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Mach Natural Resources LP (MNR)
NYSE:MNR
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Mach Natural Resources LP
(NYSE:MNR)
Rating:77Outperform
Price Target:
$16.50
▲(13.79% Upside)
Mach Natural Resources LP (MNR) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$1.72B
Dividend Yield19.24%
Average Volume (3M)324.37K
Price to Earnings (P/E)7.5
Beta (1Y)0.59
Revenue Growth11.56%
EPS GrowthN/A
CountryUS
Employees505
SectorEnergy
Sector Strength44
IndustryOil & Gas Exploration & Production
Share Statistics
EPS (TTM)0.76
Shares Outstanding118,337,920
10 Day Avg. Volume320,428
30 Day Avg. Volume324,372
Financial Highlights & Ratios
PEG RatioN/A
Price to Book (P/B)N/A
Price to Sales (P/S)N/A
P/FCF RatioN/A
Enterprise Value/Market Cap1.33
Enterprise Value/Revenue2.18
Enterprise Value/Gross Profit4.40
Enterprise Value/Ebitda3.98
Forecast
1Y Price Target
$20.17Price Target Upside39.10% Upside
Rating ConsensusStrong Buy
Number of Analyst Covering3
Mach Natural Resources LP Business Overview & Revenue Model
Company DescriptionMach Natural Resources LP (MNR) is a private investment firm focused on the natural resources sector, specializing in the acquisition and development of oil, gas, and mineral assets. The company operates in various segments of the industry, including exploration, production, and investment in infrastructure projects that support resource extraction. MNR is committed to sustainable practices in its operations, seeking to balance profitability with environmental responsibility.
How the Company Makes MoneyMNR generates revenue primarily through the exploration and production of oil and gas resources. The company acquires leases and drilling rights, allowing it to extract hydrocarbons and sell them in the open market. Additionally, MNR may engage in joint ventures and partnerships with other firms to share the financial burdens and risks associated with large-scale projects. Revenue streams also include royalties from mineral rights and income generated from infrastructure investments that facilitate resource extraction. Market conditions, commodity prices, and regulatory environments play significant roles in influencing MNR's earnings.
Mach Natural Resources LP Earnings Call Summary
Earnings Call Date:Aug 07, 2025
(Q2-2025)
| % Change Since: -2.09%|
Next Earnings Date:Dec 04, 2025
Earnings Call Sentiment Neutral
The earnings call highlighted strategic acquisitions, strong cash returns, and production growth. These positives were offset by challenges in price realization, legal settlement expenses, and gas price pressures, leading to a balanced outlook.Q2-2025 Updates
Positive Updates
Strategic Acquisitions
Mach Natural Resources completed the IKAV and Sabinal acquisitions, enhancing their natural gas portfolio and providing long-term upside potential in oil markets. The acquisitions were made possible due to a strong balance sheet with a low debt-to-EBITDA ratio.
Strong Cash Returns
Mach announced a distribution of $0.38 per unit in Q2 2025, totaling $1.2 billion in distributions since inception, with a cash return on capital invested exceeding 30% annually over the past five years.
Production and Revenue Growth
Production reached 84,000 BOE per day, with an increase in natural gas volumes expected to reach 70% post-acquisitions. Total revenues, including hedges and midstream activities, were $289 million.
Cost Management
Lease operating expenses were controlled at $6.52 per BOE, and cash G&A was $0.88 per BOE, indicating efficient cost management.
Negative Updates
Price Realization Challenges
Realized prices for oil, gas, and NGLs were significantly lower by 11%, 21%, and 17% respectively compared to the first quarter of the year.
Legal Settlement Expenses
A legal settlement with a royalty owner led to a reduction of $8.2 million in cash available for distribution.
Gas Price and Basis Differential Pressures
Lower gas prices and a widened Panhandle Eastern basis differential impacted financial results, resulting in a reduced distribution.
Company Guidance
During the call, Mach Natural Resources outlined several key financial and operational metrics for the second quarter of 2025. The company maintained a long-term debt to EBITDA ratio of 1x leverage, achieved through disciplined execution and reinvestment strategies. They reported production of 84,000 BOE per day, consisting of 23% oil, 53% natural gas, and 24% NGLs. Their average realized prices were $63.10 per barrel of oil, $2.81 per Mcf of gas, and $22.41 per barrel of NGLs. The company announced a distribution of $0.38 per unit, contributing to a total of $4.87 per unit distributed to unitholders since their public offering. Mach also highlighted significant acquisitions, including IKAV and Sabinal, which are expected to increase natural gas volumes to 70% and account for 50% of revenue by 2026. They plan to maintain a reinvestment rate of less than 50% of operating cash flow while projecting a cash return on capital invested of at least 25% for the year. The company aims to leverage its vast acreage and low-decline assets to maintain stable production and expand its natural gas mix, with plans to drill in the San Juan and Anadarko basins.Mach Natural Resources LP Financial Statement Overview
Summary
Mach Natural Resources LP presents a well-rounded financial profile, characterized by strong profitability and cash flow metrics. While the income statement reveals slight pressures on growth, the balance sheet remains solid with manageable leverage. The company's cash flow position is commendable, providing a buffer against potential market volatility. Continued focus on revenue growth and efficient capital allocation will be crucial for sustaining its financial health.Income Statement
The company exhibits a strong gross profit margin and stable net profit margin, indicating efficient cost management. The EBIT and EBITDA margins are robust, reflecting solid operational performance. However, there is a slight decline in revenue and net income in the latest TTM period, suggesting potential challenges in sustaining growth amidst market fluctuations.75
Positive
Balance Sheet
The balance sheet shows a favorable equity ratio, highlighting a strong equity base. The debt-to-equity ratio is reasonable, signaling manageable leverage. Return on equity remains healthy, although there is a slight decline in equity growth, which could impact future capital structure flexibility.70
Positive
Cash Flow
The company demonstrates strong cash flow generation capabilities with a high operating cash flow to net income ratio. The free cash flow growth is impressive, indicating good cash management and investment strategies. However, a careful watch on capital expenditures is necessary to maintain this positive cash flow trend.80
Positive
| Breakdown | TTM | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 1.05B | 969.63M | 762.31M | 1.20B | 392.50M |
| Gross Profit | 517.14M | 331.83M | 386.80M | 832.38M | 216.33M |
| EBITDA | 572.42M | 560.74M | 495.38M | 768.13M | 180.72M |
| Net Income | 394.69M | 185.18M | 346.56M | 516.84M | 138.37M |
Balance Sheet | |||||
| Total Assets | 2.33B | 2.34B | 2.30B | 887.44M | 525.38M |
| Cash, Cash Equivalents and Short-Term Investments | 13.78M | 105.78M | 152.79M | 29.42M | 59.27M |
| Total Debt | 570.27M | 766.17M | 824.49M | 99.71M | 85.80M |
| Total Liabilities | 692.13M | 1.14B | 1.11B | 294.21M | 246.68M |
| Stockholders Equity | 1.64B | 1.20B | 1.19B | 593.23M | 278.70M |
Cash Flow | |||||
| Free Cash Flow | 323.00M | 284.98M | -577.91M | 310.52M | 157.45M |
| Operating Cash Flow | 517.17M | 505.29M | 491.74M | 553.54M | 198.46M |
| Investing Cash Flow | -433.45M | -306.32M | -1.03B | -372.66M | -194.74M |
| Financing Cash Flow | -214.57M | -245.99M | 658.79M | -210.74M | -4.58M |
Mach Natural Resources LP Technical Analysis
Negative
14.50
Price Trends
14.62
Negative
13.97
Positive
14.31
Positive
Market Momentum
-0.05
Positive
45.13
Neutral
44.76
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For MNR, the sentiment is Negative. The current price of 14.5 is below the 20-day moving average (MA) of 14.83, below the 50-day MA of 14.62, and above the 200-day MA of 14.31, indicating a neutral trend. The MACD of -0.05 indicates Positive momentum. The RSI at 45.13 is Neutral, neither overbought nor oversold. The STOCH value of 44.76 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for MNR.
Mach Natural Resources LP Peers Comparison
Overall Rating
UnderperformOutperform
Sector (65)
Financial Indicators
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
77 Outperform | $1.72B | 7.49 | 16.84% | 19.24% | 11.56% | ― | |
71 Outperform | $1.17B | 13.89 | 31.42% | 12.30% | 4.58% | -32.82% | |
71 Outperform | $2.38B | 23.27 | 0.70% | 4.97% | 32.84% | -755.17% | |
67 Neutral | $1.41B | 54.59 | -6.56% | ― | 10.59% | -3044.85% | |
65 Neutral | $14.84B | 8.64 | 2.77% | 5.45% | 4.51% | -62.52% | |
63 Neutral | $948.51M | 8.75 | 6.80% | 2.13% | -20.30% | -27.90% | |
61 Neutral | $1.82B | ― | -1.36% | ― | 13.20% | 55.44% |
* Energy Sector Average
Performance Comparison
MNR
Mach Natural Resources LP
14.50
-2.22
-13.28%
DMLP
Dorchester Minerals
25.05
-3.25
-11.48%
TALO
Talos Energy
8.34
-3.60
-30.15%
HPK
HighPeak Energy
7.52
-7.60
-50.26%
CRGY
Crescent Energy Company Class A
9.65
-1.44
-12.98%
BKV
BKV Corporation
21.41
3.36
18.61%
Mach Natural Resources LP Corporate Events
M&A TransactionsDividendsBusiness Operations and StrategyFinancial Disclosures
Mach Natural Resources LP Announces Major Acquisitions
Positive
Aug 7, 2025
Mach Natural Resources LP reported its financial and operational results for the second quarter of 2025, highlighting a net income of $90 million and an average production of 83.6 thousand barrels of oil equivalent per day. The company declared a quarterly cash distribution of $0.38 per common unit and announced two significant acquisitions for approximately $1.3 billion, aimed at enhancing its scale and diversifying its portfolio with entries into the Permian Basin and San Juan Basin, which are expected to drive long-term growth and maximize unitholder value.
The most recent analyst rating on (MNR) stock is a Buy with a $22.00 price target. To see the full list of analyst forecasts on Mach Natural Resources LP stock, see the MNR Stock Forecast page.
M&A TransactionsBusiness Operations and Strategy
Mach Natural Resources Announces Major Acquisitions
Positive
Jul 10, 2025
On July 9, 2025, Mach Natural Resources LP announced two significant acquisitions: the purchase of oil and gas assets from Sabinal Energy in the Permian Basin and entities owning assets managed by IKAV Energy in the San Juan Basin. The combined transactions, valued at approximately $1.3 billion, are expected to nearly double Mach’s production and diversify its asset base across three prolific basins. These acquisitions are anticipated to be immediately accretive to cash available for distribution, enhancing Mach’s strategic growth platform and positioning it as a consolidator in the industry.
The most recent analyst rating on (MNR) stock is a Buy with a $21.00 price target. To see the full list of analyst forecasts on Mach Natural Resources LP stock, see the MNR Stock Forecast page.
Business Operations and Strategy
Mach Natural Resources Releases New Investor Presentation
Neutral
Jun 11, 2025
On June 10, 2025, Mach Natural Resources LP released a new investor presentation on its website. This announcement may impact stakeholders by providing updated insights into the company’s strategic direction and operational plans.
The most recent analyst rating on (MNR) stock is a Buy with a $22.00 price target. To see the full list of analyst forecasts on Mach Natural Resources LP stock, see the MNR Stock Forecast page.
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.