APA stock price target maintained at $33 by Benchmark on business improvements

Investing.com - Benchmark maintained its Buy rating and $33.00 price target on APA Corp. (NASDAQ:APA) on Friday, citing significant improvements in the company’s business operations. According to InvestingPro analysis, APA is currently undervalued, trading at an attractive P/E ratio of 7.8x while maintaining a solid financial health score of 3.0/5.

The research firm noted that issues that previously hindered APA’s performance last year have either stabilized or reversed, contributing to the company’s positive trajectory.

Benchmark highlighted that APA shares have risen 17% over the past three months, substantially outperforming energy sector benchmarks XLE and XOP, which gained only 2%-3% during the same period.

The firm believes APA stock remains a relative value opportunity and is positioned for further outperformance in the market.

According to Benchmark, several factors could serve as catalysts for APA’s continued growth, including operational expense efficiencies, Egyptian gas production growth, exploration activities, and the company’s return-of-capital initiatives.

In other recent news, APA Corporation reported impressive financial results for the second quarter of 2025, significantly surpassing earnings expectations. The company achieved an adjusted net income of $313 million, or $0.87 per share, compared to the forecast of $0.52 per share. Revenue also exceeded projections, reaching $2.18 billion against an expected $1.98 billion. Raymond James has raised its price target on APA to $28, citing the company’s continued turnaround and slight beats on production and cash flow metrics. UBS also increased its price target to $21, highlighting strong Q2 results driven by early cost savings and efficiency gains. CFRA raised its price target to $22, noting APA’s progress in reducing its net debt by $1.4 billion to $4.4 billion. Additionally, APA Corporation announced a regular cash dividend of 25 cents per share, payable on November 21, 2025. These developments indicate a period of robust performance and strategic financial management for APA Corporation.

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