Antero Resources (AR) Q3 earnings: what to expect

What happened

Antero Resources, a natural gas producer, will report earnings this Wednesday after the bell. Last quarter it reported revenues of $1.48 billion, up 22.7% year on year, but missed analysts' revenue and earnings-per-share expectations.

Confirmed

Global impact / market context

The market expects revenue to grow 37.8% this quarter, so the report will show whether the company can reverse repeated revenue misses. A miss could weaken investor confidence, while a beat may support the stock price.

Analyst inference

Peers Kinder Morgan and SLB already reported revenue growth above analyst estimates. That suggests energy demand held up in the quarter, which may raise expectations that Antero can meet its own revenue target.

Analyst inference

What to watch

1. Antero Resources has missed Wall Street revenue estimates multiple times over the past two years, so actual revenue versus the 37.8% growth expectation is the key figure. Confirmed
2. Analysts reconfirmed their estimates over the last 30 days, suggesting they expect the business to stay the course heading into this earnings report. Confirmed
3. Watch oil production growth, which was 12.8% year on year last quarter, because slower output could reduce revenue and pressure cash available for drilling. Analyst inference

Evidence

• stockstory.org