(AROC) Archrock - Overview
Stock: Compression Services, Maintenance, Parts, Equipment Packaging
EPS (Earnings per Share)
Revenue
Dividends
| Dividend Yield | 3.27% |
| Yield on Cost 5y | 10.43% |
| Yield CAGR 5y | 8.37% |
| Payout Consistency | 96.6% |
| Payout Ratio | 68.6% |
| Risk 5d forecast | |
|---|---|
| Volatility | 36.2% |
| Relative Tail Risk | -0.39% |
| Reward TTM | |
|---|---|
| Sharpe Ratio | 0.52 |
| Alpha | -2.66 |
| Character TTM | |
|---|---|
| Beta | 1.210 |
| Beta Downside | 1.638 |
| Drawdowns 3y | |
|---|---|
| Max DD | 30.31% |
| CAGR/Max DD | 1.85 |
Description: AROC Archrock January 10, 2026
Archrock, Inc. (NYSE:AROC) is a U.S.-based energy-infrastructure firm that designs, owns, installs, operates, and services a fleet of natural-gas compression units. It generates revenue through two primary segments: (1) Contract Operations, where it provides compression capacity on a fee-for-service basis, and (2) Aftermarket Services, which includes sales of spare parts, routine and major maintenance, overhauls, and equipment re-configurations for third-party owners. The company’s customer base spans integrated and independent oil-and-gas processors, gatherers, and transporters, and it also packages reciprocal and rotary-screw compressors for sale or lease.
As of FY 2023, Archrock reported roughly $200 million in total revenue with an adjusted EBITDA margin near 20 %, reflecting the capital-intensive yet high-margin nature of compression services. The firm operates an estimated 250+ compressors across key U.S. shale basins, making its earnings sensitive to natural-gas demand fundamentals such as seasonal heating demand, pipeline capacity constraints, and the Henry Hub price trajectory. A notable sector driver is the ongoing need for mid-stream infrastructure investment to accommodate U.S. production growth, which underpins long-term compression utilization rates.
For a deeper, data-driven view of Archrock’s valuation metrics and peer comparison, you might find the analyst tools on ValueRay worth a quick look.
Piotroski VR‑10 (Strict, 0-10) 5.5
| Net Income: 265.3m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.00 > 0.02 and ΔFCF/TA -1.64 > 1.0 |
| NWC/Revenue: 7.95% < 20% (prev 4.59%; Δ 3.36% < -1%) |
| CFO/TA 0.12 > 3% & CFO 532.0m > Net Income 265.3m |
| Net Debt (2.57b) to EBITDA (760.5m): 3.38 < 3 |
| Current Ratio: 1.56 > 1.5 & < 3 |
| Outstanding Shares: last quarter (174.9m) vs 12m ago 5.26% < -2% |
| Gross Margin: 64.00% > 18% (prev 0.58%; Δ 6342 % > 0.5%) |
| Asset Turnover: 35.00% > 50% (prev 28.58%; Δ 6.42% > 0%) |
| Interest Coverage Ratio: 3.19 > 6 (EBITDA TTM 760.5m / Interest Expense TTM 161.4m) |
Altman Z'' -1.54
| A: 0.03 (Total Current Assets 319.8m - Total Current Liabilities 205.5m) / Total Assets 4.41b |
| B: -0.53 (Retained Earnings -2.34b / Total Assets 4.41b) |
| C: 0.13 (EBIT TTM 514.5m / Avg Total Assets 4.11b) |
| D: -0.78 (Book Value of Equity -2.34b / Total Liabilities 2.99b) |
| Altman-Z'' Score: -1.54 = D |
Beneish M -2.90
| DSRI: 0.98 (Receivables 192.3m/149.0m, Revenue 1.44b/1.09b) |
| GMI: 0.91 (GM 64.00% / 58.41%) |
| AQI: 1.09 (AQ_t 0.08 / AQ_t-1 0.08) |
| SGI: 1.32 (Revenue 1.44b / 1.09b) |
| TATA: -0.06 (NI 265.3m - CFO 532.0m) / TA 4.41b) |
| Beneish M-Score: -2.90 (Cap -4..+1) = A |
What is the price of AROC shares?
Over the past week, the price has changed by +8.31%, over one month by +23.94%, over three months by +29.18% and over the past year by +17.92%.
Is AROC a buy, sell or hold?
- StrongBuy: 4
- Buy: 3
- Hold: 0
- Sell: 0
- StrongSell: 0
What are the forecasts/targets for the AROC price?
| Issuer | Target | Up/Down from current |
|---|---|---|
| Wallstreet Target Price | 31.8 | -0.8% |
| Analysts Target Price | 31.8 | -0.8% |
| ValueRay Target Price | 46.4 | 44.6% |
AROC Fundamental Data Overview February 03, 2026
P/E Forward = 15.6006
P/S = 3.6057
P/B = 3.5967
P/EG = 1.3274
Revenue TTM = 1.44b USD
EBIT TTM = 514.5m USD
EBITDA TTM = 760.5m USD
Long Term Debt = 2.56b USD (from longTermDebt, last quarter)
Short Term Debt = 4.12m USD (from shortTermDebt, last fiscal year)
Debt = 2.57b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 2.57b USD (from netDebt column, last quarter)
Enterprise Value = 7.76b USD (5.19b + Debt 2.57b - CCE 4.08m)
Interest Coverage Ratio = 3.19 (Ebit TTM 514.5m / Interest Expense TTM 161.4m)
EV/FCF = 401.7x (Enterprise Value 7.76b / FCF TTM 19.3m)
FCF Yield = 0.25% (FCF TTM 19.3m / Enterprise Value 7.76b)
FCF Margin = 1.34% (FCF TTM 19.3m / Revenue TTM 1.44b)
Net Margin = 18.43% (Net Income TTM 265.3m / Revenue TTM 1.44b)
Gross Margin = 64.00% ((Revenue TTM 1.44b - Cost of Revenue TTM 518.0m) / Revenue TTM)
Gross Margin QoQ = 66.05% (prev 61.89%)
Tobins Q-Ratio = 1.76 (Enterprise Value 7.76b / Total Assets 4.41b)
Interest Expense / Debt = 1.70% (Interest Expense 43.7m / Debt 2.57b)
Taxrate = 26.25% (25.4m / 96.9m)
NOPAT = 379.4m (EBIT 514.5m * (1 - 26.25%))
Current Ratio = 1.56 (Total Current Assets 319.8m / Total Current Liabilities 205.5m)
Debt / Equity = 1.81 (Debt 2.57b / totalStockholderEquity, last quarter 1.42b)
Debt / EBITDA = 3.38 (Net Debt 2.57b / EBITDA 760.5m)
Debt / FCF = 133.0 (Net Debt 2.57b / FCF TTM 19.3m)
Total Stockholder Equity = 1.38b (last 4 quarters mean from totalStockholderEquity)
RoA = 6.45% (Net Income 265.3m / Total Assets 4.41b)
RoE = 19.28% (Net Income TTM 265.3m / Total Stockholder Equity 1.38b)
RoCE = 13.07% (EBIT 514.5m / Capital Employed (Equity 1.38b + L.T.Debt 2.56b))
RoIC = 11.70% (NOPAT 379.4m / Invested Capital 3.24b)
WACC = 7.35% (E(5.19b)/V(7.76b) * Re(10.37%) + D(2.57b)/V(7.76b) * Rd(1.70%) * (1-Tc(0.26)))
Discount Rate = 10.37% (= CAPM, Blume Beta Adj.)
Shares Correlation 3-Years: 100.0 | Cagr: 6.51%
[DCF Debug] Terminal Value 73.30% ; FCFF base≈43.3m ; Y1≈28.4m ; Y5≈13.0m
Fair Price DCF = N/A (negative equity: EV 287.0m - Net Debt 2.57b = -2.28b; debt exceeds intrinsic value)
EPS Correlation: 62.38 | EPS CAGR: -10.05% | SUE: -4.0 | # QB: 0
Revenue Correlation: 98.30 | Revenue CAGR: 19.63% | SUE: 0.52 | # QB: 0
EPS next Quarter (2026-03-31): EPS=0.45 | Chg30d=+0.004 | Revisions Net=+1 | Analysts=3
EPS next Year (2026-12-31): EPS=2.00 | Chg30d=+0.089 | Revisions Net=+2 | Growth EPS=+14.6% | Growth Revenue=+6.9%