Chairman and CEO At Matador Resources Buys $323K of Stock

On February 24, a substantial insider purchase was made by Joseph Wm Foran, Chairman and CEO at Matador Resources MTDR, as per the latest SEC filing.

What Happened: Foran made a significant move by purchasing 6,000 shares of Matador Resources as reported in a Form 4 filing with the U.S. Securities and Exchange Commission. The transaction’s total worth stands at $323,640.

Monitoring the market, Matador Resources‘s shares up by 1.5% at $53.91 during Monday’s morning.

Discovering Matador Resources: A Closer Look

Matador Resources Co is an independent energy company engaged in the exploration, development, production, and acquisition of oil and natural gas resources. The majority of the company’s assets are located in the United States, with an emphasis on oil and natural gas shale and other unconventional plays. Along with maintaining a portfolio of oil and natural gas properties, Matador works to identify and develop midstream opportunities that support and enhance its exploration and development business.

Financial Insights: Matador Resources

Revenue Growth: Matador Resources’s remarkable performance in 3 months is evident. As of 31 December, 2024, the company achieved an impressive revenue growth rate of 13.74%. This signifies a substantial increase in the company’s top-line earnings. In comparison to its industry peers, the company stands out with a growth rate higher than the average among peers in the Energy sector.

Exploring Profitability:

• Gross Margin: With a low gross margin of 42.0%, the company exhibits below-average profitability, signaling potential struggles in cost efficiency compared to its industry peers.

• Earnings per Share (EPS): The company excels with an EPS that surpasses the industry average. With a current EPS of 1.72, Matador Resources showcases strong earnings per share.

Debt Management: With a below-average debt-to-equity ratio of 0.65, Matador Resources adopts a prudent financial strategy, indicating a balanced approach to debt management.

In-Depth Valuation Examination:

• Price to Earnings (P/E) Ratio: Matador Resources’s P/E ratio of 7.44 is below the industry average, suggesting the stock may be undervalued.

• Price to Sales (P/S) Ratio: The Price to Sales ratio is 1.89, which is lower than the industry average. This suggests a possible undervaluation based on sales performance.

• EV/EBITDA Analysis (Enterprise Value to its Earnings Before Interest, Taxes, Depreciation & Amortization): Matador Resources’s EV/EBITDA ratio, lower than industry averages at 4.13, indicates attractively priced shares.

Market Capitalization: With restricted market capitalization, the company is positioned below industry averages. This reflects a smaller scale relative to peers.

Now trade stocks online commission free with Charles Schwab, a trusted and complete investment firm.

Navigating the Impact of Insider Transactions on Investments

Insider transactions contribute to decision-making but should be supplemented by a comprehensive investment analysis.

When discussing legal matters, the term “insider” refers to any officer, director, or beneficial owner holding more than ten percent of a company’s equity securities, as stipulated in Section 12 of the Securities Exchange Act of 1934. This includes executives in the c-suite and significant hedge funds. Such insiders are required to report their transactions through a Form 4 filing, which must be completed within two business days of the transaction.

A new purchase by a company insider is a indication that they anticipate the stock will rise.

On the other hand, insider sells may not necessarily indicate a bearish view and can be motivated by various factors.

Understanding Crucial Transaction Codes

Examining transactions, investors often concentrate on those unfolding in the open market, meticulously detailed in Table I of the Form 4 filing. A P in Box 3 denotes a purchase, while S signifies a sale. Transaction code C indicates the conversion of an option, and transaction code A denotes a grant, award, or other acquisition of securities from the company.

Check Out The Full List Of Matador Resources’s Insider Trades.

Insider Buying Alert: Profit from C-Suite Moves

Benzinga Edge reveals every insider trade in real-time. Don’t miss the next big stock move driven by insider confidence. Unlock this ultimate sentiment indicator now. Click here for access.

This article was generated by Benzinga’s automated content engine and reviewed by an editor.