Range Resources Q2 adjusted EPS beats estimates on record NGL pricing premium

Overview

• U.S. natural gas producer's Q2 adjusted EPS beat analyst expectations

• Adjusted net income for Q2 also beat analyst expectations

• Company repurchased $78 mln of shares and paid $24 mln in dividends in Q2

Outlook

• Company expects 2026 capital spending of $650 mln to $700 mln

• Annual 2026 production forecast at 2.35 to 2.40 Bcfe per day

• Company raises 2026 NGL price guidance to MB plus $2.00 to $2.50 per barrel

Result Drivers

• OPERATIONAL EFFICIENCY - Co cited record drilling and completion efficiencies as supporting Q2 results and operational momentum

• NGL PRICING PREMIUM - Strategic access to international markets drove a record NGL premium, bolstering margins

• DERIVATIVE GAINS - Q2 net income included a $74 mln mark-to-market derivative gain due to decreases in commodity prices

Company press release: ID:nGNX8nhHnv

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 7 "strong buy" or "buy", 16 "hold" and 1 "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 $45.50, about 24.1% above its July 20 closing price of $36.67

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

Reuters Recommended Reads

• July 21 - Vaar Energi to buy BlueNord in $1.33 billion oil and gas takeover

• July 20 - Canada's Saturn Oil Gas posts prelim Q2 petroleum and natural gas revenue of C$359 mln

• July 21 - Oil prices drive Maurel Prom's half-year sales 27% higher

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)