Chord Energy posts higher Q2 production, raises FY forecast

Overview

• Chord Energy Q2 production volumes exceeded guidance, boosting operational performance

• Adjusted EPS of $1.79 missed analyst estimates, per LSEG data

• Raised FY25 oil production guidance, reduced capital expenditure by $20 mln

Outlook

• Chord raises FY25 oil production guidance by 500 Bopd

• Company lowers FY25 capital expenditures by $20 mln at midpoint

• Chord expects FY25 Adjusted FCF to improve by 20%

• Company plans to return second completions crew in 4Q25

Result Drivers

• PRODUCTION VOLUMES - Exceeded company's guidance due to strong well performance and improved uptime

• CAPITAL EFFICIENCY - Reduced capital expenditures by $20 mln due to operational efficiencies

• ADJUSTED FCF - Improved by ~20% driven by capital efficiency and lower operating costs

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 14 "strong buy" or "buy", 3 "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 Chord Energy Corp is $140.00, about 24% above its August 5 closing price of $106.44

• The stock recently traded at 11 times the next 12-month earnings vs. a P/E of 9 three months ago

Press Release: ID:nPn92ch88a