| Factor | Score | Distribution | Value | Avg | Rank |
|---|---|---|---|---|---|
Valuation | 92 | 9.5x | 17.8x | Top tier | |
Growth | 53 | -12.2% | 7.1% | Around median | |
Quality | 67 | 2.9% | 4.5% | Top tier | |
Safety | 76 | 0.7x | 2.6x | Top tier | |
Capital Return | 82 | 2.24% | 2.12% | Top tier | |
Momentum | 98 | 66.6% | 2.9% | Top tier | |
Sentiment | 84 | 16 | 3 | Top tier |
Estimates — analyst targets and a simplified DCF, not investment advice.
Ten ratios that matter, each compared against its sector median and average — so you can see whether a number is rich or cheap relative to peers in the same sector.
APA Corporation is an oil and gas producer and resource developer, with its core operations focused on the Permian Basin and Egypt, alongside the GranMorgu project in Suriname and an exploration portfolio in Alaska and Uruguay. The company generates cash flow from oil and gas sales and from a gas marketing and transportation portfolio that it expects to generate approximately $950 million in pre-tax cash flow during fiscal 2026, including basis hedges. In Egypt, approximately half of gas production benefits from the amended pricing agreement, while the company aims to maintain Permian oil production at 123 thousand barrels per day during fiscal 2026 with a U.S. capital budget of $1.3 billion.
In fiscal Q2 2026, APA reported revenue of $2.4 billion, net income of $747 million, and diluted earnings per share of $2.11; after excluding an unrealized after-tax gain of $92 million related to basis hedges and other minor items, adjusted net income was $669 million and adjusted earnings per share were $1.89. The financial statements show gross profit of $26 million, equivalent to a gross margin of approximately 1.1% of revenue, while free cash flow totaled $738 million and the company returned $189 million to shareholders through dividends and share repurchases. During the first half of fiscal 2026, free cash flow exceeded $1.2 billion and APA repaid $752 million of notes.
On a trailing-twelve-month basis in 2026, revenue was $8.8 billion, gross profit was $3.4 billion, net income was $1.7 billion, and earnings per share were $4.73. By comparison, APA generated fiscal 2025 revenue of $8.9 billion, gross profit of $3.3 billion, net income of $1.4 billion, and earnings per share of $3.99. Its operating mix combines an established production base in the Permian and Egypt, gas marketing cash flows, and long-term growth projects led by GranMorgu, which is targeted to begin oil production in mid-2028.
The analyst consensus on APA is "Neutral," with an average price target of $43.45 and a wide range between $36 and $50; the average is approximately 4.8% below the 52-week range high of $45.66, while the highest target exceeds that high by approximately 9.5%. The 52-week range extends from $21.57 to $45.66, and no displayed price-to-earnings ratio is available despite earnings per share reaching $4.73 on a trailing-twelve-month basis in 2026; the valuation therefore balances improving cash flow and debt reduction on one hand against energy-price sensitivity and execution risks for 2027–2028 projects on the other.
Figures in the text are as of 2026-08-29; the live price is shown at the top of the page.
APA generated revenue of $2.4 billion and net income of $747 million, or $2.11 per diluted share, in fiscal Q2 2026. After excluding an unrealized after-tax gain of $92 million related to basis hedges and other minor items, adjusted net income was $669 million and adjusted earnings per share were $1.89. Free cash flow totaled $738 million, supported by production above guidance and lower capital spending and operating costs, alongside the contribution from higher oil prices.
The company raised U.S. oil production guidance from 120 thousand to 123 thousand barrels per day while maintaining the capital budget at $1.3 billion. It plans to operate four rigs in the second half of fiscal 2026, compared with an initial post-Callon-merger estimate of eight rigs and approximately $1.7 billion to maintain production of 120 thousand barrels per day. APA also aims to achieve Permian operating savings at a rate of $3.5 million per month by the end of fiscal 2026.
APA confirms that the GranMorgu project in Suriname is progressing on budget and on schedule toward first oil in mid-2028. Management believes the project will add high-margin oil production and free cash flow growth between 2028 and 2030, while the Permian and Egyptian assets maintain the production base. The partnership agreement with Total reduces the current capital burden by having the partner fund a significant portion of the project.
Automated analysis for informational purposes only — not investment advice.
APA repaid $752 million of notes in the first half of fiscal 2026, including $673 million in Q2, and net leverage reached 0.6 times. Management expects net debt to total $3.3 billion by the end of fiscal 2026 and to reach its $3 billion target in 2027 based on the price curve used in the call. At the same time, the company remains committed to returning at least 60% of free cash flow annually through dividends and share repurchases.
In Alaska, APA plans to drill the Hungry Horse appraisal well during 2027 to determine the extent of the Sockeye discovery and the Chinook exploration well targeting a larger independent structure, after the Savant Alaska acquisition added infrastructure including a 25-mile pipeline with capacity of 80 thousand barrels per day. Management estimated the cost of the two wells at approximately $100 to $120 million, in addition to approximately $20 million spent during fiscal 2026 on ice roads. In Uruguay, APA retains a 60% interest in Block 6 after ENI joined and plans a well in the second half of 2027 to test targets deeper than the Raya-1 well, with ENI bearing a significant portion of the well cost.
The $2.3 billion free cash flow estimate for fiscal 2026 depends on the energy-price curve used in the August 6, 2026 call, so results remain sensitive to declines in oil and gas prices. Operational risks include the deferral of some low-pressure Khafre gas volumes, the shift of the Block 58 well to 2027, and diesel and services inflation that reduced the impact of realized savings from approximately $475 million to around $425 million. Exploration in Uruguay also remains frontier in nature, and APA had not placed fiscal 2027 basis hedges as of the call date.
