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Antero Resources Corp AR

Morningstar Rating
$34.28 +0.34 (1.00%)
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Company Report

Finding Undervalued Opportunities From AI and Data Center Demand in E&Ps and Midstream

We think AI and data center demand offers a potentially sizable growth opportunity across our US E&P and US & Canadian midstream coverage list. We consider Chart Industries, Energy Transfer, Enbridge, Kinder Morgan, and TC Energy as undervalued ways to play this trend. Cheniere Energy and Williams are more fairly valued, while Antero, Range, and likely EQT (not covered) are obvious direct opportunities and appear expensive.

Price vs Fair Value

AR is trading at a 322% premium.
Price
$33.97
Fair Value
$63.00
Uncertainty
High
1-Star Price
$42.14
5-Star Price
$75.00
Economic Moat
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Capital Allocation
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Bulls Say, Bears Say

Bulls

Antero's midstream contracts give it priority access to LNG export markets, enabling it to benefit from soaring overseas demand for US natural gas.

Bears

Antero's margins are weakened by above-average unit costs, especially in the next couple of years as it faces elevated marketing costs.

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News

Trading Information

Previous Close Price
$33.94
Day Range
$33.7034.41
52-Week Range
$19.9234.99
Bid/Ask
$34.28 / $34.29
Market Cap
$10.65 Bil
Volume/Avg
1.7 Mil / 4.9 Mil

Key Statistics

Price/Earnings (Normalized)
347.14
Price/Sales
2.57
Dividend Yield (Trailing)
Dividend Yield (Forward)
Total Yield

Company Profile

Antero Resources Corp, based in Denver, engages in the exploration for and production of natural gas and natural gas liquids in the United States and Canada. At the end of 2023, the company reported proven reserves of 18.1 trillion cubic feet of natural gas equivalent. Production averaged approximately 3,483 million cubic feet of equivalent a day in 2023 at a ratio of 35% liquids and 65% natural gas.
Sector
Energy
Industry
Oil & Gas E&P
Stock Style Box
Mid Value
Total Number of Employees
604

Competitors

Valuation

Metric
AR
OXY
DVN
Price/Earnings (Normalized)
347.1419.499.23
Price/Book Value
1.492.482.59
Price/Sales
2.572.232.12
Price/Cash Flow
11.585.504.83
Price/Earnings
AR
OXY
DVN

Financial Strength

Metric
AR
OXY
DVN
Quick Ratio
0.260.520.83
Current Ratio
0.290.951.07
Interest Coverage
2.256.6113.38
Quick Ratio
AR
OXY
DVN

Profitability

Metric
AR
OXY
DVN
Return on Assets (Normalized)
1.37%4.28%14.30%
Return on Equity (Normalized)
2.70%14.61%29.77%
Return on Invested Capital (Normalized)
2.46%7.35%20.25%
Return on Assets
AR
OXY
DVN
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Oil & Gas E&P Industry Comparables

Ticker
Name
Morningstar Rating for Stocks
Capital Allocation
Economic Moat
Market Cap
COP
ConocoPhillipsBtxjdqwcvNmtgr$141.6 Bil
EOG
EOG Resources IncMrwrnsdtdGcnlfg$74.4 Bil
OXY
Occidental Petroleum CorpHtpsjxcmNpt$55.9 Bil
HES
Hess CorpPkkqkmknkDmbnbv$48.8 Bil
FANG
Diamondback Energy IncXlghmgjrpTdksfpz$35.3 Bil
DVN
Devon Energy CorpZrywcyzydnRlzjnh$31.5 Bil
MRO
Marathon Oil CorpLjlkxkmjcBssb$15.0 Bil
APA
APA CorpZxspmhlDwgm$11.2 Bil
RRC
Range Resources CorpVjvvdhdkSyc$8.9 Bil

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