02:35 PM EST, 11/10/2025 (MT Newswires) -- CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows:
Our 12-month target price of $27, up $5, reflects a 3.2x multiple of enterprise value to projected 2026 EBITDA, a slight discount to APA's historical forward average. We think the discount is reasonable in light of APA's twin challenges of high debt levels and low reserve life, compounded by a somewhat tepid price environment for crude oil. To be fair, APA is making headway on debt levels (net debt is down $1.8B to $4.0B in just six months), and its cost-cutting efforts appear to be bearing fruit, so we are less bearish on the multiple than before. We lift our 2025 EPS estimate by $0.44 to $3.73 and trim 2026's by $0.33 to $2.98. APA has growth potential with the Permian Basin in the short term and with Suriname in the long term. APA is focusing on cost optimization, which we think bodes well. Tactically, production is shifting a bit toward natural gas, which seems reasonable, but we do see some risk of natural gas prices undershooting elevated forecasts.