Latest news with #MachNaturalResources
Yahoo
12-07-2025
- Business
- Yahoo
Mach to acquire Permian and San Juan Basin assets for $1.3bn
Mach Natural Resources has entered definitive agreements, valued at approximately $1.3bn, to acquire oil and gas assets from Sabinal Energy and entities managed by IKAV Energy. The combined transactions are poised to nearly double Mach's production and diversify its asset base across three prolific basins. The acquisition of Sabinal's assets for $500m includes around 130,000 net acres. The first-quarter 2025 production average of the assets was 11 million barrels of oil equivalent per day (mboepd), including 98% liquids and 2% natural gas. Mach plans to fund this transaction with $300m in equity and the remainder through cash and credit facility borrowings. Furthermore, Mach's purchase of IKAV San Juan's assets for $787m will add approximately 570,000 net acres to its portfolio. The production from these assets was around 60mboepd in the first quarter of 2025, including 94% natural gas and 6% liquids. Funding for this acquisition will involve $462m in equity and the balance through cash and credit facilities. Post-acquisition, Mach's operations will span the Mid-Continent, Permian, and San Juan basins, with a combined production capacity of approximately 152mboepd from its current 81mboepd, and a total acreage of 2.8 million net acres. The transactions are expected to close in the third quarter of 2025, subject to customary terms and conditions. Mach CEO Tom L Ward said: 'These acquisitions are transformative for Mach. They not only strengthen our asset base but also advance the core pillars on which we've built the company since our founding. 'With this step, we significantly enhance our scale and gain strategic multi-basin positioning, all while maintaining a resilient balance sheet. Most importantly, the transactions are expected to be immediately accretive to our cash available for distribution, underscoring our commitment to delivering long-term value to our unitholders.' Moelis & Company and Truist Securities are providing financing advisory services for Mach on the Sabinal deal, with Kirkland & Ellis providing legal advice. Moelis & Company and Vinson & Elkins are advising on the IKAV San Juan transaction. Wells Fargo and Haynes and Boone, LLP are advising IKAV Energy while RBC Capital Markets and Vinson & Elkins are advising Sabinal Energy. "Mach to acquire Permian and San Juan Basin assets for $1.3bn" was originally created and published by Offshore Technology, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site.
Globe and Mail
24-06-2025
- Business
- Globe and Mail
Analysts Offer Insights on Energy Companies: Western Midstream Partners (WES), Mach Natural Resources LP (MNR) and California Resources Corp (CRC)
Companies in the Energy sector have received a lot of coverage today as analysts weigh in on Western Midstream Partners (WES – Research Report), Mach Natural Resources LP (MNR – Research Report) and California Resources Corp (CRC – Research Report). Confident Investing Starts Here: Easily unpack a company's performance with TipRanks' new KPI Data for smart investment decisions Receive undervalued, market resilient stocks right to your inbox with TipRanks' Smart Value Newsletter Western Midstream Partners (WES) Morgan Stanley analyst Robert Kad maintained a Sell rating on Western Midstream Partners today and set a price target of $41.00. The company's shares closed last Monday at $38.88. According to Kad is a 4-star analyst with an average return of 9.6% and a 65.2% success rate. Kad covers the NA sector, focusing on stocks such as Enterprise Products Partners, Plains All American, and Plains GP Holdings. ;'> The word on The Street in general, suggests a Hold analyst consensus rating for Western Midstream Partners with a $40.57 average price target. In a report released today, John Freeman from Raymond James reiterated a Buy rating on Mach Natural Resources LP, with a price target of $21.00. The company's shares closed last Monday at $15.47. According to Freeman is a top 25 analyst with an average return of 42.2% and a 72.5% success rate. Freeman covers the NA sector, focusing on stocks such as Infinity Natural Resources, Inc. Class A, Crescent Energy Company Class A, and National Fuel Gas Company. ;'> Currently, the analyst consensus on Mach Natural Resources LP is a Strong Buy with an average price target of $21.00. California Resources Corp (CRC) In a report released today, Leo Mariani from Roth MKM maintained a Buy rating on California Resources Corp, with a price target of $48.00. The company's shares closed last Monday at $46.98. According to Mariani is a top 100 analyst with an average return of 28.1% and a 63.5% success rate. Mariani covers the NA sector, focusing on stocks such as Occidental Petroleum, Magnolia Oil & Gas, and Comstock Resources. ;'> California Resources Corp has an analyst consensus of Strong Buy, with a price target consensus of $55.80, which is a 16.4% upside from current levels. In a report issued on June 10, TD Cowen also maintained a Buy rating on the stock with a $45.34 price target.
Yahoo
01-06-2025
- Business
- Yahoo
Investors Could Be Concerned With Mach Natural Resources' (NYSE:MNR) Returns On Capital
Finding a business that has the potential to grow substantially is not easy, but it is possible if we look at a few key financial metrics. In a perfect world, we'd like to see a company investing more capital into its business and ideally the returns earned from that capital are also increasing. If you see this, it typically means it's a company with a great business model and plenty of profitable reinvestment opportunities. In light of that, when we looked at Mach Natural Resources (NYSE:MNR) and its ROCE trend, we weren't exactly thrilled. Trump has pledged to "unleash" American oil and gas and these 15 US stocks have developments that are poised to benefit. Just to clarify if you're unsure, ROCE is a metric for evaluating how much pre-tax income (in percentage terms) a company earns on the capital invested in its business. The formula for this calculation on Mach Natural Resources is: Return on Capital Employed = Earnings Before Interest and Tax (EBIT) ÷ (Total Assets - Current Liabilities) 0.14 = US$275m ÷ (US$2.2b - US$282m) (Based on the trailing twelve months to March 2025). Thus, Mach Natural Resources has an ROCE of 14%. In absolute terms, that's a satisfactory return, but compared to the Oil and Gas industry average of 9.8% it's much better. Check out our latest analysis for Mach Natural Resources Above you can see how the current ROCE for Mach Natural Resources compares to its prior returns on capital, but there's only so much you can tell from the past. If you'd like, you can check out the forecasts from the analysts covering Mach Natural Resources for free. We weren't thrilled with the trend because Mach Natural Resources' ROCE has reduced by 73% over the last three years, while the business employed 309% more capital. However, some of the increase in capital employed could be attributed to the recent capital raising that's been completed prior to their latest reporting period, so keep that in mind when looking at the ROCE decrease. It's unlikely that all of the funds raised have been put to work yet, so as a consequence Mach Natural Resources might not have received a full period of earnings contribution from it. While returns have fallen for Mach Natural Resources in recent times, we're encouraged to see that sales are growing and that the business is reinvesting in its operations. However, despite the promising trends, the stock has fallen 18% over the last year, so there might be an opportunity here for astute investors. So we think it'd be worthwhile to look further into this stock given the trends look encouraging. One more thing: We've identified 2 warning signs with Mach Natural Resources (at least 1 which is potentially serious) , and understanding these would certainly be useful. If you want to search for solid companies with great earnings, check out this free list of companies with good balance sheets and impressive returns on equity. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. 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
Yahoo
11-05-2025
- Business
- Yahoo
Mach Natural Resources First Quarter 2025 Earnings: Misses Expectations
Revenue: US$226.8m (down 11% from 1Q 2024). Net income: US$15.9m (down 62% from 1Q 2024). Profit margin: 7.0% (down from 16% in 1Q 2024). The decrease in margin was driven by lower revenue. EPS: US$0.14 (down from US$0.44 in 1Q 2024). This technology could replace computers: discover the 20 stocks are working to make quantum computing a reality. All figures shown in the chart above are for the trailing 12 month (TTM) period Revenue missed analyst estimates by 13%. Earnings per share (EPS) also missed analyst estimates by 79%. Looking ahead, revenue is forecast to grow 1.5% p.a. on average during the next 3 years, compared to a 3.5% growth forecast for the Oil and Gas industry in the US. Performance of the American Oil and Gas industry. The company's shares are up 1.1% from a week ago. Before you take the next step you should know about the 2 warning signs for Mach Natural Resources (1 is a bit concerning!) that we have uncovered. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Yahoo
13-04-2025
- Business
- Yahoo
Private equity firms are Mach Natural Resources LP's (NYSE:MNR) biggest owners and were hit after market cap dropped US$54m
Significant control over Mach Natural Resources by private equity firms implies that the general public has more power to influence management and governance-related decisions The largest shareholder of the company is Bayou City Energy Management, LLC with a 63% stake 12% of Mach Natural Resources is held by insiders AI is about to change healthcare. These 20 stocks are working on everything from early diagnostics to drug discovery. The best part - they are all under $10bn in marketcap - there is still time to get in early. To get a sense of who is truly in control of Mach Natural Resources LP (NYSE:MNR), it is important to understand the ownership structure of the business. The group holding the most number of shares in the company, around 63% to be precise, is private equity firms. In other words, the group stands to gain the most (or lose the most) from their investment into the company. And last week, private equity firms endured the biggest losses as the stock fell by 3.4%. In the chart below, we zoom in on the different ownership groups of Mach Natural Resources. Check out our latest analysis for Mach Natural Resources Institutions typically measure themselves against a benchmark when reporting to their own investors, so they often become more enthusiastic about a stock once it's included in a major index. We would expect most companies to have some institutions on the register, especially if they are growing. Mach Natural Resources already has institutions on the share registry. Indeed, they own a respectable stake in the company. This can indicate that the company has a certain degree of credibility in the investment community. However, it is best to be wary of relying on the supposed validation that comes with institutional investors. They too, get it wrong sometimes. It is not uncommon to see a big share price drop if two large institutional investors try to sell out of a stock at the same time. So it is worth checking the past earnings trajectory of Mach Natural Resources, (below). Of course, keep in mind that there are other factors to consider, too. Hedge funds don't have many shares in Mach Natural Resources. The company's largest shareholder is Bayou City Energy Management, LLC, with ownership of 63%. With such a huge stake in the ownership, we infer that they have significant control of the future of the company. With 11% and 1.9% of the shares outstanding respectively, Tom Ward and American Century Investment Management Inc are the second and third largest shareholders. Tom Ward, who is the second-largest shareholder, also happens to hold the title of Chief Executive Officer. While studying institutional ownership for a company can add value to your research, it is also a good practice to research analyst recommendations to get a deeper understand of a stock's expected performance. There are plenty of analysts covering the stock, so it might be worth seeing what they are forecasting, too. The definition of an insider can differ slightly between different countries, but members of the board of directors always count. Company management run the business, but the CEO will answer to the board, even if he or she is a member of it. I generally consider insider ownership to be a good thing. However, on some occasions it makes it more difficult for other shareholders to hold the board accountable for decisions. Our information suggests that insiders maintain a significant holding in Mach Natural Resources LP. It is very interesting to see that insiders have a meaningful US$181m stake in this US$1.6b business. It is good to see this level of investment. You can check here to see if those insiders have been buying recently. With a 17% ownership, the general public, mostly comprising of individual investors, have some degree of sway over Mach Natural Resources. While this group can't necessarily call the shots, it can certainly have a real influence on how the company is run. Private equity firms hold a 63% stake in Mach Natural Resources. This suggests they can be influential in key policy decisions. Some might like this, because private equity are sometimes activists who hold management accountable. But other times, private equity is selling out, having taking the company public. While it is well worth considering the different groups that own a company, there are other factors that are even more important. For example, we've discovered 3 warning signs for Mach Natural Resources (2 can't be ignored!) that you should be aware of before investing here. If you are like me, you may want to think about whether this company will grow or shrink. Luckily, you can check this free report showing analyst forecasts for its future . NB: Figures in this article are calculated using data from the last twelve months, which refer to the 12-month period ending on the last date of the month the financial statement is dated. This may not be consistent with full year annual report figures. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. 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