ARCHROCK INC (AROC) Stock Fundamental Analysis

USA • New York Stock Exchange • NYSE:AROC • US03957W1062

30.74 USD
+0.75 (+2.5%)
At close: Feb 5, 2026
30.75 USD
+0.01 (+0.03%)
After Hours: 2/5/2026, 7:10:23 PM
Fundamental Rating

6

We assign a fundamental rating of 6 out of 10 to AROC. AROC was compared to 61 industry peers in the Energy Equipment & Services industry. While AROC has a great profitability rating, there are quite some concerns on its financial health. AROC is not overvalued while it is showing excellent growth. This is an interesting combination. Finally AROC also has an excellent dividend rating.


Dividend Valuation Growth Profitability Health

8

1. Profitability

1.1 Basic Checks

  • In the past year AROC was profitable.
  • AROC had a positive operating cash flow in the past year.
  • AROC had positive earnings in 4 of the past 5 years.
  • AROC had a positive operating cash flow in each of the past 5 years.
AROC Yearly Net Income VS EBIT VS OCF VS FCFAROC Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 100M 200M 300M 400M

1.2 Ratios

  • The Return On Assets of AROC (5.95%) is better than 73.77% of its industry peers.
  • With an excellent Return On Equity value of 18.43%, AROC belongs to the best of the industry, outperforming 91.80% of the companies in the same industry.
  • AROC's Return On Invested Capital of 9.15% is fine compared to the rest of the industry. AROC outperforms 72.13% of its industry peers.
  • The Average Return On Invested Capital over the past 3 years for AROC is significantly below the industry average of 12.88%.
  • The 3 year average ROIC (6.45%) for AROC is below the current ROIC(9.15%), indicating increased profibility in the last year.
Industry RankSector Rank
ROA 5.95%
ROE 18.43%
ROIC 9.15%
ROA(3y)3.33%
ROA(5y)1.7%
ROE(3y)9.89%
ROE(5y)5.05%
ROIC(3y)6.45%
ROIC(5y)5.83%
AROC Yearly ROA, ROE, ROICAROC Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 5 -5 10

1.3 Margins

  • The Profit Margin of AROC (18.22%) is better than 96.72% of its industry peers.
  • AROC's Profit Margin has improved in the last couple of years.
  • AROC has a better Operating Margin (36.11%) than 100.00% of its industry peers.
  • In the last couple of years the Operating Margin of AROC has grown nicely.
  • With an excellent Gross Margin value of 64.00%, AROC belongs to the best of the industry, outperforming 96.72% of the companies in the same industry.
  • AROC's Gross Margin has improved in the last couple of years.
Industry RankSector Rank
OM 36.11%
PM (TTM) 18.22%
GM 64%
OM growth 3Y20.43%
OM growth 5Y8.34%
PM growth 3Y61.88%
PM growth 5Y8.11%
GM growth 3Y3.75%
GM growth 5Y2.75%
AROC Yearly Profit, Operating, Gross MarginsAROC Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 20 40 60

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ROAROEROICOperating and Profit MarginShow most profitable peers

2

2. Health

2.1 Basic Checks

  • With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), AROC is creating some value.
  • The number of shares outstanding for AROC has been increased compared to 1 year ago.
  • The number of shares outstanding for AROC has been increased compared to 5 years ago.
  • Compared to 1 year ago, AROC has an improved debt to assets ratio.
AROC Yearly Shares OutstandingAROC Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 50M 100M 150M
AROC Yearly Total Debt VS Total AssetsAROC Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 1B 2B 3B

2.2 Solvency

  • Based on the Altman-Z score of 1.06, we must say that AROC is in the distress zone and has some risk of bankruptcy.
  • Looking at the Altman-Z score, with a value of 1.06, AROC is doing worse than 72.13% of the companies in the same industry.
  • The Debt to FCF ratio of AROC is 132.56, which is on the high side as it means it would take AROC, 132.56 years of fcf income to pay off all of its debts.
  • The Debt to FCF ratio of AROC (132.56) is worse than 63.93% of its industry peers.
  • AROC has a Debt/Equity ratio of 1.80. This is a high value indicating a heavy dependency on external financing.
  • Looking at the Debt to Equity ratio, with a value of 1.80, AROC is doing worse than 83.61% of the companies in the same industry.
Industry RankSector Rank
Debt/Equity 1.8
Debt/FCF 132.56
Altman-Z 1.06
ROIC/WACC1.08
WACC8.46%
AROC Yearly LT Debt VS Equity VS FCFAROC Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 500M 1B 1.5B 2B

2.3 Liquidity

  • A Current Ratio of 1.56 indicates that AROC should not have too much problems paying its short term obligations.
  • Looking at the Current ratio, with a value of 1.56, AROC is doing worse than 68.85% of the companies in the same industry.
  • AROC has a Quick Ratio of 1.01. This is a normal value and indicates that AROC is financially healthy and should not expect problems in meeting its short term obligations.
  • With a Quick ratio value of 1.01, AROC is not doing good in the industry: 72.13% of the companies in the same industry are doing better.
Industry RankSector Rank
Current Ratio 1.56
Quick Ratio 1.01
AROC Yearly Current Assets VS Current LiabilitesAROC Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 50M 100M 150M 200M 250M

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

7

3. Growth

3.1 Past

  • The Earnings Per Share has grown by an impressive 67.39% over the past year.
  • The Earnings Per Share has been growing slightly by 5.59% on average over the past years.
  • Looking at the last year, AROC shows a very strong growth in Revenue. The Revenue has grown by 31.94%.
  • The Revenue has been growing slightly by 3.70% on average over the past years.
EPS 1Y (TTM)67.39%
EPS 3Y76.8%
EPS 5Y5.59%
EPS Q2Q%81.82%
Revenue 1Y (TTM)31.94%
Revenue growth 3Y13.99%
Revenue growth 5Y3.7%
Sales Q2Q%30.9%

3.2 Future

  • The Earnings Per Share is expected to grow by 22.67% on average over the next years. This is a very strong growth
  • AROC is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 10.34% yearly.
EPS Next Y52.03%
EPS Next 2Y35.15%
EPS Next 3Y27.39%
EPS Next 5Y22.67%
Revenue Next Year28.35%
Revenue Next 2Y16.99%
Revenue Next 3Y13.09%
Revenue Next 5Y10.34%

3.3 Evolution

  • The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
  • The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
AROC Yearly Revenue VS EstimatesAROC Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 500M 1B 1.5B 2B 2.5B
AROC Yearly EPS VS EstimatesAROC Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 0 1 2 3

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Find the best growth stocksShow best growing peers

5

4. Valuation

4.1 Price/Earnings Ratio

  • The Price/Earnings ratio is 19.96, which indicates a rather expensive current valuation of AROC.
  • Based on the Price/Earnings ratio, AROC is valued a bit cheaper than 77.05% of the companies in the same industry.
  • The average S&P500 Price/Earnings ratio is at 27.67. AROC is valued slightly cheaper when compared to this.
  • The Price/Forward Earnings ratio is 16.03, which indicates a correct valuation of AROC.
  • AROC's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. AROC is cheaper than 78.69% of the companies in the same industry.
  • Compared to an average S&P500 Price/Forward Earnings ratio of 27.20, AROC is valued a bit cheaper.
Industry RankSector Rank
PE 19.96
Fwd PE 16.03
AROC Price Earnings VS Forward Price EarningsAROC Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 20 40 60

4.2 Price Multiples

  • Based on the Enterprise Value to EBITDA ratio, AROC is valued a bit more expensive than 68.85% of the companies in the same industry.
  • Compared to the rest of the industry, the Price/Free Cash Flow ratio of AROC indicates a slightly more expensive valuation: AROC is more expensive than 63.93% of the companies listed in the same industry.
Industry RankSector Rank
P/FCF 279.15
EV/EBITDA 10.24
AROC Per share dataAROC EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 2 4 6 8

4.3 Compensation for Growth

  • The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
  • AROC has an outstanding profitability rating, which may justify a higher PE ratio.
  • AROC's earnings are expected to grow with 27.39% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.38
PEG (5Y)3.57
EPS Next 2Y35.15%
EPS Next 3Y27.39%

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Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

7

5. Dividend

5.1 Amount

  • AROC has a Yearly Dividend Yield of 3.02%.
  • Compared to an average industry Dividend Yield of 1.13, AROC pays a better dividend. On top of this AROC pays more dividend than 88.52% of the companies listed in the same industry.
  • Compared to an average S&P500 Dividend Yield of 1.82, AROC pays a better dividend.
Industry RankSector Rank
Dividend Yield 3.02%

5.2 History

  • The dividend of AROC has a limited annual growth rate of 3.62%.
  • AROC has been paying a dividend for at least 10 years, so it has a reliable track record.
  • AROC has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)3.62%
Div Incr Years2
Div Non Decr Years7
AROC Yearly Dividends per shareAROC Yearly Dividends per shareYearly Dividends per share 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0.2 0.4 0.6

5.3 Sustainability

  • 51.65% of the earnings are spent on dividend by AROC. This is a bit on the high side, but may be sustainable.
  • AROC's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP51.65%
EPS Next 2Y35.15%
EPS Next 3Y27.39%
AROC Yearly Income VS Free CF VS DividendAROC Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 50M -50M 100M 150M
AROC Dividend Payout.AROC Dividend Payout, showing the Payout Ratio.AROC Dividend Payout.PayoutRetained Earnings

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ARCHROCK INC

NYSE:AROC (2/5/2026, 7:10:23 PM)

After market: 30.75 +0.01 (+0.03%)

30.74

+0.75 (+2.5%)

Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryEnergy Equipment & Services
Earnings (Last)10-28
Earnings (Next)02-24
Inst Owners98.99%
Inst Owner Change0%
Ins Owners2.7%
Ins Owner Change-0.47%
Market Cap5.39B
Revenue(TTM)1.44B
Net Income(TTM)262.17M
Analysts84
Price Target32.07 (4.33%)
Short Float %5.28%
Short Ratio6
Dividend
Industry RankSector Rank
Dividend Yield 3.02%
Yearly Dividend0.67
Dividend Growth(5Y)3.62%
DP51.65%
Div Incr Years2
Div Non Decr Years7
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)0.24%
Min EPS beat(2)-2.77%
Max EPS beat(2)3.25%
EPS beat(4)3
Avg EPS beat(4)3.98%
Min EPS beat(4)-2.77%
Max EPS beat(4)10.45%
EPS beat(8)4
Avg EPS beat(8)-0.17%
EPS beat(12)7
Avg EPS beat(12)0.72%
EPS beat(16)9
Avg EPS beat(16)11.11%
Revenue beat(2)1
Avg Revenue beat(2)0.73%
Min Revenue beat(2)-0.88%
Max Revenue beat(2)2.33%
Revenue beat(4)1
Avg Revenue beat(4)-0.62%
Min Revenue beat(4)-3.21%
Max Revenue beat(4)2.33%
Revenue beat(8)4
Avg Revenue beat(8)-0.39%
Revenue beat(12)6
Avg Revenue beat(12)-0.47%
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)2.17%
EPS NQ rev (1m)-0.7%
EPS NQ rev (3m)0.53%
EPS NY rev (1m)-0.53%
EPS NY rev (3m)0.32%
Revenue NQ rev (1m)-0.12%
Revenue NQ rev (3m)-0.52%
Revenue NY rev (1m)0.07%
Revenue NY rev (3m)0.13%
Valuation
Industry RankSector Rank
PE 19.96
Fwd PE 16.03
P/S 3.75
P/FCF 279.15
P/OCF 10.13
P/B 3.79
P/tB 4.69
EV/EBITDA 10.24
EPS(TTM)1.54
EY5.01%
EPS(NY)1.92
Fwd EY6.24%
FCF(TTM)0.11
FCFY0.36%
OCF(TTM)3.03
OCFY9.87%
SpS8.21
BVpS8.11
TBVpS6.56
PEG (NY)0.38
PEG (5Y)3.57
Graham Number16.76
Profitability
Industry RankSector Rank
ROA 5.95%
ROE 18.43%
ROCE 12.37%
ROIC 9.15%
ROICexc 9.16%
ROICexgc 9.79%
OM 36.11%
PM (TTM) 18.22%
GM 64%
FCFM 1.34%
ROA(3y)3.33%
ROA(5y)1.7%
ROE(3y)9.89%
ROE(5y)5.05%
ROIC(3y)6.45%
ROIC(5y)5.83%
ROICexc(3y)6.45%
ROICexc(5y)5.83%
ROICexgc(3y)6.61%
ROICexgc(5y)5.97%
ROCE(3y)8.72%
ROCE(5y)7.88%
ROICexgc growth 3Y21.54%
ROICexgc growth 5Y7.48%
ROICexc growth 3Y20.63%
ROICexc growth 5Y7.9%
OM growth 3Y20.43%
OM growth 5Y8.34%
PM growth 3Y61.88%
PM growth 5Y8.11%
GM growth 3Y3.75%
GM growth 5Y2.75%
F-Score9
Asset Turnover0.33
Health
Industry RankSector Rank
Debt/Equity 1.8
Debt/FCF 132.56
Debt/EBITDA 3.36
Cap/Depr 210.77%
Cap/Sales 35.62%
Interest Coverage 250
Cash Conversion 69.73%
Profit Quality 7.37%
Current Ratio 1.56
Quick Ratio 1.01
Altman-Z 1.06
F-Score9
WACC8.46%
ROIC/WACC1.08
Cap/Depr(3y)170.5%
Cap/Depr(5y)127.77%
Cap/Sales(3y)29.85%
Cap/Sales(5y)23.62%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)67.39%
EPS 3Y76.8%
EPS 5Y5.59%
EPS Q2Q%81.82%
EPS Next Y52.03%
EPS Next 2Y35.15%
EPS Next 3Y27.39%
EPS Next 5Y22.67%
Revenue 1Y (TTM)31.94%
Revenue growth 3Y13.99%
Revenue growth 5Y3.7%
Sales Q2Q%30.9%
Revenue Next Year28.35%
Revenue Next 2Y16.99%
Revenue Next 3Y13.09%
Revenue Next 5Y10.34%
EBIT growth 1Y57.38%
EBIT growth 3Y37.29%
EBIT growth 5Y12.34%
EBIT Next Year125.97%
EBIT Next 3Y36.38%
EBIT Next 5Y24.24%
FCF growth 1Y134.97%
FCF growth 3Y-20.33%
FCF growth 5YN/A
OCF growth 1Y93.03%
OCF growth 3Y21.86%
OCF growth 5Y8.17%

ARCHROCK INC / AROC FAQ

What is the fundamental rating for AROC stock?

ChartMill assigns a fundamental rating of 6 / 10 to AROC.


What is the valuation status of ARCHROCK INC (AROC) stock?

ChartMill assigns a valuation rating of 5 / 10 to ARCHROCK INC (AROC). This can be considered as Fairly Valued.


What is the profitability of AROC stock?

ARCHROCK INC (AROC) has a profitability rating of 8 / 10.


Can you provide the PE and PB ratios for AROC stock?

The Price/Earnings (PE) ratio for ARCHROCK INC (AROC) is 19.96 and the Price/Book (PB) ratio is 3.79.


How sustainable is the dividend of ARCHROCK INC (AROC) stock?

The dividend rating of ARCHROCK INC (AROC) is 7 / 10 and the dividend payout ratio is 51.65%.