Matador Resources Company (MTDR) is an independent energy company that explores crude oil and natural gas assets. The company recently reported impressive fiscal fourth-quarter results, beating Wall Street estimates. Its revenue and adjusted EPS for the quarter came in at $566 million and $1.26, which beat the estimates by 32.2% and 23.5%, respectively. The stock has gained 26.5% over the past month to close yesterday’s trading session at $53.24.
MTDR is currently trading near its 52-week high of $57.69, which it hit on April 4, 2021, due to a recent surge in oil prices on account of rising geopolitical tensions. However, the company expects to face additional service cost inflation, which might increase costs to drill, complete, equip and operate wells. Moreover, the rapidly spreading new variants of coronavirus remain a concern as countries consider new lockdown measures. So, MTDR’s near-term prospects look uncertain.
