Mizuho Reiterates Outperform on Viper Energy, Inc. (VNOM) With 35% Upside

Viper Energy, Inc. (NASDAQ:VNOM) is among the best safe stocks to buy now. William Janela, an analyst at Mizuho, reiterated an ‘Outperform’ rating on Viper Energy, Inc. (NASDAQ:VNOM), while reducing the price target from $55.00 to $51.00, implying a potential upside of nearly 34.7%.

The research firm anticipates a rise in gas prices in the next 12 months, and this is what positions Viper Energy, Inc. (NASDAQ:VNOM) for long-term growth. While oil stocks reflect current strip prices, gas stocks are trading at a 10% to 15% discount based on implied commodity prices. To say the least, the firm is bullish on large-cap gas exploration and production names and maintains a “selective exposure” to core oil companies.

Jim Cramer on Viper Energy (VNOM): “Not My Cup of Tea”

The company’s $4.1 billion acquisition of Sitio Royalties provides synergies across the Permian, along with a boost to oil and gas production. The reason why most investors are attracted to take a position in oil and gas production with limited exposure to operational downside risks makes a compelling case for Viper Energy, Inc. (NASDAQ:VNOM).

Viper Energy, Inc. (NASDAQ:VNOM) is a Texas-based company that specializes in oil and natural gas properties in North America. Founded in 2013, the company is committed to maximizing long-term returns.

While we acknowledge the potential of VNOM to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than VNOM and that has 100x upside potential, check out our report about this cheapest AI stock.

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Disclosure: None.