Eos Energy stock falls after Fuzzy Panda issues short report
Investing.com - Jefferies initiated coverage on Viper Energy (NASDAQ:VNOM) with a Buy rating and a price target of $38.00 on Thursday. The stock, currently trading at $37.49, offers an attractive 8.39% dividend yield and maintains a "Good" financial health score according to InvestingPro data.
The research firm noted that VNOM is a majority-owned subsidiary of Diamondback Energy, which provides the company with "unique drilling program insight" compared to other royalty peers. With a strong analyst consensus rating of 1.29 and earnings scheduled for November 3rd, investors seeking detailed analysis can access the comprehensive Pro Research Report available on InvestingPro.
Jefferies acknowledged that the acquisition of STR raised some concerns about reduced exposure to Diamondback Energy, though it pointed out that the allocation of wells drilled by its parent company will remain similar at approximately 65%.
The firm’s price target of $38 is based on an 8.6x CFPS multiple, which represents a 0.2x discount to the 3-year average prior to the STR acquisition.
Jefferies cited valuation and oil price risk in the current cycle as potential concerns for the stock.
In other recent news, Viper Energy reported impressive second-quarter 2025 earnings, with earnings per share (EPS) of $0.41, beating the forecasted $0.36 by 13.89%. The company’s revenue also surpassed expectations, reaching $297 million compared to the anticipated $287.21 million. Additionally, Viper Energy completed its all-equity merger with Sitio Royalties Corp., and the combined entity now trades under the VNOM ticker on the Nasdaq Stock Market. Each share of Sitio Royalties’ Class A common stock was converted into 0.4855 shares of the new Viper Energy Class A common stock.
William Blair initiated coverage on Viper Energy with an Outperform rating, citing its position as the largest public minerals company with significant long-term value potential. Morgan Stanley also began coverage with an Overweight rating, noting Viper’s extensive mineral rights and royalty interests, primarily in the Permian basin. Meanwhile, Raymond James maintained an Outperform rating but lowered its price target to $56, following Viper’s second-quarter returns of capital, which were slightly below expectations. These developments highlight Viper Energy’s ongoing evolution and the varied perspectives from investment firms.
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