Permian Resources faces a stock price dip after a secondary offering. Permian Resources' recent acquisition and strong well production outperformance highlight operational momentum. Management's strategy of small, cost-effective bolt-on acquisitions is enhancing contiguous acreage and profitability compared to larger, pricier deals.
Permian increased its 2025 production guidance by around 4%. Around 40-50% of the increase was due to its recent acquisition, and the rest was due to continued strong well performance. PR is projected to generate close to $800 million in 2H 2025 free cash flow.
Permian Resources is undervalued, offering a 35% upside to a $19 fair value, supported by strong dividends and opportunistic buybacks. The company boasts a robust asset base, disciplined capital allocation, and management alignment, driving long-term free cash flow growth. Financial strength, low leverage, and investment grade ratings support a sustainable high dividend and future valuation re-rating.
PR posts a second-quarter earnings decline on higher costs and weaker prices but raises 2025 production outlook.
Permian Resources Corporation (NYSE:PR ) Q2 2025 Earnings Conference Call August 7, 2025 10:00 AM ET Company Participants Guy M. Oliphint - Executive VP & CFO Hays Mabry - Vice President of Investor Relations James H.
Although the revenue and EPS for Permian Resources (PR) give a sense of how its business performed in the quarter ended June 2025, it might be worth considering how some key metrics compare with Wall Street estimates and the year-ago numbers.
Permian Resources (PR) came out with quarterly earnings of $0.27 per share, in line with the Zacks Consensus Estimate . This compares to earnings of $0.39 per share a year ago.
Besides Wall Street's top-and-bottom-line estimates for Permian Resources (PR), review projections for some of its key metrics to gain a deeper understanding of how the company might have fared during the quarter ended June 2025.
Permian Resources (PR) possesses the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.
Permian Resources focuses on the Delaware Basin, maximizing synergies and reducing costs through a concentrated footprint of 450,000 net acres and high-return drilling inventory. It maintains strong margins, with ~76% EBITDA and low drilling costs, enabling consistent cash generation even under moderate oil price environments. Permian Resources trades at low valuation multiples despite high profitability, offering EV/EBITDA below 4x and strong ROE, with insider ownership reinforcing alignment.
Permian completed a deal valued at approximately $608 million, which represents an increase of 13,320 net acres and 8,700 net royalty acres in New Mexico. Permian maintains a fossil fuel development presence in the Delaware Basin, with a total of 450,000 net working acres in its portfolio, equivalent to 370 MBOE/d of production. The company shows an EBITDA margin of over 75% and a RoCE of 14.30%.
Permian Resources continues to deliver rare growth through strategic, accretive acquisitions. Management's disciplined approach—favoring multiple small, value-accretive deals over large, costly ones—minimizes risk and maximizes upside. The company boasts top-tier acreage and a fortress balance sheet.