80% and a net margin of 20.46%.Matador Resources's revenue for the quarter was up 4.4% on a year-over-year basis. During the same quarter in the prior year, the firm earned $1.89 earnings per share. On average, analysts predict that Matador Resources will post 8.53 EPS for the current fiscal year.

Insider Transactions at Matador Resources

In related news, EVP William Thomas Elsener acquired 600 shares of the stock in a transaction that occurred on Thursday, September 11th. The shares were bought at an average price of $48.46 per share, for a total transaction of $29,076.00. Following the completion of the transaction, the executive vice president directly owned 112,069 shares in the company, valued at approximately $5,430,863.74. This trade represents a 0.54% increase in their ownership of the stock. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, COO Christopher P. Calvert purchased 1,000 shares of the stock in a transaction dated Friday, September 12th. The shares were purchased at an average cost of $47.77 per share, for a total transaction of $47,770.00. Following the completion of the acquisition, the chief operating officer directly owned 37,500 shares in the company, valued at approximately $1,791,375. This trade represents a 2.74% increase in their ownership of the stock. The disclosure for this purchase can be found here. Insiders purchased 11,380 shares of company stock worth $549,188 over the last three months. 5.80% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Matador Resources

Institutional investors have recently added to or reduced their stakes in the stock. Vanguard Group Inc. grew its stake in Matador Resources by 7.6% during the first quarter. Vanguard Group Inc. now owns 13,511,643 shares of the energy company's stock valued at $690,310,000 after acquiring an additional 956,090 shares in the last quarter. Dimensional Fund Advisors LP increased its stake in Matador Resources by 0.4% in the 1st quarter. Dimensional Fund Advisors LP now owns 5,464,857 shares of the energy company's stock worth $279,192,000 after acquiring an additional 20,134 shares during the last quarter. LSV Asset Management raised its holdings in shares of Matador Resources by 45.7% during the 2nd quarter. LSV Asset Management now owns 3,334,775 shares of the energy company's stock worth $159,135,000 after acquiring an additional 1,045,396 shares in the last quarter. Adage Capital Partners GP L.L.C. boosted its position in shares of Matador Resources by 143.1% during the 2nd quarter. Adage Capital Partners GP L.L.C. now owns 2,556,472 shares of the energy company's stock valued at $121,995,000 after acquiring an additional 1,505,000 shares during the last quarter. Finally, Wellington Management Group LLP increased its position in Matador Resources by 30.5% in the first quarter. Wellington Management Group LLP now owns 2,043,715 shares of the energy company's stock worth $104,413,000 after purchasing an additional 477,236 shares during the last quarter. 91.98% of the stock is owned by hedge funds and other institutional investors.

About Matador Resources

Matador Resources Company, an independent energy company, engages in the exploration, development, production, and acquisition of oil and natural gas resources in the United States. It operates through two segments, Exploration and Production; and Midstream. The company primarily holds interests in the Wolfcamp and Bone Spring plays in the Delaware Basin in Southeast New Mexico and West Texas.

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