Chord Energy (CHRD) AI Stock Analysis

• Market Cap: $5.39B
• Dividend Yield: 5.43%
• Average Volume (3M): 892.11K
• Price to Earnings (P/E): 5.6
• Beta (1Y): 0.87
• Revenue Growth: 31.71%
• EPS Growth: -32.13%
• Country: US
• Employees: 762
• Sector: Energy
• Sector Strength: 49
• Industry: Oil & Gas Exploration & Production
• EPS (TTM): 4.04
• Shares Outstanding: 59,489,483
• 10 Day Avg. Volume: 680,121
• 30 Day Avg. Volume: 892,106
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 0.00
• Price to Cash Flow (P/CF): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: 1.49
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: 6.14
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $132.50
• Price Target Upside: 42.41% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 13

Chord Energy receives a strong overall score due to its solid financial performance, strategic financial management, and attractive valuation metrics. While technical indicators suggest some caution in the short term, the company's robust balance sheet, effective cash management, and strategic initiatives provide confidence in its long-term prospects. Challenges such as pricing volatility and potential production declines are noted but are mitigated by the company's strategic focus and financial flexibility.

Positive Factors

Financial Performance

CHRD reported excellent results with a beat on all fronts.

Operational Success

Operational success and accelerated 4-mile lateral development reduce risk and sustain a positive outlook for Chord Energy Corporation.

Share Buybacks

Chord Energy repurchased 2 million shares, allocating virtually all post-dividend free cash flow to the buyback.

Negative Factors

Oil Prices Impact

There is a risk of delaying roughly 25% of gross TILs if low oil prices continue and the spot crew does not return.

Operating Expenses

Per unit LOE may temporarily increase to over $10/boe in Q2'25, due to higher workover activity following winter downtime.

Target Price Adjustment

The target price is reduced to maintain the view for an EV/DACF multiple given current pricing.

Chord Energy Business Overview & Revenue Model

Company Description

Chord Energy Corporation operates as an independent exploration and production company. It acquires, exploits, develops, and explores for crude oil, natural gas, and natural gas liquids in the Williston Basin. The company was founded in 2007 and is headquartered in Houston, Texas.

How the Company Makes Money

Chord Energy generates revenue through the sale of oil and natural gas produced from its exploration and production activities. The company's key revenue streams include the direct sale of crude oil and natural gas to various markets including domestic and international buyers. Chord Energy may also engage in hedging activities to manage commodity price risks, which can impact its revenue positively or negatively depending on market conditions. Strategic partnerships and joint ventures with other energy companies can also contribute to its earnings by expanding its operational capabilities and market reach.

Chord Energy Financial Statement Overview

Summary

Chord Energy exhibits a strong financial position with healthy revenue growth of 34.73%, substantial profitability, and solid cash flow generation. The company's low leverage with a Debt-to-Equity Ratio of 0.10 and effective cash management contribute to financial stability. However, there is room for improvement in operational efficiency and returns on equity.

Income Statement

Chord Energy's income statement reflects a strong financial performance over the TTM period. The company has achieved a Gross Profit Margin of 46.47% and a Net Profit Margin of 16.16%, indicating efficient cost management and robust profitability. The Revenue Growth Rate of 34.73% from the previous year highlights significant expansion. However, a slight decline in EBIT Margin from 32.66% to 21.77% suggests some operational challenges. Overall, the company demonstrates healthy revenue growth and profitability, though attention to operational efficiency is warranted.

Balance Sheet

The balance sheet of Chord Energy shows a solid financial foundation with a Debt-to-Equity Ratio of 0.10, reflecting low leverage and financial stability. The Return on Equity (ROE) stands at 9.75%, indicating efficient use of equity to generate profits. The Equity Ratio of 66.76% suggests a strong reliance on equity financing, which enhances financial stability. While the company's low debt levels are a positive, the moderate ROE implies room for improvement in generating returns for shareholders.

Cash Flow

Chord Energy's cash flow statement is robust, with a Free Cash Flow Growth Rate of 33.68%, indicating strong cash generation capabilities. The Operating Cash Flow to Net Income Ratio of 2.48 demonstrates efficient conversion of income to cash, supporting liquidity and operational resilience. Furthermore, the Free Cash Flow to Net Income Ratio of 1.44 highlights effective cash management. Despite strong cash flows, maintaining these levels while managing capital expenditures remains crucial.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
5.25B	3.90B	3.65B	1.58B	1.08B
	Gross Profit
1.31B	1.44B	1.79B	670.09M	240.05M
	EBIT
1.10B	1.27B	1.58B	571.90M	70.68M
	EBITDA
2.28B	1.97B	1.74B	123.44M	-3.77B
	Net Income Common Stockholders
848.63M	1.02B	1.43B	188.96M	-3.77B
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
36.95M	318.00M	593.15M	172.11M	15.86M
	Total Assets
13.03B	6.93B	6.63B	3.03B	2.16B
	Total Debt
1.04B	430.62M	417.42M	407.14M	733.60M
	Net Debt
1.01B	112.63M	-175.74M	235.03M	717.75M
	Total Liabilities
4.33B	1.85B	1.95B	1.81B	1.15B
	Stockholders Equity
8.70B	5.08B	4.68B	1.03B	915.94M
Cash Flow		Free Cash Flow
918.15M	914.18M	1.39B	698.39M	-43.62M
	Operating Cash Flow
2.10B	1.82B	1.92B	914.14M	298.19M
	Investing Cash Flow
-1.75B	-1.43B	-682.56M	-920.77M	-102.28M
	Financing Cash Flow
-624.46M	-664.70M	-823.10M	161.19M	-195.70M

Chord Energy Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 93.04
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CHRD, the sentiment is Neutral. The current price of 93.04 is above the 20-day moving average (MA) of 92.13, below the 50-day MA of 99.48, and below the 200-day MA of 120.40, indicating a neutral trend. The MACD of -2.03 indicates Negative momentum. The RSI at 47.20 is Neutral, neither overbought nor oversold. The STOCH value of 53.57 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for CHRD.

Chord Energy Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CHRD	78 Outperform	$5.39B	5.63	12.64%	5.43%	31.71%	-32.13%
MTDR	78 Outperform	$5.05B	5.33	19.20%	2.25%	21.73%	1.48%
MUR	74 Outperform	$3.00B	7.64	7.54%	5.60%	-14.90%	-27.53%
MGY	72 Outperform	$4.10B	10.56	20.85%	2.46%	8.78%	0.56%
CNX	62 Neutral	$4.55B	9.01	-7.30%	―	22.23%	-130.65%
Sector *	56 Neutral	$7.06B	3.68	-4.87%	5.83%	0.28%	-51.94%
CRK	47 Neutral	$6.32B	―	-14.17%	0.66%	-1.73%	-608.98%

Chord Energy Corporate Events

Chord Energy Completes $750 Million Notes Offering

Chord Energy Corporation, on March 13, 2025, completed its offering of $750 million in senior unsecured notes due 2033, guaranteed by its subsidiaries. The proceeds were used to purchase and redeem existing notes, repay credit facility borrowings, and cover related expenses, impacting the company’s debt structure and financial strategy.

Chord Energy Announces $750 Million Notes Offering

On March 3, 2025, Chord Energy Corporation announced the pricing of a $750 million offering of 6.750% senior unsecured notes due 2033. The proceeds from this offering will be used to finance a tender offer for outstanding 2026 notes, repay borrowings under the company’s credit facility, and cover associated fees and expenses. This strategic financial move aims to strengthen Chord Energy’s balance sheet and operational flexibility.

Chord Energy Announces $750 Million Notes Offering

On March 3, 2025, Chord Energy Corporation announced a $750 million offering of new senior unsecured notes due 2033 in a private placement, alongside a cash tender offer to purchase its outstanding $400 million senior unsecured notes due 2026. The proceeds from the new notes will be used to finance the tender offer, redeem any remaining 2026 notes, repay a portion of its credit facility borrowings, and cover associated fees and expenses. This strategic financial maneuver aims to optimize the company’s debt structure and enhance its financial flexibility.