ARC Resources (TSE:ARX) Stock Price Down 11.7% on Analyst Downgrade

ARC Resources Ltd. (TSE:ARX)’s share price was down 11.7% during trading on Friday after National Bankshares downgraded the stock from an outperform rating to a sector perform rating. National Bankshares now has a C$26.00 price target on the stock, down from their previous price target of C$27.00. ARC Resources traded as low as C$21.14 and last traded at C$22.43. Approximately 7,513,591 shares were traded during trading, an increase of 87% from the average daily volume of 4,012,499 shares. The stock had previously closed at C$25.40.

ARX has been the subject of several other reports. Jefferies Financial Group decreased their price objective on shares of ARC Resources from C$28.00 to C$27.00 in a research note on Tuesday, January 20th. Capital One Financial upgraded shares of ARC Resources to a “strong-buy” rating in a research report on Monday, October 27th. MKM Partners set a C$34.00 price target on ARC Resources and gave the stock a “buy” rating in a research report on Friday, December 19th. Scotiabank reduced their price objective on ARC Resources from C$30.00 to C$28.00 and set a “sector perform” rating for the company in a research note on Wednesday, January 21st. Finally, CIBC decreased their price objective on ARC Resources from C$34.00 to C$31.50 in a report on Wednesday, October 15th. Two investment analysts have rated the stock with a Strong Buy rating, seven have given a Buy rating and three have given a Hold rating to the stock. Based on data from MarketBeat, ARC Resources has a consensus rating of “Moderate Buy” and a consensus target price of C$31.96.

ARC Resources Price Performance

The stock has a market capitalization of C$13.10 billion, a price-to-earnings ratio of 9.58, a PEG ratio of 0.29 and a beta of 0.00. The company has a current ratio of 1.14, a quick ratio of 0.42 and a debt-to-equity ratio of 30.05. The stock has a 50-day moving average price of C$25.22 and a 200 day moving average price of C$25.64.

ARC Resources (TSE:ARX) last issued its quarterly earnings data on Thursday, February 5th. The oil and gas exploration company reported C$0.46 EPS for the quarter. ARC Resources had a return on equity of 14.60% and a net margin of 20.95%. As a group, equities research analysts expect that ARC Resources Ltd. will post 2.7255139 earnings per share for the current year.

ARC Resources Company Profile

ARC Resources is an independent energy company engaged in the acquisition, exploration, development, and production of conventional oil and natural gas in Western Canada. The company produces light, medium, and heavy crude, condensate, natural gas liquids, and natural gas. Production averaged 163.6 thousand barrels of oil equivalent per day in 2020, and the company estimates that it holds approximately 879 million boe of proven and probable crude oil and natural gas reserves.