Antero Resources: Actively Repurchasing Its Shares And Notes

Summary

  • Antero has been repurchasing both its shares and notes.
  • It has $707 million in remaining availability under its share repurchase program.
  • It also repurchased $326 million in note principal recently, reducing its interest costs by $26 million per year.
  • Despite weaker strip prices for oil and C3+ NGLs, it is still projected to generate $4.8 billion in positive cash flow in 2H 2022 and 2023 combined.
  • This is helped by natural gas strip remaining high ($8 for 2H 2022 and above $6 for 2023).
  • Looking for more investing ideas like this one? Get them exclusively at Distressed Value Investing. Learn More »

Cowpen Daisies and Mount Antero

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Antero Resources (NYSE:AR) has been actively repurchasing both its notes and common shares. It recently repurchased $326 million in note principal, helping reduce its interest costs by around $26 million per year. It also has $707 million in remaining authorization

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This article was written by

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Aaron Chow, aka Elephant Analytics has 15+ years of analytical experience and is a top rated analyst on TipRanks. Aaron previously co-founded a mobile gaming company (Absolute Games) that was acquired by PENN Entertainment. He used his analytical and modeling skills to design the in-game economic models for two mobile apps with over 30 million in combined installs. He is the author of the investing group Distressed Value Investing, which focuses on both value opportunities and distressed plays, with a significant focus on the energy sector. Learn more>>

Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, but may initiate a beneficial Long position through a purchase of the stock, or the purchase of call options or similar derivatives in AR over the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

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