Bernstein Maintains Cautious Optimism on APA Amid Volatile Oil Outlook

APA Corporation (NASDAQ:APA) is included among the 14 Best Mid-Cap Dividend Stocks to Buy Now.

On January 5, Bernstein analyst Bob Brackett slightly lowered his price target on APA Corporation (NASDAQ:APA) to $25 from $26, while keeping a Market Perform rating. Bernstein said it’s entering 2026 with a fairly balanced view on oil prices, expecting some near-term volatility and choppy trading, but remaining more optimistic about the longer-term setup.

APA last posted its Q3 2025 earnings results in November, when CEO John Christmann said the macro environment continued to be challenging. He pointed to the unusually high level of volatility and uncertainty in commodity prices, driven largely by shifting trade policy and ongoing geopolitical tensions. Even so, Christmann said APA has made steady progress by cutting controllable spending, leading to lasting improvements in its cost structure. In his view, the company’s strategy is working, and the benefits are becoming more visible across both its day-to-day operations and its financial performance.

Looking ahead, Christmann noted that APA is raising its Permian oil production guidance for Q4, while holding capital spending steady. The company is also making a modest upward adjustment to its Q4 production outlook in Egypt. On the cost side, APA is targeting another $50 million to $100 million in run-rate savings by the end of 2026.

APA Corporation (NASDAQ:APA) is an independent energy company with oil and gas production in the United States, Egypt, and the United Kingdom, along with offshore exploration exposure in Suriname.

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