Core Viewpoint - APA is experiencing a mixed performance in the market, with a recent increase in stock price but facing significant declines in expected earnings and revenue for the upcoming quarter and full year [1][2][3]. Company Performance - APA closed at $28.26, marking a +2.95% increase from the previous day, outperforming the S&P 500, which saw a loss of 0.01% [1]. - Over the past month, APA shares have gained 6.73%, which is below the Oils-Energy sector's gain of 13.82% but better than the S&P 500's loss of 0.28% [1]. Earnings Forecast - The upcoming earnings release on February 25, 2026, is expected to show an EPS of $0.62, reflecting a 21.52% decline year-over-year [2]. - Revenue is projected at $1.92 billion, indicating a 23.24% decrease compared to the same quarter last year [2]. - Full-year estimates predict earnings of $3.48 per share and revenue of $8.84 billion, representing year-over-year declines of -7.69% and -9.19%, respectively [3]. Analyst Estimates - Recent changes in analyst estimates for APA indicate a downward revision of 13.18% in the Zacks Consensus EPS estimate over the past month, leading to a Zacks Rank of 4 (Sell) [6]. - Upward revisions in estimates typically suggest positive sentiment regarding the company's business operations and profit generation capabilities [4]. Valuation Metrics - APA's Forward P/E ratio is currently 13.17, which is lower than the industry average of 13.69, suggesting that APA is trading at a discount compared to its peers [7]. - The PEG ratio for APA stands at 12.55, significantly higher than the industry average PEG ratio of 1.57, indicating a potential overvaluation based on projected earnings growth [8]. Industry Context - The Oil and Gas - Exploration and Production - United States industry, which includes APA, is currently ranked 233 out of over 250 industries, placing it in the bottom 5% [9]. - Historical data shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1, highlighting the challenges faced by companies in this sector [9].

Core Insights - APA Corp. has been a strong performer in the Oil & Gas industry since April 2025, showcasing significant total returns [1] Company Analysis - The company is noted for its strong fundamentals and good cash flows, making it an attractive investment opportunity [1] - The focus is on long-term value investing, with a particular interest in undervalued companies that have been overlooked by the market [1] Industry Context - The Oil & Gas sector is highlighted as a key area of interest, with potential for substantial returns despite being unloved by investors [1] - The article emphasizes the importance of understanding the businesses being invested in, steering clear of high-tech and certain consumer goods sectors [1]

Core Insights - APA Corp. has been one of the strongest performers in the Oil & Gas industry since April 2025, showcasing significant total returns [1] Company Analysis - The company is noted for its strong fundamentals and good cash flows, making it an attractive investment opportunity [1] - The focus is on long-term value investing, with a particular interest in undervalued companies that have been overlooked by the market [1] Industry Context - The Oil & Gas sector is highlighted as a key area of interest, with potential for substantial returns despite being unloved by investors [1] - The article emphasizes the importance of understanding the businesses being invested in, steering clear of high-tech and certain consumer goods sectors [1]

Core Insights - APA Corporation (NASDAQ:APA) is recognized for having one of the lowest forward PE ratios among stocks, indicating potential value [1] - RBC Capital has raised its price target for APA Corporation to $26 from $25, maintaining a Sector Perform rating, citing improved operational stability and results [1] - The company has exceeded its cost reduction expectations, achieving $300 million in realized savings year-to-date and projecting ongoing savings of $350 million by the end of fiscal 2025 [2] Company Overview - APA Corporation is an independent energy company engaged in oil and gas production in the United States, Egypt, and the United Kingdom, with offshore exploration activities in Suriname [3] Future Catalysts - RBC Capital has identified several future catalysts for APA Corporation, including a planned Permian inventory and an economic report expected during the fourth quarter 2025 earnings call, which is anticipated to be positively received by the market [2]

Company Overview - APA Corporation is an independent energy producer focused on natural gas, oil, and natural gas liquids, headquartered in Houston, Texas, with a market cap of approximately $9.4 billion [1] Stock Performance - Over the past 52 weeks, APA Corporation's shares increased by 14.9%, outperforming the S&P 500 Index, which gained 14.3% [2] - Year-to-date, APA's stock rose nearly 8%, while the S&P 500 Index only increased by 1.4%, indicating consistent outperformance [2] - In comparison to the State Street Energy Select Sector SPDR ETF (XLE), which rose 13.2% over the last year, APA's stock showed stronger performance [3] Recent Developments - On January 21, APA shares experienced a nearly 4.7% increase following the release of supplemental Q4 2025 operational and financial details [4] - In Egypt, the company averaged 34 MBoe/d in tax barrels, with dry-hole costs reaching $20 million pre-tax, while oil and gas transactions generated a pre-tax net profit of $193 million [5] Operational Adjustments - U.S. operations faced challenges due to weak Waha pricing, leading APA to reduce output by 91 MMcf/d of natural gas and 7,600 barrels per day of natural gas liquids, reflecting disciplined capital management [6] Earnings Outlook - Analysts project a diluted EPS of $3.48 for fiscal year 2025, representing a 7.7% year-over-year decline, although APA has beaten EPS estimates in three of the past four quarters [7]

Group 1 - RBC Capital raised the price target on APA Corp. to $26 from $25 while maintaining a Sector Perform rating on the shares [1] - The company has shown improved performance over the last few quarters, which is expected to continue [1] - Investor sentiment remains mixed, but the investment case is strengthened due to de-risking of quarterly performance and increased operational consistency [1] Group 2 - Several forward catalysts are identified that may positively impact the company's performance [1]

APA Corporation (NASDAQ:APA) is included among the 14 Best Mid-Cap Dividend Stocks to Buy Now. Bernstein Maintains Cautious Optimism on APA Amid Volatile Oil Outlook On January 5, Bernstein analyst Bob Brackett slightly lowered his price target on APA Corporation (NASDAQ:APA) to $25 from $26, while keeping a Market Perform rating. Bernstein said it’s entering 2026 with a fairly balanced view on oil prices, expecting some near-term volatility and choppy trading, but remaining more optimistic about the lon ...

Core Viewpoint - APA Corporation's stock experienced a decline of 3.9% following a price target reduction by JPMorgan Chase & Co. from $26.00 to $25.00, maintaining a neutral rating on the stock [2] Analyst Ratings - Johnson Rice upgraded APA from a "hold" to an "accumulate" rating, raising the price target from $35.00 to $40.00 [3] - William Blair initiated coverage with an "outperform" rating and a target price of $32.00 [3] - Jefferies Financial Group increased its price target from $21.00 to $22.00 while maintaining a "hold" rating [3] - Weiss Ratings reaffirmed a "hold (c)" rating [3] - Scotiabank raised its target price from $22.00 to $26.00 with a "sector perform" rating [3] - The average rating for APA is "Hold" with a target price of $26.39, based on ratings from six buy, sixteen hold, and five sell ratings [3] Institutional Investor Activity - Howard Capital Management Inc. increased its stake by 0.5%, owning 94,848 shares valued at $2.3 million [4] - one8zero8 LLC grew its holdings by 1.2%, now owning 42,254 shares worth $1.026 million [4] - Arizona State Retirement System raised its position by 0.5%, owning 106,734 shares valued at $2.592 million [4] - Steward Partners Investment Advisory LLC lifted its holdings by 19.6%, now owning 3,349 shares valued at $61,000 [4] - O Keefe Stevens Advisory Inc. boosted its position by 1.9%, owning 30,093 shares worth $736,000 [4] - Institutional investors and hedge funds collectively own 83.01% of APA's stock [4] Stock Performance - The stock's 50-day moving average is $25.04, and the 200-day moving average is $23.04 [6] - The company has a market capitalization of $9.06 billion, a price-to-earnings ratio of 6.14, and a debt-to-equity ratio of 0.62 [6] Earnings Report - APA reported an EPS of $0.93, exceeding the consensus estimate of $0.74 by $0.19 [7] - The company had a net margin of 15.49% and a return on equity of 19.86% [7] - Revenue for the quarter was $2.12 billion, surpassing expectations of $2.06 billion, but down 16.4% year-over-year [7] - Analysts forecast an EPS of 4.03 for the current year [7] Dividend Announcement - APA declared a quarterly dividend of $0.25 per share, with an annualized dividend of $1.00 and a yield of 3.9% [8] - The payout ratio stands at 24.04% [8] Company Overview - APA Corporation is an independent exploration and production company focused on oil and natural gas resources, operating primarily in the United States, Egypt, and the North Sea [9] - The largest position in the U.S. is in the Permian Basin of West Texas and southeastern New Mexico, emphasizing oil-focused drilling and production [10]

Group 1 - Barclays downgraded Apache Corporation (APA.US) and Consol Energy (CNX.US) from "hold" to "sell," setting target prices at $24 and $34 respectively [1] - Despite the downgrade, both stocks saw increases of 4.69% and 1.75% due to an overall rise in the energy sector [1] - Analyst Betty Jiang noted that Apache serves as a typical case reflecting the trend of traditional asset valuations recovering while U.S. shale asset valuations decline [1] Group 2 - Jiang estimates that by 2026, the independent free cash flow yield in the Permian Basin will be only 3.8%, indicating a significant premium compared to larger U.S. pure shale oil companies [1] - Significant gains in natural gas marketing for Apache are expected to substantially decrease, primarily due to expanded takeaway capacity in the Permian Basin and weakening global LNG prices [1] - Consol Energy's stock price aligns closely with the unlevered free cash flow yield of natural gas exploration and production companies, despite its resource inventory having a notably shorter sustainable extraction timeline [2] Group 3 - Barclays restored Western Oil (OXY.US) to a "hold" rating following the successful divestiture by OxyChem, which aids in debt reduction [2] - Jiang expressed a positive outlook for several energy companies, particularly Ovintiv (OVV.US), which has successfully transitioned to focus on the Permian Basin and Montney shale [2] - Confidence in EQT Energy (EQT.US) is noted, highlighting the market's underappreciation of its structural growth potential and margin advantages through midstream business integration [2] - Viper Energy (VNOM.US) is viewed as a quality investment in the Permian Basin, currently at a low valuation [2]

Company Overview - APA Corporation is an independent upstream oil and gas company focused on the exploration, development, and production of hydrocarbons with a market cap of $9.1 billion, operating in the United States, Egypt, and the North Sea [1] Earnings Expectations - Analysts expect APA to report an adjusted EPS of $0.63 for the fourth quarter, which represents a 20.3% decrease from the $0.79 reported in the same quarter last year [2] - For FY2025, APA is projected to deliver earnings of $3.48 per share, down 7.7% from $3.77 in fiscal 2024, and a further decline of 34.5% year over year to $2.28 per share is expected in fiscal 2026 [3] Stock Performance - Over the past 52 weeks, APA stock prices have increased by 3.9%, outperforming the Energy Select Sector SPDR Fund's 1.3% rise but lagging behind the S&P 500 Index's 13.3% returns during the same period [4] - On January 15, APA shares declined by more than 2% due to a broader sell-off in the energy sector following a sharp drop of over 4% in WTI crude oil prices [5] Analyst Ratings - The consensus rating for APA stock is "Hold," with 30 analysts covering the stock, including five "Strong Buys," two "Moderate Buys," 19 "Holds," one "Moderate Sell," and three "Strong Sells" [6] - The mean price target for APA is $26.04, indicating a potential upside of 2.7% from current market prices [6]