Black Stone Minerals (BSM): Assessing Valuation Following Recent Minor Increases in Share Price
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Nov 05 2025
0mins
Source: Yahoo Finance
Current Stock Performance: Black Stone Minerals (BSM) shares have seen a slight increase recently, with a 4.9% gain over the past 90 days, but the total shareholder return over the past year is slightly negative, raising questions about its valuation amidst changing energy trends.
Valuation Insights: The stock is currently priced at $13.34, with a fair value estimate of $13.00, leading investors to consider whether it is overvalued or if there remains a buying opportunity based on future growth prospects.
Growth Potential and Risks: The company is diversifying its operations by onboarding multiple top-tier operators, which could enhance long-term revenue growth; however, production delays and reliance on third-party operators pose risks to this growth outlook.
Valuation Models: While consensus suggests BSM is slightly overvalued, a DCF model indicates it may be undervalued, prompting further investigation into the company's future cash flows and potential hidden risks.
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Analyst Views on BSM
Wall Street analysts forecast BSM stock price to fall over the next 12 months. According to Wall Street analysts, the average 1-year price target for BSM is 13.00 USD with a low forecast of 13.00 USD and a high forecast of 13.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
2 Analyst Rating
0 Buy
2 Hold
0 Sell
Hold
Current: 14.990
Low
13.00
Averages
13.00
High
13.00
Current: 14.990
Low
13.00
Averages
13.00
High
13.00
About BSM
Black Stone Minerals, L.P. is an owner and manager of oil and natural gas mineral interests in the United States. The Company’s principal business is maximizing the value of its existing portfolio of mineral and royalty assets through active management. It owns mineral interests in approximately 16.8 million gross acres. It also owns nonparticipating royalty interests (NPRIs) in 1.8 million gross acres and overriding royalty interests (ORRIs) in 1.6 million gross acres. The Company owns mineral and royalty interests in 41 states in the continental United States, including all of the onshore producing basins. Many of these interests are in active resource plays, including the Haynesville/Bossier shales in East Texas/Western Louisiana, the Wolfcamp/Spraberry/Bone Springs in the Permian Basin, the Bakken/Three Forks in the Williston Basin, and the Eagle Ford shale in South Texas.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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BSM Experiences Significant Drop Below Key Moving Average
- 52 Week Range: BSM's stock has a 52-week low of $11.78 and a high of $15.60, with the last trade recorded at $13.44.
- Market Analysis: The article mentions other energy stocks that have recently fallen below their 200-day moving average.
- Author's Perspective: The views expressed in the article are solely those of the author and do not necessarily represent Nasdaq, Inc.
- Stock Performance Context: The information provided gives context to BSM's current stock performance within the broader energy market.
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