APA Corporation
AI Valuation
AI-generated fair value estimate for this company.
AI Fair Value
$47.15
Market Price
$43.70
Undervalued By
7.3%
Method: 10-year unlevered FCF DCF: $1,779M FY2025 FCF base; 3% growth yrs 1-5; 1% yrs 6-10; 11% discount rate; 1.5% terminal growth; $3,437M net debt; 350.35M shares outstanding.
Reasoning: APA Corp is an oil & gas E&P with volatile commodity-linked cash flow; higher discount rate reflects commodity price risk; modest growth reflects flat-to-declining base production offset by the Suriname (Gran Morgu) project ramp expected 2027-2028.