Approach Resources Stock Analysis, Valuation (NASDAQ:AREX)

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$2.05 $0.03 (1.49%) AREX stock closing price Sep 19, 2018 (Closing)

Take a look at Amigobulls Approach Resources stock analysis video. This video puts forward our latest analysis highlighting the pros and cons for AREX stock.

Note: Amigobulls stock rating is our opinion based on the historical performance of the company's fundamentals. It is not indicative of the future performance of the stock.

Approach Resources Inc. Stock Rating 2.2/5

Amigobulls AREX stock analysis relies on business fundamentals such as Approach Resources revenue growth, profits and return on equity measures from the latest quarter 2018 Q2 earnings. Approach Resources valuation analysis is based on relative valuation multiples like PE ratio and price to sales ratio. Approach Resources stock rating is our opinion about the business fundamentals of the company.

Should you buy AREX stock?

Should you sell AREX stock?

  • Sales declined by -5.1 annually over the last 5 years.
  • Approach Resources reported an average operating margin of -5.6 over the Last Twelve Months (LTM).
  • Approach Resources's LTM Net margins were poor at 18.4%.
  • The company does not have profits. Hence the PE ratio is meaningless for AREX stock.
  • Approach Resources has a negative FCF (Free Cash Flow) margin of -15.1.

Comments on this video and Approach Resources stock

Investors can make use of the Amigobulls Approach Resources stock analysis to ascertain how AREX stock fares in fundamental analysis investment criteria. Company's fundamentals remain one of the key driver of AREX stock and helps investors in making good buy and sell decision.

Approach Resources revenue growth is an indicator of the demand for a company's products while profit margin is indicative of company's pricing power and pricing strategy. Investors could make use of AREX technical analysis to check whether the fundamental story is reflected in the market sentiment.