26.41 USD
+0.15 (+0.57%)
At close: Jan 30, 2026
26.49 USD
+0.08 (+0.3%)
After Hours: 1/30/2026, 8:00:01 PM
APA gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 207 industry peers in the Oil, Gas & Consumable Fuels industry. APA has an excellent profitability rating, but there are some minor concerns on its financial health. APA may be a bit undervalued, certainly considering the very reasonable score on growth Finally APA also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
- APA had positive earnings in the past year.
- In the past year APA had a positive cash flow from operations.
- Of the past 5 years APA 4 years were profitable.
- In the past 5 years APA always reported a positive cash flow from operatings.
1.2 Ratios
- Looking at the Return On Assets, with a value of 8.53%, APA belongs to the top of the industry, outperforming 85.51% of the companies in the same industry.
- With an excellent Return On Equity value of 25.30%, APA belongs to the best of the industry, outperforming 90.82% of the companies in the same industry.
- APA has a Return On Invested Capital of 14.25%. This is amongst the best in the industry. APA outperforms 92.27% of its industry peers.
- APA had an Average Return On Invested Capital over the past 3 years of 23.28%. This is in line with the industry average of 21.94%.
- The 3 year average ROIC (23.28%) for APA is well above the current ROIC(14.25%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.53% | ||
| ROE | 25.3% | ||
| ROIC | 14.25% |
ROA(3y)16.94%
ROA(5y)4%
ROE(3y)330.44%
ROE(5y)N/A
ROIC(3y)23.28%
ROIC(5y)17.78%
1.3 Margins
- The Profit Margin of APA (15.65%) is better than 67.63% of its industry peers.
- APA's Profit Margin has declined in the last couple of years.
- APA has a better Operating Margin (30.75%) than 76.33% of its industry peers.
- APA's Operating Margin has improved in the last couple of years.
- APA's Gross Margin of 69.21% is fine compared to the rest of the industry. APA outperforms 77.29% of its industry peers.
- APA's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 30.75% | ||
| PM (TTM) | 15.65% | ||
| GM | 69.21% |
OM growth 3Y-0.88%
OM growth 5Y16.38%
PM growth 3Y-12.17%
PM growth 5YN/A
GM growth 3Y3.59%
GM growth 5Y-0.98%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so APA is creating value.
- Compared to 1 year ago, APA has more shares outstanding
- The number of shares outstanding for APA has been reduced compared to 5 years ago.
- The debt/assets ratio for APA has been reduced compared to a year ago.
2.2 Solvency
- Based on the Altman-Z score of 1.46, we must say that APA is in the distress zone and has some risk of bankruptcy.
- With a Altman-Z score value of 1.46, APA perfoms like the industry average, outperforming 53.62% of the companies in the same industry.
- The Debt to FCF ratio of APA is 0.94, which is an excellent value as it means it would take APA, only 0.94 years of fcf income to pay off all of its debts.
- APA has a Debt to FCF ratio of 0.94. This is amongst the best in the industry. APA outperforms 88.41% of its industry peers.
- A Debt/Equity ratio of 0.72 indicates that APA is somewhat dependend on debt financing.
- APA has a Debt to Equity ratio of 0.72. This is in the lower half of the industry: APA underperforms 62.80% of its industry peers.
- Even though the debt/equity ratio score it not favorable for APA, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.72 | ||
| Debt/FCF | 0.94 | ||
| Altman-Z | 1.46 |
ROIC/WACC1.71
WACC8.35%
2.3 Liquidity
- APA has a Current Ratio of 0.78. This is a bad value and indicates that APA is not financially healthy enough and could expect problems in meeting its short term obligations.
- APA has a Current ratio of 0.78. This is in the lower half of the industry: APA underperforms 69.08% of its industry peers.
- A Quick Ratio of 0.63 indicates that APA may have some problems paying its short term obligations.
- Looking at the Quick ratio, with a value of 0.63, APA is doing worse than 68.60% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.78 | ||
| Quick Ratio | 0.63 |
3. Growth
3.1 Past
- APA shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -10.98%.
- The Earnings Per Share has been growing by 245758.95% on average over the past years. This is a very strong growth
- Looking at the last year, APA shows a small growth in Revenue. The Revenue has grown by 4.88% in the last year.
- The Revenue has been growing by 8.45% on average over the past years. This is quite good.
EPS 1Y (TTM)-10.98%
EPS 3Y-1.22%
EPS 5Y245758.95%
EPS Q2Q%-7%
Revenue 1Y (TTM)4.88%
Revenue growth 3Y6.84%
Revenue growth 5Y8.45%
Sales Q2Q%2.77%
3.2 Future
- The Earnings Per Share is expected to grow by 7.84% on average over the next years.
- Based on estimates for the next years, APA will show a small growth in Revenue. The Revenue will grow by 0.39% on average per year.
EPS Next Y-4.02%
EPS Next 2Y-16.43%
EPS Next 3Y-7.52%
EPS Next 5Y7.84%
Revenue Next Year1.63%
Revenue Next 2Y-8.89%
Revenue Next 3Y-4.19%
Revenue Next 5Y0.39%
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 decreasing.
- The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 7.24, the valuation of APA can be described as very cheap.
- Compared to the rest of the industry, the Price/Earnings ratio of APA indicates a rather cheap valuation: APA is cheaper than 88.89% of the companies listed in the same industry.
- The average S&P500 Price/Earnings ratio is at 28.30. APA is valued rather cheaply when compared to this.
- APA is valuated reasonably with a Price/Forward Earnings ratio of 10.11.
- APA's Price/Forward Earnings ratio is rather cheap when compared to the industry. APA is cheaper than 83.09% of the companies in the same industry.
- APA is valuated cheaply when we compare the Price/Forward Earnings ratio to 25.57, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.24 | ||
| Fwd PE | 10.11 |
4.2 Price Multiples
- 95.65% of the companies in the same industry are more expensive than APA, based on the Enterprise Value to EBITDA ratio.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of APA indicates a rather cheap valuation: APA is cheaper than 98.55% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 1.97 | ||
| EV/EBITDA | 2.49 |
4.3 Compensation for Growth
- The decent profitability rating of APA may justify a higher PE ratio.
- APA's earnings are expected to decrease with -7.52% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)0
EPS Next 2Y-16.43%
EPS Next 3Y-7.52%
5. Dividend
5.1 Amount
- APA has a Yearly Dividend Yield of 3.91%.
- Compared to an average industry Dividend Yield of 3.73, APA pays a bit more dividend than its industry peers.
- Compared to an average S&P500 Dividend Yield of 1.82, APA pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.91% |
5.2 History
- The dividend of APA has a limited annual growth rate of 1.06%.
- APA has been paying a dividend for at least 10 years, so it has a reliable track record.
- APA has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)1.06%
Div Incr Years0
Div Non Decr Years3
5.3 Sustainability
- APA pays out 24.12% of its income as dividend. This is a sustainable payout ratio.
- The dividend of APA is growing, but earnings are growing more, so the dividend growth is sustainable.
DP24.12%
EPS Next 2Y-16.43%
EPS Next 3Y-7.52%
APA CORP / APA FAQ
Can you provide the ChartMill fundamental rating for APA CORP?
ChartMill assigns a fundamental rating of 6 / 10 to APA.
What is the valuation status for APA stock?
ChartMill assigns a valuation rating of 8 / 10 to APA CORP (APA). This can be considered as Undervalued.
Can you provide the profitability details for APA CORP?
APA CORP (APA) has a profitability rating of 7 / 10.
What is the valuation of APA CORP based on its PE and PB ratios?
The Price/Earnings (PE) ratio for APA CORP (APA) is 7.24 and the Price/Book (PB) ratio is 1.57.
Can you provide the expected EPS growth for APA stock?
The Earnings per Share (EPS) of APA CORP (APA) is expected to decline by -4.02% in the next year.