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AR

Antero Resources NYSE:AR Stock Report

Last Price

US$32.28

Market Cap

US$10.0b

7D

-12.7%

1Y

172.6%

Updated

15 May, 2022

Data

Company Financials +
AR fundamental analysis
Snowflake Score
Valuation3/6
Future Growth4/6
Past Performance0/6
Financial Health4/6
Dividends0/6

AR Stock Overview

Antero Resources Corporation, an independent oil and natural gas company, acquires, explores for, develops, and produces natural gas, natural gas liquids, and oil properties in the United States.

Antero Resources Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Antero Resources
Historical stock prices
Current Share PriceUS$32.28
52 Week HighUS$39.24
52 Week LowUS$10.91
Beta3.74
1 Month Change-8.50%
3 Month Change60.28%
1 Year Change172.64%
3 Year Change323.62%
5 Year Change45.14%
Change since IPO-37.94%

Recent News & Updates

May 03

Antero Has Massive Inflation Beating Resources

We are bombarded with news about cost price inflation and the Fed's coming attempts to stifle it. Antero Resources, AR, gives us other ways to beat that inflation - by outflating it with investment in AR shares. In the 2 years since I bought into AR, my investment is up over 1,300%. US inflation is up around 8.5%. I see many reasons why AR will be up another 75% by year-end. The FOMC forecast for US year-end inflation is 4.3%. One reason being Europe's natural gas prices recently hitting a high equivalent to oil prices at $600 per barrel.

Shareholder Returns

ARUS Oil and GasUS Market
7D-12.7%-3.5%-2.5%
1Y172.6%47.7%-10.4%

Return vs Industry: AR exceeded the US Oil and Gas industry which returned 47.7% over the past year.

Return vs Market: AR exceeded the US Market which returned -10.4% over the past year.

Price Volatility

Is AR's price volatile compared to industry and market?
AR volatility
AR Average Weekly Movement7.7%
Oil and Gas Industry Average Movement8.5%
Market Average Movement7.8%
10% most volatile stocks in US Market16.7%
10% least volatile stocks in US Market2.8%

Stable Share Price: AR is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 8% a week.

Volatility Over Time: AR's weekly volatility (8%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
2002519Paul Radyhttps://www.anteroresources.com

Antero Resources Corporation, an independent oil and natural gas company, acquires, explores for, develops, and produces natural gas, natural gas liquids, and oil properties in the United States. As of December 31, 2021, it had approximately 502,000 net acres in the Appalachian Basin; and 174,000 net acres in the Upper Devonian Shale. The company also owned and operated 494 miles of gas gathering pipelines in the Appalachian Basin; and 21 compressor stations.

Antero Resources Fundamentals Summary

How do Antero Resources's earnings and revenue compare to its market cap?
AR fundamental statistics
Market CapUS$10.04b
Earnings (TTM)-US$327.82m
Revenue (TTM)US$6.93b

1.4x

P/S Ratio

-30.6x

P/E Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
AR income statement (TTM)
RevenueUS$6.93b
Cost of RevenueUS$2.03b
Gross ProfitUS$4.90b
Other ExpensesUS$5.23b
Earnings-US$327.82m

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)-1.05
Gross Margin70.75%
Net Profit Margin-4.73%
Debt/Equity Ratio34.2%

How did AR perform over the long term?

See historical performance and comparison

Valuation

Is Antero Resources undervalued compared to its fair value and its price relative to the market?

Valuation Score

3/6

Valuation Score 3/6

  • Below Fair Value

  • Significantly Below Fair Value

  • PE vs Industry

  • PE vs Market

  • PEG Ratio

  • PB vs Industry


22.3%

Undervalued compared to fair value

Share Price vs. Fair Value

Below Fair Value: AR ($32.28) is trading below our estimate of fair value ($41.57)

Significantly Below Fair Value: AR is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: AR is unprofitable, so we can't compare its PE Ratio to the US Oil and Gas industry average.

PE vs Market: AR is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate AR's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: AR is good value based on its PB Ratio (1.8x) compared to the US Oil and Gas industry average (2x).


Future Growth

How is Antero Resources forecast to perform in the next 1 to 3 years based on estimates from 7 analysts?

Future Growth Score

4/6

Future Growth Score 4/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


12.2%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: AR is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (1.9%).

Earnings vs Market: AR is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: AR's is expected to become profitable in the next 3 years.

Revenue vs Market: AR's revenue is expected to decline over the next 3 years (-2.4% per year).

High Growth Revenue: AR's revenue is forecast to decline over the next 3 years (-2.4% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: AR's Return on Equity is forecast to be high in 3 years time (25%)


Past Performance

How has Antero Resources performed over the past 5 years?

Past Performance Score

0/6

Past Performance Score 0/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


-37.0%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: AR is currently unprofitable.

Growing Profit Margin: AR is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: AR is unprofitable, and losses have increased over the past 5 years at a rate of 37% per year.

Accelerating Growth: Unable to compare AR's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: AR is unprofitable, making it difficult to compare its past year earnings growth to the Oil and Gas industry (86.4%).


Return on Equity

High ROE: AR has a negative Return on Equity (-5.55%), as it is currently unprofitable.


Financial Health

How is Antero Resources's financial position?

Financial Health Score

4/6

Financial Health Score 4/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Stable Cash Runway

  • Forecast Cash Runway

Financial Position Analysis

Short Term Liabilities: AR's short term assets ($724.8M) do not cover its short term liabilities ($2.6B).

Long Term Liabilities: AR's short term assets ($724.8M) do not cover its long term liabilities ($5.5B).


Debt to Equity History and Analysis

Debt Level: AR's net debt to equity ratio (34.1%) is considered satisfactory.

Reducing Debt: AR's debt to equity ratio has reduced from 57.9% to 34.2% over the past 5 years.


Balance Sheet


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: Whilst unprofitable AR has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: AR is unprofitable but has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 53.7% per year.


Dividend

What is Antero Resources's current dividend yield, its reliability and sustainability?

Dividend Score

0/6

Dividend Score 0/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Future Dividend Coverage


1.18%

Forecast Dividend Yield

Dividend Yield vs Market

Notable Dividend: Unable to evaluate AR's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate AR's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if AR's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if AR's dividend payments have been increasing.


Earnings Payout to Shareholders

Earnings Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: Unable to calculate sustainability of dividends as AR has not reported any payouts.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

3.9yrs

Average management tenure


CEO

Paul Rady (67 yo)

19.92yrs

Tenure

US$6,456,142

Compensation

Mr. Paul M. Rady serves as Chief Executive Officer of TEP Rocky Mountain LLC. He serves as Chief Executive Officer and Chairman at Antero Midstream Corporation since March 2019 and its Director since 2019....


CEO Compensation Analysis

Compensation vs Market: Paul's total compensation ($USD6.46M) is below average for companies of similar size in the US market ($USD13.26M).

Compensation vs Earnings: Paul's compensation has increased whilst the company is unprofitable.


Leadership Team

Experienced Management: AR's management team is considered experienced (3.9 years average tenure).


Board Members

Experienced Board: AR's board of directors are considered experienced (5.6 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: AR insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Antero Resources Corporation's employee growth, exchange listings and data sources


Key Information

  • Name: Antero Resources Corporation
  • Ticker: AR
  • Exchange: NYSE
  • Founded: 2002
  • Industry: Oil and Gas Exploration and Production
  • Sector: Energy
  • Implied Market Cap: US$10.042b
  • Shares outstanding: 311.09m
  • Website: https://www.anteroresources.com

Number of Employees


Location

  • Antero Resources Corporation
  • 1615 Wynkoop Street
  • Denver
  • Colorado
  • 80202
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/05/15 00:00
End of Day Share Price2022/05/13 00:00
Earnings2022/03/31
Annual Earnings2021/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.