Chord Energy Q3 adjusted EPS beats estimates, raises oil volume outlook

Overview

• US oil and gas producer's Q3 adjusted EPS beat analyst expectations

• Q3 production volumes exceeded guidance, supporting raised full-year oil volume forecast

• Company repurchased $205 mln in shares and announced $550 mln Marcellus asset sale

Outlook

• Chord Energy raises FY26 oil volume midpoint guidance to 162.5 MBopd from 161.0 MBopd

• Company expects FY26 CapEx of $1.44 bln-$1.49 bln, up from prior midpoint of $1.4 bln

• Chord Energy forecasts FY26 Adjusted EBITDA of about $3.4 bln and Adjusted Free Cash Flow of $1.6 bln

Result Drivers

• HIGHER PRODUCTION VOLUMES - Q3 oil, natural gas and NGL production volumes were above the top end of guidance, supported by base production enhancements and operational execution

• FAVORABLE PRICE REALIZATIONS - Oil, natural gas and NGL price realizations were better than expected, contributing to financial results

• COST EFFICIENCY INITIATIVES - Marketing agreements and operational improvements increased annual run-rate savings to $225 mln, more than double the amount expected in the initial 2025 update

Company press release:

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 17 "strong buy" or "buy", 3 "hold" and no "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 Chord Energy Corporation is $178.50, about 24.1% above its November 3 closing price of $143.83

• The stock recently traded at 8 times the next 12-month earnings vs. a P/E of 9 three months ago

Reuters Recommended Reads

• Nov 2 - Diamondback Energy boosts production forecast amid elevated oil prices

• Nov 3 - SM Energy Q3 profit misses on operational downtime

• Nov 3 - Matador Q3 adjusted EPS and net income beat estimates on record production

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(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.)