Range Resources (NYSE:RRC) - Share price, News & Analysis

RRC fundamental analysis
Snowflake Score
Valuation	2/6
Future Growth	4/6
Past Performance	0/6
Financial Health	2/6
Dividends	2/6

RRC Stock Overview

Range Resources Corporation operates as an independent natural gas, natural gas liquids (NGLs), and oil company in the United States.

Rewards

Trading at 43.7% below our estimate of its fair value

Earnings are forecast to grow 37.31% per year

Risk Analysis

Significant insider selling over the past 3 months

Range Resources Competitors

EOG Resources

NYSE:EOG

US$72.8b

Pioneer Natural Resources

NYSE:PXD

US$63.4b

Devon Energy

NYSE:DVN

US$45.4b

Hess

NYSE:HES

US$35.4b

Price History & Performance

Summary of all time highs, changes and price drops for Range Resources
Historical stock prices
Current Share Price	US$27.08
52 Week High	US$34.61
52 Week Low	US$12.37
Beta	2
1 Month Change	-16.39%
3 Month Change	32.23%
1 Year Change	107.67%
3 Year Change	209.13%
5 Year Change	5.99%
Change since IPO	687.70%

Recent News & Updates

Apr 30

Range Resources: FCFs Will Support Buyback And Deleveraging

Range Resources released its Q1-2022 result. The company reported a net loss due to derivative fair-value loss. Net-debt-to-EBITDAX stands at 1.6x and will decrease on par with debt. Range Resources announced a buyback worth $500 million.

Apr 22

Are Investors Undervaluing Range Resources Corporation (NYSE:RRC) By 35%?

Does the April share price for Range Resources Corporation ( NYSE:RRC ) reflect what it's really worth? Today, we will...

Shareholder Returns

	RRC	US Oil and Gas	US Market
7D	-11.3%	-3.5%	-2.5%
1Y	107.7%	47.7%	-10.4%

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

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

Price Volatility

Is RRC's price volatile compared to industry and market?
RRC volatility
RRC Average Weekly Movement	8.8%
Oil and Gas Industry Average Movement	8.5%
Market Average Movement	7.8%
10% most volatile stocks in US Market	16.7%
10% least volatile stocks in US Market	2.8%

Stable Share Price: RRC is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 9% a week.

Volatility Over Time: RRC's weekly volatility (9%) has been stable over the past year.

About the Company

Founded	Employees	CEO	Website
1976	527	Jeff Ventura	https://www.rangeresources.com

Range Resources Corporation operates as an independent natural gas, natural gas liquids (NGLs), and oil company in the United States. The company engages in the exploration, development, and acquisition of natural gas and oil properties. As of December 31, 2021, the company owned and operated 1,350 net producing wells and approximately 794,000 net acres under lease located in the Appalachian region of the northeastern United States.

Range Resources Fundamentals Summary

How do Range Resources's earnings and revenue compare to its market cap?
RRC fundamental statistics
Market Cap	US$6.74b
Earnings (TTM)	-US$82.30m
Revenue (TTM)	US$4.02b

1.7x

P/S Ratio

-81.9x

P/E Ratio

Is RRC overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
RRC income statement (TTM)
Revenue	US$4.02b
Cost of Revenue	US$1.69b
Gross Profit	US$2.32b
Other Expenses	US$2.41b
Earnings	-US$82.30m

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)	-0.33
Gross Margin	57.88%
Net Profit Margin	-2.05%
Debt/Equity Ratio	161.2%

How did RRC perform over the long term?

See historical performance and comparison

Dividends

1.2%

Current Dividend Yield

n/a

Payout Ratio

Valuation

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

Valuation Score

2/6

Valuation Score 2/6

Below Fair Value
Significantly Below Fair Value
PE vs Industry
PE vs Market
PEG Ratio
PB vs Industry

43.7%

Undervalued compared to fair value

Share Price vs. Fair Value

Below Fair Value: RRC ($27.08) is trading below our estimate of fair value ($48.13)

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

Price To Earnings Ratio

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

PE vs Market: RRC 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 RRC's PEG Ratio to determine if it is good value.

Price to Book Ratio

PB vs Industry: RRC is overvalued based on its PB Ratio (4.2x) compared to the US Oil and Gas industry average (2x).

Future Growth

How is Range Resources forecast to perform in the next 1 to 3 years based on estimates from 18 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

37.3%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts

Analyst Future Growth Forecasts

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

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

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

Revenue vs Market: RRC's revenue is expected to decline over the next 3 years (-0.7% per year).

High Growth Revenue: RRC's revenue is forecast to decline over the next 3 years (-0.7% per year).

Earnings per Share Growth Forecasts

Future Return on Equity

Future ROE: RRC's Return on Equity is forecast to be high in 3 years time (31.2%)

Past Performance

How has Range 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

-15.8%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: RRC is currently unprofitable.

Growing Profit Margin: RRC is currently unprofitable.

Past Earnings Growth Analysis

Earnings Trend: RRC is unprofitable, and losses have increased over the past 5 years at a rate of 15.8% per year.

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

Earnings vs Industry: RRC 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: RRC has a negative Return on Equity (-4.51%), as it is currently unprofitable.

Financial Health

How is Range Resources's financial position?

Financial Health Score

2/6

Financial Health Score 2/6

Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Stable Cash Runway
Forecast Cash Runway

Financial Position Analysis

Short Term Liabilities: RRC's short term assets ($575.8M) do not cover its short term liabilities ($2.3B).

Long Term Liabilities: RRC's short term assets ($575.8M) do not cover its long term liabilities ($2.6B).

Debt to Equity History and Analysis

Debt Level: RRC's net debt to equity ratio (154.1%) is considered high.

Reducing Debt: RRC's debt to equity ratio has increased from 67% to 161.2% 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 RRC has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: RRC is unprofitable but has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 38.5% per year.

Dividend

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

Dividend Score

2/6

Dividend Score 2/6

Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Future Dividend Coverage

1.18%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: RRC's dividend (1.18%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.54%).

High Dividend: RRC's dividend (1.18%) is low compared to the top 25% of dividend payers in the US market (4.05%).

Stability and Growth of Payments

Stable Dividend: RRC's dividend payments have been volatile in the past 10 years.

Growing Dividend: RRC's dividend payments have increased over the past 10 years.

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: With its low cash payout ratio (11.7%), RRC's dividend payments are thoroughly covered by cash flows.

Next Steps

Explore strong dividend paying companies in the Energy industry.

Management

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

12.7yrs

Average management tenure

CEO

Jeff Ventura (63 yo)

14yrs

Tenure

US$7,542,954

Compensation

Mr. Jeffrey L. Ventura, also known as Jeff, has been the Chief Executive Officer of Range Resources Corporation since January 1, 2012 and has been its President since May 20, 2008. He is Chief Executive Of...

CEO Compensation Analysis

Compensation vs Market: Jeff's total compensation ($USD7.54M) is about average for companies of similar size in the US market ($USD8.23M).

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

Leadership Team

Experienced Management: RRC's management team is seasoned and experienced (12.7 years average tenure).

Board Members

Experienced Board: RRC's board of directors are considered experienced (6.7 years average tenure).

Ownership

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

Insider Trading Volume

Insider Buying: RRC 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.

Data	Last Updated (UTC time)
Company Analysis	2022/05/15 00:00
End of Day Share Price	2022/05/13 00:00
Earnings	2022/03/31
Annual Earnings	2021/12/31