Natl Bk Canada Downgrades ARC Resources (TSE:ARX) to Hold

ARC Resources (TSE:ARX) was downgraded by analysts at Natl Bk Canada from a “strong-buy” rating to a “hold” rating in a research note issued to investors on Friday,Zacks.com reports.

ARX has been the subject of several other research reports. Scotiabank decreased their price target on shares of ARC Resources from C$30.00 to C$28.00 and set a “sector perform” rating for the company in a report on Wednesday, January 21st. Roth Mkm raised ARC Resources to a “strong-buy” rating in a research note on Friday, December 19th. Canadian Imperial Bank of Commerce lowered their price target on ARC Resources from C$34.00 to C$31.50 in a report on Wednesday, October 15th. MKM Partners set a C$34.00 price objective on ARC Resources and gave the company a “buy” rating in a report on Friday, December 19th. Finally, UBS Group lowered ARC Resources from a “strong-buy” rating to a “hold” rating in a research report on Friday, December 12th. Two analysts have rated the stock with a Strong Buy rating, six have assigned a Buy rating and five have issued a Hold rating to the company’s stock. Based on data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and a consensus price target of C$31.77.

ARC Resources Price Performance

Shares of ARX opened at C$22.83 on Friday. The stock has a market cap of C$13.14 billion, a P/E ratio of 9.71, a price-to-earnings-growth ratio of 0.29 and a beta of 0.00. ARC Resources has a 1 year low of C$21.14 and a 1 year high of C$31.56. The stock’s 50-day moving average price is C$25.18 and its two-hundred day moving average price is C$25.61. The company has a current ratio of 1.14, a quick ratio of 0.42 and a debt-to-equity ratio of 30.05.

ARC Resources (TSE:ARX) last announced its quarterly earnings results on Thursday, February 5th. The oil and gas exploration company reported C$0.46 EPS for the quarter. ARC Resources had a return on equity of 14.60% and a net margin of 20.95%. On average, equities analysts predict that ARC Resources will post 2.7255139 earnings per share for the current year.

ARC Resources News Summary

Here are the key news stories impacting ARC Resources this week:

• Positive Sentiment: Higher operating cash and a larger cash balance improve liquidity and give ARC more flexibility for capital spending and dividends. Q3 2025 earnings summary
• Positive Sentiment: Significant insider purchases and large institutional buys signal management confidence and strong institutional interest, which can support the stock over time. Insider & institutional activity
• Neutral Sentiment: ARC published its year‑end 2025 results and reserves; the release provides updated production/reserve metrics investors will parse for long‑term value but did not on its own provide a clear catalyst. Year‑end 2025 results & reserves
• Neutral Sentiment: Quarterly headline EPS was C$0.46 with a healthy net margin and ROE; slide deck and press release give details for analysts and modelers. Press release / slide deck
• Negative Sentiment: Analyst downgrade from National Bankshares (outperform → sector perform) and a trimmed C$26 price target reduced near‑term support from at least one sell‑side shop, weighing on sentiment. Analyst downgrade
• Negative Sentiment: Q3/2025 showed a steep revenue decline and an enormous year‑over‑year jump in cost of sales and total liabilities—this balance‑sheet and cost volatility raise execution and financing concerns. Earnings detail and liability increase
• Negative Sentiment: Analyst price‑target dispersion (median targets below some current levels) and published notes lowering expectations add downward pressure on sentiment. Analyst expectations lowered

ARC Resources Company Profile

ARC Resources is an independent energy company engaged in the acquisition, exploration, development, and production of conventional oil and natural gas in Western Canada. The company produces light, medium, and heavy crude, condensate, natural gas liquids, and natural gas. Production averaged 163.6 thousand barrels of oil equivalent per day in 2020, and the company estimates that it holds approximately 879 million boe of proven and probable crude oil and natural gas reserves.