Roth Capital analyst Leo Mariani reiterated a Buy rating and $50 price target on Viper Energy (VNOM), saying it expects the stock to have a negative reaction compared to peers on Wednesday. The company filed an automatic shelf registration to register for resale up to 203.2M shares of Class A shares on behalf of selling shareholders, including Diamondback Energy (FANG) and various parties that received shares as a result of acquisitions by Viper, the analyst tells investors in a research note. The firm notes this is roughly equal to 54% of its outstanding shares and may act as a near-term overhang on the stock.
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