JPMorgan Downgrades Range Resources to Underweight, Shares Fall 3%

Core Viewpoint - JPMorgan downgraded Range Resources from Neutral to Underweight and reduced its price target from $44 to $39 due to a less compelling relative valuation amid cautious NGL fundamentals [1] Company Analysis - Range Resources and Antero indicated that their premium pricing relative to Mont Belvieu benchmarks is expected to compress next year as Gulf Coast dock capacity expands [2] - Despite a favorable view of Range's management and operational performance, JPMorgan noted that the company's valuation is now at a premium compared to peers based on current strip pricing [3] Financial Metrics - JPMorgan estimated free cash flow yields for Range of 8.7% and 8.8% for 2026-27, compared to 9.5% and 9.8% for the broader E&P group and 11.0% and 11.3% for gas-focused producers [3]