Can GRNT sustain its late 2024 earnings momentum?

**Granite Ridge Resources (GRNT) is poised to sustain its late 2024 earnings momentum**, as evidenced by several key factors: 1. **Strong Production Performance**: GRNT achieved record production levels in Q4 2024, with a notable 10% sequential increase in output. This production growth, coupled with strategic shifts to operated partnerships, is indicative of the company's operational efficiency and ability to capitalize on market opportunities. 2. **Adjusted Net Income Indicators**: Despite a net loss of $11.6 million, the company reported an adjusted net income of $22.7 million, which surpasses analyst estimates. This adjustment highlights the company's underlying financial strength and its ability to manage operational challenges effectively. 3. **Financial Outlook and Strategic Initiatives**: GRNT projects a 16% production growth for 2025, aiming for an average of 29,000 barrels of oil equivalent (BOE) per day. The company's plan for total capital expenditure of $300-$320 million, with 56% allocated to operated partnerships, suggests a strategic focus on enhancing production capabilities. 4. **Market Valuation and Investor Confidence**: The stock appears slightly undervalued based on its Fair Value metrics, with technical indicators suggesting oversold conditions. Additionally, the company's dividend declaration and commitment to shareholder returns reinforce investor confidence. In conclusion, GRNT's strong production performance, adjusted net income indicators, financial outlook, strategic initiatives, and market valuation suggest that the company is well-positioned to sustain its late 2024 earnings momentum.