TSE:ARX

Arc Resources Ltd (ARX-T)

26.90
-0.05 (0.19%)
as of Aug 22, 2025, 8:00:00 pm Market Open.
933 watching
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This summary was created by AI, based on 31 opinions in the last 12 months.

Arc Resources Ltd (ARX-T) is considered a strong player in the Canadian natural gas sector, with several experts highlighting its impressive asset base and conservative management approach. Analysts are optimistic about the company's growth potential, particularly with upcoming projects like LNG Canada and its recent deal with Exxon. The company has a solid balance sheet and offers an attractive dividend yield around 2.5-3%. Many reviews point to its undervaluation compared to U.S. peers, making it a compelling investment opportunity as it consistently beats earnings estimates and shows healthy production growth. Overall, the sentiment among analysts is positive, noting its reliability and potential for long-term gains in a favorable natural gas market.

Consensus
Buy
Valuation
Undervalued

Most recent Opinions go here

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PAST TOP PICK
(A Top Pick Jul 29/24, Up 19%)

Weakness in gas price over the summer and with condensate prices (which are tied to oil production). Stepping in here for new clients or for those who want more. Likes the steady and methodical management team. Does acquire, but main focus is organic growth.

BUY

One of the top beneficiaries of the LNG market. Just started shipping overseas, and this will grow over time. Improving ROC last couple of quarters. Valuation is 6.4x EV/EBITDA, not worrisome. If you believe in LNG, this is your go-to name.

3-year CAGR is 17%, 1-year is 21% including dividends. Yield is 2.7%, low payout ratio, dividend is growing.

BUY

Price of nat gas should improve because of demand. Lots more energy needed for data centres. CEO gets full credit for improving growth over the past 5 years; got rid of debt, ramped up production, initiated share buybacks. Led by a strong CEO, can continue to do well going forward.

TOP PICK

Near the bottom of a trading pattern. Uptrend. Hitting a bit of resistance, but touching the longer-term trendline. The lows are getting higher, nothing's breaking down. He just added another 2% to his position. Decent dividend yield of 2.82%.

(Analysts’ price target is $34.53)
BUY
ARX vs. WCP

He'd skew toward this one. Best-run intermediate O&G company in Canada. On most fundamental metrics, WCP is cheaper. It depends on your own investing style. He's often willing to pay up for management that he considers superior. In a 5-10 year timeframe, you can't go wrong with either.

TOP PICK

Nat gas prices will go up, based on European demand for Canadian gas. Is a long-term play. Is the best in this group. Has made money for him in recent years. Is one of his few long-term holds.

(Analysts’ price target is $34.07)
BUY

He focuses on the top third of relative price performers in a group. The best companies tend to keep getting better. Good dividend plus dividend growth.

TOP PICK

He's sort of like an inventory manager with the 20-30 stocks in client portfolios. His job is to own inventory that people care about today. He focuses on themes that he thinks are in the process of being revalued favourably, and perhaps in sectors that are less owned but showing something changing for the better. He's looking for the best company he can find, with no fundamental risks if it doesn't happen immediately, but where the multiple will start to expand if people look more closely at the group.

Leading Montney operator and low-price producer for natural gas. Great balance sheet, especially important because he thinks financing costs are going to keep rising. Great 3-year dividend growth of over 35%. Catalyst is the opening up of the LNG markets globally. Another positive change is the ramping up of Attachie over the next 4 years. Demand for power will fuel demand for nat gas. Rising price for nat gas + increased multiple could = significantly higher share price. Yield is 2.58%.

(Analysts’ price target is $34.04)
PAST TOP PICK
(A Top Pick May 23/24, Up 20%)

Benefits from the rotation out of oil into nat gas, which is performing far better. They bought assets from Strathcona, which he sees as 6% accretive (other say 10%). ARX has decades of inventory and good management which have been buying back stock. 

BUY
Trevor Rose’s Insights - Trevor’s most-liked answers from 5i Research

ARX has been showing nice momentum recently, and it trades at a decent valuation of 11X forward earnings. Its recent acquisition of Montney assets in Kakwa from Strathcona Resources is a significant strategic move, and it is expected to enhance ARX's production capacity and extend its inventory duration. To finance this acquisition, it plans to use a combination of a new $1.0B two-year term loan and existing credit facilities. After the acquisition, it is expected to have a net debt around $2.8B or more. We like the acquisition and for a long-term position, we would be comfortable buying here.
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TOP PICK

Is a long-term hold. It's focused on gas and natural gas, which boasts great fundamentals. Arc is the top nat gas developer in Canada and owns a lot of its infrastructure, so are vertically integrated. The 2.93% dividend and cash flow are growing. Buy below $25, if you can.

(Analysts’ price target is $32.42)
TOP PICK

Attachie, a growth project, has superb economics. They have about 4 or 5 more buried in their portfolio. Exposure to condensates, but it's really a gas play. Outlook for Canadian nat gas is meaningfully improving as LNG Canada comes on. (This is as long as producers show discipline and don't flood the market.) Conservative management, which is what you want in this climate.

Stands out as a really good value proposition, which he thinks will attract US investors when they realize there's nothing left to buy in the USA. Believes embedded resource value will be realized by somebody down the road. Yield is 2.96%.

(Analysts’ price target is $32.80)
BUY

Has more embedded growth due to assets they own, with a bit more wet gas linked to condensate and oil prices. Likes its assets.

BUY ON WEAKNESS
Add on weakness?

He likes the idea of adding on weakness, that's what he's been doing. He uses a lot of optionality in his portfolios. So he's writing puts in the energy sector to acquire companies; if they don't go to those prices, he just earns the income. He's perfectly happy with a strategy like that at this point.

If we get a harder economic landing at some point, then oil has some more downside. The US outlook for crude oil demand was just downgraded. We're in a trading range, and he's accumulating into weakness.

PAST TOP PICK
(A Top Pick Nov 25/24, Down 2%)

(Note the short timeframe.)  Energy's been under a bit of pressure lately. Still nothing wrong with the chart. Could pull back a bit more, but the trend is up. Great company. Fundamentally, one of the best. 

Showing 1 to 15 of 777 entries

Arc Resources Ltd(ARX-T) Rating

Ranking : 5 out of 5

Star iconStar iconStar iconStar iconStar icon

Bullish - Buy Signals / Votes : 21

Neutral - Hold Signals / Votes : 1

Bearish - Sell Signals / Votes : 0

Total Signals / Votes : 22

Stockchase rating for Arc Resources Ltd is calculated according to the stock experts' signals. A high score means experts mostly recommend to buy the stock while a low score means experts mostly recommend to sell the stock.

Arc Resources Ltd(ARX-T) Frequently Asked Questions

What is Arc Resources Ltd stock symbol?

Arc Resources Ltd is a Canadian stock, trading under the symbol ARX-T on the Toronto Stock Exchange (ARX-CT). It is usually referred to as TSX:ARX or ARX-T

Is Arc Resources Ltd a buy or a sell?

In the last year, 22 stock analysts published opinions about ARX-T. 21 analysts recommended to BUY the stock. 0 analysts recommended to SELL the stock. The latest stock analyst recommendation is . Read the latest stock experts' ratings for Arc Resources Ltd.

Is Arc Resources Ltd a good investment or a top pick?

Arc Resources Ltd was recommended as a Top Pick by on . Read the latest stock experts ratings for Arc Resources Ltd.

Why is Arc Resources Ltd stock dropping?

Earnings reports or recent company news can cause the stock price to drop. Read stock experts’ recommendations for help on deciding if you should buy, sell or hold the stock.

Is Arc Resources Ltd worth watching?

22 stock analysts on Stockchase covered Arc Resources Ltd In the last year. It is a trending stock that is worth watching.

What is Arc Resources Ltd stock price?

On 2025-08-22, Arc Resources Ltd (ARX-T) stock closed at a price of $26.9.