Antero Resources (AR) Gains But Lags Market: What You Should Know
Antero Resources (AR) closed at $29.40 in the latest trading session, marking a +1.03% move from the prior day. The stock lagged the S&P 500's daily gain of 1.89%. Meanwhile, the Dow gained 1%, and the Nasdaq, a tech-heavy index, added 10%.
Prior to today's trading, shares of the oil and natural gas producer had lost 10.6% over the past month. This has lagged the Oils-Energy sector's gain of 5.98% and the S&P 500's gain of 2.3% in that time.
Wall Street will be looking for positivity from Antero Resources as it approaches its next earnings report date. This is expected to be February 15, 2023. In that report, analysts expect Antero Resources to post earnings of $1.15 per share. This would mark year-over-year growth of 150%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $1.69 billion, down 29.37% from the year-ago period.
Any recent changes to analyst estimates for Antero Resources should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 17.22% lower within the past month. Antero Resources is currently a Zacks Rank #5 (Strong Sell).
Valuation is also important, so investors should note that Antero Resources has a Forward P/E ratio of 4.63 right now. For comparison, its industry has an average Forward P/E of 5.23, which means Antero Resources is trading at a discount to the group.
The Oil and Gas - Exploration and Production - United States industry is part of the Oils-Energy sector. This industry currently has a Zacks Industry Rank of 233, which puts it in the bottom 8% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
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