Descripción de la empresa
Range Resources Corporation operates as an independent energy producer focused on the exploration, development, and acquisition of natural gas, natural gas liquids (NGLs), and oil properties situated within the Appalachian region of the United States, where it sells natural gas to the market. This entity functions within the broader Energy sector and specifically the Oil & Gas E&P industry, roles that define its strategic focus on upstream production activities and commodity extraction. The company demonstrates a significant scale with a total market capitalization of $11.29B and an annual revenue generated of $2.99B over the trailing twelve months, supported by a workforce of 564 employees. These financial metrics indicate that Range Resources holds a substantial position within its industry, reflecting a large asset base and operational footprint that supports its status as a major player in the domestic natural gas landscape.
Salud financiera
The company reported a revenue of $2.99B for the trailing twelve months, generating a net income of $656.73M and an EBITDA of $1.36B, figures that highlight a robust operational cash generation capability before interest and tax expenses. The substantial gap between the total revenue of $2.99B and the net income of $656.73M reveals a cost structure where operating expenses, including depletion, depletion costs, and administrative overhead, consume approximately 78% of top-line revenue before reaching the bottom line. Free cash flow stands at $342.94M, which signifies that the company generates sufficient liquidity after capital expenditures to fund operations, service debt, and potentially return capital to shareholders without relying on external financing. Profitability is further evidenced by a gross margin of 49.6%, an operating margin of 33.6%, and a profit margin of 22.0%, indicating efficient cost management relative to sales and a healthy conversion of revenue into tangible earnings. The balance sheet presents a leveraged structure with total debt of $1.37B against cash holdings of $204,000, resulting in a debt-to-equity ratio of 31.78, which suggests the company utilizes significant financial leverage to amplify returns while maintaining exposure to interest rate fluctuations. Short-term liquidity is constrained by a current ratio of 0.67, indicating that current assets are lower than current liabilities, which necessitates a reliance on operating cash flows to meet immediate obligations rather than a liquid asset buffer. Management effectiveness is demonstrated by a return on equity of 15.9% and a return on assets of 8.2%, metrics that show the company successfully generates returns exceeding the cost of equity and utilizing its asset base efficiently to produce profit.
Evaluación de valoración
Valuation metrics show a trailing P/E ratio of 17.39 and a forward P/E of 11.03, a disparity that implies the market expects earnings to grow significantly in the coming year, compressing the multiple as future profitability is priced in at a lower multiple than historical performance. The price-to-book ratio is recorded at 2.60, which indicates that the market values the company's equity at more than double its book value, suggesting a premium assigned to its natural resource reserves and operational assets over their accounting book value. Alternative valuation measures include a price-to-sales ratio of 3.78 and an EV/EBITDA of 9.24, figures that provide context on how the stock is valued relative to its revenue generation and enterprise value normalized by earnings before interest, taxes, depreciation, and amortization. Historical price volatility is framed by a 52-week high of $48.31 and a 52-week low of $30.32, showing that the current trading environment fluctuates within this established range defined by investor sentiment and commodity price movements. The beta value of 0.57 indicates that the stock's price volatility is less than that of the broader market, suggesting it may act as a lower-volatility play within the energy sector compared to high-beta peers.
Growth & Income
Growth dynamics are characterized by a revenue growth rate of 16.3% year-over-year and an earnings growth rate of 94.1% year-over-year, demonstrating that earnings are expanding at a pace far exceeding revenue, which often implies a leverage effect from fixed cost structures or volume growth improving margins. Regarding income distribution, the company offers a dividend yield of 0.8% with a payout ratio of 13.1%, indicating a highly conservative payout strategy where the vast majority of earnings are retained for reinvestment rather than distributed to shareholders. The low payout ratio relative to the high earnings growth suggests that the company prioritizes balance sheet strengthening and capital allocation over immediate shareholder returns, a common strategy for growth-oriented resource companies. Overall, the growth and income profile presents a scenario of aggressive earnings expansion supported by a minimal but sustainable dividend, balancing capital retention for future development with a token return to investors.