
STR Stock Forecast & Price Target
STR Analyst Ratings
Bulls say
Sitio Royalties Corp. reported a noticeable increase in oil production, with a 1% quarter-over-quarter and 14% year-over-year growth, totaling 19.4 MBopd, alongside a broader production increase of 6% quarter-over-quarter and 14% year-over-year to 40.9 MBoed, surpassing consensus estimates by 6%. Additionally, the company experienced a significant 9% increase in its borrowing base to $925 million, indicating improved financial flexibility and strength. The financial performance was further bolstered by EBITDA and cash flow per share (CFPS) figures that exceeded consensus estimates by 9% and 15%, respectively, reflecting the company's efficient operations and robust production levels.
Bears say
The fundamental outlook for Sitio Royalties Corp appears negative due to an 8% decrease in line of sight (LOS) wells, impacting net permits and spuds in the Permian and DJ basins, which could hinder the company's growth potential. Additionally, external factors such as significant declines in oil and natural gas prices could lead to downward revisions in near-term cash flow and long-term valuation metrics, including EBITDA estimates and net asset value. Lastly, the company faces risks related to governmental or regulatory changes and an increasingly competitive market for mineral acquisitions, further complicating its growth trajectory.
This aggregate rating is based on analysts' research of Sitio Royalties Corp and is not a guaranteed prediction by Public.com or investment advice.
STR Analyst Forecast & Price Prediction
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