tiprankstipranks
Permian Resources Corporation (PR)
NYSE:PR
Want to see PR full AI Analyst Report?

Permian Resources (PR) AI Stock Analysis

1,921 Followers

Top Page

PR

Permian Resources

(NYSE:PR)

Select Model
Select Model
Select Model
Outperform 73 (OpenAI - 5.2)
Rating:73Outperform
Price Target:
$22.00
â–²(3.04% Upside)
Action:Reiterated
Date:08/06/26
The score is driven primarily by solid financial performance (strong profitability and improved leverage) and a very constructive earnings-call outlook (raised production guidance, record free cash flow, and continued balance-sheet discipline). Offsetting factors include mixed/neutral technical signals and a less-attractive valuation for a cyclical E&P business despite a moderate dividend yield.
Positive Factors
Deleveraging / Balance Sheet Strength
Meaningful deleveraging from prior years to ~0.36 (2025) materially increases financial flexibility. A stronger capital structure supports disciplined capex, accretive M&A, dividend capacity and resilience across commodity cycles, reducing refinancing and covenant risks over the next several quarters.
Negative Factors
Takeaway / WAHA gas-price exposure
Regional pipeline/takeaway constraints and extreme WAHA dislocations can force curtailments of high-GOR wells and materially depress realizations. Even with hedges and firm transport, sustained regional weakness can erode netbacks, increase volatility in cash flows and require operational curtailments.
Read all positive and negative factors
Positive Factors
Negative Factors
Deleveraging / Balance Sheet Strength
Meaningful deleveraging from prior years to ~0.36 (2025) materially increases financial flexibility. A stronger capital structure supports disciplined capex, accretive M&A, dividend capacity and resilience across commodity cycles, reducing refinancing and covenant risks over the next several quarters.
Read all positive factors

Permian Resources (PR) vs. SPDR S&P 500 ETF (SPY)

Permian Resources Business Overview & Revenue Model

Company Description
Permian Resources Corporation operates as an independent producer in the oil and natural gas sector, primarily concentrating its efforts on the extraction of crude oil and associated liquids-rich natural gas reserves within the United States. Its ...
How the Company Makes Money
Permian Resources makes money primarily by producing and selling hydrocarbons—crude oil, natural gas, and NGLs—from wells it drills and operates in the Permian Basin. Revenue is generated when these produced volumes are sold to third-party purchas...

Permian Resources Earnings Call Summary

Earnings Call Date:Aug 05, 2026
(Q2-2026)
|
% Change Since: |
Next Earnings Date:Nov 10, 2026
Earnings Call Sentiment Positive
The call was broadly positive: management reported record quarterly free cash flow, small but meaningful production growth, improved full‑year guidance, a strong and active accretive M&A program, a fortress-like balance sheet (0.5x leverage), and multiple operational efficiency initiatives (longer laterals, water recycling, slim-hole designs, surfactant trials). Key challenges included a severe Q2 WAHA gas-price dislocation that required temporary curtailments, some inflationary input-cost pressures (diesel, casing), and mixed early results from productivity trials. Management communicated disciplined capital allocation and the ability to react quickly to market volatility, which mitigates many short-term risks.
Positive Updates
Record Free Cash Flow
Q2 2026 free cash flow of $751 million, a near 50% increase quarter-over-quarter, and record free cash flow per share of $0.88. Company expects full-year 2026 free cash flow to be nearly double 2024 levels and Q2 FCF exceeded all of 2023.
Negative Updates
Severe WAHA Natural Gas Dislocation in Q2
WAHA averaged negative $3.14/Mcf in Q2 and traded as low as negative $9.52/Mcf, forcing production curtailments and reducing natural gas production ~20% QoQ. Historic volatility in realized dry gas pricing remains a business risk despite interim hedging and transportation arrangements.
Read all updates
Q2-2026 Updates
Negative
Record Free Cash Flow
Q2 2026 free cash flow of $751 million, a near 50% increase quarter-over-quarter, and record free cash flow per share of $0.88. Company expects full-year 2026 free cash flow to be nearly double 2024 levels and Q2 FCF exceeded all of 2023.
Read all positive updates
Company Guidance
Permian Resources updated 2026 guidance to 199,000 barrels of oil per day (up 10% vs. 2025) with a CapEx midpoint of $1.95 billion (≈1% below last year) and expected year‑end leverage of ~0.5x, and said full‑year 2026 free cash flow should be nearly double 2024. In Q2 the company generated record free cash flow of $751 million (FCF/share $0.88), produced ~198,000 bpd oil (up 3% q/q, +6,000 bpd on $521 million cash capex), achieved ~82% working interest in completed wells (vs. a 75% plan; TILs now >80%), and realized $0.38/Mcf on gas after curtailing ~20% of gas during WAHA pricing that averaged -$3.14/Mcf (intra‑quarter low -$9.52/Mcf), which yielded an uplift of >$75 million. Year‑to‑date M&A totaled ~55,000 net acres for ~$1.05 billion across ~190 transactions adding ~330 high‑confidence locations (valuation metrics: $13,000/NetAcre, $8,000/NetRoyaltyAcre, $2.5M/net location), including Ward County (~2,000 net acres and ~5,000 Boe/d for $520 million) and the Parkway bolt‑on (~15,000 net acres, 2‑mile laterals, 82.5% NRI).

Permian Resources Financial Statement Overview

Summary
Strong TTM profitability (net margin ~32%) and revenue growth (~13%) support a solid earnings base, while the balance sheet shows meaningful deleveraging (debt-to-equity down to ~0.36 in 2025). Cash generation is strong (TTM OCF ~4.8B; FCF ~1.76B), but gross margin has compressed to the mid-30% range and free-cash-flow history is uneven, reflecting ongoing commodity/capex sensitivity.
Income Statement
78
Positive
Balance Sheet
80
Positive
Cash Flow
74
Positive
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue5.74B5.07B5.00B3.12B2.13B1.03B
Gross Profit2.86B1.66B2.36B1.65B1.42B548.46M
EBITDA3.71B3.70B3.62B2.20B1.41B489.15M
Net Income1.23B935.17M984.70M476.31M515.04M138.18M
Balance Sheet
Total Assets18.50B18.24B16.90B14.97B8.49B3.80B
Cash, Cash Equivalents and Short-Term Investments131.72M153.69M479.34M73.29M59.55M9.38M
Total Debt3.13B3.70B4.31B3.91B2.21B842.98M
Total Liabilities6.50B6.70B6.38B5.74B2.84B1.05B
Stockholders Equity12.01B10.28B9.14B6.34B2.94B2.75B
Cash Flow
Free Cash Flow1.61B557.39M291.33M419.83M587.67M198.57M
Operating Cash Flow3.99B3.61B3.41B2.21B1.37B525.62M
Investing Cash Flow-2.90B-2.87B-3.10B-1.58B-1.21B-226.48M
Financing Cash Flow-1.41B-1.06B97.71M-631.19M-106.63M-297.55M

Permian Resources Technical Analysis

Technical Analysis Sentiment
Positive
Last Price21.35
Price Trends
50DMA
19.69
Positive
100DMA
20.07
Positive
200DMA
17.54
Positive
Market Momentum
MACD
0.38
Negative
RSI
60.31
Neutral
STOCH
91.61
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For PR, the sentiment is Positive. The current price of 21.35 is above the 20-day moving average (MA) of 20.71, above the 50-day MA of 19.69, and above the 200-day MA of 17.54, indicating a bullish trend. The MACD of 0.38 indicates Negative momentum. The RSI at 60.31 is Neutral, neither overbought nor oversold. The STOCH value of 91.61 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for PR.

Permian Resources Peers Comparison

Overall Rating
UnderperformOutperform
Sector (65)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
78
Outperform
$75.22B11.0822.38%2.79%17.13%24.89%
74
Outperform
$14.23B8.4526.27%2.77%-12.44%58.92%
73
Outperform
$17.97B13.8711.32%2.90%12.81%-5.91%
72
Outperform
$49.94B10.6114.90%2.31%18.28%-5.35%
71
Outperform
$56.48B39.234.22%2.03%21.45%-63.30%
68
Neutral
$6.51B9.018.74%2.83%1.84%-14.76%
65
Neutral
$15.17B7.614.09%5.20%3.87%-62.32%
* Energy Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
PR
Permian Resources
21.45
8.51
65.71%
APA
APA
39.97
20.10
101.19%
DVN
Devon Energy
44.86
12.09
36.90%
EOG
EOG Resources
143.14
27.68
23.98%
MTDR
Matador Resources
52.51
6.33
13.70%
FANG
Diamondback
200.84
64.38
47.18%

Permian Resources Corporate Events

Business Operations and StrategyDividendsFinancial DisclosuresM&A Transactions
Permian Resources boosts 2026 guidance after strong quarter
Positive
Aug 5, 2026
Permian Resources reported strong second-quarter 2026 results on August 5, 2026, with average total production of 376,400 Boe per day and crude output of 198,071 barrels per day, up 3% quarter-on-quarter. The company delivered net cash from operat...
Business Operations and StrategyExecutive/Board ChangesShareholder Meetings
Permian Resources Shareholders Expand Equity Plan, Elect Directors
Neutral
May 19, 2026
At its 2026 Annual Meeting of Shareholders held on May 19, 2026, Permian Resources investors approved an amendment to the company’s 2023 Long Term Incentive Plan, raising the maximum number of Class A shares issuable under the plan from 71,7...
Business Operations and StrategyPrivate Placements and Financing
Permian Resources Secures New Unsecured Credit Facility
Positive
May 6, 2026
On April 30, 2026, Permian Resources Operating, LLC entered into a new $3.0 billion senior unsecured credit facility led by JPMorgan Chase Bank, replacing its prior bank facility and extending its primary source of revolving liquidity to April 30,...
Business Operations and StrategyDividendsFinancial DisclosuresPrivate Placements and Financing
Permian Resources Posts Strong Q1 2026 Results, Raises Guidance
Positive
May 6, 2026
Permian Resources reported strong first quarter 2026 results on May 6, with average total production of 412,850 Boe/d, including 192,349 Bbls/d of oil, and adjusted free cash flow of $513 million on cash capital expenditures of $466 million. The c...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Aug 06, 2026