VIPER ENERGY INC-CL A (VNOM) Stock Fundamental Analysis
NASDAQ:VNOM - US64361Q1013 - Common Stock
39.43 USD
+0.46 (+1.18%)
We assign a fundamental rating of 6 out of 10 to VNOM. VNOM was compared to 208 industry peers in the Oil, Gas & Consumable Fuels industry. While VNOM has a great profitability rating, there are some minor concerns on its financial health. VNOM shows excellent growth, but is valued quite expensive already. With these ratings, VNOM could be worth investigating further for growth investing!.
1. Profitability
1.1 Basic Checks
In the past year VNOM was profitable.
VNOM had a positive operating cash flow in the past year.
VNOM had positive earnings in 4 of the past 5 years.
In the past 5 years VNOM always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of VNOM (3.79%) is comparable to the rest of the industry.
VNOM's Return On Equity of 10.84% is fine compared to the rest of the industry. VNOM outperforms 63.94% of its industry peers.
Looking at the Return On Invested Capital, with a value of 4.71%, VNOM is in line with its industry, outperforming 41.35% of the companies in the same industry.
VNOM had an Average Return On Invested Capital over the past 3 years of 13.30%. This is significantly below the industry average of 23.39%.
The 3 year average ROIC (13.30%) for VNOM is well above the current ROIC(4.71%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.79% | ||
| ROE | 10.84% | ||
| ROIC | 4.71% |
ROA(3y)5.77%
ROA(5y)2.28%
ROE(3y)20.97%
ROE(5y)7.95%
ROIC(3y)13.3%
ROIC(5y)10.68%
1.3 Margins
Looking at the Profit Margin, with a value of 37.80%, VNOM belongs to the top of the industry, outperforming 89.90% of the companies in the same industry.
VNOM's Profit Margin has improved in the last couple of years.
VNOM's Operating Margin of 59.06% is amongst the best of the industry. VNOM outperforms 92.31% of its industry peers.
In the last couple of years the Operating Margin of VNOM has remained more or less at the same level.
With an excellent Gross Margin value of 92.93%, VNOM belongs to the best of the industry, outperforming 97.60% of the companies in the same industry.
In the last couple of years the Gross Margin of VNOM has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 59.06% | ||
| PM (TTM) | 37.8% | ||
| GM | 92.93% |
OM growth 3Y-2.77%
OM growth 5Y0.3%
PM growth 3Y53.76%
PM growth 5Y21.85%
GM growth 3Y-0.23%
GM growth 5Y-0.14%
2. Health
2.1 Basic Checks
VNOM has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
VNOM has more shares outstanding than it did 1 year ago.
The number of shares outstanding for VNOM has been increased compared to 5 years ago.
The debt/assets ratio for VNOM has been reduced compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 1.41, we must say that VNOM is in the distress zone and has some risk of bankruptcy.
VNOM has a Altman-Z score (1.41) which is in line with its industry peers.
VNOM has a Debt/Equity ratio of 0.32. This is a healthy value indicating a solid balance between debt and equity.
VNOM's Debt to Equity ratio of 0.32 is fine compared to the rest of the industry. VNOM outperforms 61.54% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.32 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.41 |
ROIC/WACC0.51
WACC9.26%
2.3 Liquidity
VNOM has a Current Ratio of 6.15. This indicates that VNOM is financially healthy and has no problem in meeting its short term obligations.
Looking at the Current ratio, with a value of 6.15, VNOM belongs to the top of the industry, outperforming 93.27% of the companies in the same industry.
VNOM has a Quick Ratio of 6.15. This indicates that VNOM is financially healthy and has no problem in meeting its short term obligations.
VNOM's Quick ratio of 6.15 is amongst the best of the industry. VNOM outperforms 94.23% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 6.15 | ||
| Quick Ratio | 6.15 |
3. Growth
3.1 Past
The earnings per share for VNOM have decreased strongly by -36.21% in the last year.
Measured over the past years, VNOM shows a very strong growth in Earnings Per Share. The EPS has been growing by 20.17% on average per year.
VNOM shows a small growth in Revenue. In the last year, the Revenue has grown by 6.55%.
VNOM shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 23.60% yearly.
EPS 1Y (TTM)-36.21%
EPS 3Y51.83%
EPS 5Y20.17%
EPS Q2Q%-32.79%
Revenue 1Y (TTM)6.55%
Revenue growth 3Y19.44%
Revenue growth 5Y23.6%
Sales Q2Q%37.05%
3.2 Future
Based on estimates for the next years, VNOM will show a small growth in Earnings Per Share. The EPS will grow by 1.25% on average per year.
Based on estimates for the next years, VNOM will show a very strong growth in Revenue. The Revenue will grow by 36.22% on average per year.
EPS Next Y-10.8%
EPS Next 2Y-4.7%
EPS Next 3Y1.25%
EPS Next 5YN/A
Revenue Next Year60.55%
Revenue Next 2Y49.39%
Revenue Next 3Y36.22%
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.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
VNOM is valuated rather expensively with a Price/Earnings ratio of 21.31.
VNOM's Price/Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Earnings ratio of 27.08, VNOM is valued a bit cheaper.
VNOM is valuated rather expensively with a Price/Forward Earnings ratio of 21.38.
VNOM's Price/Forward Earnings ratio is a bit more expensive when compared to the industry. VNOM is more expensive than 60.10% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.67, VNOM is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.31 | ||
| Fwd PE | 21.38 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of VNOM indicates a slightly more expensive valuation: VNOM is more expensive than 65.38% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 13.85 |
4.3 Compensation for Growth
VNOM has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)1.06
EPS Next 2Y-4.7%
EPS Next 3Y1.25%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.55%, VNOM has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 6.33, VNOM has a dividend in line with its industry peers.
Compared to an average S&P500 Dividend Yield of 2.34, VNOM pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.55% |
5.2 History
On average, the dividend of VNOM grows each year by 8.80%, which is quite nice.
VNOM has been paying a dividend for at least 10 years, so it has a reliable track record.
The dividend of VNOM decreased recently.
Dividend Growth(5Y)8.8%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
VNOM pays out 155.68% of its income as dividend. This is not a sustainable payout ratio.
The dividend of VNOM is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP155.68%
EPS Next 2Y-4.7%
EPS Next 3Y1.25%
NASDAQ:VNOM (8/27/2025, 9:46:07 AM)
39.43
+0.46 (+1.18%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners98.43%
Inst Owner Change5.92%
Ins Owners0.3%
Ins Owner Change0.21%
Market Cap11.38B
Analysts83.81
Price Target54.54 (38.32%)
Short Float %9.63%
Short Ratio6.36
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.55% |
Yearly Dividend2.59
Dividend Growth(5Y)8.8%
DP155.68%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)17.28%
Min EPS beat(2)12.62%
Max EPS beat(2)21.94%
EPS beat(4)3
Avg EPS beat(4)6.58%
Min EPS beat(4)-9.78%
Max EPS beat(4)21.94%
EPS beat(8)7
Avg EPS beat(8)20.74%
EPS beat(12)10
Avg EPS beat(12)21.77%
EPS beat(16)12
Avg EPS beat(16)19.25%
Revenue beat(2)2
Avg Revenue beat(2)1.32%
Min Revenue beat(2)0.6%
Max Revenue beat(2)2.03%
Revenue beat(4)3
Avg Revenue beat(4)0.3%
Min Revenue beat(4)-2.13%
Max Revenue beat(4)2.03%
Revenue beat(8)5
Avg Revenue beat(8)6.75%
Revenue beat(12)7
Avg Revenue beat(12)5.09%
Revenue beat(16)11
Avg Revenue beat(16)8.78%
PT rev (1m)-2.79%
PT rev (3m)-2.79%
EPS NQ rev (1m)-1.37%
EPS NQ rev (3m)-35.74%
EPS NY rev (1m)7.77%
EPS NY rev (3m)15.51%
Revenue NQ rev (1m)7.1%
Revenue NQ rev (3m)3.91%
Revenue NY rev (1m)6.46%
Revenue NY rev (3m)13.73%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.31 | ||
| Fwd PE | 21.38 | ||
| P/S | 11.61 | ||
| P/FCF | N/A | ||
| P/OCF | 15.5 | ||
| P/B | 3.33 | ||
| P/tB | 3.33 | ||
| EV/EBITDA | 13.85 |
EPS(TTM)1.85
EY4.69%
EPS(NY)1.84
Fwd EY4.68%
FCF(TTM)-0.84
FCFYN/A
OCF(TTM)2.54
OCFY6.45%
SpS3.4
BVpS11.85
TBVpS11.85
PEG (NY)N/A
PEG (5Y)1.06
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.79% | ||
| ROE | 10.84% | ||
| ROCE | 5.96% | ||
| ROIC | 4.71% | ||
| ROICexc | 4.72% | ||
| ROICexgc | 4.72% | ||
| OM | 59.06% | ||
| PM (TTM) | 37.8% | ||
| GM | 92.93% | ||
| FCFM | N/A |
ROA(3y)5.77%
ROA(5y)2.28%
ROE(3y)20.97%
ROE(5y)7.95%
ROIC(3y)13.3%
ROIC(5y)10.68%
ROICexc(3y)13.38%
ROICexc(5y)10.76%
ROICexgc(3y)13.38%
ROICexgc(5y)10.76%
ROCE(3y)16.83%
ROCE(5y)13.51%
ROICexcg growth 3Y-2.33%
ROICexcg growth 5Y10.17%
ROICexc growth 3Y-2.33%
ROICexc growth 5Y10.17%
OM growth 3Y-2.77%
OM growth 5Y0.3%
PM growth 3Y53.76%
PM growth 5Y21.85%
GM growth 3Y-0.23%
GM growth 5Y-0.14%
F-Score4
Asset Turnover0.1
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.32 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 1.24 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 8.27 | ||
| Cash Conversion | 82.55% | ||
| Profit Quality | N/A | ||
| Current Ratio | 6.15 | ||
| Quick Ratio | 6.15 | ||
| Altman-Z | 1.41 |
F-Score4
WACC9.26%
ROIC/WACC0.51
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-36.21%
EPS 3Y51.83%
EPS 5Y20.17%
EPS Q2Q%-32.79%
EPS Next Y-10.8%
EPS Next 2Y-4.7%
EPS Next 3Y1.25%
EPS Next 5YN/A
Revenue 1Y (TTM)6.55%
Revenue growth 3Y19.44%
Revenue growth 5Y23.6%
Sales Q2Q%37.05%
Revenue Next Year60.55%
Revenue Next 2Y49.39%
Revenue Next 3Y36.22%
Revenue Next 5YN/A
EBIT growth 1Y-14.02%
EBIT growth 3Y16.14%
EBIT growth 5Y23.96%
EBIT Next Year108.44%
EBIT Next 3Y48.42%
EBIT Next 5YN/A
FCF growth 1Y-136.93%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y12.3%
OCF growth 3Y26.36%
OCF growth 5Y21.22%