TacticScaleWhat Matador Resources Does & How It Makes Money (MTDR)
Updated October 2026 · reflects Matador Resources's latest reported financials
Independent US oil and gas producer with midstream operations. It earns most of its revenue by selling the oil, natural gas and natural gas liquids it produces.
How Matador Resources makes money
It earns most of its revenue by selling the oil, natural gas and natural gas liquids it produces. Its midstream segment adds fee income from third parties for gas processing, oil transportation, gathering and produced water disposal.
What Matador Resources does
Matador Resources is a Dallas-based independent energy company, incorporated in 2003, that acquires, explores, develops and produces oil and natural gas in the United States. Its main assets are in the Wolfcamp and Bone Spring plays of the Delaware Basin in Southeast New Mexico and West Texas. It also operates in the Haynesville shale and Cotton Valley plays in Northwest Louisiana. The company reports two segments: Exploration and Production, and Midstream. The midstream business supports Matador's own drilling and production. It also sells natural gas processing, oil transportation, gathering and produced water disposal services to third parties. Because most of its revenue comes from selling oil and gas, results depend heavily on commodity prices, while midstream fees add a second source of income.
Products & services
- Crude oil
- Natural gas
- Natural gas processing
- Oil transportation
- Oil, gas and produced water gathering
- Produced water disposal
What is Matador Resources worth?
On an owner-earnings DCF, Matador Resources's most-likely value is about $88 versus a recent price near $54 (62% below fair value). But TacticScale only calls a stock undervalued when the price sits below its conservative no-growth floor (~$62) with a margin of safety — so the honest verdict here is “Deeply discounted.” Fair value earns its keep only at the extremes, not in the wide middle.
On the financials alone, $54 is below even the no-growth floor ($62); the market's discount — expectations and sentiment beyond the numbers — is pricing in ≈ -1.7%/yr. A bargain only if that pessimism is overdone.
Analysis, not advice. Fair value is a margin-of-safety estimate from a deterministic owner-earnings DCF, not a price target or recommendation. See the full breakdown →
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