ANTERO RESOURCES CORP (AR)
US03674X1063 - Common Stock
We assign a fundamental rating of 3 out of 10 to AR. AR was compared to 213 industry peers in the Oil, Gas & Consumable Fuels industry. AR may be in some trouble as it scores bad on both profitability and health. While showing a medium growth rate, AR is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
AR had positive earnings in the past year.
AR had a positive operating cash flow in the past year.
In multiple years AR reported negative net income over the last 5 years.
Each year in the past 5 years AR had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 0.49%, AR is doing worse than 78.30% of the companies in the same industry.
With a Return On Equity value of 0.93%, AR is not doing good in the industry: 75.00% of the companies in the same industry are doing better.
AR has a worse Return On Invested Capital (1.70%) than 79.72% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for AR is significantly below the industry average of 38.62%.
The 3 year average ROIC (7.59%) for AR is well above the current ROIC(1.70%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.49% | ||
| ROE | 0.93% | ||
| ROIC | 1.7% |
ROA(3y)4.63%
ROA(5y)0.4%
ROE(3y)9.45%
ROE(5y)0.3%
ROIC(3y)7.59%
ROIC(5y)N/A
1.3 Margins
AR's Profit Margin of 1.50% is on the low side compared to the rest of the industry. AR is outperformed by 73.11% of its industry peers.
AR has a worse Operating Margin (5.75%) than 74.53% of its industry peers.
In the last couple of years the Operating Margin of AR has declined.
The Gross Margin of AR (70.62%) is better than 76.42% of its industry peers.
AR's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.75% | ||
| PM (TTM) | 1.5% | ||
| GM | 70.62% |
OM growth 3YN/A
OM growth 5Y-4.85%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y3.86%
GM growth 5Y3.36%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so AR is destroying value.
AR has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, AR has less shares outstanding
The debt/assets ratio for AR is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 1.43, we must say that AR is in the distress zone and has some risk of bankruptcy.
AR has a Altman-Z score (1.43) which is comparable to the rest of the industry.
AR has a Debt/Equity ratio of 0.21. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of AR (0.21) is better than 67.45% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.21 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.43 |
ROIC/WACC0.19
WACC8.93%
2.3 Liquidity
A Current Ratio of 0.29 indicates that AR may have some problems paying its short term obligations.
Looking at the Current ratio, with a value of 0.29, AR is doing worse than 94.34% of the companies in the same industry.
AR has a Quick Ratio of 0.29. This is a bad value and indicates that AR is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.29, AR is not doing good in the industry: 93.87% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.29 | ||
| Quick Ratio | 0.29 |
3. Growth
3.1 Past
The earnings per share for AR have decreased strongly by -97.94% in the last year.
Measured over the past years, AR shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -14.50% on average per year.
Looking at the last year, AR shows a very negative growth in Revenue. The Revenue has decreased by -43.35% in the last year.
The Revenue has been growing slightly by 2.49% on average over the past years.
EPS 1Y (TTM)-97.94%
EPS 3YN/A
EPS 5Y-14.5%
EPS Q2Q%-86%
Revenue 1Y (TTM)-43.35%
Revenue growth 3Y10.27%
Revenue growth 5Y2.49%
Sales Q2Q%-20.98%
3.2 Future
Based on estimates for the next years, AR will show a very strong growth in Earnings Per Share. The EPS will grow by 33.23% on average per year.
The Revenue is expected to grow by 6.22% on average over the next years.
EPS Next Y-0.78%
EPS Next 2Y131.31%
EPS Next 3Y81.63%
EPS Next 5Y33.23%
Revenue Next Year-2.92%
Revenue Next 2Y8.42%
Revenue Next 3Y6.92%
Revenue Next 5Y6.22%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 356.30, the valuation of AR can be described as expensive.
Compared to the rest of the industry, the Price/Earnings ratio of AR indicates a rather expensive valuation: AR more expensive than 81.60% of the companies listed in the same industry.
When comparing the Price/Earnings ratio of AR to the average of the S&P500 Index (28.05), we can say AR is valued expensively.
The Price/Forward Earnings ratio is 12.56, which indicates a correct valuation of AR.
Compared to the rest of the industry, the Price/Forward Earnings ratio of AR is on the same level as its industry peers.
When comparing the Price/Forward Earnings ratio of AR to the average of the S&P500 Index (20.07), we can say AR is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 356.3 | ||
| Fwd PE | 12.56 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of AR indicates a slightly more expensive valuation: AR is more expensive than 73.11% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 13.06 |
4.3 Compensation for Growth
A more expensive valuation may be justified as AR's earnings are expected to grow with 81.63% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y131.31%
EPS Next 3Y81.63%
5. Dividend
5.1 Amount
No dividends for AR!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
ANTERO RESOURCES CORP
NYSE:AR (5/31/2024, 7:23:41 PM)
After market: 35.63 0 (0%)35.63
+0.52 (+1.48%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap11.07B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 356.3 | ||
| Fwd PE | 12.56 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.49% | ||
| ROE | 0.93% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 5.75% | ||
| PM (TTM) | 1.5% | ||
| GM | 70.62% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.32
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.21 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 0.29 | ||
| Quick Ratio | 0.29 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)-97.94%
EPS 3YN/A
EPS 5Y
EPS Q2Q%
EPS Next Y-0.78%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-43.35%
Revenue growth 3Y10.27%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y