UPDATE: Matadow Resources Down 5%, Downgraded by KLR, Fair Value Recognized - Matador Resources (NYSE:MTDR)

27% profits every 20 days?

This is what Nic Chahine averages with his options buys. Not selling covered calls or spreads... BUYING options. Most traders don't even have a winning percentage of 27% buying options. He has an 83% win rate. Here's how he does it.

On Friday, KLR released rating reports including a note by analyst John Gerdes, downgrading Matador Resources (NYSE: MTDR) from Accumulate to Hold with a price target of $23.MTDR currently runs a two-rig program in the South Texas Eagle Ford shale and a one-rig program in Delaware Basin.KLR calculated a 17.5 percent equity return to determine net present value of cash flow, yielding a 5% depreciation of about $23 a share. This valuation defends the downgrade and price target.MTDR closed previously on Thursday at $24.24 and is currently trading down five percent at the $23 level.

27% profits every 20 days?

ENTER TO WIN $500 IN STOCK OR CRYPTO

Enter your email and you'll also get Benzinga's ultimate morning update AND a free $30 gift card and more!