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Antero Midstream Corporation (AM) Up 6.6% Since Last Earnings Report: Can It Continue?
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It has been about a month since the last earnings report for Antero Midstream Corporation (AM - Free Report) . Shares have added about 6.6% in that time frame, outperforming the S&P 500.
Will the recent positive trend continue leading up to its next earnings release, or is Antero Midstream Corporation due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at its most recent earnings report in order to get a better handle on the important catalysts.
Antero Midstream Q4 Earnings & Revenues Beat Estimates
Antero Midstream reported fourth-quarter adjusted earnings per share of 20 cents, beating the Zacks Consensus Estimate by a penny. However, the bottom line declined from the year-ago quarter’s 21 cents per share.
Total quarterly revenues of $216.5 million surpassed the Zacks Consensus Estimate of $204 million. The top line also increased from $204 million in the year-ago quarter.
The better-than-expected earnings can be attributed to higher freshwater delivery volumes. The positives were partially offset by lower compression and gathering volumes.
Operational Performance
For fourth-quarter 2021, average daily compression volumes were recorded at 2,843 million cubic feet (MMcf/d), down from the year-ago level of 2,851 MMcf/d. On a per-Mcf basis, the compression fee was 20 cents, improving from the prior-year quarter’s 19 cents.
For the reported quarter, high-pressure gathering volumes totaled 2,915 MMcf/d, down from the year-ago period’s 3,017 MMcf/d. On a per-Mcf basis, the average gathering high-pressure fee was 20 cents, improving from the prior-year level of 19 cents.
Low-pressure gathering volumes averaged 2,961 MMcf/d, down from the fourth-quarter 2020 figure of 3,053 MMcf/d. On a per-Mcf basis, the average gathering low-pressure fee was 33 cents, in line with the prior-year level.
Freshwater delivery volumes were at 80 MBbls/d, up 86% from the prior-year level of 43 MBbls/d. On a per-barrel basis, the average freshwater distribution fee was $3.97 per barrel in the reported quarter, up from $3.96 in the prior-year quarter.
Operating Expenses
For fourth-quarter 2021, direct operating expenses were recorded at $38.8 million, up from $36.5 million a year ago. G&A expenses rose to $16.8 million from $13 million in the year-ago quarter.
Total expenses for the quarter were $88 million, decreasing from the fourth-quarter 2020 levels of $89 million.
Balance Sheet
As of Dec 31, Antero Midstream had no cash and cash equivalents. As of the same date, the company had $3,122.9 million of long-term debt, sequentially up from $3,095.6 million. It had a long-term debt to capitalization of 57.2%.
Other Details
Free cash flow after dividend payments was a $19.4-million deficit in the fourth quarter.
Capital expenditure (accrual basis) was recorded at $80 million, increasing 179% from the prior-year quarter. Net cash from operations was $164 million in the reported quarter.
How Have Estimates Been Moving Since Then?
It turns out, estimates revision have trended downward during the past month.
VGM Scores
Currently, Antero Midstream Corporation has an average Growth Score of C, though it is lagging a lot on the Momentum Score front with an F. Charting a somewhat similar path, the stock was allocated a grade of D on the value side, putting it in the bottom 40% for this investment strategy.
Overall, the stock has an aggregate VGM Score of D. If you aren't focused on one strategy, this score is the one you should be interested in.
Outlook
Estimates have been broadly trending downward for the stock, and the magnitude of this revision indicates a downward shift. Notably, Antero Midstream Corporation has a Zacks Rank #2 (Buy). We expect an above average return from the stock in the next few months.
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Antero Midstream Corporation (AM) Up 6.6% Since Last Earnings Report: Can It Continue?
It has been about a month since the last earnings report for Antero Midstream Corporation (AM - Free Report) . Shares have added about 6.6% in that time frame, outperforming the S&P 500.
Will the recent positive trend continue leading up to its next earnings release, or is Antero Midstream Corporation due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at its most recent earnings report in order to get a better handle on the important catalysts.
Antero Midstream Q4 Earnings & Revenues Beat Estimates
Antero Midstream reported fourth-quarter adjusted earnings per share of 20 cents, beating the Zacks Consensus Estimate by a penny. However, the bottom line declined from the year-ago quarter’s 21 cents per share.
Total quarterly revenues of $216.5 million surpassed the Zacks Consensus Estimate of $204 million. The top line also increased from $204 million in the year-ago quarter.
The better-than-expected earnings can be attributed to higher freshwater delivery volumes. The positives were partially offset by lower compression and gathering volumes.
Operational Performance
For fourth-quarter 2021, average daily compression volumes were recorded at 2,843 million cubic feet (MMcf/d), down from the year-ago level of 2,851 MMcf/d. On a per-Mcf basis, the compression fee was 20 cents, improving from the prior-year quarter’s 19 cents.
For the reported quarter, high-pressure gathering volumes totaled 2,915 MMcf/d, down from the year-ago period’s 3,017 MMcf/d. On a per-Mcf basis, the average gathering high-pressure fee was 20 cents, improving from the prior-year level of 19 cents.
Low-pressure gathering volumes averaged 2,961 MMcf/d, down from the fourth-quarter 2020 figure of 3,053 MMcf/d. On a per-Mcf basis, the average gathering low-pressure fee was 33 cents, in line with the prior-year level.
Freshwater delivery volumes were at 80 MBbls/d, up 86% from the prior-year level of 43 MBbls/d. On a per-barrel basis, the average freshwater distribution fee was $3.97 per barrel in the reported quarter, up from $3.96 in the prior-year quarter.
Operating Expenses
For fourth-quarter 2021, direct operating expenses were recorded at $38.8 million, up from $36.5 million a year ago. G&A expenses rose to $16.8 million from $13 million in the year-ago quarter.
Total expenses for the quarter were $88 million, decreasing from the fourth-quarter 2020 levels of $89 million.
Balance Sheet
As of Dec 31, Antero Midstream had no cash and cash equivalents. As of the same date, the company had $3,122.9 million of long-term debt, sequentially up from $3,095.6 million. It had a long-term debt to capitalization of 57.2%.
Other Details
Free cash flow after dividend payments was a $19.4-million deficit in the fourth quarter.
Capital expenditure (accrual basis) was recorded at $80 million, increasing 179% from the prior-year quarter. Net cash from operations was $164 million in the reported quarter.
How Have Estimates Been Moving Since Then?
It turns out, estimates revision have trended downward during the past month.
VGM Scores
Currently, Antero Midstream Corporation has an average Growth Score of C, though it is lagging a lot on the Momentum Score front with an F. Charting a somewhat similar path, the stock was allocated a grade of D on the value side, putting it in the bottom 40% for this investment strategy.
Overall, the stock has an aggregate VGM Score of D. If you aren't focused on one strategy, this score is the one you should be interested in.
Outlook
Estimates have been broadly trending downward for the stock, and the magnitude of this revision indicates a downward shift. Notably, Antero Midstream Corporation has a Zacks Rank #2 (Buy). We expect an above average return from the stock in the next few months.