ANTERO RESOURCES CORP (AR) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:AR - US03674X1063 - Common Stock
32.86 USD
+0.57 (+1.77%)
32.77 USD
-0.09 (-0.27%)
We assign a fundamental rating of 4 out of 10 to AR. AR was compared to 208 industry peers in the Oil, Gas & Consumable Fuels industry. There are concerns on the financial health of AR while its profitability can be described as average. AR has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year AR was profitable.
In the past year AR had a positive cash flow from operations.
In multiple years AR reported negative net income over the last 5 years.
In the past 5 years AR always reported a positive cash flow from operatings.
1.2 Ratios
AR has a Return On Assets of 4.24%. This is in the better half of the industry: AR outperforms 60.10% of its industry peers.
With a Return On Equity value of 7.46%, AR perfoms like the industry average, outperforming 49.52% of the companies in the same industry.
AR's Return On Invested Capital of 4.84% is in line compared to the rest of the industry. AR outperforms 42.79% of its industry peers.
The Average Return On Invested Capital over the past 3 years for AR is significantly below the industry average of 21.28%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.24% | ||
| ROE | 7.46% | ||
| ROIC | 4.84% |
ROA(3y)5.12%
ROA(5y)0.87%
ROE(3y)10.6%
ROE(5y)1.31%
ROIC(3y)7.38%
ROIC(5y)N/A
1.3 Margins
With a decent Profit Margin value of 10.88%, AR is doing good in the industry, outperforming 60.58% of the companies in the same industry.
AR has a Operating Margin (13.47%) which is comparable to the rest of the industry.
AR's Operating Margin has declined in the last couple of years.
Looking at the Gross Margin, with a value of 71.08%, AR belongs to the top of the industry, outperforming 81.25% of the companies in the same industry.
In the last couple of years the Gross Margin of AR has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 13.47% | ||
| PM (TTM) | 10.88% | ||
| GM | 71.08% |
OM growth 3Y-21.28%
OM growth 5Y-30.85%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-1.22%
GM growth 5Y9.09%
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 more shares outstanding
AR has a worse debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 1.73, we must say that AR is in the distress zone and has some risk of bankruptcy.
AR has a Altman-Z score of 1.73. This is in the better half of the industry: AR outperforms 62.98% of its industry peers.
The Debt to FCF ratio of AR is 1.66, which is an excellent value as it means it would take AR, only 1.66 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of AR (1.66) is better than 86.06% of its industry peers.
AR has a Debt/Equity ratio of 0.18. This is a healthy value indicating a solid balance between debt and equity.
With a decent Debt to Equity ratio value of 0.18, AR is doing good in the industry, outperforming 74.52% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.18 | ||
| Debt/FCF | 1.66 | ||
| Altman-Z | 1.73 |
ROIC/WACC0.57
WACC8.52%
2.3 Liquidity
A Current Ratio of 0.31 indicates that AR may have some problems paying its short term obligations.
With a Current ratio value of 0.31, AR is not doing good in the industry: 89.42% of the companies in the same industry are doing better.
A Quick Ratio of 0.31 indicates that AR may have some problems paying its short term obligations.
AR has a Quick ratio of 0.31. This is amonst the worse of the industry: AR underperforms 88.94% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.31 | ||
| Quick Ratio | 0.31 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 18700.00% over the past year.
The earnings per share for AR have been decreasing by -37.61% on average. This is quite bad
The Revenue has grown by 15.67% in the past year. This is quite good.
Measured over the past years, AR shows a decrease in Revenue. The Revenue has been decreasing by -0.38% on average per year.
EPS 1Y (TTM)18700%
EPS 3Y-37.61%
EPS 5YN/A
EPS Q2Q%225%
Revenue 1Y (TTM)15.67%
Revenue growth 3Y-2.17%
Revenue growth 5Y-0.38%
Sales Q2Q%15.72%
3.2 Future
AR is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 44.92% yearly.
AR is expected to show a strong growth in Revenue. In the coming years, the Revenue will grow by 43.58% yearly.
EPS Next Y448.16%
EPS Next 2Y241.48%
EPS Next 3Y140.34%
EPS Next 5Y44.92%
Revenue Next Year21.23%
Revenue Next 2Y20.83%
Revenue Next 3Y15.59%
Revenue Next 5Y43.58%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
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
A Price/Earnings ratio of 17.67 indicates a rather expensive valuation of AR.
AR's Price/Earnings is on the same level as the industry average.
When comparing the Price/Earnings ratio of AR to the average of the S&P500 Index (26.92), we can say AR is valued slightly cheaper.
The Price/Forward Earnings ratio is 8.29, which indicates a very decent valuation of AR.
Based on the Price/Forward Earnings ratio, AR is valued cheaper than 83.65% of the companies in the same industry.
AR's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 23.57.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.67 | ||
| Fwd PE | 8.29 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as AR.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of AR indicates a somewhat cheap valuation: AR is cheaper than 67.31% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.8 | ||
| EV/EBITDA | 7.67 |
4.3 Compensation for Growth
AR's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
AR's earnings are expected to grow with 140.34% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.04
PEG (5Y)N/A
EPS Next 2Y241.48%
EPS Next 3Y140.34%
5. Dividend
5.1 Amount
No dividends for AR!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
32.86
+0.57 (+1.77%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners87.75%
Inst Owner Change0%
Ins Owners6.44%
Ins Owner Change0.01%
Market Cap10.14B
Revenue(TTM)5.03B
Net Income(TTM)547.74M
Analysts82.67
Price Target46.75 (42.27%)
Short Float %4.56%
Short Ratio2.63
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-34.09%
Min EPS beat(2)-45.15%
Max EPS beat(2)-23.03%
EPS beat(4)1
Avg EPS beat(4)1.27%
Min EPS beat(4)-45.15%
Max EPS beat(4)82.98%
EPS beat(8)3
Avg EPS beat(8)-5.09%
EPS beat(12)6
Avg EPS beat(12)2.98%
EPS beat(16)7
Avg EPS beat(16)-1.67%
Revenue beat(2)0
Avg Revenue beat(2)-3.23%
Min Revenue beat(2)-3.5%
Max Revenue beat(2)-2.96%
Revenue beat(4)0
Avg Revenue beat(4)-3.78%
Min Revenue beat(4)-5.41%
Max Revenue beat(4)-2.96%
Revenue beat(8)1
Avg Revenue beat(8)-2.06%
Revenue beat(12)4
Avg Revenue beat(12)1.78%
Revenue beat(16)7
Avg Revenue beat(16)3.89%
PT rev (1m)6.72%
PT rev (3m)1.6%
EPS NQ rev (1m)-4.06%
EPS NQ rev (3m)-41.64%
EPS NY rev (1m)-1.07%
EPS NY rev (3m)-29.45%
Revenue NQ rev (1m)4.74%
Revenue NQ rev (3m)-3.61%
Revenue NY rev (1m)1.23%
Revenue NY rev (3m)-2.31%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.67 | ||
| Fwd PE | 8.29 | ||
| P/S | 2.01 | ||
| P/FCF | 12.8 | ||
| P/OCF | 6.59 | ||
| P/B | 1.38 | ||
| P/tB | 1.38 | ||
| EV/EBITDA | 7.67 |
EPS(TTM)1.86
EY5.66%
EPS(NY)3.96
Fwd EY12.07%
FCF(TTM)2.57
FCFY7.81%
OCF(TTM)4.99
OCFY15.17%
SpS16.31
BVpS23.81
TBVpS23.81
PEG (NY)0.04
PEG (5Y)N/A
Graham Number31.57
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.24% | ||
| ROE | 7.46% | ||
| ROCE | 5.88% | ||
| ROIC | 4.84% | ||
| ROICexc | 4.84% | ||
| ROICexgc | 4.84% | ||
| OM | 13.47% | ||
| PM (TTM) | 10.88% | ||
| GM | 71.08% | ||
| FCFM | 15.74% |
ROA(3y)5.12%
ROA(5y)0.87%
ROE(3y)10.6%
ROE(5y)1.31%
ROIC(3y)7.38%
ROIC(5y)N/A
ROICexc(3y)7.38%
ROICexc(5y)N/A
ROICexgc(3y)7.38%
ROICexgc(5y)N/A
ROCE(3y)8.96%
ROCE(5y)N/A
ROICexgc growth 3Y-22.4%
ROICexgc growth 5Y-28.27%
ROICexc growth 3Y-22.4%
ROICexc growth 5Y-28.27%
OM growth 3Y-21.28%
OM growth 5Y-30.85%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-1.22%
GM growth 5Y9.09%
F-Score8
Asset Turnover0.39
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.18 | ||
| Debt/FCF | 1.66 | ||
| Debt/EBITDA | 0.88 | ||
| Cap/Depr | 91.5% | ||
| Cap/Sales | 14.83% | ||
| Interest Coverage | 7.37 | ||
| Cash Conversion | 103% | ||
| Profit Quality | 144.59% | ||
| Current Ratio | 0.31 | ||
| Quick Ratio | 0.31 | ||
| Altman-Z | 1.73 |
F-Score8
WACC8.52%
ROIC/WACC0.57
Cap/Depr(3y)131.55%
Cap/Depr(5y)118.34%
Cap/Sales(3y)17.99%
Cap/Sales(5y)18.9%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)18700%
EPS 3Y-37.61%
EPS 5YN/A
EPS Q2Q%225%
EPS Next Y448.16%
EPS Next 2Y241.48%
EPS Next 3Y140.34%
EPS Next 5Y44.92%
Revenue 1Y (TTM)15.67%
Revenue growth 3Y-2.17%
Revenue growth 5Y-0.38%
Sales Q2Q%15.72%
Revenue Next Year21.23%
Revenue Next 2Y20.83%
Revenue Next 3Y15.59%
Revenue Next 5Y43.58%
EBIT growth 1Y310.18%
EBIT growth 3Y-22.98%
EBIT growth 5Y-31.11%
EBIT Next Year903.53%
EBIT Next 3Y145.01%
EBIT Next 5Y56.83%
FCF growth 1Y3328.46%
FCF growth 3Y-48.03%
FCF growth 5YN/A
OCF growth 1Y32.87%
OCF growth 3Y-20.02%
OCF growth 5Y11.91%
ANTERO RESOURCES CORP / AR FAQ
What is the ChartMill fundamental rating of ANTERO RESOURCES CORP (AR) stock?
ChartMill assigns a fundamental rating of 4 / 10 to AR.
What is the valuation status of ANTERO RESOURCES CORP (AR) stock?
ChartMill assigns a valuation rating of 6 / 10 to ANTERO RESOURCES CORP (AR). This can be considered as Fairly Valued.
How profitable is ANTERO RESOURCES CORP (AR) stock?
ANTERO RESOURCES CORP (AR) has a profitability rating of 5 / 10.
What is the valuation of ANTERO RESOURCES CORP based on its PE and PB ratios?
The Price/Earnings (PE) ratio for ANTERO RESOURCES CORP (AR) is 17.67 and the Price/Book (PB) ratio is 1.38.
What is the financial health of ANTERO RESOURCES CORP (AR) stock?
The financial health rating of ANTERO RESOURCES CORP (AR) is 3 / 10.