Matador Resources Company (MTDR): A Turnaround In The Making

Matador Resources Company’s stock (NYSE:MTDR) has been rated as Overweight by CapitalOne. This latest rating was contained in a recent research note published by the firm on October 04, 2019 and has set a $22 price target for the stock. Some experts on Wall Street have also posted a report on Matador Resources Company (MTDR) stock.

Williams Capital Group rated the stock as a Buy in a research noted published on September 18, 2019. Stephens rated the stock as a Overweight in a research note published on July 23, 2019.

As it stands, a total of 20 analysts are covering MTDR stock, with 13 of them rating it as a Buy while 2 of them rating it as Overweight. 5 analysts meanwhile advised investors to Hold, 0 rated it as Underweight while the 0 rated it as a Sell. A look at the overall ratings means that Matador Resources Company (MTDR) stock has an average rating of Overweight.

Matador Resources Company (MTDR) which is currently valued at 1.80 billion, with the company publishing its last earnings report on 07/31/2019, for the recent quarter of 2019. In that quarter, the company recorded a revenue of 232.85 million, which was lower than the forecast of 252.65 million made by some analysts. For that same quarter, Matador Resources Company (MTDR) posted $0.48 earnings per share (EPS) which was above the analyst consensus estimate of $0.36 by $0.12, which represents an increase by 33.30%.

The stock market has a tendency to become sophisticated sometimes, even for seasoned investors and traders. Even when a trader got what he/she had expected, the market sometimes decides to move in the opposite direction. This volatility sometimes leads to some traders doubting and second-guessing their moves. This is why getting to know historical price performance, as well as both long-term and short-term trends, is very important. Over the past one week, MTDR price has dropped by -6.41%. A look at its price performance over the past three months sees the stock go down by -17.93%, while it has lost -22.42% over the past six months and -54.38% since the start of the year.

Let us now look at some of its likely support and resistance level. Recent research on Matador Resources Company (MTDR) has seen its stock trading -22.46% below its three-month high price. A look at the other side also sees stock trading +15.28% above its three-month low. A wider look sees MTDR trading -22.46% below its 52-week high and 15.28% above from its 52-week low price.

Shareholders of the company sometimes like to find out how their investments are growing. Matador Resources Company (MTDR) has so far given an ROE of 10.50%. When the ROE is low, it means that the company isn’t generating enough profits. The Return on Assets (ROA) ratio meanwhile is an indication of how profitable a company is relative to the total asset it owns. Matador Resources Company (MTDR)’s ROA at the moment stands at 5.00%. Any company that is managing its assets better will have a higher return while one that manages assets poorly would result in low returns.

Matador Resources Company (MTDR) has a return on investment (ROI) of 11.40%. The higher the ROI percentage, the higher the profit exceeds the costs, thus analysts consider such investments as an overall gain. A negative ROI, however, means that the cost is higher than the profits, a scenario analysts consider as a net loss.

Let us now take a look at Matador Resources Company (MTDR)’s trading volatility. Its 7-day volatility is around 5.35%, while it has a monthly volatility of 5.55%. MTDR has an ATR (Average True Range) of 0.89 and a beta factor of 2.03. The volatility of a stock is an indication of the stock’s drop or gain in case the wider market drops or surges. A beta score higher than 1 means that a stock is highly volatile while below 1 means that the volatility of a stock is low.

The price of MTDR moved down by -$0.14 during the normal trading session on Monday to trade at $15.47. The Matador Resources Company (MTDR) stock has a trading volume of 1.7 million shares, which is low, compared to its average daily volume of 2.78M shares.