In a report released today, Gabriele Sorbara from Siebert Williams Shank & Co reiterated a Hold rating on Vital Energy, with a price target of $20.00.
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Gabriele Sorbara’s rating is based on a combination of factors including Vital Energy’s recent financial performance and market conditions. The company reported second-quarter results that fell short of expectations in terms of oil production and free cash flow, despite a reduction in capital expenditure. However, Vital Energy has reaffirmed its production guidance for the third and fourth quarters of 2025, while also lowering its capital expenditure guidance for the third quarter, which could positively impact free cash flow.
Despite these improvements, the overall market environment remains challenging for Vital Energy, with the company struggling to attract significant investor interest due to the current commodity price landscape. Additionally, while the company’s free cash flow profile has improved, the sector as a whole is expected to see upward revisions, which may limit Vital Energy’s ability to stand out. Given these circumstances, along with the company’s significant year-to-date underperformance and high short interest, Sorbara maintains a Hold rating on the stock.
In another report released on August 2, TR | OpenAI – 4o also reiterated a Hold rating on the stock with a $17.50 price target.