AR vs. BP: A Head-to-Head Stock Comparison
UpdatedHere’s a clear look at AR and BP, comparing key factors like performance, valuation metrics, dividends, and financial strength.
Company Overview
BP’s market capitalization of 82.47 billion USD is significantly greater than AR’s 12.94 billion USD, highlighting its more substantial market valuation.
AR’s beta of 0.69 points to significantly higher volatility compared to BP (beta: 0.39), suggesting AR has greater potential for both gains and losses relative to market movements.
BP is an American Depositary Receipt (ADR), allowing U.S. investors direct exposure to its non-U.S. operations. AR, on the other hand, is a domestic entity.
| Symbol | AR | BP |
|---|---|---|
| Company Name | Antero Resources Corporation | BP p.l.c. |
| Country | US | GB |
| Sector | Energy | Energy |
| Industry | Oil & Gas Exploration & Production | Oil & Gas Integrated |
| CEO | Mr. Paul M. Rady | Mr. Murray Auchincloss |
| Price | 41.66 USD | 31.72 USD |
| Market Cap | 12.94 billion USD | 82.47 billion USD |
| Beta | 0.69 | 0.39 |
| Exchange | NYSE | NYSE |
| IPO Date | October 10, 2013 | January 3, 1977 |
| ADR | No | Yes |
Performance Comparison
This chart compares the performance of AR and BP over the past year by tracking the growth of an initial $10,000 investment in each (starting one year ago).
Data is adjusted for dividends and splits.
- AR: $12798.77 (27.99%)
- BP: $9591.78 (-4.08%)
Valuation Metrics Comparison
This section compares the market valuation of AR and BP. Key takeaways regarding their valuation, when viewed within their industry context, are presented in the commentary that follows.
- AR’s Price-to-Earnings (P/E) ratio of 447.96 is very high, indicating its stock trades at a significant premium to its earnings, possibly due to strong investor sentiment or high growth expectations. BP’s P/E ratio of -69.28 is negative, signaling it is currently unprofitable.
| Symbol | AR | BP |
|---|---|---|
| Price-to-Earnings Ratio (P/E, TTM) | 447.96 | -69.28 |
| Forward PEG Ratio (TTM) | 120.94 | -6.91 |
| Price-to-Sales Ratio (P/S, TTM) | 2.80 | 0.44 |
| Price-to-Book Ratio (P/B, TTM) | 1.80 | 1.42 |
| EV-to-EBITDA (TTM) | 15.48 | 4.42 |
| EV-to-Sales (TTM) | 3.62 | 0.64 |
Dividend Comparison
AR currently offers no dividend yield, suggesting it may be reinvesting available cash back into the business for future growth, while BP provides a 6.32% dividend yield, offering investors a component of income return.
| Symbol | AR | BP |
|---|---|---|
| Dividend Yield (TTM) | 0.00% | 6.32% |
Financial Strength Metrics Comparison
This section evaluates the financial strength of AR and BP. Noteworthy observations on their financial resilience, considered from an industry perspective, are detailed in the points that follow.
- AR’s current ratio of 0.39 is considered low. This may signal potential challenges with its short-term liquidity, implying that its current assets might offer a limited buffer for meeting its immediate debts and could affect its capacity to smoothly manage upcoming financial duties.
| Symbol | AR | BP |
|---|---|---|
| Current Ratio (TTM) | 0.39 | 1.22 |
| Quick Ratio (TTM) | 0.39 | 0.92 |
| Debt-to-Equity Ratio (TTM) | 0.53 | 1.22 |
| Debt-to-Asset Ratio (TTM) | 0.29 | 0.25 |
| Net Debt-to-EBITDA Ratio (TTM) | 3.52 | 1.38 |
| Interest Coverage Ratio (TTM) | 2.35 | 3.19 |