10Y annualized return is
positive but below market average
at 1.0% per year
EQT has met or exceeded earnings expectations in
the majority of
recent quarters (8/10)
Moderate EV/EBITDA Ratio
Decent Gross Profit Margin
Manageable Debt Levels
Strong Interest Coverage
🏆 Strong Operational Efficiency
💰 Robust Financial Performance
📈 Strong Market Position
🌱 Strong Growth Outlook
🚀 Innovative Compression Projects
🔗 Strategic Partnerships
High Price-to-Earnings Ratio
Elevated Price-to-Sales Ratio
Low Net Profit Margin
Low Return on Equity
Low Liquidity Ratios
⚠️ Market Volatility Concerns
🔧 Risk from Infrastructure Constraints
Overall, EQT demonstrates a strong business model with solid operational efficiencies and a resilient market position. The company is poised for future growth, supported by strategic investments and partnerships, although it must navigate potential market volatility and infrastructure challenges.
Analysis Date: February 19, 2025
Last Updated: March 12, 2025
Past performance does not guarantee future results. The data presented is indicative and may not be updated in real-time.
EQT Corporation is a company that produces natural gas, which is a type of energy people use for heating and cooking. They also produce other products like propane, which is used in gas grills and heaters. Founded in 1878 and based in Pittsburgh, Pennsylvania, EQT has a lot of land where they find and extract these energy resources. Essentially, they help provide the natural gas that powers many homes and businesses across the United States.
Streams of revenue
Geographic Distribution
Estimations for reference only
Core Products
Business Type
Business to Business
Competitive Advantages
Key Business Risks
Latest News
EQT (EQT) might move higher on growing optimism about its earnings prospects, which is reflected by its upgrade to a Zacks Rank #2 (Buy).
Here is how EQT Corporation (EQT) and TC Energy (TRP) have performed compared to their sector so far this year.
I recommend EQT Corporation shares with a Strong Buy rating and a price target of $107/share due to the positive domestic gas demand outlook. EQT has ...
Trailing Twelve Months (TTM) values provide a view of the company's performance over the last year.
Benjamin Graham's value investing approach focuses on finding stocks with a significant margin of safety between their intrinsic value and market price.
Intrinsic Value
Estimated fair value based on Graham's formula
$14.72
Current Market Price: $1.39
IV/P Ratio: 10.56x (>1.0 indicates undervalued)
Margin of Safety
Gap between intrinsic value and market price
91.0%
Graham recommended a minimum of 20-30% margin of safety
Higher values indicate a greater potential discount to fair value
Graham Criteria Checklist
Benjamin Graham's value investing checklist for EQT
Positive earnings (5+ years)
Dividend history (5+ years)
P/E ratio ≤ 20 (120.60)
P/B ratio ≤ 1.5 (1.35)
Current ratio ≥ 2.0 (0.70x)
Long-term debt < Net current assets (-12.05x)
Margin of safety (91.0%)
EQT does not meet all Graham criteria
Trailing Twelve Months (TTM) values provide a view of the company's performance over the last year.
Profitability metrics measure a company's ability to generate earnings relative to its revenue, operating costs, and other relevant metrics. Higher values generally indicate better performance.
Return on Equity (ROE)
Measures how efficiently a company uses its equity to generate profits
5.06%
Higher values indicate better returns for shareholders
TTM (as of 2025-04-30)
Gross Profit Margin
Percentage of revenue retained after accounting for cost of goods sold
30.01%
Higher values indicate better efficiency in production
TTM (as of 2025-04-30)
Net Profit Margin
Percentage of revenue retained after accounting for all expenses
4.42%
Higher values indicate better overall profitability
TTM (as of 2025-04-30)
A gross profit margin of 30.01% indicates that EQT is effectively managing its production costs, leaving a solid portion of revenue as profit.
The net profit margin of 4.42% suggests that the company is keeping only a small portion of revenues as profit after all expenses, which may raise concerns about earnings quality.
A return on equity of 5.12% indicates that shareholders are receiving a low return relative to their investments, which could be a red flag for investors.
Financial health metrics assess a company's ability to meet its financial obligations and its overall financial stability.
Debt to Equity Ratio
Total debt divided by total equity
0.39x
Lower values indicate less financial leverage and risk
Less than 1.0 is conservative, 1.0-2.0 is moderate, >2.0 indicates high risk
Q4 2024
Current Ratio
Current assets divided by current liabilities
0.70x
Higher values indicate better short-term liquidity
Less than 1.0 is concerning, 1.0-2.0 is adequate, greater than 2.0 is good
Q4 2024
The debt-to-equity ratio of 0.20 demonstrates that EQT has a conservative capital structure, indicating lower financial risk and better long-term sustainability.
An interest coverage ratio of 8.18 suggests that the company can comfortably cover its interest obligations, indicating strong financial health.
Current and quick ratios both at 0.70 indicate potential liquidity issues, meaning the company may struggle to meet its short-term liabilities.
Meeting Expectations
Higher values indicate better execution and credibility
Recent Results
EPS
Revenue
EQT achieved a 20% increase in completed lateral footage per day compared to the previous year, showcasing its operational excellence and ability to enhance productivity. The integration of the Equitrans acquisition has led to the capture of over $200 million in annualized synergies, which exceeded expectations.
EQT generated over $750 million in net cash provided by operating activities and nearly $600 million in free cash flow during the fourth quarter, demonstrating the durability of its cash flow even in low price environments.
EQT's reserve base remained stable at approximately 26 Tcfe despite a drop in SEC pricing, indicating strong resilience and a premier low-cost Appalachian reserve base.
EQT has set a 2025 production guidance range of 2175 to 2275 Bcfe, which is significantly higher than previous estimates due to robust well performance and efficiency gains. This aligns with the anticipated increase in demand for natural gas in the Southeast and new infrastructure developments.
EQT's midstream compression investments are expected to enhance production efficiency, allowing the company to maintain current production levels while reducing the number of wells drilled, thus optimizing capital expenditures.
EQT's strategic collaborations, especially in securing long-term contracts with utilities and hyperscalers, position the company well for future demand growth and stable revenue streams.
Despite a strong outlook, the company acknowledges the potential for market volatility and the impact of external factors such as geopolitical events and changes in supply dynamics which could affect gas prices.
EQT's growth is also contingent on the timely completion of pipeline projects, which could pose risks to achieving projected production and cash flow targets.
Insider trading data shows purchase and sale activities by company executives and board members.
Insider trading patterns can provide insights into how company executives and board members view the stock's future prospects.
Insiders are buying significantly more than selling (ratio: 1.62x)
Total Bought
Total value of insider purchases in recent quarters
$286565
Higher values indicate stronger insider confidence
Total Sold
Total value of insider sales in recent quarters
$176815
Lower values relative to buying indicate possible undervaluation
Active Insiders
Number of insiders trading in recent quarters
14
High insider activity
Recent Trend
Change in insider trading pattern
EQT: No trend data available