APA tops Q1 earnings estimates as lower costs and stronger oil prices offset weaker revenues and output.
APA Corporation is rated Buy with a 12-month price target of $46.72, reflecting ~30% upside from current levels. APA trades at a significant valuation discount to peers, with a forward P/E of 6.7x and 3.6x EV/EBITDA, despite robust cost-saving initiatives. Cost reductions, a 10% capex cut for 2026, and stable Egyptian operations are expected to enhance FCF and support sustainability at current oil prices.
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APA Corporation was the top contributor during the quarter. SLB Limited advanced during the quarter as investors grew more confident. Fiserv declined over the quarter despite reporting inline earnings results.
The headline numbers for APA (APA) give insight into how the company performed in the quarter ended March 2026, but it may be worthwhile to compare some of its key metrics to Wall Street estimates and the year-ago actuals.
APA (APA) came out with quarterly earnings of $1.38 per share, beating the Zacks Consensus Estimate of $1.01 per share. This compares to earnings of $1.06 per share a year ago.
APA gears up for Q1 results with lower revenue expected, stable output and reduced costs in focus as investors watch earnings on May 6.
FIVN, APA and FAF made it to the Zacks Rank #1 (Strong Buy) value stocks list on May 5, 2026.
Favorable commodity prices could set up earnings beats for APA, AROC and DVN as the energy season reaches the midpoint.
APA (APA) possesses the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.
APA Corporation stands to benefit fully from oil price surges due to its lack of hedges, supporting strong free cash flow and shareholder returns. APA's diversified production, cost reductions, and improved Egypt terms enhance margins, while the Suriname project promises substantial future production and cash flow upside. I estimate APA's 2026 free cash flow at $1.8–$2 billion, yielding a 13.5% FCF yield and supporting a fair value target of $51.5 per share—over 35% upside.
APA, MPC and PSX made it to the Zacks Rank #1 (Strong Buy) momentum stocks list on April 28th, 2026.