A month has gone by since the last earnings report for Viper Energy Partners (VNOM). Shares have added about 2.9% in that time frame, outperforming the S&P 500.
But investors have to be wondering, will the recent positive trend continue leading up to its next earnings release, or is Viper Energy due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at its most recent earnings report in order to get a better handle on the important catalysts.
Viper Energy's Q3 Earnings & Revenues Beat Estimates
Viper Energyreported third-quarter 2025 adjusted earnings per share (EPS) of 40 cents, which beat the Zacks Consensus Estimate of 38 cents. The bottom line, however, declined from the year-ago level of 49 cents.
The company, with mineral interests in North America’s oil and gas resources, generated operating income of $418 million, which beat the Zacks Consensus Estimate of $403 million. The metric increased from the year-ago quarter’s figure of $211 million.
The better-than-expected quarterly results can be primarily attributed to a significant increase in oil-equivalent production. However, lower realized oil prices, higher total expenses and a non-cash impairment of $360 million incurred due to properties acquired from Diamondback Energy at its historical carrying value partially offset the positives.
Production
The resources, wherein the company has mineral interests, produced 10,015 thousand oil-equivalent barrels (MBoe), up from 4,542 MBoe a year ago. The reported figure beat our estimate of 9,709 Mboe.
Oil contributed to approximately 51.5% of the total production volume. Oil production increased to 5,160 thousand barrels (MBbls) from 2,482 MBbls a year ago. The reported figure surpassed our estimate of 5,054 MBbls.
Natural gas production increased to 14,655 million cubic feet (MMcf) in the third quarter of 2025, compared to 6,150 MMcf in the corresponding period of 2024. The production of crude oil, natural gas and natural gas liquids witnessed a significant increase from the prior-year levels.
Realized Prices
The overall average realized price per barrel of oil equivalent was $39.24 compared with $45.83 in the third quarter of 2024. Our estimate for the same was pinned at $39.76 per barrel.
The average realized oil price in the quarter under review was $64.34 per barrel, down from $75.24 in the year-ago quarter. However, the figure surpassed our estimate of $60.50.
The price of natural gas was $1.02 per thousand cubic feet, up from $0.13 in the year-ago quarter. Our estimate for the same was pinned at $1.90.
The price for natural gas liquids was $19.07 a barrel, lower than the $19.89 recorded a year ago. Our estimate for the same was pinned at $22.14 per barrel.
Costs & Expenses
In the third quarter, total expenses were $594 million, significantly higher than the $75 million recorded in the prior-year quarter. The figure also came above our estimate of $245.8 million.
On a per barrel of oil-equivalent (Boe) basis, total operating expenses were $3.50 compared with $4.16 in the year-ago quarter. Our estimate for the same was pegged at $4.05.
Cash Flow
Net cash provided by operating activities was $281 million, up from $203 million in the third quarter of 2024.
Balance Sheet
As of Sept. 30, 2025, Viper Energy’s cash and cash equivalents were $53 million. The company reported net long-term debt of $2,241 million.
Guidance
The company projects production for the fourth quarter of 2025 to be in the range of 124-128 Mboe/d. Its net production for the full-year 2025 is projected to be in the 92.75-93.50 Mboe/d range.
How Have Estimates Been Moving Since Then?
In the past month, investors have witnessed a downward trend in estimates review.
The consensus estimate has shifted -8.12% due to these changes.
VGM Scores
Currently, Viper Energy has a subpar Growth Score of D, though it is lagging a bit on the Momentum Score front with an F. Following the exact same course, the stock was allocated a grade of F on the value side, putting it in the lowest quintile for this investment strategy.
Overall, the stock has an aggregate VGM Score of F. If you aren't focused on one strategy, this score is the one you should be interested in.
Outlook
Estimates have been broadly trending downward for the stock, and the magnitude of these revisions indicates a downward shift. Interestingly, Viper Energy has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.
Performance of an Industry Player
Viper Energy is part of the Zacks Oil and Gas - Exploration and Production - United States industry. Over the past month, Antero Resources (AR), a stock from the same industry, has gained 5.4%. The company reported its results for the quarter ended September 2025 more than a month ago.
Antero Resources reported revenues of $1.21 billion in the last reported quarter, representing a year-over-year change of +15%. EPS of $0.15 for the same period compares with -$0.12 a year ago.
For the current quarter, Antero Resources is expected to post earnings of $0.54 per share, indicating a change of -6.9% from the year-ago quarter. The Zacks Consensus Estimate has changed +5.8% over the last 30 days.
Antero Resources has a Zacks Rank #3 (Hold) based on the overall direction and magnitude of estimate revisions. Additionally, the stock has a VGM Score of C.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Viper Energy Inc. (VNOM): Free Stock Analysis Report Antero Resources Corporation (AR): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
Zacks Investment Research
