Viper (VNOM) Update - May 21

[dan_s]

I have updated my forecast/valuation model for Viper and posted it to the EPG website. My valuation is $23/share.

VNOM is a C-Corp that pays variable quarterly dividends.
They will be paying out ~60% of operating cash flow per share this year and I expect them to raise it to 70% of operating CFPS in 2022.
Based on my model, their dividends for 2021 s/b $1.11 for annual yield of 6.2%
After they work off some "Bad Hedges" in 2021, their dividends should go way up in 2022.

VNOM closed at $17.90 on May 20

Fresh updates from the Wall Street Gang
Price Targets
$20.00 < Evercore 5/17/21
$23.00 < Raymond James 5/5/21
$21.00 < TD Securities 5/5/21