Michigan-based Nemes Rush Group sold 319,503 shares of Viper Energy in the third quarter, worth an estimated $12.18 million. They completely exited their position in Viper Energy as of September 30. Viper Energy, a company that owns and manages mineral interests in oil and gas properties, focuses on acquiring and managing mineral rights in key U.S. basins. Despite operational success, their share price has underperformed. In the third quarter, Viper Energy produced over 108,000 barrels of oil equivalent per day and generated $165 million in cash available for distribution.

Investors should note this move as a portfolio hygiene measure rather than a fundamental call. Viper Energy operates as a royalty business that converts commodity exposure into cash flow, dividends, and buybacks. They returned 85% of their cash to shareholders through dividends and buybacks, resulting in an annualized yield north of 6%. At recent prices, Viper Energy shares were priced at $38.48, down 20% over the past year.

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Read more at NASDAQ.: Why One Fund Ditched Viper Energy in a $12 Million Exit Amid a 20% Stock Slide