Latest news with #MGY
Yahoo
14-05-2025
- Business
- Yahoo
Magnolia Oil & Gas Corporation (MGY): One of the Underperforming Stocks Targeted By Short Sellers
We recently published a list of . In this article, we are going to take a look at where Magnolia Oil & Gas Corporation (NYSE:MGY) stands against other underperforming stocks targeted by short sellers. Short interest refers to the percentage of publicly available shares that have been sold short. It is an indicator used by many investors to determine how strong a company's bear thesis may be. Due to the nature of short selling, the short interest has become a popular indicator among investors. The reason it is given so much weightage is that people betting against a stock have usually done solid research and are confident of a company's downfall. They take unlimited risk, so when big investors or the smart money shorts a stock, people take notice. They try to unearth the red flags that may have prompted the high short interest. We decided to dig deeper and try to find out where smart money sees trouble ahead. To come up with our list of 20 underperforming stocks targeted by short sellers, we looked at the worst-performing stocks of the last six months and then ranked them by the short interest. Aerial view of an oil and natural gas drilling operation on a leasehold position. Short interest: 14.36% 6 months' performance: -17% Magnolia Oil & Gas Corporation (NYSE:MGY) operates as an independent natural gas and oil company. The company develops, acquires, explores, and produces natural gas, oil, and natural gas liquids reserves. Its properties are located mainly in the Giddings area and Karnes County. The company's short interest may be high, but it is trending downwards. Since October 2024, it has come down from 18.4% to 14.36%. This presents a possible short squeeze opportunity backed by improving fundamentals. Magnolia Oil & Gas Corporation (NYSE:MGY) planned spending of nearly half a billion dollars on drilling and completions this year is likely to result in a 5% to 7% production growth. On top of this, efficiency improvements will result in more wells being drilled for the same cost. The company is unhedged and fully exposed to commodity prices as part of the management's strategy. This could go either way for investors, but if it favors the company, the probability of a bull rally triggered by short covering is quite high. Overall, MGY ranks 18th on our list of underperforming stocks targeted by short sellers. While we acknowledge the potential of MGY as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns, and doing so within a shorter time frame. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. If you are looking for an AI stock that is more promising than MGY but that trades at less than 5 times its earnings, check out our report about this cheapest AI stock. READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires. Disclosure: None. This article is originally published at Insider Monkey. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Forbes
14-04-2025
- Business
- Forbes
Why Matador Resources Isn't Following The Oil Rally?
A gas flare burns at a Matador Resources Co. site in the Permian Basin area of Loving County, Texas, ... More U.S., on Saturday, Dec. 15, 2018. Photographer: Angus Mordant/Bloomberg Despite a robust 23% annual sales growth and strong net margins of 25%, Matador Resources stock (NYSE: MTDR) has traded largely flat over the past three years. What accounts for the gap between solid business performance and stagnant stock returns, and could this present a potential buying opportunity? Several elements have contributed to investor caution regarding Matador. The company's operations are highly concentrated in the Delaware Basin, making it vulnerable to geographic risk. Moreover, as an energy company, Matador is subject to the sector's cyclical nature and geopolitical volatility. Financial concerns also weigh on sentiment. The company carries significant debt of roughly $3.4 billion, while holding less than $25 million in cash. Recent market trends have compounded pressure, with crude oil prices dropping more than 20% since peaking in mid-January 2025 following tariff-related developments. For investors seeking growth with less single-stock risk, the High-Quality portfolio offers a compelling alternative, with returns exceeding 91% since inception, outperforming the S&P 500. Despite these headwinds, the investment case for Matador remains strong. It is an undervalued, efficiently run U.S. shale producer generating healthy free cash flow and positioned to benefit from rising global energy demand. The market appears to be underestimating the stock due to short-term concerns around capital spending and broader economic uncertainty. Relative to peers like APA, CHRD, DVN, and MGY, Matador trades at a notable discount. MGY, for instance, has a price-to-earnings ratio above 10 with 7% annual revenue growth and 27% net margins, while MTDR trades at just 5 times earnings despite stronger 23% sales growth and similar 25% margins. Potential upside catalysts include pro-fossil fuel policies under the Trump administration that could reduce regulatory friction and support growth. On the technical side, MTDR currently trades near the low end of its historical range, with analysts setting average price targets around $72—nearly 90% above the current $38 level. Concerned about MTDR's volatility? The Trefis High Quality Portfolio, comprised of 30 stocks, has consistently outperformed the S&P 500 over the past four years. What's the secret? These companies, as a group, deliver superior returns with reduced volatility compared to the broader market, as seen in the HQ Portfolio performance metrics. Invest with Trefis Market Beating Portfolios | Rules-Based Wealth
Yahoo
06-04-2025
- Business
- Yahoo
What To Expect From Magnolia Oil & Gas Q1 Earnings In Volatile Commodity Environment?
J.P. Morgan analyst Zach Parham shared his view on Magnolia Oil & Gas Corporation (NYSE:MGY) ahead of the earnings release on May 1st. The analyst maintained a Neutral rating on the stock with a price forecast of $24 after updating for first-quarter commodity prices. Parham writes that Magnolia Oil & Gas remains on track with its 2-rig/1-frac crew program and is committed to keeping capex below 55% of EBITDA. Despite commodity price volatility, the analyst expects capital expenditure to stay under 50% of EBITDA due to MGY's natural gas exposure. Also, Parham sees positive productivity trends in Giddings and Karnes wells, which could provide a modest production upside to his production estimates. For FY25, the analyst estimates total volumes of 96.1 MBoe/d (+7% YoY) and oil volumes of 39.4 MBo/d (+3% YoY), aligning with company guidance. Also, Parham sees FY25 capex of $478 million (in line with consensus) and FCF of $458 million. Meanwhile, for the first quarter, the analyst expects cash flow per share (CFPS) to be $1.20 and EBITDA to be $251 million (3% above the estimates at $244 million). The analyst projects first-quarter oil production of 39.0 MBo/d and total production of 94.0 MBoe/d (both on top of consensus). Moreover, Parham sees a cash return of $77 million for the quarter, including a dividend per share of $0.15 and a share buyback of $48 million. Price Action: MGY shares are down 10.9% at $20.94 at the last check Friday. Read Next:Photo via Shutterstock. Date Firm Action From To Mar 2022 Keybanc Maintains Overweight Mar 2022 Keybanc Maintains Overweight Jan 2022 Keybanc Maintains Overweight View More Analyst Ratings for MGY View the Latest Analyst Ratings UNLOCKED: 5 NEW TRADES EVERY WEEK. Click now to get top trade ideas daily, plus unlimited access to cutting-edge tools and strategies to gain an edge in the markets. Get the latest stock analysis from Benzinga? This article What To Expect From Magnolia Oil & Gas Q1 Earnings In Volatile Commodity Environment? originally appeared on © 2025 Benzinga does not provide investment advice. All rights reserved. Sign in to access your portfolio
Yahoo
18-02-2025
- Business
- Yahoo
Magnolia Oil to Report Q4 Earnings: What's in Store for the Stock?
Magnolia Oil & Gas Corporation MGY is set to report fourth-quarter earningson Feb. 18. The Zacks Consensus Estimate for earnings is pegged at 46 cents per share and the same for revenues is pinned at $330.02 us delve into the factors that might have influenced MGY's performance in the to-be-reported quarter. Before that, it is worth taking a look at the company's performance in the last reported quarter. In the last reported quarter, the Houston, TX-based oil and gas exploration and production company reported a net profit of 52 cents per share, which beat the Zacks Consensus Estimate by 4 cents. This was primarily due to a healthy increase in production volumes. The company's total revenues were $333.1 million, which outpaced the Zacks Consensus Estimate by $2.1 million. MGY's earnings beat the Zacks Consensus Estimate in three of the trailing four quarters and missed the remaining one, delivering an average surprise of 5.52%. This is depicted in the graph below: Magnolia Oil & Gas Corp price-eps-surprise | Magnolia Oil & Gas Corp Quote The Zacks Consensus Estimate for fourth-quarter 2024 earnings has not witnessed any movement in the past seven days. The estimated figure indicates an 8% year-over-year bottom-line decrease. However, the Zacks Consensus Estimate for revenues indicates an increase of 2.29% from the year-ago period's level. MGY generates revenues by acquiring land or leases with oil and natural gas reserves, primarily in South Texas. The company explores these properties, drills wells to extracts the oil and gas, and sells the resources to other energy companies. By focusing on areas such as the Eagle Ford Shale and Austin Chalk, MGY profits from the difference between the costs of drilling and production and the income from selling the extracted oil and gas. MGY's revenues are likely to have improved in the quarter to be reported. Our model predicts fourth-quarter revenues to have increased to $327.9 million from the year-ago quarter's level of $322.6 million. This can be attributed to the strong revenue contribution from oil and natural gas. The oil segment's revenues are expected to have increased 1.3% year over year, totaling $255.9 million. The natural gas segment's revenues are predicted to have increased 17.1% at the same time, amounting to $30.9 million. Regarding production volumes, we expect the company's total production to have reached 8.6 million barrels of oil equivalent (MMboe) in the fourth quarter, an 8.3% increase from the year-ago quarter's level of 7.9 MMboe. Oil production is expected to have risen 8.5% year over year, totaling 3.5 thousand barrels of oil (MBbls). Similarly, natural gas liquids are forecasted to have increased 4.6% year over year, totaling 2.3 MBbls. Gas production is predicted to have grown 13.6% year over year, reaching 16.2 million cubic feet. On the cost side, MGY's efforts to reduce expenses are likely to have positively impacted its upcoming bottom line. We expect the company's gathering, transportation and processing expenses to have reached $8.7 million in the fourth quarter, which is 20.7% down from the year-ago quarter's level of $10.9 million. MGY is expected to report higher revenues and improved profitability in the fourth quarter, driven by increased production and effective cost management. Our proven model predict an earnings beat for Magnolia this season. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. This is exactly the case here. Earnings ESP of MGY: Earnings ESP, which represents the difference between the Most Accurate Estimate and the Zacks Consensus Estimate, for this company is +1.73%. You can uncover the best stocks to buy or sell before they're reported with our Earnings ESP Filter. MGY's Zacks Rank: MGY currently carries a Zacks Rank #3. Here are some other firms from the energy space that you may want to consider, as these, too, have the right combination of elements to post an earnings beat this reporting cycle. CNX Resources CNX has an Earnings ESP of +3.60% and a Zacks Rank #2. You can see the complete list of today's Zacks #1 Rank stocks here. Valued at around $4.44 billion, CLMT's shares have gained 56.8% in a year. Notably, the Zacks Consensus Estimate for CNX's 2025 earnings per share indicates 26.64% year-over-year growth. Calumet, Inc. CLMT has an Earnings ESP of +7.11% and a Zacks Rank #2. Valued at around $1.5 billion, CLMT's shares have lost 0.1% in a year. Notably, the Zacks Consensus Estimate for CLMT's 2025 earnings per share indicates 104.46% year-over-year growth. California Resources CRC has an Earnings ESP of +2.59% and a Zacks Rank #3. The firm is scheduled to release earnings on March 3. CRC's earnings beat the consensus estimate in each of the trailing four quarters, delivering an average surprise of 13.11%. Valued at around $4.18 billion, CRC's shares have lost 11.7% in a year. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report CNX Resources Corporation. (CNX) : Free Stock Analysis Report Calumet, Inc. (CLMT) : Free Stock Analysis Report California Resources Corporation (CRC) : Free Stock Analysis Report Magnolia Oil & Gas Corp (MGY) : Free Stock Analysis Report To read this article on click here. Zacks Investment Research Sign in to access your portfolio
Yahoo
18-02-2025
- Business
- Yahoo
Will Magnolia Oil & Gas Corp (MGY) Beat Estimates Again in Its Next Earnings Report?
Have you been searching for a stock that might be well-positioned to maintain its earnings-beat streak in its upcoming report? It is worth considering Magnolia Oil & Gas Corp (MGY), which belongs to the Zacks Oil and Gas - Exploration and Production - United States industry. This company has seen a nice streak of beating earnings estimates, especially when looking at the previous two reports. The average surprise for the last two quarters was 9.07%. For the most recent quarter, Magnolia Oil & Gas Corp was expected to post earnings of $0.48 per share, but it reported $0.52 per share instead, representing a surprise of 8.33%. For the previous quarter, the consensus estimate was $0.51 per share, while it actually produced $0.56 per share, a surprise of 9.80%. With this earnings history in mind, recent estimates have been moving higher for Magnolia Oil & Gas Corp. In fact, the Zacks Earnings ESP (Expected Surprise Prediction) for the company is positive, which is a great sign of an earnings beat, especially when you combine this metric with its nice Zacks Rank. Our research shows that stocks with the combination of a positive Earnings ESP and a Zacks Rank #3 (Hold) or better produce a positive surprise nearly 70% of the time. In other words, if you have 10 stocks with this combination, the number of stocks that beat the consensus estimate could be as high as seven. The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a version of the Zacks Consensus whose definition is related to change. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier. Magnolia Oil & Gas Corp has an Earnings ESP of +0.82% at the moment, suggesting that analysts have grown bullish on its near-term earnings potential. When you combine this positive Earnings ESP with the stock's Zacks Rank #3 (Hold), it shows that another beat is possibly around the corner. The company's next earnings report is expected to be released on February 18, 2025. With the Earnings ESP metric, it's important to note that a negative value reduces its predictive power; however, a negative Earnings ESP does not indicate an earnings miss. Many companies end up beating the consensus EPS estimate, but that may not be the sole basis for their stocks moving higher. On the other hand, some stocks may hold their ground even if they end up missing the consensus estimate. Because of this, it's really important to check a company's Earnings ESP ahead of its quarterly release to increase the odds of success. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Magnolia Oil & Gas Corp (MGY) : Free Stock Analysis Report To read this article on click here. Zacks Investment Research Sign in to access your portfolio
