10 Oversold Energy Stocks To Buy Now

4. Vital Energy, Inc. (NYSE:VTLE)  

Number of Hedge Fund Investors: 28  

Forward P/E Ratio as of November 5: 2.71  

YTD Performance as of November 5: -40.78%  

Vital Energy, Inc. (NYSE:VTLE) formerly known as Laredo Petroleum, is an independent energy company focused on the exploration and production of oil and natural gas. With a primary focus on the Permian Basin in Texas, the company aims to maximize its assets in one of the world’s most productive oil regions.

Vital Energy, Inc. (NYSE:VTLE) has been making significant strides in the industry through strategic acquisitions. On September 23, Vital Energy, Inc. (NYSE:VTLE) and Northern Oil and Gas, Inc. (NYSE: NOG) completed their announced $1.1 billion all-cash acquisition of Point Energy Partners II’s assets. Vital Energy, Inc. (NYSE:VTLE) has acquired 80% of Point Energy’s assets at the purchase price of $815.2 million.

The acquisition is a strategic move for Vital Energy, Inc. (NYSE:VTLE) to expand its portfolio in the energy sector. The transaction adds 68 gross inventory locations (49 net) with an estimated average breakeven oil price of $47 per barrel NYMEX WTI. The acquisition supports the company in gaining access to new, high-quality drilling opportunities that can help drive growth and increase profitability. Additionally, the deal includes net production of approximately 30 thousand barrels of oil equivalent per day (67% oil), which will help to increase Vital Energy, Inc.’s (NYSE:VTLE) oil-weighted production and improve its overall commodity mix.

The acquisition will also help to expand Vital Energy, Inc.’s (NYSE:VTLE) operational scale in the Delaware Basin, increasing its position by approximately 25% to 84,000 net acres. This will give the company a larger footprint in the region and provide opportunities for further growth and development. Overall, the acquisition of Point Energy’s assets is expected to be a strategic and accretive deal for Vital Energy, Inc. (NYSE:VTLE) with new growth opportunities, increased operational scale, and improved financial performance.