ARC Resources (ARX) shares fell 10% despite reporting a Q4 beat, with management pulling production guidance at Attachie - its flagship growth asset…
… that the company has had trouble ramping up. Given its underperformance, the decision to press pause is the right one…
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I realize that sometimes the right business decisions are not necessarily the most popular decisions from a market perspective, but we are here to manage risk while we create long-term value for our shareholders.
Terry Anderson (CEO) - ARX Q4’25 call
… but valuation could be under pressure in the near-term, with this key growth catalyst now in question.
It’s unlikely the discount will open up too wide though, given ARX’s clean balance sheet and willingness to step into the market to buy back stock.
