Last Updated: 19 Sep 2024
Executive Summary
Range Resources Corp. (RRC) is a leading independent natural gas, NGL, and petroleum company in the United States. The company has a strong financial position with a market capitalization of $7.15 billion, EBITDA of $1.13 billion, and a trailing P/E ratio of 14.84. Range Resources has a history of paying dividends and is currently yielding 1.08%. The company's shares are trading at a discount to their analyst target price of $36.10.
Company Overview
Range Resources is headquartered in Fort Worth, Texas, and has operations in the Appalachian Basin, Gulf Coast, and Permian Basin. The company's primary focus is on the development and production of natural gas, but it also produces NGLs and petroleum. Range Resources has a strong track record of operational excellence and has consistently increased its production volumes over the past several years.
Fundamental Analysis
Range Resources' financial performance has been strong in recent quarters. The company's revenue has grown by 0% year-over-year to $2.33 billion, and its diluted EPS has increased by 1.99% to $1.99. Range Resources' profitability metrics are also strong, with a gross profit margin of 20.6% and an operating margin of 9.78%. The company's return on assets and return on equity are also healthy at 6.73% and 13.3%, respectively.
Technical Analysis
Range Resources' stock price has been trending lower in recent months. The stock is currently trading at $29.99, which is below its 50-day and 200-day moving averages. The stock's relative strength index (RSI) is also below 50, indicating that it is oversold.
Short Term Outlook
In the short term, Range Resources' stock price is likely to continue to trade lower. The stock is facing headwinds from the recent decline in natural gas prices. However, the company's strong financial position and operational excellence should provide some support to the stock price.
Long Term Outlook
In the long term, Range Resources' stock price is likely to recover. The company has a strong asset base and is well-positioned to benefit from the growing demand for natural gas. The company's dividend yield is also attractive, which should provide some support to the stock price over the long term.
Analyst Recommendations
Analysts are mixed on Range Resources' stock. Two analysts have a "Strong Buy" rating on the stock, three analysts have a "Buy" rating, 15 analysts have a "Hold" rating, five analysts have a "Sell" rating, and zero analysts have a "Strong Sell" rating. The average analyst target price is $36.10.
