APA CORP (APA) Fundamental Analysis & Valuation
NASDAQ:APA • US03743Q1085
Current stock price
37.6 USD
+1.63 (+4.55%)
At close:
37.0669 USD
-0.53 (-1.42%)
Pre-Market:
This APA fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.
1. APA Profitability Analysis
1.1 Basic Checks
- In the past year APA was profitable.
- In the past year APA had a positive cash flow from operations.
- Each year in the past 5 years APA has been profitable.
- Each year in the past 5 years APA had a positive operating cash flow.
1.2 Ratios
- APA has a Return On Assets of 8.07%. This is amongst the best in the industry. APA outperforms 80.86% of its industry peers.
- Looking at the Return On Equity, with a value of 23.54%, APA belongs to the top of the industry, outperforming 87.56% of the companies in the same industry.
- APA has a Return On Invested Capital of 12.09%. This is amongst the best in the industry. APA outperforms 89.95% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for APA is significantly below the industry average of 22.73%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.07% | ||
| ROE | 23.54% | ||
| ROIC | 12.09% |
ROA(3y)10.32%
ROA(5y)13.24%
ROE(3y)48.77%
ROE(5y)N/A
ROIC(3y)14.26%
ROIC(5y)18.47%
1.3 Margins
- Looking at the Profit Margin, with a value of 16.08%, APA is in the better half of the industry, outperforming 66.99% of the companies in the same industry.
- APA's Profit Margin has declined in the last couple of years.
- Looking at the Operating Margin, with a value of 30.85%, APA is in the better half of the industry, outperforming 74.16% of the companies in the same industry.
- In the last couple of years the Operating Margin of APA has grown nicely.
- APA has a better Gross Margin (71.14%) than 80.86% of its industry peers.
- APA's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 30.85% | ||
| PM (TTM) | 16.08% | ||
| GM | 71.14% |
OM growth 3Y-12.53%
OM growth 5Y45.48%
PM growth 3Y-21.45%
PM growth 5YN/A
GM growth 3Y0.1%
GM growth 5Y1.35%
2. APA Health Analysis
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), APA is creating value.
- The number of shares outstanding for APA has been reduced compared to 1 year ago.
- Compared to 5 years ago, APA has less shares outstanding
- The debt/assets ratio for APA has been reduced compared to a year ago.
2.2 Solvency
- APA has an Altman-Z score of 1.61. This is a bad value and indicates that APA is not financially healthy and even has some risk of bankruptcy.
- Looking at the Altman-Z score, with a value of 1.61, APA is in line with its industry, outperforming 55.50% of the companies in the same industry.
- APA has a debt to FCF ratio of 2.53. This is a good value and a sign of high solvency as APA would need 2.53 years to pay back of all of its debts.
- APA has a Debt to FCF ratio of 2.53. This is amongst the best in the industry. APA outperforms 80.86% of its industry peers.
- APA has a Debt/Equity ratio of 0.70. This is a neutral value indicating APA is somewhat dependend on debt financing.
- APA has a Debt to Equity ratio (0.70) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.7 | ||
| Debt/FCF | 2.53 | ||
| Altman-Z | 1.61 |
ROIC/WACC1.64
WACC7.38%
2.3 Liquidity
- APA has a Current Ratio of 0.82. This is a bad value and indicates that APA is not financially healthy enough and could expect problems in meeting its short term obligations.
- With a Current ratio value of 0.82, APA is not doing good in the industry: 66.51% of the companies in the same industry are doing better.
- A Quick Ratio of 0.69 indicates that APA may have some problems paying its short term obligations.
- With a Quick ratio value of 0.69, APA is not doing good in the industry: 66.99% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.82 | ||
| Quick Ratio | 0.69 |
3. APA Growth Analysis
3.1 Past
- APA shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 0.80%.
- APA shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -21.32% yearly.
- APA shows a decrease in Revenue. In the last year, the revenue decreased by -8.39%.
- APA shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 15.00% yearly.
EPS 1Y (TTM)0.8%
EPS 3Y-21.32%
EPS 5YN/A
EPS Q2Q%15.19%
Revenue 1Y (TTM)-8.39%
Revenue growth 3Y-6.96%
Revenue growth 5Y15%
Sales Q2Q%-0.56%
3.2 Future
- Based on estimates for the next years, APA will show a quite strong growth in Earnings Per Share. The EPS will grow by 9.64% on average per year.
- APA is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -0.87% yearly.
EPS Next Y21.53%
EPS Next 2Y-2.53%
EPS Next 3Y0.72%
EPS Next 5Y9.64%
Revenue Next Year-1.61%
Revenue Next 2Y-5.63%
Revenue Next 3Y-1.98%
Revenue Next 5Y-0.87%
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
- The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. APA Valuation Analysis
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 9.97, the valuation of APA can be described as very reasonable.
- Compared to the rest of the industry, the Price/Earnings ratio of APA indicates a rather cheap valuation: APA is cheaper than 87.08% of the companies listed in the same industry.
- The average S&P500 Price/Earnings ratio is at 27.66. APA is valued rather cheaply when compared to this.
- Based on the Price/Forward Earnings ratio of 8.21, the valuation of APA can be described as reasonable.
- 88.04% of the companies in the same industry are more expensive than APA, based on the Price/Forward Earnings ratio.
- When comparing the Price/Forward Earnings ratio of APA to the average of the S&P500 Index (38.00), we can say APA is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.97 | ||
| Fwd PE | 8.21 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, APA is valued cheaper than 94.26% of the companies in the same industry.
- Based on the Price/Free Cash Flow ratio, APA is valued cheaply inside the industry as 92.82% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.47 | ||
| EV/EBITDA | 3.41 |
4.3 Compensation for Growth
- APA's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- APA has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)0.46
PEG (5Y)N/A
EPS Next 2Y-2.53%
EPS Next 3Y0.72%
5. APA Dividend Analysis
5.1 Amount
- APA has a Yearly Dividend Yield of 2.64%. Purely for dividend investing, there may be better candidates out there.
- APA's Dividend Yield is comparable with the industry average which is at 3.26.
- Compared to an average S&P500 Dividend Yield of 1.81, APA pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.64% |
5.2 History
- On average, the dividend of APA grows each year by 25.13%, which is quite nice.
- APA has paid a dividend for at least 10 years, which is a reliable track record.
- APA has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)25.13%
Div Incr Years1
Div Non Decr Years4
5.3 Sustainability
- 25.10% of the earnings are spent on dividend by APA. This is a low number and sustainable payout ratio.
- APA's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP25.1%
EPS Next 2Y-2.53%
EPS Next 3Y0.72%
APA Fundamentals: All Metrics, Ratios and Statistics
37.6
+1.63 (+4.55%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)02-25 2026-02-25/amc
Earnings (Next)05-06 2026-05-06/amc
Inst Owners99.52%
Inst Owner Change0.06%
Ins Owners0.2%
Ins Owner Change1.94%
Market Cap13.29B
Revenue(TTM)8.92B
Net Income(TTM)1.43B
Analysts64.71
Price Target36.98 (-1.65%)
Short Float %8.11%
Short Ratio3.14
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.64% |
Yearly Dividend1
Dividend Growth(5Y)25.13%
DP25.1%
Div Incr Years1
Div Non Decr Years4
Ex-Date04-22 2026-04-22 (0.25)
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)28.52%
Min EPS beat(2)16.68%
Max EPS beat(2)40.36%
EPS beat(4)4
Avg EPS beat(4)40.77%
Min EPS beat(4)16.68%
Max EPS beat(4)79.53%
EPS beat(8)5
Avg EPS beat(8)18.39%
EPS beat(12)8
Avg EPS beat(12)14.89%
EPS beat(16)11
Avg EPS beat(16)11.98%
Revenue beat(2)2
Avg Revenue beat(2)3.22%
Min Revenue beat(2)1.54%
Max Revenue beat(2)4.9%
Revenue beat(4)3
Avg Revenue beat(4)6.53%
Min Revenue beat(4)-6.04%
Max Revenue beat(4)25.7%
Revenue beat(8)4
Avg Revenue beat(8)-0.56%
Revenue beat(12)6
Avg Revenue beat(12)-1.81%
Revenue beat(16)10
Avg Revenue beat(16)2.7%
PT rev (1m)37.95%
PT rev (3m)41.02%
EPS NQ rev (1m)79.65%
EPS NQ rev (3m)68.51%
EPS NY rev (1m)105.14%
EPS NY rev (3m)60.69%
Revenue NQ rev (1m)19.08%
Revenue NQ rev (3m)9.43%
Revenue NY rev (1m)16.99%
Revenue NY rev (3m)14.82%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.97 | ||
| Fwd PE | 8.21 | ||
| P/S | 1.49 | ||
| P/FCF | 7.47 | ||
| P/OCF | 2.92 | ||
| P/B | 2.18 | ||
| P/tB | 2.18 | ||
| EV/EBITDA | 3.41 |
EPS(TTM)3.77
EY10.03%
EPS(NY)4.58
Fwd EY12.19%
FCF(TTM)5.03
FCFY13.39%
OCF(TTM)12.86
OCFY34.2%
SpS25.24
BVpS17.24
TBVpS17.24
PEG (NY)0.46
PEG (5Y)N/A
Graham Number38.2423 (1.71%)
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.07% | ||
| ROE | 23.54% | ||
| ROCE | 18.12% | ||
| ROIC | 12.09% | ||
| ROICexc | 12.51% | ||
| ROICexgc | 12.51% | ||
| OM | 30.85% | ||
| PM (TTM) | 16.08% | ||
| GM | 71.14% | ||
| FCFM | 19.94% |
ROA(3y)10.32%
ROA(5y)13.24%
ROE(3y)48.77%
ROE(5y)N/A
ROIC(3y)14.26%
ROIC(5y)18.47%
ROICexc(3y)14.62%
ROICexc(5y)18.93%
ROICexgc(3y)14.62%
ROICexgc(5y)18.93%
ROCE(3y)21.37%
ROCE(5y)27.67%
ROICexgc growth 3Y-28.42%
ROICexgc growth 5Y58.43%
ROICexc growth 3Y-28.42%
ROICexc growth 5Y58.43%
OM growth 3Y-12.53%
OM growth 5Y45.48%
PM growth 3Y-21.45%
PM growth 5YN/A
GM growth 3Y0.1%
GM growth 5Y1.35%
F-Score7
Asset Turnover0.5
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.7 | ||
| Debt/FCF | 2.53 | ||
| Debt/EBITDA | 0.85 | ||
| Cap/Depr | 120.05% | ||
| Cap/Sales | 31.01% | ||
| Interest Coverage | 9.79 | ||
| Cash Conversion | 89.89% | ||
| Profit Quality | 124.06% | ||
| Current Ratio | 0.82 | ||
| Quick Ratio | 0.69 | ||
| Altman-Z | 1.61 |
F-Score7
WACC7.38%
ROIC/WACC1.64
Cap/Depr(3y)133.86%
Cap/Depr(5y)135.58%
Cap/Sales(3y)29.79%
Cap/Sales(5y)24.99%
Profit Quality(3y)79.76%
Profit Quality(5y)110.69%
High Growth Momentum
Growth
EPS 1Y (TTM)0.8%
EPS 3Y-21.32%
EPS 5YN/A
EPS Q2Q%15.19%
EPS Next Y21.53%
EPS Next 2Y-2.53%
EPS Next 3Y0.72%
EPS Next 5Y9.64%
Revenue 1Y (TTM)-8.39%
Revenue growth 3Y-6.96%
Revenue growth 5Y15%
Sales Q2Q%-0.56%
Revenue Next Year-1.61%
Revenue Next 2Y-5.63%
Revenue Next 3Y-1.98%
Revenue Next 5Y-0.87%
EBIT growth 1Y-14.9%
EBIT growth 3Y-18.62%
EBIT growth 5Y67.3%
EBIT Next Year103.66%
EBIT Next 3Y23.38%
EBIT Next 5Y16.93%
FCF growth 1Y150.92%
FCF growth 3Y-11.25%
FCF growth 5Y83.29%
OCF growth 1Y25.55%
OCF growth 3Y-2.76%
OCF growth 5Y26.77%
APA CORP / APA Fundamental Analysis FAQ
Can you provide the ChartMill fundamental rating for APA CORP?
ChartMill assigns a fundamental rating of 5 / 10 to APA.
What is the valuation status for APA stock?
ChartMill assigns a valuation rating of 8 / 10 to APA CORP (APA). This can be considered as Undervalued.
What is the profitability of APA stock?
APA CORP (APA) has a profitability rating of 7 / 10.
What is the expected EPS growth for APA CORP (APA) stock?
The Earnings per Share (EPS) of APA CORP (APA) is expected to grow by 21.53% in the next year.
Can you provide the dividend sustainability for APA stock?
The dividend rating of APA CORP (APA) is 5 / 10 and the dividend payout ratio is 25.1%.