Analysts Boost Permian Resources Price Target Following Strong Q3

The share price of Permian Resources Corporation (NYSE: PR) increased by 2.2% from November 14 to November 21, 2025, reflecting a positive trend among energy stocks during that week. The independent oil and natural gas company, known for its development of crude oil and liquids-rich natural gas reserves in the United States, has recently attracted attention from analysts following strong quarterly results.

On November 14, renowned analyst Neil Mehta from Goldman Sachs raised the price target for Permian Resources from $17 to $18, while also maintaining a ‘Buy’ rating. This adjustment came after the company reported impressive third-quarter results, showcasing robust free cash flow and production levels that exceeded expectations. Notably, Permian Resources achieved a 6% sequential reduction in controllable cash costs and an 11% year-over-year decrease in drilling and completion costs, attributed to enhanced operational efficiencies.

Further Price Target Increases from Morgan Stanley

The momentum continued on November 20, when Morgan Stanley also raised its price target for Permian Resources, this time from $18 to $19, while keeping an ‘Overweight’ rating. This revision aligns with the firm’s broader adjustments to price targets for North American energy stocks, reflecting updated guidance for the fiscal year 2025 and preliminary insights for 2026.

Morgan Stanley has expressed a preference for gas stocks over oil, indicating a strategic shift based on current commodity price trends. This perspective underscores the evolving landscape of the energy market, where analysts are carefully reassessing their positions in response to fluctuating prices and production figures.

While Permian Resources demonstrates significant potential as an investment, some analysts suggest that certain sectors, particularly artificial intelligence stocks, may offer even greater upside potential with less downside risk. As investors evaluate their portfolios, the recent developments surrounding Permian Resources provide a compelling case for those focused on the energy sector.

In summary, the upward revisions by both Goldman Sachs and Morgan Stanley reflect a growing confidence in Permian Resources Corporation as it capitalizes on its operational efficiencies and favorable market conditions. The company stands as a notable player in the competitive landscape of energy stocks, poised for continued growth in the coming months.