Oil and gas producer Range Resources Q2 adjusted EPS beats estimates

Overview

• Range Resources Q2 2025 adjusted EPS beats analyst expectations, per LSEG data
• Adjusted net income of $158 mln missed analyst estimates, per LSEG data
• Company repurchased $53 mln of shares, reduced net debt to $1.2 bln

Outlook

• Co expects 2025 capital spending of $650 mln to $680 mln vs prior guidance of $650 million - $690 million
• Oil and gas exploration and producing company forecasts 2025 production at about 2.225 Bcfe per day
• Range anticipates 2025 natural gas differential of ($0.40) to ($0.48) to NYMEX
• Company sees 2025 NGL differential of +$0.40 to +$1.25 per barrel to Mont Belvieu

Result Drivers

• EFFICIENCY GAINS - Co attributes strong Q2 results to efficiency gains and consistent well performance, per CEO Dennis Degner
• PRODUCTION GUIDANCE - Improved 2025 production guidance due to operational efficiencies and increased lateral footage
• PRICING DIFFERENTIALS - Favorable pricing differentials for NGLs and natural gas contributed to financial performance

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 10 "strong buy" or "buy", 16 "hold" and no "sell" or "strong sell"
• The average consensus recommendation for the oil & gas exploration and production peer group is "buy"
• Wall Street's median 12-month price target for Range Resources Corp is $44.00, about 19.8% above its July 21 closing price of $35.30
• The stock recently traded at 9 times the next 12-month earnings vs. a P/E of 11 three months ago