APA (APA) closed at $28.26 in the latest trading session, marking a +2.95% move from the prior day. This change outpaced the S&P 500's 0.01% loss on the day. At the same time, the Dow lost 0.13%, and the tech-heavy Nasdaq lost 0.16%.
Heading into today, shares of the oil and natural gas producer had gained 6.73% over the past month, lagging the Oils-Energy sector's gain of 13.82% and outpacing the S&P 500's loss of 0.28%.
Market participants will be closely following the financial results of APA in its upcoming release. The company plans to announce its earnings on February 25, 2026. The company is predicted to post an EPS of $0.62, indicating a 21.52% decline compared to the equivalent quarter last year. At the same time, our most recent consensus estimate is projecting a revenue of $1.92 billion, reflecting a 23.24% fall from the equivalent quarter last year.
APA's full-year Zacks Consensus Estimates are calling for earnings of $3.48 per share and revenue of $8.84 billion. These results would represent year-over-year changes of -7.69% and -9.19%, respectively.
Investors should also note any recent changes to analyst estimates for APA. Such recent modifications usually signify the changing landscape of near-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the business operations and its ability to generate profits.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 13.18% downward. As of now, APA holds a Zacks Rank of #4 (Sell).
With respect to valuation, APA is currently being traded at a Forward P/E ratio of 13.17. For comparison, its industry has an average Forward P/E of 13.69, which means APA is trading at a discount to the group.
Meanwhile, APA's PEG ratio is currently 12.55. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The average PEG ratio for the Oil and Gas - Exploration and Production - United States industry stood at 1.57 at the close of the market yesterday.
The Oil and Gas - Exploration and Production - United States industry is part of the Oils-Energy sector. This industry, currently bearing a Zacks Industry Rank of 233, finds itself in the bottom 5% echelons of all 250+ industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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APA Corporation (APA): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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