Range Resources (RRC) AI Stock Analysis

• Market Cap: $9.26B
• Dividend Yield: 0.93%
• Average Volume (3M): 2.64M
• Price to Earnings (P/E): 34.7
• Beta (1Y): 0.84
• Revenue Growth: 11.88%
• EPS Growth: -43.44%
• Country: US
• Employees: 565
• Sector: Energy
• Sector Strength: 48
• Industry: Oil & Gas Exploration & Production
• EPS (TTM): 0.96
• Shares Outstanding: 238,973,740
• 10 Day Avg. Volume: 2,981,362
• 30 Day Avg. Volume: 2,636,703
• PEG Ratio: 0.28
• Price to Book (P/B): 0.51
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -18.38
• Enterprise Value/Market Cap: 0.48
• Enterprise Value/Revenue: 0.46
• Enterprise Value/Gross Profit: 5.81
• Enterprise Value/Ebitda: 1.21
• 1Y Price Target: $41.59
• Price Target Upside: 5.75% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 18

• Rating: 68 Neutral
• Price Target: $42.00 ▲(6.79%Upside)

Range Resources shows strong financial performance and effective operational management, particularly in cash flow generation and cost control. While the technical analysis indicates potential for growth, the stock's high valuation may limit immediate upside. The positive sentiment from the earnings call further supports a favorable outlook, despite some short-term production challenges.

Positive Factors

Debt Management

The company drives down net-debt to the low-end of its $1.0-$1.5 billion target, creating greater flexibility and potential for an acceleration of buyback activity.

Financial Performance

RRC reported positive results, beating expectations across all key financial metrics.

Production Growth

Range Resources is the first major gas producer to indicate production growth in response to improving natural gas fundamentals.

Negative Factors

Cost Efficiency

Overall operating cost guidance was slightly higher than prior estimates, impacting the company's cost efficiency.

Profitability Concerns

The guidance for 2025 includes an increase in GPT costs, which could impact profitability.

Trade Relations

RRC's sensitivity to the trade war with China is reflected in its recent underperformance.

Range Resources Business Overview & Revenue Model

Company Description

Range Resources Corporation (RRC) is a leading independent natural gas, natural gas liquids (NGLs), and oil company in the United States. Headquartered in Fort Worth, Texas, the company is primarily engaged in the exploration, development, and acquisition of natural gas and oil properties. Range Resources focuses largely on the Marcellus Shale, one of the largest natural gas fields in the U.S., spanning parts of Pennsylvania and West Virginia. The company's operations are centered on maximizing resource recovery and operational efficiency while maintaining a commitment to safety and environmental stewardship.

How the Company Makes Money

Range Resources generates revenue primarily through the sale of natural gas, natural gas liquids (NGLs), and oil. The company benefits from its strategic focus on the Marcellus Shale, which is a highly productive and cost-effective region for natural gas extraction. Revenue streams are primarily driven by the market prices of these commodities, which can be influenced by supply and demand dynamics, geopolitical factors, and economic conditions. Additionally, Range Resources enters into various contracts and partnerships to manage risk and secure favorable pricing. The company also uses hedging strategies to mitigate exposure to price fluctuations, ensuring more predictable cash flows. By maintaining a low-cost operational structure and continuously optimizing its drilling and production techniques, Range Resources aims to maximize profitability and shareholder value.

Range Resources Financial Statement Overview

Summary

Range Resources exhibits a resilient financial position with strong cash flow generation and effective cost management. The company maintains solid profitability metrics despite revenue growth challenges. Managing leverage and enhancing equity levels remain key focus areas for sustaining long-term growth and stability.

Income Statement

Range Resources has demonstrated solid recovery in its income statement metrics. The TTM Gross Profit Margin is 44.5%, reflecting strong operational efficiency. The Net Profit Margin stands at 11.1%, which is a positive sign of profitability. Revenue growth has been challenging, with a decline in recent years, but the TTM EBIT Margin of 34.1% and EBITDA Margin of 29.4% indicate solid core earnings strength.

Balance Sheet

The balance sheet shows a Debt-to-Equity Ratio of 0.46, indicating manageable leverage levels. The Return on Equity (ROE) is modest at 6.9%, suggesting moderate profitability for shareholders. The Equity Ratio is 53.4%, reflecting a stable capital structure. However, maintaining high equity levels is crucial to support future growth and mitigate risks.

Cash Flow

The cash flow statement reveals a robust Free Cash Flow Growth of 48% in the TTM, indicating strong cash generation. The Operating Cash Flow to Net Income Ratio is 3.48, suggesting effective cash conversion. The Free Cash Flow to Net Income Ratio of 1.73 highlights the company's ability to generate free cash relative to net income, which is a positive indicator for financial flexibility.

Breakdown
TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
2.00B	2.35B	2.55B	5.34B	3.58B	1.78B
	Gross Profit
220.35M	574.75M	1.14B	3.23B	1.57B	-6.92M
	EBIT
34.07M	354.14M	926.99M	2.86B	1.31B	-217.35M
	EBITDA
-302.02M	736.14M	1.62B	1.96B	1.00B	-130.11M
	Net Income Common Stockholders
-761.07M	266.34M	871.14M	1.18B	411.78M	-711.78M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
546.00K	304.49M	211.97M	207.00K	214.42M	458.00K
	Total Assets
6.61B	7.35B	7.20B	6.63B	6.66B	6.14B
	Total Debt
3.21B	1.82B	1.79B	1.86B	2.73B	3.08B
	Net Debt
3.21B	1.52B	1.58B	1.86B	2.52B	3.08B
	Total Liabilities
4.26B	3.41B	3.44B	3.75B	4.57B	4.50B
	Stockholders Equity
2.35B	3.94B	3.77B	2.88B	2.09B	1.64B
Cash Flow		Free Cash Flow
-149.32M	318.00M	371.66M	1.38B	375.51M	-163.75M
	Operating Cash Flow
253.43M	944.51M	977.89M	1.86B	792.95M	268.68M
	Investing Cash Flow
-156.62M	-623.83M	-601.71M	-489.83M	-417.88M	-184.08M
	Financing Cash Flow
-96.89M	-228.16M	-164.42M	-1.59B	-161.10M	-84.69M

Range Resources Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 39.33
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For RRC, the sentiment is Positive. The current price of 39.33 is above the 20-day moving average (MA) of 39.15, above the 50-day MA of 36.77, and above the 200-day MA of 35.08, indicating a bullish trend. The MACD of 0.39 indicates Positive momentum. The RSI at 57.05 is Neutral, neither overbought nor oversold. The STOCH value of 69.18 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for RRC.

Range Resources Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
PR	82 Outperform	$11.22B	8.66	14.35%	4.28%	37.00%	44.18%
CHRD	78 Outperform	$5.75B	6.67	12.64%	5.22%	31.71%	-32.13%
NFG	70 Outperform	$7.41B	186.81	1.30%	2.51%	7.14%	-90.91%
RRC	68 Neutral	$9.26B	34.72	6.96%	0.93%	11.88%	-43.44%
AR	67 Neutral	$11.92B	54.16	3.21%	―	6.67%	240.70%
Sector *	58 Neutral	$7.37B	3.39	-4.49%	10.01%	0.82%	-49.15%
CRK	52 Neutral	$7.04B	―	-14.17%	0.66%	-1.73%	-608.98%

Range Resources Corporate Events

Range Resources Holds Annual Stockholders Meeting

On May 14, 2025, Range Resources Corporation held its Annual Meeting of Stockholders, where key decisions were made, including the election of seven directors for a one-year term. Additionally, stockholders approved the executive compensation policies and ratified Ernst & Young LLP as the independent accounting firm for the fiscal year ending December 31, 2025.

The most recent analyst rating on (RRC) stock is a Buy with a $45.00 price target. To see the full list of analyst forecasts on Range Resources stock, see the RRC Stock Forecast page.