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

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

Wall Street Analysts Forecast Growth

Several equities research analysts have recently commented on the stock. Royal Bank Of Canada reduced their price target on shares of ARC Resources from C$32.00 to C$28.00 and set an “outperform” rating for the company in a research report on Monday, February 9th. Scotiabank raised shares of ARC Resources to a “hold” rating in a research report on Wednesday, April 1st. Canaccord Genuity Group lowered shares of ARC Resources from a “buy” rating to a “hold” rating and upped their price target for the company from C$31.00 to C$32.00 in a research report on Tuesday, April 28th. ATB Cormark Capital Markets lowered shares of ARC Resources from an “outperform” rating to a “tender” rating and set a C$31.00 price target for the company. in a research report on Tuesday, April 28th. Finally, Canadian Imperial Bank of Commerce lowered shares of ARC Resources from a “neutral” rating to a “tender” rating and upped their price target for the company from C$29.00 to C$32.00 in a research report on Tuesday, April 28th. One research analyst has rated the stock with a Strong Buy rating, three have issued a Buy rating, eight have issued a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat, the stock has an average rating of “Hold” and a consensus price target of C$29.98.

ARC Resources Stock Up 0.8%

The company’s fifty day moving average is C$29.10 and its 200-day moving average is C$26.62. The company has a market capitalization of C$18.24 billion, a PE ratio of 12.75, a price-to-earnings-growth ratio of 0.29 and a beta of -0.27. The company has a debt-to-equity ratio of 43.61, a quick ratio of 0.42 and a current ratio of 0.87.

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

ARC Resources Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Wednesday, April 15th. Investors of record on Wednesday, April 15th were issued a $0.21 dividend. This represents a $0.84 annualized dividend and a yield of 2.6%. The ex-dividend date of this dividend was Tuesday, March 31st. ARC Resources’s dividend payout ratio is currently 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.