ARNEUTRAL

AR EV/EBITDA Analysis

9.0x

Higher than 63% of Energy sector peers

Updated 2507h ago·SEC filings & market data

Key Takeaway

The EV/EBITDA ratio compares a company’s total enterprise value (market cap plus debt minus cash) to its earnings before interest, taxes, depreciation, and amortization and is often used to gauge whether a stock is cheap or expensive relative to its cash earnings.

Sector Performance

63th percentile

AR

9.0x

Sector Median

6.4x

Sector Avg

15.5x

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Deep Analysis

The EV/EBITDA ratio compares a company’s total enterprise value (market cap plus debt minus cash) to its earnings before interest, taxes, depreciation, and amortization and is often used to gauge whether a stock is cheap or expensive relative to its cash earnings.

Antero Resources currently trades at 9.0x EV/EBITDA, which is above the sector median of 5.8x, placing it in the 76th percentile among energy peers — meaning it is more expensive than three-quarters of comparable companies. The trend data for this metric is not available; the year-over-year change and quarter-over-quarter change are both listed as N/A, so no directional movement can be assessed. The combination of a high valuation level with no observable trend introduces risk because the stock is already priced at a premium to its industry, but without trend information it is unclear whether that premium has been expanding or contracting. This elevated multiple compared to the sector median does not support the overall BULLISH verdict, as it suggests the market is pricing in higher expectations that may already be reflected in the stock price, leaving less room for upside.

Frequently Asked Questions

What does the EV/EBITDA tell investors about AR?

A valuation multiple preferred by analysts for capital-intensive or leveraged businesses. Useful for cross-sector comparisons where earnings can be distorted by debt.

How is the EV/EBITDA calculated?

EV/EBITDA is calculated as: Enterprise Value / EBITDA.

How does AR's EV/EBITDA compare to its sector?

AR's EV/EBITDA of 9.0x compares to a Energy sector median of 6.4x, placing it in the 63th percentile.

Who are AR's closest peers by EV/EBITDA?

The closest Energy peers by EV/EBITDA include: DEN (6.4x), PXD (6.2x), VTLE (5.3x), APA (2.4x), XOM (10.5x).

The Formula

Enterprise Value / EBITDA

Why It Matters

A valuation multiple preferred by analysts for capital-intensive or leveraged businesses. Useful for cross-sector comparisons where earnings can be distorted by debt.

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AR

9.0x

Sector Median

6.4x

Sector Avg

15.5x

How AR's EV/EBITDA compares to sector peers.

Not financial advice. Research tool only. Data may be delayed.