Matador Resources Company Common Stock (MTDR)

FairStock Score: 60/100 — STEADY

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I approach Matador as a cyclical oil and gas producer, not a stable compounder. The latest filed results are encouraging: in fiscal Q2 2026, the quarter ended June 30, 2026, revenue was $1.2 billion, net income $390.7 million, and diluted EPS $3.15. But this followed a loss in fiscal Q1 2026, the quarter ended March 31, 2026, of $35.9 million, or $0.29 per diluted share. For fiscal 2025, the year ended December 31, 2025, revenue was $3.7 billion and net income $759.2 million, down from $885.3 million in fiscal 2024, the year ended December 31, 2024, though above $846.1 million in fiscal 2023, the year ended December 31, 2023. That pattern is the oil patch: earnings depend on commodity prices and capital discipline. At the October 13, 2026 close of $55.88, FairStock calculations show a P/E of 9.58, P/B of 1.17, EV/EBITDA of 4.69, and a Graham Number of $79.19, implying about 29.44% margin of safety. The balance sheet carries D/E of 0.69, and Piotroski F-Score is 7/9, but ROCE is only 5.92%, Altman Z-Score is 1.10, and trailing free cash flow is negative $568.6 million, a -8.2% FCF yield. That negative cash flow worries me. A moat is hard to find in E&P; the advantage is low-cost acreage and operating skill. Matador has 483 employees and acreage in the Delaware Basin, Haynesville, and Cotton Valley. The Lynch category is cyclical, and the business earns that label. I see value if commodity prices hold, but the financial risk and cash burn mean I demand a wide discount.

In plain English: Matador Resources is an independent oil and natural gas producer with operations mainly in the Delaware Basin in New Mexico and Texas, plus some Louisiana acreage. The business looks mixed: it earned $390.7 million in the quarter ended June 30, 2026, but had a loss in the quarter ended March 31, 2026, and used cash over the past year. At $55.88 on October 13, 2026, the price looks below a simple asset-and-earnings estimate, though oil and gas prices make results swing a lot.

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Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q2 2026 10-Q (period ended 2026-06-30) · fiscal Q1 2026 10-Q (period ended 2026-03-31) · fiscal Q3 2025 10-Q (period ended 2025-09-30) · fiscal Q2 2025 10-Q (period ended 2025-06-30) · FY2025 10-K (period ended 2025-12-31) · FY2024 10-K (period ended 2024-12-31) · FY2023 10-K (period ended 2023-12-31)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer