Using the industry peer median P/E multiple (trailing + forward), APA Corporation (APA) has a fair value of $63.78 based on 9 comparable companies in the Oil & Gas Exploration & Production industry.
USD in millions except Fair Price. Subject company highlighted.
| Mkt Cap ($M) | Trailing P/E | Forward P/E | |
|---|---|---|---|
| APA CorporationAPA | 15,272 | 10.7x | 13.3x |
| ConocoPhillipsCOP | 162,938 | 21.0x | 22.5x |
| EOG Resources, Inc.EOG | 80,098 | 16.2x | 14.3x |
| Occidental Petroleum CorporationOXY | 63,338 | 39.9x | 30.7x |
| Diamondback Energy, Inc.FANG | 57,076 | 35.3x | 16.3x |
| EQT CorporationEQT | 41,845 | 20.3x | 14.0x |
| Texas Pacific Land CorporationTPL | 36,176 | 75.3x | 80.0x |
| Devon Energy CorporationDVN | 31,863 | 12.2x | 14.1x |
| Coterra Energy Inc.CTRA | 27,228 | 15.9x | 14.6x |
| Expand Energy CorporationEXE | 27,022 | 14.8x | 12.5x |
| Industry Median | 20.3x | 14.6x | |
| (*) Profit after tax | 1,434 | 1,149 | |
| Equity Value | 29,040 | 16,757 | |
| (/) Outstanding shares | 359 | 359 | |
| Fair Price | $81 | $47 | |
This P/E relative valuation uses the industry peer median Price-to-Earnings ratio to estimate fair value. Both trailing (last 12 months) and forward (next fiscal year analyst estimates) P/E multiples are computed independently.
The industry median trailing P/E is applied to the company's TTM net income, and the forward P/E to analyst-estimated net income. Each produces an equity value divided by shares outstanding to yield a fair price per share. The selected fair value is the average of the trailing and forward legs.