Question 1

How much would I have if I DCA'd $100/week into MTDR for 5 years?

Accepted Answer

Dollar cost averaging $100 per week into MTDR for 5 years (261 purchases) would have resulted in a total investment of $26,100 and a current value of $27,174, a return of 4%. Using Enhanced DCA, which concentrates buys during dips, the same $100/week base deployed $37,828 and grew to $42,251 — a 12% return.

Question 2

What is the best DCA strategy for MTDR?

Accepted Answer

Backtesting shows Enhanced DCA — which increases buy amounts during market dips and reduces or skips buys when MTDR is overextended — outperformed standard weekly DCA by 8% over 5 years. The enhanced strategy achieved a 12% return vs 4% for standard DCA.

Question 3

What would $100/week into MTDR be worth after 3 years?

Accepted Answer

Investing $100 per week into MTDR for 3 years (157 purchases, $15,700 total) would have grown to $16,237 — a 3% return. Enhanced DCA over the same period returned 12%.

Question 4

Is DCA into MTDR worth it?

Accepted Answer

Based on a 5-year backtest, DCA into MTDR returned 4% with standard weekly purchases. An intelligent DCA strategy that buys more during dips returned 12% over the same period — a 8% gain in return, while deploying more capital.

Question 5

How many shares of MTDR would I have after DCA for 5 years?

Accepted Answer

Dollar cost averaging $100/week into MTDR for 5 years would result in approximately 501 shares with a standard DCA approach (avg entry $52). Enhanced DCA targeting dips results in 778 shares at an average entry of $49.

Question 6

How does MTDR DCA compare to the S&P 500?

Accepted Answer

Enhanced DCA into MTDR returned 12% over the past 5 years. The S&P 500 (SPY) returned approximately 53% over the same period. MTDR's performance reflects its volatility as a energy asset. Enhanced DCA outperformed standard DCA by 8%, demonstrating the value of intelligent entry timing during market dips.

Question 7

What is the risk of dollar cost averaging into MTDR?

Accepted Answer

Past backtest performance does not guarantee future results. MTDR is a energy asset whose price can fall as well as rise. While DCA reduces timing risk by spreading purchases over time, losses are still possible if the price declines significantly. Always invest within your risk tolerance and consider your overall portfolio diversification.

Question 8

What is the Matador Resources Company dollar cost averaging strategy?

Accepted Answer

Standard DCA invests a fixed amount ($100/week or $433/month) into MTDR at regular intervals. Enhanced DCA improves on this by using RSI (Relative Strength Index) signals to increase buy amounts during market dips (oversold conditions) and reduce or skip purchases when the stock is overextended. Over the 5-year backtest, this timing approach has delivered 8% higher returns than standard DCA while deploying more total capital into MTDR.

Period	Standard DCA	Enhanced DCA	Alpha
1-Year	9%	19%	+10%
3-Year	3%	12%	+8%
5-Year	4%	12%	+8%

MTDR DCA Backtest — Dollar Cost Averaging Results

MTDR DCA Results: Key Findings

Alpha you missed while unsubscribed

Dollar cost averaging into MTDR — backtest results

Buying the dips for Matador Resources Company