MATADOR RESOURCES CO (MTDR) Stock Fundamental Analysis
NYSE:MTDR - New York Stock Exchange, Inc. - US5764852050 - Common Stock - Currency: USD
Overall MTDR gets a fundamental rating of 6 out of 10. We evaluated MTDR against 210 industry peers in the Oil, Gas & Consumable Fuels industry. MTDR scores excellent on profitability, but there are concerns on its financial health. MTDR scores decently on growth, while it is valued quite cheap. This could make an interesting combination.
1. Profitability
1.1 Basic Checks
In the past year MTDR was profitable.
MTDR had a positive operating cash flow in the past year.
MTDR had positive earnings in 4 of the past 5 years.
Each year in the past 5 years MTDR had a positive operating cash flow.
1.2 Ratios
With a decent Return On Assets value of 8.41%, MTDR is doing good in the industry, outperforming 79.05% of the companies in the same industry.
MTDR has a better Return On Equity (17.62%) than 77.14% of its industry peers.
MTDR has a better Return On Invested Capital (12.09%) than 86.19% of its industry peers.
MTDR had an Average Return On Invested Capital over the past 3 years of 17.87%. This is significantly below the industry average of 23.80%.
The 3 year average ROIC (17.87%) for MTDR is well above the current ROIC(12.09%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.41% | ||
| ROE | 17.62% | ||
| ROIC | 12.09% |
ROA(3y)13.66%
ROA(5y)7.72%
ROE(3y)26.02%
ROE(5y)12.53%
ROIC(3y)17.87%
ROIC(5y)14.83%
1.3 Margins
MTDR's Profit Margin of 24.97% is fine compared to the rest of the industry. MTDR outperforms 77.14% of its industry peers.
In the last couple of years the Profit Margin of MTDR has grown nicely.
The Operating Margin of MTDR (40.33%) is better than 84.76% of its industry peers.
MTDR's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 72.01%, MTDR belongs to the top of the industry, outperforming 83.33% of the companies in the same industry.
In the last couple of years the Gross Margin of MTDR has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 40.33% | ||
| PM (TTM) | 24.97% | ||
| GM | 72.01% |
OM growth 3Y-4.97%
OM growth 5Y11.32%
PM growth 3Y-10.45%
PM growth 5Y23.13%
GM growth 3Y-0.29%
GM growth 5Y2.02%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), MTDR is creating value.
Compared to 1 year ago, MTDR has more shares outstanding
The number of shares outstanding for MTDR has been increased compared to 5 years ago.
The debt/assets ratio for MTDR is higher compared to a year ago.
2.2 Solvency
MTDR has an Altman-Z score of 1.78. This is a bad value and indicates that MTDR is not financially healthy and even has some risk of bankruptcy.
MTDR has a better Altman-Z score (1.78) than 61.43% of its industry peers.
MTDR has a debt to FCF ratio of 3.60. This is a good value and a sign of high solvency as MTDR would need 3.60 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 3.60, MTDR is in the better half of the industry, outperforming 72.38% of the companies in the same industry.
A Debt/Equity ratio of 0.60 indicates that MTDR is somewhat dependend on debt financing.
MTDR has a Debt to Equity ratio (0.60) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.6 | ||
| Debt/FCF | 3.6 | ||
| Altman-Z | 1.78 |
ROIC/WACC1.34
WACC9.05%
2.3 Liquidity
A Current Ratio of 0.79 indicates that MTDR may have some problems paying its short term obligations.
MTDR has a worse Current ratio (0.79) than 70.00% of its industry peers.
A Quick Ratio of 0.76 indicates that MTDR may have some problems paying its short term obligations.
MTDR has a worse Quick ratio (0.76) than 65.24% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.79 | ||
| Quick Ratio | 0.76 |
3. Growth
3.1 Past
MTDR shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 11.17%, which is quite good.
Measured over the past years, MTDR shows a very strong growth in Earnings Per Share. The EPS has been growing by 44.19% on average per year.
MTDR shows a strong growth in Revenue. In the last year, the Revenue has grown by 22.97%.
The Revenue has been growing by 28.93% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)11.17%
EPS 3Y20.83%
EPS 5Y44.19%
EPS Q2Q%16.37%
Revenue 1Y (TTM)22.97%
Revenue growth 3Y28.21%
Revenue growth 5Y28.93%
Sales Q2Q%28.72%
3.2 Future
The Earnings Per Share is expected to grow by 4.57% on average over the next years.
The Revenue is expected to grow by 4.88% on average over the next years.
EPS Next Y-10.68%
EPS Next 2Y-7.2%
EPS Next 3Y-1.96%
EPS Next 5Y4.57%
Revenue Next Year8.97%
Revenue Next 2Y5.19%
Revenue Next 3Y4.88%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 6.56, which indicates a rather cheap valuation of MTDR.
MTDR's Price/Earnings ratio is rather cheap when compared to the industry. MTDR is cheaper than 85.71% of the companies in the same industry.
MTDR is valuated cheaply when we compare the Price/Earnings ratio to 27.51, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 7.90 indicates a rather cheap valuation of MTDR.
Based on the Price/Forward Earnings ratio, MTDR is valued a bit cheaper than 75.71% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of MTDR to the average of the S&P500 Index (35.58), we can say MTDR is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.56 | ||
| Fwd PE | 7.9 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, MTDR is valued a bit cheaper than 80.00% of the companies in the same industry.
MTDR's Price/Free Cash Flow ratio is rather cheap when compared to the industry. MTDR is cheaper than 83.33% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.21 | ||
| EV/EBITDA | 3.79 |
4.3 Compensation for Growth
MTDR has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.15
EPS Next 2Y-7.2%
EPS Next 3Y-1.96%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.40%, MTDR has a reasonable but not impressive dividend return.
MTDR's Dividend Yield is comparable with the industry average which is at 6.41.
MTDR's Dividend Yield is comparable with the S&P500 average which is at 2.35.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.4% |
5.2 History
MTDR has been paying a dividend for over 5 years, so it has already some track record.
MTDR has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)N/A
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
MTDR pays out 12.90% of its income as dividend. This is a sustainable payout ratio.
DP12.9%
EPS Next 2Y-7.2%
EPS Next 3Y-1.96%
NYSE:MTDR (7/15/2025, 12:53:10 PM)
50.905
-0.91 (-1.77%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners91.07%
Inst Owner Change0%
Ins Owners6.92%
Ins Owner Change1.28%
Market Cap6.37B
Analysts83.08
Price Target65.68 (29.02%)
Short Float %7.69%
Short Ratio5.58
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.4% |
Yearly Dividend0.86
Dividend Growth(5Y)N/A
DP12.9%
Div Incr Years3
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)6.36%
Min EPS beat(2)4.08%
Max EPS beat(2)8.64%
EPS beat(4)4
Avg EPS beat(4)8.73%
Min EPS beat(4)4.08%
Max EPS beat(4)14.39%
EPS beat(8)8
Avg EPS beat(8)9.13%
EPS beat(12)12
Avg EPS beat(12)8.56%
EPS beat(16)16
Avg EPS beat(16)11.61%
Revenue beat(2)1
Avg Revenue beat(2)0.55%
Min Revenue beat(2)-1.65%
Max Revenue beat(2)2.74%
Revenue beat(4)3
Avg Revenue beat(4)1.45%
Min Revenue beat(4)-1.65%
Max Revenue beat(4)4.08%
Revenue beat(8)6
Avg Revenue beat(8)2.56%
Revenue beat(12)10
Avg Revenue beat(12)4.56%
Revenue beat(16)13
Avg Revenue beat(16)6.3%
PT rev (1m)0.26%
PT rev (3m)-12.99%
EPS NQ rev (1m)0.02%
EPS NQ rev (3m)-27.29%
EPS NY rev (1m)2.81%
EPS NY rev (3m)-16.83%
Revenue NQ rev (1m)0.39%
Revenue NQ rev (3m)-9.81%
Revenue NY rev (1m)0.66%
Revenue NY rev (3m)-8.36%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.56 | ||
| Fwd PE | 7.9 | ||
| P/S | 1.71 | ||
| P/FCF | 7.21 | ||
| P/OCF | 2.54 | ||
| P/B | 1.21 | ||
| P/tB | 1.21 | ||
| EV/EBITDA | 3.79 |
EPS(TTM)7.76
EY15.24%
EPS(NY)6.44
Fwd EY12.65%
FCF(TTM)7.06
FCFY13.86%
OCF(TTM)20.02
OCFY39.32%
SpS29.8
BVpS42.23
TBVpS42.23
PEG (NY)N/A
PEG (5Y)0.15
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.41% | ||
| ROE | 17.62% | ||
| ROCE | 15.12% | ||
| ROIC | 12.09% | ||
| ROICexc | 12.11% | ||
| ROICexgc | 12.11% | ||
| OM | 40.33% | ||
| PM (TTM) | 24.97% | ||
| GM | 72.01% | ||
| FCFM | 23.68% |
ROA(3y)13.66%
ROA(5y)7.72%
ROE(3y)26.02%
ROE(5y)12.53%
ROIC(3y)17.87%
ROIC(5y)14.83%
ROICexc(3y)18.98%
ROICexc(5y)15.55%
ROICexgc(3y)18.98%
ROICexgc(5y)15.55%
ROCE(3y)22.36%
ROCE(5y)18.55%
ROICexcg growth 3Y-11.64%
ROICexcg growth 5Y17.6%
ROICexc growth 3Y-11.64%
ROICexc growth 5Y17.6%
OM growth 3Y-4.97%
OM growth 5Y11.32%
PM growth 3Y-10.45%
PM growth 5Y23.13%
GM growth 3Y-0.29%
GM growth 5Y2.02%
F-Score3
Asset Turnover0.34
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.6 | ||
| Debt/FCF | 3.6 | ||
| Debt/EBITDA | 1.25 | ||
| Cap/Depr | 155.45% | ||
| Cap/Sales | 43.49% | ||
| Interest Coverage | 10.01 | ||
| Cash Conversion | 98.33% | ||
| Profit Quality | 94.83% | ||
| Current Ratio | 0.79 | ||
| Quick Ratio | 0.76 | ||
| Altman-Z | 1.78 |
F-Score3
WACC9.05%
ROIC/WACC1.34
Cap/Depr(3y)176.08%
Cap/Depr(5y)173.46%
Cap/Sales(3y)39.86%
Cap/Sales(5y)46.28%
Profit Quality(3y)78.48%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)11.17%
EPS 3Y20.83%
EPS 5Y44.19%
EPS Q2Q%16.37%
EPS Next Y-10.68%
EPS Next 2Y-7.2%
EPS Next 3Y-1.96%
EPS Next 5Y4.57%
Revenue 1Y (TTM)22.97%
Revenue growth 3Y28.21%
Revenue growth 5Y28.93%
Sales Q2Q%28.72%
Revenue Next Year8.97%
Revenue Next 2Y5.19%
Revenue Next 3Y4.88%
Revenue Next 5YN/A
EBIT growth 1Y17.86%
EBIT growth 3Y21.85%
EBIT growth 5Y43.53%
EBIT Next Year69.06%
EBIT Next 3Y17.19%
EBIT Next 5Y13.53%
FCF growth 1Y-20.83%
FCF growth 3Y9.56%
FCF growth 5YN/A
OCF growth 1Y25.99%
OCF growth 3Y28.72%
OCF growth 5Y32.41%