📊 MTDR Key Takeaways
Is Matador Resources Co (MTDR) a Good Investment?
Matador Resources faces critical financial distress with interest coverage of 0.4x indicating inability to service debt from operations, negative free cash flow of -$26.4M despite $470.5M operating cash flow, and severe liquidity stress evidenced by a 0.73x current ratio. Minimal revenue growth of 1.1% combined with negative profitability and minimal cash reserves of $30.5M create an unsustainable financial position.
Matador maintains strong operating profitability and cash generation with moderate leverage and solid interest coverage, indicating a resilient core business. However, EPS and net income declined YoY and liquidity is tight with heavy capex suppressing free cash flow. Execution on growth investments and improved FCF conversion are needed before a more constructive stance.
Why Buy Matador Resources Co Stock? MTDR Key Strengths
- Operating cash flow of $470.5M provides base-level cash generation in energy operations
- Moderate leverage at 0.62x debt-to-equity ratio relative to some sector peers
- Exposure to crude petroleum and natural gas sector with established production
- Robust operating margin (33%) and net margin (20%)
- Strong interest coverage (11x) with moderate leverage (0.60x D/E)
- Healthy operating cash flow ($2.43B) supporting reinvestment
MTDR Stock Risks: Matador Resources Co Investment Risks
- Interest coverage ratio of 0.4x means operating income cannot cover interest obligations
- Negative free cash flow of -$26.4M with capex exceeding operating cash generation
- Critical liquidity position with current ratio of 0.73x and only $30.5M cash against $3.5B long-term debt
- Negative profitability with net income of -$35.9M and net margin of -5.3%
- Anemic revenue growth of 1.1% YoY provides limited path to profitability improvement
- Negative return metrics (ROE -0.6%, ROA -0.3%) indicate value destruction
- Tight liquidity (current and quick ratio 0.79x; low cash)
- Earnings and EPS declined YoY despite revenue growth
- High capex intensity compresses FCF and reduces flexibility
Key Metrics to Watch
- Interest coverage ratio trend (must improve above 1.0x for sustainability)
- Free cash flow inflection point (currently negative, needs positive reversal)
- Cash position and liquidity runway (30.5M highly constrained)
- Revenue growth acceleration and operating margin expansion
- Debt service capability and refinancing timeline
- Free cash flow margin
- Current ratio
Matador Resources Co (MTDR) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The current ratio below 1.0x warrants monitoring of short-term liquidity.
MTDR Profit Margin, ROE & Profitability Analysis
MTDR vs Energy Sector: How Matador Resources Co Compares
How Matador Resources Co compares to Energy sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Matador Resources Co Stock Overvalued? MTDR Valuation Analysis 2026
Based on fundamental analysis, Matador Resources Co shows some fundamental concerns relative to the Energy sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Matador Resources Co Balance Sheet: MTDR Debt, Cash & Liquidity
MTDR Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Matador Resources Co's revenue has grown significantly by 96% over the 5-year period, indicating strong business expansion. The most recent EPS of $7.05 reflects profitable operations.
MTDR Revenue Growth, EPS Growth & YoY Performance
MTDR Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q1 2026 | $941.6M | -$35.9M | $-0.29 |
| Q3 2025 | $860.1M | $176.4M | $1.42 |
| Q2 2025 | $855.2M | $150.2M | $1.21 |
| Q1 2025 | $785.3M | $193.7M | $1.61 |
| Q3 2024 | $771.8M | $248.3M | $1.99 |
| Q2 2024 | $649.9M | $164.7M | $1.37 |
| Q1 2024 | $563.7M | $163.1M | $1.36 |
| Q3 2023 | $771.8M | $263.7M | $2.20 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Matador Resources Co Dividends, Buybacks & Capital Allocation
MTDR SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Matador Resources Co (CIK: 0001520006)
📋 Recent SEC Filings
❓ Frequently Asked Questions about MTDR
What is the AI rating for MTDR?
Matador Resources Co (MTDR) has a Combined AI Rating of SELL from Claude (STRONG SELL) and ChatGPT (HOLD) with 80% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are MTDR's key strengths?
Claude: Operating cash flow of $470.5M provides base-level cash generation in energy operations. Moderate leverage at 0.62x debt-to-equity ratio relative to some sector peers. ChatGPT: Robust operating margin (33%) and net margin (20%). Strong interest coverage (11x) with moderate leverage (0.60x D/E).
What are the risks of investing in MTDR?
Claude: Interest coverage ratio of 0.4x means operating income cannot cover interest obligations. Negative free cash flow of -$26.4M with capex exceeding operating cash generation. ChatGPT: Tight liquidity (current and quick ratio 0.79x; low cash). Earnings and EPS declined YoY despite revenue growth.
What is MTDR's revenue and growth?
Matador Resources Co reported revenue of $671.6M.
Does MTDR pay dividends?
Matador Resources Co pays dividends, with $46.8M distributed to shareholders in the trailing twelve months.
Where can I find MTDR SEC filings?
Official SEC filings for Matador Resources Co (CIK: 0001520006) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is MTDR's EPS?
Matador Resources Co has a diluted EPS of $-0.29.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is MTDR a good stock to buy right now?
Based on our AI fundamental analysis in May 2026, Matador Resources Co has a SELL rating with 80% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is MTDR stock overvalued or undervalued?
Valuation metrics for MTDR: ROE of -0.6% (sector avg: 14%), net margin of -5.3% (sector avg: 12%). Compare these metrics with sector averages to assess valuation.
Should I buy MTDR stock in 2026?
Our dual AI analysis gives Matador Resources Co a combined SELL rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is MTDR's free cash flow?
Matador Resources Co's operating cash flow is $470.5M, with capital expenditures of $496.9M. FCF margin is -3.9%.
How does MTDR compare to other Energy stocks?
Vs Energy sector averages: Net margin -5.3% (avg: 12%), ROE -0.6% (avg: 14%), current ratio 0.73 (avg: 1.3).