Riley Exploration Permian (NYSE:REPX) Sees Unusually-High Trading Volume – Should You Buy?

Riley Exploration Permian, Inc. (NYSE:REPX) saw strong trading volume on Friday . 843,436 shares were traded during mid-day trading, an increase of 215% from the previous session’s volume of 267,833 shares.The stock last traded at $32.93 and had previously closed at $32.40.

Wall Street Analysts Forecast Growth

A number of equities analysts have commented on the company. Zacks Research cut Riley Exploration Permian from a “strong-buy” rating to a “hold” rating in a report on Friday, February 13th. William Blair reiterated an “outperform” rating on shares of Riley Exploration Permian in a research report on Thursday. One equities research analyst has rated the stock with a Strong Buy rating, one has issued a Buy rating and one has assigned a Hold rating to the stock. According to data from MarketBeat.com, Riley Exploration Permian currently has an average rating of “Buy” and an average target price of $36.00.

Riley Exploration Permian Price Performance

The firm has a market capitalization of $728.27 million, a PE ratio of 5.88 and a beta of 1.22. The stock’s 50 day simple moving average is $27.60 and its two-hundred day simple moving average is $27.26. The company has a debt-to-equity ratio of 0.53, a quick ratio of 0.64 and a current ratio of 0.70.

Riley Exploration Permian Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Thursday, February 5th. Shareholders of record on Thursday, January 22nd were paid a $0.40 dividend. The ex-dividend date of this dividend was Thursday, January 22nd. This represents a $1.60 dividend on an annualized basis and a dividend yield of 4.8%. Riley Exploration Permian’s dividend payout ratio (DPR) is 21.08%.

Riley Exploration Permian announced that its board has initiated a stock buyback program on Tuesday, December 16th that permits the company to buyback $100.00 million in shares. This buyback authorization permits the company to purchase up to 18% of its stock through open market purchases. Stock buyback programs are typically an indication that the company’s management believes its shares are undervalued.

Insider Activity

In other news, insider Corey Neil Riley sold 3,500 shares of the stock in a transaction that occurred on Thursday, February 12th. The shares were sold at an average price of $27.41, for a total value of $95,935.00. Following the completion of the sale, the insider owned 158,565 shares of the company’s stock, valued at $4,346,266.65. This represents a 2.16% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available at this hyperlink. Also, CEO Bobby Riley sold 20,000 shares of Riley Exploration Permian stock in a transaction that occurred on Friday, December 19th. The shares were sold at an average price of $25.91, for a total transaction of $518,200.00. Following the sale, the chief executive officer directly owned 349,431 shares in the company, valued at approximately $9,053,757.21. The trade was a 5.41% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold a total of 36,000 shares of company stock worth $961,510 over the last quarter. 4.70% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Riley Exploration Permian

Large investors have recently modified their holdings of the business. Invesco Ltd. increased its position in shares of Riley Exploration Permian by 38.8% during the 4th quarter. Invesco Ltd. now owns 29,903 shares of the company’s stock worth $789,000 after purchasing an additional 8,363 shares during the last quarter. Mackenzie Financial Corp lifted its position in Riley Exploration Permian by 12.3% in the fourth quarter. Mackenzie Financial Corp now owns 163,215 shares of the company’s stock valued at $4,364,000 after buying an additional 17,941 shares during the last quarter. VARCOV Co. purchased a new position in Riley Exploration Permian during the fourth quarter worth about $304,000. Susquehanna Portfolio Strategies LLC increased its position in shares of Riley Exploration Permian by 19.8% during the fourth quarter. Susquehanna Portfolio Strategies LLC now owns 18,178 shares of the company’s stock valued at $480,000 after acquiring an additional 3,001 shares during the last quarter. Finally, Oxford Asset Management LLP purchased a new stake in shares of Riley Exploration Permian in the 4th quarter valued at approximately $445,000. Institutional investors and hedge funds own 58.91% of the company’s stock.

Riley Exploration Permian Company Profile

Riley Exploration Permian, Inc (NYSE:REPX) is a special purpose acquisition company formed to identify, acquire and operate assets in the oil and natural gas sector, with a dedicated focus on the Permian Basin. Incorporated in Delaware, the company completed its initial public offering on the New York Stock Exchange and is positioned to pursue a business combination with one or more upstream or midstream energy businesses. Riley Exploration Permian’s strategy centers on leveraging the region’s prolific reservoirs and existing infrastructure to drive growth and value for its shareholders.

The company seeks to target exploration and production assets in both the Midland and Delaware sub-basins of West Texas and southeastern New Mexico, where extensive pipeline networks and favorable geologic characteristics support efficient development.