ARX:CA:TSX-ARC Resources Ltd (CAD)

COMMON STOCK | Oil & Gas E&P | TSX

Last Closing Price

CAD 6.70

Change

-0.22 (-3.18)%

Market Cap

CAD 2.38B

Volume

1.86M

Average Target Price

CAD 8.54 (+27.40%)
Average Analyst Rating

Verdict

Fundamental Analysis

Verdict

About

ARC Resources Ltd., together with its subsidiaries, acquires, develops, and holds interest in petroleum and natural gas properties and assets in Canada. The company holds interests in the Montney properties located in northeast British Columbia and northern Alberta; and Cardium properties in the Pembina area of Alberta. As of December 31, 2019, it had proved plus probable reserves of 909.9 millions of barrels of oil equivalent. ARC Resources Ltd. was founded in 1996 and is headquartered in Calgary, Canada. Address: 308 - 4th Avenue South West, Calgary, AB, Canada, T2P 0H7

Technical Indicators

Unadjusted Closing Price

Adjusted Closing Price

Share Volume

Relative Performance (Total Returns)

Compare
Relative Returns (From:    To: 2021-01-21 )

Largest Industry Peers for Oil & Gas E&P

Symbol Name Price(Change) Market Cap Price / Earning Ratio EV/EBITDA
CNU:CA CNOOC Limited

-11.25 (-8.02%)

CAD56.75B 11.22 0.83
CNQ:CA Canadian Natural Resources Lim..

-0.38 (-1.21%)

CAD36.74B 695.33 10.22
OVV:CA Ovintiv Inc

-0.66 (-2.97%)

CAD5.60B 3.13 3.76
TOU:CA Tourmaline Oil Corp

-0.66 (-3.16%)

CAD5.51B 108.87 5.38
PXT:CA Parex Resources Inc

-0.18 (-0.86%)

CAD2.68B 22.67 5.95
PSK:CA PrairieSky Royalty Ltd

-0.34 (-3.01%)

CAD2.45B 60.58 14.99
WCP:CA Whitecap Resources Inc

-0.22 (-4.17%)

CAD2.37B 30.85 5.99
VII:CA Seven Generations Energy Ltd

-0.12 (-1.73%)

CAD2.25B 1.96 14.01
CPG:CA Crescent Point Energy Corp

-0.08 (-1.97%)

CAD2.10B N/A 3.06
MEG:CA MEG Energy Corp

+0.04 (+0.79%)

CAD1.51B 29.00 18.05

ETFs Containing ARX:CA

Symbol Name Weight Mer Price(Change) Market Cap
XEG:CA iShares S&P/TSX Cappe.. 0.00 % 0.55 %

-0.10 (-1.57%)

CAD0.90B

Market Performance

  Market Performance vs.
Industry/Classification (Oil & Gas E&P)
Market Performance vs. Exchange
  Value Sector Median Percentile Rank Grade Market Median Percentile Rank Grade
YTD  
Capital Gain 11.67% 35% F 87% B+
Dividend Return N/A N/A N/A N/A N/A
Total Return 11.67% 35% F 87% B+
Trailing 12 Months  
Capital Gain -9.46% 67% D+ 23% F
Dividend Return 2.70% 47% F 64% D
Total Return -6.76% 70% C- 24% F
Trailing 5 Years  
Capital Gain -62.42% 47% F 8% F
Dividend Return 14.86% 27% F 47% F
Total Return -47.56% 53% F 10% F
Average Annual (5 Year Horizon)  
Capital Gain -25.45% 43% F 4% F
Dividend Return 3.98% 90% A- 85% B
Total Return -21.46% 46% F 5% F
Risk Return Profile  
Volatility (Standard Deviation) 18.99% 94% A 40% F
Risk Adjusted Return -113.05% 17% F 2% F
Market Capitalization 2.38B 90% A- 83% B
Letter Grade Percentage Letter Grade Percentage Letter Grade Percentage
A+ 97%-100% A 93%-96% A- 90%-92%
B+ 97%-89% B 83%-86% B- 80%-82%
C+ 77%-79% C 73%-76% C- 70%-72%
D+ 67%-69% D 63%-66% D- 60%-62%
F 0%-59%

Key Financial Ratios

  Ratio vs. Industry/Classification
(Oil & Gas E&P)
Ratio vs. Market
  Value Sector Median Percentile Rank Grade Market Median Percentile Rank Grade
Market Value  
Price / Earning Ratio 17.30 45% F 42% F
Price/Book Ratio 0.85 36% F 78% C+
Price / Cash Flow Ratio 3.72 25% F 67% D+
EV/EBITDA 7.59 36% F 69% D+
Management Effectiveness  
Return on Equity -21.91% 62% D- 22% F
Return on Invested Capital 3.31% 68% D+ 47% F
Return on Assets -1.13% 63% D 35% F
Debt to Equity Ratio 21.18% 85% B 75% C
Technical Ratios  
Short Ratio 9.56 18% F 7% F
Short Percent N/A N/A N/A N/A N/A
Beta 1.80 80% B- 17% F
Letter Grade Percentage Letter Grade Percentage Letter Grade Percentage
A+ 97%-100% A 93%-96% A- 90%-92%
B+ 97%-89% B 83%-86% B- 80%-82%
C+ 77%-79% C 73%-76% C- 70%-72%
D+ 67%-69% D 63%-66% D- 60%-62%
F 0%-59%

Annual Financials (CAD)

Quarterly Financials (CAD)

Analyst Rating

Target Price Action Rating Action Analyst Rating Price Date

Fundamental Analysis Breakdown

This is a composite scorecard based on the application of evaluation criteria deemed most important by analysts. This is not a buy or sell recommendation.

What to like:
High market capitalization

This is one of the largest entities in its sector and is among the top quartile. Such companies tend to be more stable.

Low volatility

The stock’s annual returns have been stable and consistent compared to its sector peers(for a hold period of at least 12 months) and is in the top quartile. Although stability is good, also keep in mind it can limit returns.

Superior total returns

The stock has outperformed its sector peers on average annual total returns basis in the past 5 years (for a hold period of at least 12 months) and is in the top quartile.

Low debt

The company is less leveraged than its peers ,, and is among the top quartile, which makes it more flexible. However, do check the news and look at its sector. Sometimes this is low because the company is not growing and has no growth potential.

Positive cash flow

The company had positive total cash flow in the most recent four quarters.

Positive free cash flow

The company had positive total free cash flow in the most recent four quarters.

What to not like:
Poor risk adjusted returns

This company is delivering below median risk adjusted returns in its peers. Even if it is outperforming on returns , the returns are unpredictable. Proceed with caution.

Below median dividend returns

The company’s average income yield over the past 5 years has been low compared to its peers. However, it is not a problem if you are not looking for income.

Overpriced compared to earnings

The stock is trading high compared to its peers on a price to earning basis and is above the sector median.

Overpriced compared to book value

The stock is trading high compared to its peers median on a price to book value basis.

Overpriced on cashflow basis

The stock is trading high compared to its peers on a price to cash flow basis. It is priced above the median for its sectors. Proceed with caution if you are considering to buy.

Low Earnings Growth

This stock has shown below median earnings growth in the previous 5 years compared to its sector

Low Revenue Growth

This stock has shown below median revenue growth in the previous 5 years compared to its sector