ARC Resources (TSE:ARX) Hits New 12-Month High – Should You Buy?

ARC Resources Ltd. (TSE:ARX)’s stock price reached a new 52-week high on Wednesday . The stock traded as high as C$32.40 and last traded at C$32.33, with a volume of 2161443 shares traded. The stock had previously closed at C$32.00.

Analyst Upgrades and Downgrades

ARX has been the subject of several research analyst reports. Scotiabank upgraded ARC Resources to a “hold” rating in a research report on Wednesday, April 1st. National Bank Financial lowered ARC Resources from an “outperform” rating to a “hold” rating and cut their target price for the company from C$27.00 to C$26.00 in a research note on Friday, February 6th. TD Securities downgraded shares of ARC Resources from a “strong-buy” rating to a “strong sell” rating in a research report on Monday, April 27th. Jefferies Financial Group downgraded shares of ARC Resources from a “strong-buy” rating to a “hold” rating in a research report on Wednesday, April 29th. Finally, Desjardins cut their price objective on shares of ARC Resources from C$31.00 to C$27.00 and set a “buy” rating on the stock in a research report on Monday, February 9th. One equities research analyst has rated the stock with a Strong Buy rating, three have issued a Buy rating, eight have given a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat.com, the company has an average rating of “Hold” and an average target price of C$29.98.

ARC Resources Stock Performance

The business’s 50-day moving average price is C$29.27 and its 200-day moving average price is C$26.78. The company has a current ratio of 0.87, a quick ratio of 0.42 and a debt-to-equity ratio of 43.61. The stock has a market cap of C$18.07 billion, a PE ratio of 12.63, a P/E/G ratio of 0.29 and a beta of -0.27.

ARC Resources (TSE:ARX) last issued its quarterly earnings data on Tuesday, April 28th. The oil and gas exploration company reported C$1.03 earnings per share (EPS) for the quarter. ARC Resources had a net margin of 22.18% and a return on equity of 17.43%. The firm had revenue of C$2.10 billion for the quarter. As a group, equities research analysts expect that ARC Resources Ltd. will post 2.7255139 earnings per share for the current fiscal year.

ARC Resources Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Wednesday, April 15th. Stockholders of record on Wednesday, April 15th were paid a dividend of $0.21 per share. The ex-dividend date was Tuesday, March 31st. This represents a $0.84 dividend on an annualized basis and a dividend yield of 2.6%. ARC Resources’s payout ratio is presently 31.62%.

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.