ARC Resources (TSE:ARX) Downgraded by CIBC World Markets to “Neutral”

ARC Resources (TSE:ARX) was downgraded by CIBC World Markets from an “outperform” rating to a “neutral” rating in a research note issued to investors on Monday,BayStreet.CA reports. They presently have a C$25.50 target price on the oil and gas exploration company’s stock, down from their previous target price of C$27.50. CIBC World Markets’ price target would suggest a potential upside of 10.10% from the company’s previous close.

A number of other brokerages also recently commented on ARX. UBS Group downgraded ARC Resources from a “strong-buy” rating to a “hold” rating in a research report on Friday, December 12th. Jefferies Financial Group decreased their price target on ARC Resources from C$28.00 to C$27.00 in a research note on Tuesday, January 20th. Raymond James Financial cut shares of ARC Resources from an “outperform” rating to a “market perform” rating and dropped their price objective for the company from C$31.00 to C$28.00 in a report on Monday. Scotiabank lowered their target price 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, Canadian Imperial Bank of Commerce reduced their price objective on shares of 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, five have given a Buy rating and seven have issued a Hold rating to the stock. According to MarketBeat, the company presently has an average rating of “Moderate Buy” and a consensus target price of C$29.21.

ARC Resources Price Performance

Shares of TSE:ARX traded up C$0.33 during midday trading on Monday, hitting C$23.16. The company’s stock had a trading volume of 4,305,571 shares, compared to its average volume of 4,543,331. The company has a market cap of C$13.33 billion, a P/E ratio of 9.86, a price-to-earnings-growth ratio of 0.29 and a beta of 0.00. ARC Resources has a 12-month low of C$21.14 and a 12-month high of C$31.56. The business’s 50 day simple moving average is C$25.18 and its 200 day simple moving average is C$25.60. The company has a debt-to-equity ratio of 30.05, a quick ratio of 0.42 and a current ratio of 1.14.

ARC Resources (TSE:ARX) last released 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 net margin of 20.95% and a return on equity of 14.60%. On average, analysts forecast that ARC Resources will post 2.7255139 EPS 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.