Arc Resources Ltd

ARX-T

TSE:ARX

6.53
0.17 (2.54%)
ARC was founded in 1996 as a royalty trust with the acquisition of 21 properties from Mobil Oil Canada. The acquisition was funded by an initial IPO of $180 million on the Toronto Stock Exchange.
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Analysis and Opinions about ARX-T

Signal
Opinion
Expert
TOP PICK
TOP PICK
January 7, 2021
Stockchase Research Editor: Michael O'Reilly With the economy looking to get back on its feet, this is a good entry for a high-quality energy producer. Trading at 85% of book value and with a PEG of 0.34, it is strong value now. We would buy with a stop-loss at $4.50, looking to achieve $8.75 -- upside potential of over 34%. Yield 4.64% (Analysts’ price target is $8.63)
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Stockchase Research Editor: Michael O'Reilly With the economy looking to get back on its feet, this is a good entry for a high-quality energy producer. Trading at 85% of book value and with a PEG of 0.34, it is strong value now. We would buy with a stop-loss at $4.50, looking to achieve $8.75 -- upside potential of over 34%. Yield 4.64% (Analysts’ price target is $8.63)
DON'T BUY
DON'T BUY
December 11, 2020

Natural gas is 80% of their production stream. Their liquids weighting is falling more than he thought in 2021. This erodes the free cashflow the company is able to generate. It is not as attractive relative to other names. It would have to fall 10% more from here to be a buy. Tourmaline is a better buy.

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Arc Resources Ltd (ARX-T)
December 11, 2020

Natural gas is 80% of their production stream. Their liquids weighting is falling more than he thought in 2021. This erodes the free cashflow the company is able to generate. It is not as attractive relative to other names. It would have to fall 10% more from here to be a buy. Tourmaline is a better buy.

COMMENT
COMMENT
November 20, 2020
The momentum today will off-set tax-loss selling. Looking through the very short term, the dynamics of the sector are tighter. They had a disappointing 2021 forecast with more gas allocations. If you are bullish on natural gas, you could be a buyer, but he does not find it too compelling.
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Arc Resources Ltd (ARX-T)
November 20, 2020
The momentum today will off-set tax-loss selling. Looking through the very short term, the dynamics of the sector are tighter. They had a disappointing 2021 forecast with more gas allocations. If you are bullish on natural gas, you could be a buyer, but he does not find it too compelling.
HOLD
HOLD
November 11, 2020
Cheap. Great balance sheet, low payout ratio. Modeling 56% EPS growth. Only problem is it's 70% natural gas. You can own it and it will continue to do OK.
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Arc Resources Ltd (ARX-T)
November 11, 2020
Cheap. Great balance sheet, low payout ratio. Modeling 56% EPS growth. Only problem is it's 70% natural gas. You can own it and it will continue to do OK.
BUY
BUY
November 4, 2020
Purely natural gas. Prices are bumping up against 3-year highs. Longer term, gas has to be part of the energy solution; renewables can't carry the load yet. One of the best, really likes it at these levels. Environmental focus. Great long-term hold.
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Arc Resources Ltd (ARX-T)
November 4, 2020
Purely natural gas. Prices are bumping up against 3-year highs. Longer term, gas has to be part of the energy solution; renewables can't carry the load yet. One of the best, really likes it at these levels. Environmental focus. Great long-term hold.
BUY
BUY
October 16, 2020
It has a high quality asset base. Historically, it traded at a massive premium. Current natural gas and oil prices, it is trading at a 10% free cashflow yield. Because the stocks are beaten down, you can get a pretty good deal if you believe oil prices will strengthen.
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Arc Resources Ltd (ARX-T)
October 16, 2020
It has a high quality asset base. Historically, it traded at a massive premium. Current natural gas and oil prices, it is trading at a 10% free cashflow yield. Because the stocks are beaten down, you can get a pretty good deal if you believe oil prices will strengthen.
PAST TOP PICK
PAST TOP PICK
September 18, 2020
(A Top Pick Oct 01/19, Up 18%) He still likes it. You get premium asset quality, lower operating cost and low financial leverage. There was a CEO change. You get good exposure to natural gas. It is still inexpensive.
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Arc Resources Ltd (ARX-T)
September 18, 2020
(A Top Pick Oct 01/19, Up 18%) He still likes it. You get premium asset quality, lower operating cost and low financial leverage. There was a CEO change. You get good exposure to natural gas. It is still inexpensive.
DON'T BUY
DON'T BUY
September 8, 2020

He used to own it to get exposure to Canadian natural gas. Assets and management are superb, and pays a fine dividend. However, at the start of March, he changed his outlook given how tough a sector energy was and gas demand was uncertain. He sold all his energy stocks and put his money into CNQ. Arc is still a good company. If you hold, be patient. When energy improves, so will Arc's stock.

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Arc Resources Ltd (ARX-T)
September 8, 2020

He used to own it to get exposure to Canadian natural gas. Assets and management are superb, and pays a fine dividend. However, at the start of March, he changed his outlook given how tough a sector energy was and gas demand was uncertain. He sold all his energy stocks and put his money into CNQ. Arc is still a good company. If you hold, be patient. When energy improves, so will Arc's stock.

PAST TOP PICK
PAST TOP PICK
August 18, 2020

(A Top Pick Jul 16/19, Up 12%) Despite a dividend cut, this is doing okay. He expects part of that dividend to come back. Natural gas has turned very positive for Canadian producers. Two big deals in the Montney involving CNQ and Conoco Phillips buying assets as gas prices rising on dropping US oil and gas production. He still likes Arc. Arc has a real ESG focus that will attract capital. We'll still need natural gas.

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(A Top Pick Jul 16/19, Up 12%) Despite a dividend cut, this is doing okay. He expects part of that dividend to come back. Natural gas has turned very positive for Canadian producers. Two big deals in the Montney involving CNQ and Conoco Phillips buying assets as gas prices rising on dropping US oil and gas production. He still likes Arc. Arc has a real ESG focus that will attract capital. We'll still need natural gas.

BUY
BUY
August 6, 2020
He just bought some more this morning. Because of the sell-off, you can buy stocks that have a potential to double. You get natural gas and liquid gas. The quality of assets, balance sheet strength and free cashflow is good.
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He just bought some more this morning. Because of the sell-off, you can buy stocks that have a potential to double. You get natural gas and liquid gas. The quality of assets, balance sheet strength and free cashflow is good.
HOLD
HOLD
June 29, 2020
It has been one of his top picks in the past. It is an extremely well managed company. It would not bother him too much to see the dividend cut in this environment.
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It has been one of his top picks in the past. It is an extremely well managed company. It would not bother him too much to see the dividend cut in this environment.
DON'T BUY
DON'T BUY
June 19, 2020
Average down? He has owned it a couple times in the past. He is not bullish on Canadian natural gas, so does not own it now. They are 60% in natural gas and there are summer pricing risk on the commodity. It will take time for a new COO to get set. At $50 oil it is 4 times cash flow -- he thinks there are even more enticing opportunities out there. He would not average down.
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Average down? He has owned it a couple times in the past. He is not bullish on Canadian natural gas, so does not own it now. They are 60% in natural gas and there are summer pricing risk on the commodity. It will take time for a new COO to get set. At $50 oil it is 4 times cash flow -- he thinks there are even more enticing opportunities out there. He would not average down.
BUY
BUY
June 12, 2020
He thinks many companies in the energy space will be "no goes". Their balance sheet is in a much better position now -- debt-to-cash flow has improved to 1.3 times for 2021. Their payout ratio is 72% of 2021 cash flows. A reasonable investment if you think natural gas prices will remain here. One of the Canadian energy stocks to buy.
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He thinks many companies in the energy space will be "no goes". Their balance sheet is in a much better position now -- debt-to-cash flow has improved to 1.3 times for 2021. Their payout ratio is 72% of 2021 cash flows. A reasonable investment if you think natural gas prices will remain here. One of the Canadian energy stocks to buy.
PAST TOP PICK
PAST TOP PICK
June 5, 2020
(A Top Pick Jul 15/19, Down 4%) It has been one of the best energy sector performers. The natural gas focus is important. He thinks we are going through a global energy transition, which includes natural gas and Western Canada plays a big role. They are pursuing a real ESG program, particularly environmental, focus. This is one of three energy stocks he owns.
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(A Top Pick Jul 15/19, Down 4%) It has been one of the best energy sector performers. The natural gas focus is important. He thinks we are going through a global energy transition, which includes natural gas and Western Canada plays a big role. They are pursuing a real ESG program, particularly environmental, focus. This is one of three energy stocks he owns.
COMMENT
COMMENT
May 15, 2020

ARX vs VET ARX holds super high quality liquids assets in the Montney formation. VET has a more diversified production slate including Australia and the Netherlands as well as Canada. The US has shut in 1.4 million barrels a day, this has reduced associated natural gas production. This will tighten the natural gas markets making it much more bullish. This is helpful for ARX, more so. He has not been a huge supporter of the VET management team and is less bullish on European natural gas markets (where VET is more active). ARX also provides a better dividend stream.

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ARX vs VET ARX holds super high quality liquids assets in the Montney formation. VET has a more diversified production slate including Australia and the Netherlands as well as Canada. The US has shut in 1.4 million barrels a day, this has reduced associated natural gas production. This will tighten the natural gas markets making it much more bullish. This is helpful for ARX, more so. He has not been a huge supporter of the VET management team and is less bullish on European natural gas markets (where VET is more active). ARX also provides a better dividend stream.

Showing 1 to 15 of 629 entries

Arc Resources Ltd(ARX-T) Rating

Ranking : 5 out of 5

Bullish - Buy Signals / Votes : 12

Neutral - Hold Signals / Votes : 5

Bearish - Sell Signals / Votes : 6

Total Signals / Votes : 23

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, 23 stock analysts published opinions about ARX-T. 12 analysts recommended to BUY the stock. 6 analysts recommended to SELL the stock. The latest stock analyst recommendation is TOP PICK. 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 Stockchase Research on 2021-01-07. 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?

23 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 2021-01-22, Arc Resources Ltd (ARX-T) stock closed at a price of $6.53.