AROC Stock Analysis: Archrock | NYSE
Oil & Gas Equipment & Services | NYSE, USA | Market Cap: 5.309m USD | 12M Return: 29.2% | US03957W1062 | Charts, Fundamentals & Technical Analysis
Avg Turnover: 48.1M
EPS Trend: 98.6%
Qual. Beats: 0
Rev. Trend: 98.5%
Qual. Beats: -1
Warnings
Tailwinds
No distinct edge detected
Seasonality 11.7 years of data
How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, >40 gets interesting and >55 is strong.
Archrock, Inc. (NYSE: AROC) is a U.S.-based energy infrastructure company that operates in two segments: Contract Operations and Aftermarket Services. The company owns and operates a fleet of natural gas compression equipment, providing compression services to integrated and independent oil and natural gas processors, gatherers, and transporters. Its Aftermarket Services segment sells over-the-counter parts and components and offers maintenance, overhaul, and reconfiguration services to customers who own their own compression equipment.
Natural gas compression is a critical midstream function, as compression stations are required to maintain pressure and move gas through pipelines from production sites to processing and distribution points. The contract operations model typically relies on long-term, fee-based agreements that provide recurring revenue tied to equipment utilization rather than commodity prices.
The company was founded in 1990 and is headquartered in Houston, Texas. It was formerly known as Exterran Holdings, Inc., adopting the Archrock name in November 2015.
- Natural gas production growth drives compression fleet utilization higher
- Aftermarket Services margins expand on parts and maintenance demand
- Acquisition strategy expands contract operations fleet and customer base
| Net Income: 328.5m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.07 > 0.02 and ΔFCF/TA 6.18 > 1.0 |
| NWC/Revenue: 6.44% < 20% (prev 12.46%; Δ -6.03% < -1%) |
| CFO/TA 0.16 > 3% & CFO 725.6m > Net Income 328.5m |
| Net Debt (2.36b) to EBITDA (806.0m): 2.93 < 3 |
| Current Ratio: 1.39 > 1.5 & < 3 |
| Outstanding Shares: last quarter (174.7m) vs 12m ago -0.30% < -2% |
| Gross Margin: 58.13% > 18% (prev 62.75%; Δ -4.63% > 0.5%) |
| Asset Turnover: 33.91% > 50% (prev 30.44%; Δ 3.47% > 0%) |
| Interest Coverage Ratio: 3.23 > 6 (EBIT TTM 524.1m / Interest Expense TTM 162.4m) |
| A: 0.02 (Total Current Assets 342.8m - Total Current Liabilities 246.0m) / Total Assets 4.44b |
| B: -0.49 (Retained Earnings -2.20b / Total Assets 4.44b) |
| C: 0.12 (EBIT TTM 524.1m / Avg Total Assets 4.44b) |
| D: 0.54 (Book Value of Equity 1.55b / Total Liabilities 2.89b) |
| Altman-Z'' = -0.11 = B |
| DSRI: 1.07 (Receivables 215.5m/179.9m, Revenue 1.50b/1.35b) |
| GMI: 1.08 (GM 62.75% / 58.13%) |
| AQI: 0.96 (AQ_t 0.08 / AQ_t-1 0.09) |
| SGI: 1.12 (Revenue 1.50b / 1.35b) |
| TATA: -0.09 (NI 328.5m - CFO 725.6m) / TA 4.44b) |
| Beneish M = -2.85 (Cap -4..+1) = A |
As of October 13, 2026, the stock is trading at USD 30.33 with a total of 1,067,058 shares traded. Over the past week, the price has changed by +0.76%, over one month by -0.52%, over three months by -19.87% and over the past year by +29.16%.
Current recommended Stop Loss: 28.90 (which is 4.7% or 1.5 ATR below the current price).
Archrock has received a consensus analysts rating of 4.57. Therefore, it is recommended to buy AROC.
- StrongBuy: 4
- Buy: 3
- Hold: 0
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 42.4 | 39.7% |
P/E Trailing = 16.2796
P/E Forward = 14.2857
P/S = 3.5289
P/B = 3.4839
P/EG = 1.1898
Revenue TTM = 1.50b USD
EBIT TTM = 524.1m USD
EBITDA TTM = 806.0m USD
Long Term Debt = 2.35b USD (from longTermDebt, last quarter)
Short Term Debt = unknown (none)
Debt = 2.37b USD (from shortLongTermDebtTotal, last quarter) + Leases 9.40m
Net Debt = 2.36b USD (calculated: Debt 2.37b - CCE 2.00m)
Enterprise Value = 7.67b USD (5.31b + Debt 2.37b - CCE 2.00m)
Interest Coverage Ratio = 3.23 (Ebit TTM 524.1m / Interest Expense TTM 162.4m)
EV/FCF = 26.34x (Enterprise Value 7.67b / FCF TTM 291.3m)
FCF Yield = 3.80% (FCF TTM 291.3m / Enterprise Value 7.67b)
FCF Margin = 19.36% (FCF TTM 291.3m / Revenue TTM 1.50b)
Net Margin = 21.84% (Net Income TTM 328.5m / Revenue TTM 1.50b)
Gross Margin = 58.13% ((Revenue TTM 1.50b - Cost of Revenue TTM 630.0m) / Revenue TTM)
Gross Margin QoQ = 65.86% (prev 47.54%)
Tobins Q-Ratio = 1.73 (Enterprise Value 7.67b / Total Assets 4.44b)
Interest Expense / Debt = 6.86% (Interest Expense 162.4m / Debt 2.37b)
Taxrate = 24.55% (107.0m / 435.7m)
NOPAT = 395.4m (EBIT 524.1m * (1 - 24.55%))
Current Ratio = 1.39 (Total Current Assets 342.8m / Total Current Liabilities 246.0m)
Debt / Equity = 1.52 (Debt 2.37b / totalStockholderEquity, last quarter 1.55b)
Debt / EBITDA = 2.93 (Net Debt 2.36b / EBITDA 806.0m)
Debt / FCF = 8.12 (Net Debt 2.36b / FCF TTM 291.3m)
Total Stockholder Equity = 1.50b (last 4 quarters mean from totalStockholderEquity)
RoA = 7.40% (Net Income 328.5m / Total Assets 4.44b)
RoE = 21.96% (Net Income TTM 328.5m / Total Stockholder Equity 1.50b)
RoCE = 13.63% (EBIT 524.1m / Capital Employed (Equity 1.50b + L.T.Debt 2.35b))
RoIC = 9.43% (NOPAT 395.4m / Invested Capital 4.19b)
WACC = 7.58% (E(5.31b)/V(7.68b) * Re(8.65%) + D(2.37b)/V(7.68b) * Rd(6.86%) * (1-Tc(0.25)))
Discount Rate = 8.65% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: 79.94 | Cagr: 5.62%
[DCF] Terminal Value 77.97% ; FCFF base≈181.5m ; Y1≈208.0m ; Y5≈306.2m
[DCF] Fair Price = 12.79 (EV 4.61b - Net Debt 2.36b = Equity 2.24b / Shares 175.3m; r=8.35% [WACC [floored]]; 5y FCF grow 15.0% → 2.50% )
EPS Correlation: 98.59 | EPS CAGR: 55.00% | SUE: -0.72 | # QB: 0
Revenue Correlation: 98.48 | Revenue CAGR: 21.22% | SUE: -3.47 | # QB: -1
EPS current Quarter (2026-09-30): EPS=0.47 | Chg30d=-0.40% | Revisions=-50% | Analysts=4
EPS current Year (2026-12-31): EPS=1.83 | Chg30d=-0.04% | Revisions=-50% | GrowthEPS=-3.8% | GrowthRev=+2.0%
EPS next Year (2027-12-31): EPS=2.18 | Chg30d=-0.66% | Revisions=-57% | GrowthEPS=+19.0% | GrowthRev=+7.8%
[Analyst] Revisions Ratio: -77% (up=0, down=10)