ARC Resources (TSE:ARX) Stock Price Down 12.2% on Analyst Downgrade

ARC Resources Ltd. (TSE:ARX)’s share price traded down 12.2% during trading on Friday after National Bankshares downgraded the stock from an outperform rating to a sector perform rating. National Bankshares now has a C$26.00 price target on the stock, down from their previous price target of C$27.00. ARC Resources traded as low as C$21.14 and last traded at C$22.30. 12,261,915 shares were traded during trading, an increase of 187% from the average session volume of 4,266,866 shares. The stock had previously closed at C$25.40.

Other equities analysts have also recently issued reports about the company. Roth Mkm upgraded ARC Resources to a “strong-buy” rating in a report on Friday, December 19th. Canadian Imperial Bank of Commerce cut their target price on shares of ARC Resources from C$34.00 to C$31.50 in a research note on Wednesday, October 15th. UBS Group cut shares of ARC Resources from a “strong-buy” rating to a “hold” rating in a report on Friday, December 12th. Capital One Financial raised shares of ARC Resources to a “strong-buy” rating in a research note on Monday, October 27th. Finally, MKM Partners set a C$34.00 price objective on shares of ARC Resources and gave the stock a “buy” rating in a research report on Friday, December 19th. Two equities research analysts have rated the stock with a Strong Buy rating, six have assigned a Buy rating and three have given a Hold rating to the company. According to data from MarketBeat, the stock has an average rating of “Moderate Buy” and a consensus target price of C$31.77.

More ARC Resources News

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 Price Performance

The company has a debt-to-equity ratio of 30.05, a current ratio of 1.14 and a quick ratio of 0.42. The business’s fifty day moving average price is C$25.18 and its 200-day moving average price is C$25.61. The stock has a market capitalization of C$13.14 billion, a price-to-earnings ratio of 9.71, a PEG ratio of 0.29 and a beta of 0.00.

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

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.