Owns mineral rights in oil and natural gas properties. Acquires additional mineral interests in strategic areas. Now — the numbers.
That much dependence is a risk in itself: if this one line weakens, the whole company feels it directly.
The company closed last year at a loss: costs ran above sales. The picture changes only if spending is reined in.
Average growth of 28% a year over the last 4 years. Red columns mark years that ended in a loss.
Before the clock runs out, either sales must climb sharply or new money must come in. This is the most critical line in the whole picture.
This company is not turning a profit, so the market is pricing its sales instead: 12× for every dollar of annual revenue.
Against companies in its own sector, it looks cheaper than 43% of them.
Analysts' average target sits 22% above today's price.
The stock trades 21% below its peak. The market has trimmed its expectations for the company.
Over the last 4 years, sales grew about 28% a year on average.
The company sells $1.3B a year; the problem isn’t sales — it’s costs running above that number.
It met or beat analyst expectations in 7 of the last 8 quarters — consistency is a promise kept.
A loss of $68M against $1.3B in annual sales.
At the current pace of spending, the cash lasts less than a year. After that, the company needs to find new money.
On our five-subject report card, VNOM sits in the middle of the class: some subjects shine, others don’t. The grade moves as the numbers move.
The takeaway: VNOM has solid sales but closed last year at a loss. The road back to profit runs through spending discipline.
The total grade weighs these five subjects against the sector — it isn’t a simple average of the five.
Analysts’ average target sits above today’s price, yet the valuation grade (43/100) says the stock isn’t cheap.