One-glance verdict
Within fair range
$19.03 our estimate vs market $24.16
Wall Street consensus: $28.10 (47.6% higher than our fair-value estimate)
27% above our estimate
Fundamentals snapshot
Permian Resources Corporation
PR · NYQ · Energy · Oil & Gas E&P
Current price
$24.16
52-week range
$12.04 - $24.64
Market cap
$20.24B
Balance sheet
Watch
6.77x Adequate
Net debt $3.02B. Interest coverage shows how many times profit covers the interest bill.
What stands out
3 Rewards
3 Risks
3 rewards · 3 risks
- Reward Revenue grew 13.3% last year.
- Reward Returns 11.4% on equity, ahead of 16% of its peers.
- Risk Stock trades 68.7% above its 5-year average P/E.
- Risk Net debt grew 63.8% over 3 years.
What this company does
Permian Resources Corporation
Permian Resources Corporation is a company that finds and produces oil and natural gas, mostly from a specific area in West Texas and New Mexico called the Delaware Basin. Their main goal is to extract these energy resources, which are then sold to generate revenue. This matters because oil and natural gas are key energy sources that people and businesses rely on.
How the company got here
Permian Resources Corporation, formerly known as Centennial Resource Development, Inc., was founded in 2015 and is headquartered in Midland, Texas. The company's journey has been centered on acquiring and developing oil and natural gas reserves. A key turning point was its name change to Permian Resources Corporation in September 2022, signaling a strategic focus on its core operational area. This rebranding reflects its commitment to being a leading independent oil and gas producer in the region.
What it actually does
Permian Resources Corporation explores for, develops, and produces crude oil and natural gas. Think of them as a modern-day prospector, but instead of searching for gold, they're looking for underground reservoirs of oil and gas. Once found, they use sophisticated technology to extract these resources, which are then sold to refineries and power plants to create gasoline, plastics, and electricity.
Oil & Gas E&P
This is the company's primary business, focused on the exploration and production (E&P) of oil and natural gas. Permian Resources concentrates its efforts in the Delaware Basin, a rich geological area within the larger Permian Basin. The company's operations involve acquiring land, drilling wells, and extracting crude oil and natural gas liquids. These extracted resources are then sold to energy marketers and other purchasers, forming the bulk of the company's revenue.
What management is betting on now
Management is focused on maximizing the value of their extensive acreage in the Delaware Basin. This involves efficiently developing their existing reserves and exploring for new ones. Their strategy aims to increase production and reserves while maintaining cost discipline, which means keeping their expenses low relative to the revenue generated. This focus is crucial for long-term profitability and growth in the competitive energy market.
Price history
How the share price has moved
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Earnings history
Last 8 quarters — what happened
Click any quarter to read the call summary and what the numbers say.
Revenue
$1.86B
Net income
$792.46M
Diluted EPS
0.93
Operating cash flow
$1.51B
Free cash flow
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Revenue
$1.39B
Net income
$43.62M
Diluted EPS
0.05
Operating cash flow
$815.08M
Free cash flow
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Revenue
$1.17B
Net income
$339.50M
Diluted EPS
0.48
Operating cash flow
$904.33M
Free cash flow
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Revenue
$1.32B
Net income
$59.23M
Diluted EPS
0.08
Operating cash flow
$766.49M
Free cash flow
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Revenue
$1.20B
Net income
$207.14M
Diluted EPS
0.28
Operating cash flow
$1.04B
Free cash flow
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Revenue
$1.38B
Net income
$329.30M
Diluted EPS
0.44
Operating cash flow
$898.03M
Free cash flow
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Revenue
$1.30B
Net income
$216.65M
Diluted EPS
0.31
Operating cash flow
$871.58M
Free cash flow
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Revenue
$1.22B
Net income
$386.38M
Diluted EPS
0.53
Operating cash flow
$954.36M
Free cash flow
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Is it cheap or expensive?
Fair value $19.03 vs current price $24.16
Wall Street consensus is the average analyst price target: $28.10 (47.6% higher than our fair-value estimate).
Our most-likely fair value is $19.03 a share — about 21.2% away from today's price of $24.16, so the stock currently looks fairly priced.
Is it drowning in debt?
Watch
Net debt $3.0B. Interest coverage 6.8x.
Net debt
$3.02B
Interest coverage
6.77x
Permian Resources Corporation's profit covers its interest bill about 6.8 times over. which is weaker than most peers shown here.
Watch
Worse cushion
Baseline
Better cushion
PR
BASELINE
Permian Resources Corporation
Total debt $3.15B Interest coverage 6.77x This is the baseline the peer rows are being compared against.
Total debt $11.89B Interest coverage 7.76x +15% vs PR Has roughly the same debt cushion as PR.
Total debt $23.29B Interest coverage 9.20x +36% vs PR Carries about 1.4x more debt cushion than PR.
Total debt $8.25B Interest coverage 30.85x +356% vs PR Carries about 4.6x more debt cushion than PR.
Total debt $12.61B Interest coverage 18.56x +174% vs PR Carries about 2.7x more debt cushion than PR.
Total debt $3.88B Interest coverage 9.89x +46% vs PR Carries about 1.5x more debt cushion than PR.
What you should know
The case for and against PR
3 Rewards
3 Risks
Rewards
-
Revenue grew 13.3% last year.
-
Returns 11.4% on equity, ahead of 16% of its peers.
-
Free cash flow was positive in 4/10 years.
Risks
-
Stock trades 68.7% above its 5-year average P/E.
-
Net debt grew 63.8% over 3 years.
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Operating margin compressed from 58.5% to 57.4% over 3 years.
The numbers
All the key metrics, grouped by purpose
Tap any ? icon to learn what it means.
Valuation
How expensive the stock looks
P/E (TTM)
15.90x
Forward P/E
10.45x
P/B
1.69x
P/S
3.53x
EV/EBITDA
5.36x
PEG ratio
1.02x
Profitability
How much profit each dollar creates
Gross margin
75.8%
Operating margin
57.4%
Net margin
21.5%
ROE
11.4%
ROA
7.5%
Health
Liquidity and balance-sheet strength
Debt / equity
0.26x
Current ratio
0.62x
Quick ratio
0.54x
Total debt
$3.15B
Total cash
$131.72M
Growth
How the business has been compounding
Revenue TTM
$5.74B
Revenue 5Y CAGR
48.9%
EPS TTM
1.52
EPS 5Y CAGR
-7.4%
Cash flow
How much cash the business throws off
Operating CF TTM
$3.99B
Free CF TTM
$557.39M
FCF margin
9.7%
Dividend
Shareholder payout
Yield
2.7%
Payout ratio
40.8%
Last ex-div date
2026-09-16