Matador initiated with a Neutral at Mizuho

Mizuho analyst Nitin Kumar initiated coverage of Matador with a Neutral rating and $70 price target. Matador is "almost" a pure-play Delaware basin operator and he likes its differentiated strategy of having "not followed the current sector infatuation with cash returns," Kumar tells investors. However, a tight service cost outlook, fewer opportunities for M&A, and a weaker macro outlook can be headwinds, particularly in light of the stocks premium valuation, Kumar added.