📊 AR Key Takeaways
Is ANTERO RESOURCES Corp (AR) a Good Investment?
Antero Resources demonstrates strong operational profitability with 37.5% operating margins and robust free cash flow generation of $507.7M (26.1% FCF margin), supported by efficient cost management in a commodity-dependent sector. However, deteriorating liquidity metrics—zero cash position and 0.40x current ratio—combined with declining net income (-6.0% YoY) despite modest revenue growth, present material financial stress concerns that offset operational strengths.
Antero Resources shows solid fundamental quality driven by strong free cash flow generation, healthy operating profitability, and a conservatively leveraged balance sheet. Revenue growth is modest and net income declined slightly year over year, but cash conversion remains strong and debt servicing capacity is comfortable. The main constraint is weak short-term liquidity and the inherently cyclical nature of upstream energy earnings.
ANTERO RESOURCES Corp Key Strengths (AR)
- Exceptional operating margin of 37.5% and net margin of 27.5% demonstrates operational efficiency
- Strong free cash flow generation of $507.7M with 26.1% FCF margin provides financial flexibility
- Robust interest coverage ratio of 10.1x indicates strong ability to service $2.7B long-term debt
- Conservative leverage with 0.33x Debt/Equity ratio
- Healthy operating cash flow of $859.1M supporting reinvestment and obligations
- Strong free cash flow of $1.28B with a 24.3% FCF margin
- Low leverage with debt/equity of 0.19x and interest coverage of 12.3x
- Profitable operations with 16.7% operating margin and positive YoY revenue growth
AR Stock Risks: ANTERO RESOURCES Corp Investment Risks
- Critical liquidity concern: zero cash on balance sheet with 0.40x current ratio signals immediate working capital stress
- Net income declining 6.0% YoY despite 2.7% revenue growth indicates margin compression or operational headwinds
- Low ROE (6.6%) and ROA (3.5%) relative to profitability margins suggest inefficient asset/equity deployment
- Commodity price exposure creates earnings volatility; margins may not sustain in downturn
- Significant capital expenditure requirements ($351.3M) limit financial flexibility given liquidity position
- Current and quick ratios of 0.55x indicate weak short-term liquidity
- Net income declined 6.0% YoY despite revenue growth, suggesting earnings pressure
- Fundamentals remain exposed to commodity price volatility and production-cycle swings
Key Metrics to Watch
- Cash position and current ratio recovery—critical for assessing solvency stability
- Net income trend reversal—confirm whether YoY decline reflects temporary factors or structural pressure
- Free cash flow sustainability—monitor whether FCF remains sufficient to fund capex and debt service
- Operating margin maintenance—verify commodity-driven profitability resilience
- Debt reduction progress—track whether excess FCF is deployed toward liability reduction
- Free cash flow sustainability versus capital expenditure needs
- Liquidity improvement through cash balance and current ratio trends
ANTERO RESOURCES Corp (AR) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The 26.1% free cash flow margin provides substantial flexibility for dividends, buybacks, and strategic investments. The current ratio below 1.0x warrants monitoring of short-term liquidity.
AR Profit Margin, ROE & Profitability Analysis
AR vs Energy Sector: How ANTERO RESOURCES Corp Compares
How ANTERO RESOURCES Corp compares to Energy sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is ANTERO RESOURCES Corp Stock Overvalued? AR Valuation Analysis 2026
Based on fundamental analysis, ANTERO RESOURCES Corp has mixed fundamental signals relative to the Energy sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
ANTERO RESOURCES Corp Balance Sheet: AR Debt, Cash & Liquidity
AR Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: ANTERO RESOURCES Corp's revenue has declined by 21% over the 5-year period, indicating business contraction. The most recent EPS of $0.64 reflects profitable operations.
AR Revenue Growth, EPS Growth & YoY Performance
AR Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q1 2026 | $1.4B | $219.5M | $0.66 |
| Q3 2025 | $1.0B | -$25.2M | $-0.11 |
| Q2 2025 | $976.9M | $34.7M | $-0.19 |
| Q1 2025 | $1.1B | $34.7M | $0.07 |
| Q3 2024 | $1.0B | -$10.3M | $0.06 |
| Q2 2024 | $937.0M | -$12.2M | $-0.10 |
| Q1 2024 | $1.1B | $48.3M | $0.12 |
| Q3 2023 | $1.1B | $32.6M | $0.06 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
ANTERO RESOURCES Corp Dividends, Buybacks & Capital Allocation
AR SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for ANTERO RESOURCES Corp (CIK: 0001433270)
📋 Recent SEC Filings
❓ Frequently Asked Questions about AR
What is the AI rating for AR?
ANTERO RESOURCES Corp (AR) has a Combined AI Grade of A from Claude (B) and ChatGPT (A) with 76% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are AR's key strengths?
Claude: Exceptional operating margin of 37.5% and net margin of 27.5% demonstrates operational efficiency. Strong free cash flow generation of $507.7M with 26.1% FCF margin provides financial flexibility. ChatGPT: Strong free cash flow of $1.28B with a 24.3% FCF margin. Low leverage with debt/equity of 0.19x and interest coverage of 12.3x.
What are the risks of investing in AR?
Claude: Critical liquidity concern: zero cash on balance sheet with 0.40x current ratio signals immediate working capital stress. Net income declining 6.0% YoY despite 2.7% revenue growth indicates margin compression or operational headwinds. ChatGPT: Current and quick ratios of 0.55x indicate weak short-term liquidity. Net income declined 6.0% YoY despite revenue growth, suggesting earnings pressure.
What is AR's revenue and growth?
ANTERO RESOURCES Corp reported revenue of $1.9B.
Does AR pay dividends?
ANTERO RESOURCES Corp does not currently pay dividends.
Where can I find AR SEC filings?
Official SEC filings for ANTERO RESOURCES Corp (CIK: 0001433270) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is AR's EPS?
ANTERO RESOURCES Corp has a diluted EPS of $1.72.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined grade reflects both perspectives for balanced insights.
What is AR's fundamental grade?
Based on our AI fundamental analysis in June 2026, ANTERO RESOURCES Corp has a A grade with 76% confidence. The AI analysis suggests favorable fundamentals based on SEC filings. This is not investment advice.
Is AR stock overvalued or undervalued?
Valuation metrics for AR: ROE of 6.6% (sector avg: 14%), net margin of 27.5% (sector avg: 12%). Compare these metrics with sector averages to assess valuation.
What is AR's AI grade for 2026?
Our dual AI analysis gives ANTERO RESOURCES Corp a combined A grade for 2026. Revenue is data pending, with profitability above sector average. Always conduct your own research.
What is AR's free cash flow?
ANTERO RESOURCES Corp's operating cash flow is $859.1M, with capital expenditures of $351.3M. FCF margin is 26.1%.
How does AR compare to other Energy stocks?
Vs Energy sector averages: Net margin 27.5% (avg: 12%), ROE 6.6% (avg: 14%), current ratio 0.40 (avg: 1.3).