Stock of the Day

April 6, 2020

Viper Energy (VNOM)

$45.22
+$0.43 (+1.0%)
Market Cap: $16.24B

About Viper Energy

Viper Energy, Inc. engages in the acquisition of oil and natural gas properties. It owns, acquires, and exploits oil and natural gas properties in North America. The company was founded on February 27, 2014 and is headquartered in Midland, TX.

Today's Trend

Viper Energy Inc. (NASDAQ:VNOM) is seeing improved earnings expectations, which provides a positive catalyst for the stock. Shares were recently trading above $44, although the stock remains below its 200-day moving average of approximately $45.

  • Zacks Research raised earnings estimates across multiple periods. Forecasts increased for Q3 2026 EPS to $0.48 from $0.45, Q4 2026 to $0.43 from $0.38, and full-year 2026 to $2.22 from $2.11. Estimates also rose for Q1 2027, Q2 2027, Q4 2027, full-year 2027, and full-year 2028. The largest increases were for FY2027 EPS, raised to $2.22 from $1.82, and Q4 2027 EPS, raised to $0.58 from $0.41. These revisions suggest analysts expect stronger future profitability from the oil and gas producer. Zacks Research Raises Earnings Estimates for Viper Energy
  • The estimate upgrades add to a favorable operating backdrop: Viper Energy’s latest quarterly revenue rose 127.9% year over year to $677 million, exceeding analysts’ $643.45 million forecast, while EPS matched expectations at $0.76 versus $0.41 a year earlier.
  • Despite the improved forecasts, Zacks Research maintained a “Hold” rating. The firm’s full-year 2026 estimate of $2.22 remains below the broader consensus of roughly $2.58–$2.60, indicating that the revisions are constructive but do not represent a clear bullish consensus shift. Viper Energy Analyst Insights
  • VNOM’s valuation and profitability remain considerations for investors. The stock carries a very high reported P/E ratio, while its latest net margin was only 2.89%, which could limit upside if commodity prices or operating results weaken.

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