Antero Midstream Partners LP owns, operates, and develops midstream energy assets which collect natural gas, and oil and condensate from wells in the Marcellus Shale in West Virginia and the Utica Shale in Ohio. The company was founded in 2013 and is based in Denver, Colorado.
AM Price Forecast Based on DCF Valuation
DCF Fair Value Target:
Below please find a table outlining a discounted cash flow forecast for AM, in which we model out valuation assuming a variety of terminal growth rates. To summarize, we found that Antero Midstream Corp ranked in the 98th percentile in terms of potential gain offered. Our DCF analysis implies the stock could yield a return of 20957.5% if fairly valued; such returns are always unlikely, though, so further investigation is likely warranted. As for the metrics that stood out in our discounted cash flow analysis of Antero Midstream Corp, consider:
In the past 2.81 years, Antero Midstream Corp has a compound free cash flow growth rate of 2.11%; that's better than 93.86% of cash flow producing equities in the Energy sector, where it is classified.
24% of the company's capital comes from equity, which is greater than merely 13.64% of stocks in our cash flow based forecasting set.
Antero Midstream Corp's interest coverage rate -- a measure of gross earnings relative to interest payments -- comes in at -3.14. This coverage rate is greater than that of merely 8.42% of stocks we're observing for the purpose of forecasting via discounted cash flows.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
QES, TGS, USAC, PBFX, and COG can be thought of as valuation peers to AM, in the sense that they are in the Energy sector and have a similar price forecast based on DCF valuation.