Matador Resources Dividend and Options Analysis
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 2d ago
0mins
Source: NASDAQ.COM
- Dividend Expectation Analysis: Matador Resources Co's dividend history suggests that the current 3.5% annualized yield may persist amidst profitability fluctuations, prompting investors to monitor earnings changes to assess dividend sustainability.
- Volatility Assessment: With a trailing twelve-month volatility of 48% based on the last 251 trading days' closing prices, Matador's stock exhibits significant price fluctuations, necessitating caution in option strategy selection by investors.
- Options Trading Dynamics: On Tuesday, the put volume among S&P 500 components reached 802,997 contracts, while call volume hit 1.61M, indicating a strong preference for call options, reflecting investor optimism about future price increases.
- Risk-Reward Consideration: When contemplating selling June covered calls at a $45 strike price, investors must weigh potential rewards against the risk of capping upside beyond $45 to ensure sound investment decisions.
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Analyst Views on MTDR
Wall Street analysts forecast MTDR stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for MTDR is 57.08 USD with a low forecast of 50.00 USD and a high forecast of 70.00 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.
14 Analyst Rating
12 Buy
2 Hold
0 Sell
Strong Buy
Current: 43.960
Low
50.00
Averages
57.08
High
70.00
Current: 43.960
Low
50.00
Averages
57.08
High
70.00
About MTDR
Matador Resources Company is an independent energy company. The Company is engaged in the exploration, development, production and acquisition of oil and natural gas resources in the United States, with an emphasis on oil and natural gas shale and other unconventional plays. It operates through two segments: exploration and production and midstream. The exploration and production segment are engaged in the exploration, development, production and acquisition of oil and natural gas resources in the United States and is focused primarily on the oil and liquids-rich portion of the Wolfcamp and Bone Spring plays in the Delaware Basin in Southeast New Mexico and West Texas. The midstream segment conducts midstream operations in support of the Company’s exploration, development and production operations and provides natural gas processing, oil transportation services, oil, natural gas and produced water gathering services and produce water disposal services to third parties.
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.
Magnolia Oil & Gas Upgraded to Equal Weight Amid Market Pressures
- Rating Change: Wells Fargo upgraded Magnolia Oil & Gas (MGY) from Underweight to Equal Weight with a $22 price target, reflecting recognition of the company's execution and capital framework amid current macro pressures.
- Capital Framework Advantage: The analyst noted that MGY's low reinvestment rate and modest production growth underpin free cash flow stability, providing relative downside protection compared to higher-reinvestment peers.
- Matador Resources Downgrade: In contrast, Matador Resources (MTDR) was downgraded to Equal Weight with a $47 price target, indicating market concerns over its capital intensity and productivity variability, suggesting challenges for its growth-oriented strategy in the current market.
- Permian Resources Leadership: The analyst favors Permian Resources (PR) as a top pick among oil-weighted E&Ps, expecting robust execution to drive oil production toward the high end of Q4 guidance, showcasing its competitive edge in the industry.
Continue Reading
Matador Resources Dividend and Options Analysis
- Dividend Expectation Analysis: Matador Resources Co's dividend history suggests that the current 3.5% annualized yield may persist amidst profitability fluctuations, prompting investors to monitor earnings changes to assess dividend sustainability.
- Volatility Assessment: With a trailing twelve-month volatility of 48% based on the last 251 trading days' closing prices, Matador's stock exhibits significant price fluctuations, necessitating caution in option strategy selection by investors.
- Options Trading Dynamics: On Tuesday, the put volume among S&P 500 components reached 802,997 contracts, while call volume hit 1.61M, indicating a strong preference for call options, reflecting investor optimism about future price increases.
- Risk-Reward Consideration: When contemplating selling June covered calls at a $45 strike price, investors must weigh potential rewards against the risk of capping upside beyond $45 to ensure sound investment decisions.
Continue Reading