MNRL Stock Overview
Brigham Minerals, Inc. owns and operates a portfolio of mineral and royalty interests in the continental United States.
Brigham Minerals Competitors
Price History & Performance
|Historical stock prices|
|Current Share Price||US$24.67|
|52 Week High||US$33.64|
|52 Week Low||US$19.17|
|1 Month Change||-17.08%|
|3 Month Change||-2.91%|
|1 Year Change||24.28%|
|3 Year Change||27.23%|
|5 Year Change||n/a|
|Change since IPO||23.85%|
Recent News & Updates
Brigham Minerals: Double-Digit Production Would Justify Higher Price Marks
Summary Brigham Minerals is focused on acquiring oil and gas mineral rights across the U.S. The company operates in some of the richest basins in the United States. In my view, the combination of more acquisitions and a further increase in net activity wells will likely enhance future production. The most interesting is the Delaware Basin, where management foresees seven or more producing zones. Brigham Minerals, Inc. (MNRL) is delivering double digit production growth, and expects to make more acquisition of rights in the near future. In my view, successful production in new zones in the DJ Basin and the Delaware Basin could bring much more proved reserves than expected. Even considering risks from failed geological models, failed acquisitions, and inflation, I believe that the current stock price is cheap. Brigham Minerals: Strong Drilled But Uncompleted Well Conversions And Beneficial Guidance Brigham Minerals is focused on acquiring oil and gas mineral rights across the U.S. The company operates in some of the richest basins in the United States: Our portfolio is comprised of mineral and royalty interests across six of the most highly economic, liquids-rich resource plays in the continental United States, including the Delaware and Midland Basins in West Texas and New Mexico, the SCOOP and STACK plays in the Anadarko Basin in Oklahoma, the Denver-Julesburg Basin in Colorado and Wyoming and the Williston Basin in North Dakota. Source: 10-k I became very interested in Brigham because of its recent production reports. In the six months ended Jun 30, 2022, production increased by 39%, from 1621 million barrel of oil equivalent in June 2021 to 2268 MBoe in June 2022. Also, with a massive increase in the average price, up to $70/Boe, Brigham reported triple digit sales growth in the last six months. 10-Q The company explained the results by citing strong drilled but uncompleted well conversions in the Permian Basin. I really can't say whether production will be able to grow in the future due to more DUC conversions. However, I believe that there are many other catalysts for production: Our production volumes increased 8% sequentially to a record 13,019 Boe/d driven by continued strong DUC conversions, particularly conversions in the Permian Basin where production volumes grew by 24% sequentially. Source: Quarterly Report Press Release In my view, the combination of more acquisitions and further increase in net activity wells will likely enhance future production. In the past, the acquisition of interests in new regions was quite impressive: 10-k Let's note that Brigham Minerals reported 9% more production volumes than what was forecasted in February. In my view, the momentum will continue for some time if other factors like the oil price don't change much: When combined with our acquisition efforts, we were able to maintain an almost constant DUC inventory level even with the aforementioned strong conversions. Source: Quarterly Report Press Release In total, we ended the second quarter with 11.0 net activity wells in inventory and anticipate our production volumes for the full year 2022 to average between 12,300 and 13,000 Boe/d, which represents a 9% increase relative to our original guidance provided in February. Source: Quarterly Report Press Release The total amount of reserves is another beneficial feature of Brigham Minerals. From 2020 to 2021, the estimated total proved reserves increased by 42%. I really don't expect the company to deliver double digit growth every year. However, it is good noting that reservoir engineers and geologists are doing such great work. More reserves in the future will likely enhance the company's production figures. 10-k With the previous information in mind, many analysts out there are delivering fantastic guidance for Brigham Minerals. I had a look at their numbers for my financial models. The median operating margin would stand at close to 56%, and 2022 net sales would reach $373 million. Let's note that my financial figures are a bit more conservative than that of other financial analysts. With that, it is always good to check the general consensus in the market: marketscreener.com Balance Sheet Brigham Minerals reports $24 million in cash, net oil and gas properties of $711 million, and total assets worth $861 million. With very little debt and liabilities, I believe that the company's balance sheet is quite stable. 10-Q Long-term debt is equal to only $73 million, so management will likely receive debt financing if necessary. The list of liabilities is shown below: 10-Q Under My Base Case Scenario, The Implied Price Would Be $33-$34 Under this case scenario, I assumed that management would use the company's technical expertise to build and acquire new assets. As a result, the business model will little by little gain scale, which would enhance its FCF/Sales margin. In this regard, the most interesting is the Delaware Basin, where management foresees seven or more producing zones. Based on our geologic and engineering data as well as current delineation efforts by operators, we believe our mineral and royalty interests in the Delaware Basin are prospective for seven or more producing zones of economic horizontal development including the Wolfcamp A, B, C and XY; First, Second and Third Bone Spring; and the Avalon. Our Delaware Basin mineral and royalty interests are located in Reeves, Loving, Ward, Pecos, Culberson and Winkler Counties, Texas with our remaining interests located in Lea and Eddy Counties, New Mexico. Source: 10-k Besides, the company's engineers believe that the DJ Basin could offer at least four or more producing zones. Under this case scenario, I assumed that the company's geological models are sufficiently accurate: Based on our geologic and engineering interpretations as well as current delineation efforts by operators, we believe our mineral and royalty interests in the DJ Basin are prospective for four or more producing zones of economic horizontal development including the Niobrara A, B and C and Codell formations. Source: 10-k
|MNRL||US Oil and Gas||US Market|
Return vs Industry: MNRL underperformed the US Oil and Gas industry which returned 36.6% over the past year.
Return vs Market: MNRL exceeded the US Market which returned -21.5% over the past year.
|MNRL Average Weekly Movement||6.6%|
|Oil and Gas Industry Average Movement||8.1%|
|Market Average Movement||6.9%|
|10% most volatile stocks in US Market||15.7%|
|10% least volatile stocks in US Market||2.8%|
Stable Share Price: MNRL is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 7% a week.
Volatility Over Time: MNRL's weekly volatility (7%) has been stable over the past year.
About the Company
Brigham Minerals, Inc. owns and operates a portfolio of mineral and royalty interests in the continental United States. The company primarily holds mineral and royalty interests in the Delaware and Midland Basins in West Texas and New Mexico; the South Central Oklahoma Oil Province and Sooner Trend Anadarko Basin Canadian and Kingfisher Counties plays in the Anadarko Basin of Oklahoma; the Denver-Julesburg Basin in Colorado; and Wyoming and the Williston Basin in North Dakota. As of December 31, 2021, it had mineral and royalty interests in approximately 92,375 net royalty acres; and owned mineral and royalty interests in 8,595 gross productive horizontal wells, which consisted of 7,909 oil wells and 688 natural gas wells.
Brigham Minerals Fundamentals Summary
|MNRL fundamental statistics|
Is MNRL overvalued?See Fair Value and valuation analysis
Earnings & Revenue
|MNRL income statement (TTM)|
|Cost of Revenue||US$22.62m|
Last Reported Earnings
Jun 30, 2022
Next Earnings Date
|Earnings per share (EPS)||1.91|
|Net Profit Margin||41.17%|
How did MNRL perform over the long term?See historical performance and comparison
11.1%Current Dividend Yield
Is MNRL undervalued compared to its fair value, analyst forecasts and its price relative to the market?
Valuation Score 2/6
Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Below Fair Value
Significantly Below Fair Value
Key Valuation Metric
Which metric is best to use when looking at relative valuation for MNRL?
Other financial metrics that can be useful for relative valuation.
|What is MNRL's n/a Ratio?|
Price to Earnings Ratio vs Peers
How does MNRL's PE Ratio compare to its peers?
|MNRL PE Ratio vs Peers|
|Company||PE||Estimated Growth||Market Cap|
NOG Northern Oil and Gas
KRP Kimbell Royalty Partners
TALO Talos Energy
ROCC Ranger Oil
MNRL Brigham Minerals
Price-To-Earnings vs Peers: MNRL is expensive based on its Price-To-Earnings Ratio (12.9x) compared to the peer average (10.9x).
Price to Earnings Ratio vs Industry
How does MNRL's PE Ratio compare vs other companies in the US Oil and Gas Industry?
Price-To-Earnings vs Industry: MNRL is expensive based on its Price-To-Earnings Ratio (12.9x) compared to the US Oil and Gas industry average (8.3x)
Price to Earnings Ratio vs Fair Ratio
What is MNRL's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.
|Current PE Ratio||12.9x|
|Fair PE Ratio||12.7x|
Price-To-Earnings vs Fair Ratio: MNRL is expensive based on its Price-To-Earnings Ratio (12.9x) compared to the estimated Fair Price-To-Earnings Ratio (12.7x).
Share Price vs Fair Value
What is the Fair Price of MNRL when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.
Below Fair Value: MNRL ($24.67) is trading below our estimate of fair value ($54.69)
Significantly Below Fair Value: MNRL is trading below fair value by more than 20%.
Analyst Price Targets
What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?
Analyst Forecast: Target price is more than 20% higher than the current share price, but analysts are not within a statistically confident range of agreement.
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How is Brigham Minerals forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?
Future Growth Score0/6
Future Growth Score 0/6
Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: MNRL's earnings are forecast to decline over the next 3 years (-3.9% per year).
Earnings vs Market: MNRL's earnings are forecast to decline over the next 3 years (-3.9% per year).
High Growth Earnings: MNRL's earnings are forecast to decline over the next 3 years.
Revenue vs Market: MNRL's revenue (1.9% per year) is forecast to grow slower than the US market (7.6% per year).
High Growth Revenue: MNRL's revenue (1.9% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: Insufficient data to determine if MNRL's Return on Equity is forecast to be high in 3 years time
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How has Brigham Minerals performed over the past 5 years?
Past Performance Score3/6
Past Performance Score 3/6
Growing Profit Margin
Earnings vs Industry
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: MNRL has high quality earnings.
Growing Profit Margin: MNRL became profitable in the past.
Past Earnings Growth Analysis
Earnings Trend: MNRL's earnings have grown significantly by 55.4% per year over the past 5 years.
Accelerating Growth: MNRL has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.
Earnings vs Industry: MNRL has become profitable in the last year, making it difficult to compare its past year earnings growth to the Oil and Gas industry (184.6%).
Return on Equity
High ROE: MNRL's Return on Equity (17.1%) is considered low.
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How is Brigham Minerals's financial position?
Financial Health Score5/6
Financial Health Score 5/6
Short Term Liabilities
Long Term Liabilities
Financial Position Analysis
Short Term Liabilities: MNRL's short term assets ($102.0M) exceed its short term liabilities ($20.2M).
Long Term Liabilities: MNRL's short term assets ($102.0M) exceed its long term liabilities ($79.8M).
Debt to Equity History and Analysis
Debt Level: MNRL's net debt to equity ratio (6.4%) is considered satisfactory.
Reducing Debt: Insufficient data to determine if MNRL's debt to equity ratio has reduced over the past 5 years.
Debt Coverage: MNRL's debt is well covered by operating cash flow (206.9%).
Interest Coverage: MNRL's interest payments on its debt are well covered by EBIT (62.7x coverage).
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What is Brigham Minerals's current dividend yield, its reliability and sustainability?
Dividend Score 2/6
Cash Flow Coverage
Current Dividend Yield
Dividend Yield vs Market
|Brigham Minerals Dividend Yield vs Market|
|Company (Brigham Minerals)||11.1%|
|Market Bottom 25% (US)||1.7%|
|Market Top 25% (US)||4.7%|
|Industry Average (Oil and Gas)||5.0%|
|Analyst forecast in 3 Years (Brigham Minerals)||11.3%|
Notable Dividend: MNRL's dividend (11.11%) is higher than the bottom 25% of dividend payers in the US market (1.66%).
High Dividend: MNRL's dividend (11.11%) is in the top 25% of dividend payers in the US market (4.7%)
Stability and Growth of Payments
Stable Dividend: MNRL has been paying a dividend for less than 10 years and during this time payments have been volatile.
Growing Dividend: MNRL's dividend payments have increased, but the company has only paid a dividend for 3 years.
Earnings Payout to Shareholders
Earnings Coverage: With its high payout ratio (102.7%), MNRL's dividend payments are not well covered by earnings.
Cash Payout to Shareholders
Cash Flow Coverage: With its high cash payout ratio (728.3%), MNRL's dividend payments are not well covered by cash flows.
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How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Rob Roosa (52 yo)
Mr. Robert M. Roosa, also known as Rob, has been the Chief Executive Officer of Brigham Minerals, Inc. since July 2017 and serves as its Director since May 2018. He served as president of Brigham Minerals,...
CEO Compensation Analysis
|Rob Roosa's Compensation vs Brigham Minerals Earnings|
|Date||Total Comp.||Salary||Company Earnings|
|Jun 30 2022||n/a||n/a|
|Mar 31 2022||n/a||n/a|
|Dec 31 2021||US$5m||US$518k|
|Sep 30 2021||n/a||n/a|
|Jun 30 2021||n/a||n/a|
|Mar 31 2021||n/a||n/a|
|Dec 31 2020||US$4m||US$516k|
|Sep 30 2020||n/a||n/a|
|Jun 30 2020||n/a||n/a|
|Mar 31 2020||n/a||n/a|
|Dec 31 2019||US$4m||US$500k|
|Sep 30 2019||n/a||n/a|
|Jun 30 2019||n/a||n/a|
|Mar 31 2019||n/a||n/a|
|Dec 31 2018||US$526k||US$395k|
Compensation vs Market: Rob's total compensation ($USD5.19M) is about average for companies of similar size in the US market ($USD5.59M).
Compensation vs Earnings: Rob's compensation has been consistent with company performance over the past year.
Experienced Management: MNRL's management team is considered experienced (3.9 years average tenure).
Experienced Board: MNRL's board of directors are considered experienced (4.3 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
|23 Jun 22||SellUS$1,046,428||Pine Brook Road Partners, LLC||Company||41,503||US$25.21|
|22 Jun 22||SellUS$2,747,391||Pine Brook Road Partners, LLC||Company||99,862||US$28.15|
|15 Jun 22||SellUS$5,576,143||Pine Brook Road Partners, LLC||Company||181,978||US$31.20|
|13 Jun 22||SellUS$8,602,416||Pine Brook Road Partners, LLC||Company||273,986||US$32.32|
|26 May 22||SellUS$750,000||Blake Williams||Individual||25,000||US$30.00|
|26 May 22||SellUS$11,442,061||Pine Brook Road Partners, LLC||Company||389,626||US$29.99|
|22 Mar 22||SellUS$5,558,414||Pine Brook Road Partners, LLC||Company||227,175||US$24.62|
|22 Mar 22||SellUS$16,847,561||Pine Brook Road Partners, LLC||Company||709,371||US$23.75|
|18 Mar 22||SellUS$10,494,330||Pine Brook Road Partners, LLC||Company||432,336||US$24.27|
|16 Mar 22||SellUS$4,431,403||Pine Brook Road Partners, LLC||Company||183,911||US$24.11|
|14 Mar 22||SellUS$4,892,919||Pine Brook Road Partners, LLC||Company||197,568||US$25.03|
|10 Mar 22||SellUS$4,798,992||Pine Brook Road Partners, LLC||Company||189,148||US$25.44|
|08 Mar 22||SellUS$6,336,403||Pine Brook Road Partners, LLC||Company||235,491||US$28.12|
|24 Nov 21||SellUS$1,012,971||Yorktown Partners LLC||Company||45,419||US$22.30|
|23 Nov 21||SellUS$1,858,148||Yorktown Partners LLC||Company||83,936||US$22.16|
|18 Nov 21||SellUS$939,286||Yorktown Partners LLC||Company||40,339||US$23.40|
|Owner Type||Number of Shares||Ownership Percentage|
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 6.4%.
|Ownership||Name||Shares||Current Value||Change %||Portfolio %|
Brigham Minerals, Inc.'s employee growth, exchange listings and data sources
- Name: Brigham Minerals, Inc.
- Ticker: MNRL
- Exchange: NYSE
- Founded: 2012
- Industry: Oil and Gas Exploration and Production
- Sector: Energy
- Implied Market Cap: US$1.507b
- Market Cap: US$1.351b
- Shares outstanding: 60.45m
- Website: https://www.brighamminerals.net
Number of Employees
- Brigham Minerals, Inc.
- 5914 West Courtyard Drive
- Suite 200
- United States
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|MNRL||NYSE (New York Stock Exchange)||Yes||Class A Common Stock||US||USD||Apr 2019|
|2TQ||DB (Deutsche Boerse AG)||Yes||Class A Common Stock||DE||EUR||Apr 2019|
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2022/09/30 00:00|
|End of Day Share Price||2022/09/30 00:00|
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.