# Range Resources (RRC) Sector: Natural gas production | Field | Value | |---|---| | Price | $55.88 | | Market cap | $13B | | Intrinsic value source | Analysts | | Data as of | 2026-10-29 | | Next earnings | 2027-02-23 (estimate) | Analysts: Mixed Picks: Top pick Discount category: Below intrinsic value ## In short Range now trades on its all-stock merger with EQT, and a close in Q1 2027 with the planned synergies can close the gap, while gas prices move both stocks. ## Themes and gap - Themes: Power and energy (power-energy), Regulation and courts (regulation-legal) - Gap type: Can close (closable) - Why: The shareholder votes and the antitrust review before the planned close in Q1 2027 decide whether Range holders receive EQT shares. ## About Range Resources produces natural gas, natural gas liquids (NGLs) and oil in the Appalachian Basin, mostly from the Marcellus Shale in Pennsylvania. Production averaged 2.50 Bcfe per day in Q3 2026, about 68% natural gas, with record liquids production of 133,173 barrels per day. Proved reserves were 18.1 Tcfe at the end of 2025. Range sells NGLs into US and export markets. On October 25, 2026, Range agreed to an all-stock merger with EQT Corporation. ## Thesis Range Resources now trades on the terms of its all-stock merger with EQT, so its price follows the EQT share price and natural gas prices. Each Range share will become 0.987 EQT shares, and Range holders will own about 27% of the combined company. The companies expect to close the deal in the first quarter of 2027. Before the deal, the market priced Range on its own cash flow, which moves with natural gas and NGL prices. EQT expects $325 million of base annual synergies within two years and a path to more than $600 million. For the gap to close, three things must be true. Shareholders of both companies must approve the merger, and the antitrust review must end without a block. The combined company must deliver the synergies. Natural gas prices must support growth, such as Range's plan for about 2.6 Bcfe per day in 2027. The shareholder votes and the antitrust review, expected before the planned close in Q1 2027, give the next tests. If the deal closes, the value of a Range share depends on EQT's results from 2027. If the deal fails, EQT must pay Range a termination fee of $1,148 million in some cases, but Range's price would again follow its own cash flow and gas prices. ## Checkpoints - Feb 23, 2027 (estimate): Q4 2026 results, if Range still reports. Status: Pending. Watch: Production near 2.5 Bcfe per day and lower net debt pass; lower production or higher debt fail. - Q1 2027 (estimate): EQT merger closing. Status: Pending. Watch: Approval by both sets of shareholders, the end of the antitrust review and a close in Q1 2027 pass; a block, a failed vote or a delay past the October 25, 2027 end date fail. ## Balance sheet - Cash: $0.0M - Debt: $794M - Net debt: $794M - Undrawn credit line: $1.5B, to October 2030 - Debt due within 12 months: $0.0M - Last debt due: 2030 Range funds itself with one issue of senior notes and a secured bank credit facility. At September 30, 2026, debt principal was $794 million: $500 million of 4.75% senior notes due 2030 and $294 million drawn on the credit facility. Cash was only $12 thousand. Net debt fell from $1.22 billion at December 31, 2025. In January 2026, Range redeemed all $600 million of its 8.25% senior notes due 2029 with borrowings on the credit facility. The credit facility has a borrowing base of $3.0 billion and commitments of $2.0 billion and runs to October 2030. After $165.1 million of letters of credit, about $1.5 billion was available. Range also had a divestiture contract obligation of $166 million. Cash flow from operations before working capital changes was $1.22 billion in the first nine months of 2026, and additions to oil and gas properties were $506 million. The merger with EQT is all stock, so it adds no new debt at Range. As of 2026-09-30. Sources: - https://www.sec.gov/Archives/edgar/data/315852/000119312526435073/d174576dex991.htm - https://www.sec.gov/Archives/edgar/data/315852/000119312526434351/rrc-20260930.htm ## Dividends - Dividend yield: 0.7% (last 12 months, at the current price) - Paid per share, last 12 months: $0.39 (4 payments) - Current annual rate: $0.40 ($0.10 x 4 a year) - Payout ratio: 13% of the earnings of the last fiscal year (the year ended 2025-12-31) - Latest ex-dividend date: 2026-09-11, $0.10 per share - Growth over the last 10 years: 14.6% a year Dividends per share by year: 2016: $0.08, 2017: $0.08, 2018: $0.08, 2019: $0.08, 2020: $0.00, 2021: $0.00, 2022: $0.16, 2023: $0.32, 2024: $0.32, 2025: $0.36. Source: company filings and market data, read on 2026-10-29. ## Recent events - 2026-10-27: Range reported Q3 2026 results. GAAP net income was $175 million, or $0.75 per diluted share, and adjusted EPS was $0.81. Cash flow from operations before working capital changes was $347 million, and capital spending was $170 million. Production averaged 2.50 Bcfe per day, with record liquids production of 133,173 barrels per day. Range did not buy back shares in the quarter and held no conference call because of the pending merger. - 2026-10-26: Range and EQT announced a merger agreement, signed on October 25, 2026. Each Range share will become 0.987 EQT shares, and Range holders will own about 27% of the combined company. The companies expect $325 million of base annual synergies within two years and a close in Q1 2027, after shareholder votes and regulatory approval. Range must pay EQT $423 million, or EQT must pay Range $1,148 million, if the deal ends in some cases. - 2026-07-21: Range reported Q2 2026 results. Production averaged 2.30 Bcfe per day, and the NGL price was a record $3.49 per barrel above the Mont Belvieu benchmark. Range bought back $78 million of shares and kept its 2026 capital budget of $650 million to $700 million. - 2026-04-21: Range reported Q1 2026 results. Cash flow from operations before working capital changes was $545 million, the realized price with hedges was $4.84 per mcfe and net debt fell by $384 million. - 2026-02-24: Range reported 2025 results and its 2026 guidance. Proved reserves were 18.1 Tcfe. Range planned production of 2.35 to 2.40 Bcfe per day in 2026 and about 2.6 Bcfe per day in 2027 with similar capital. It raised its buyback authorization to $1.5 billion and planned a quarterly dividend of $0.10 per share, up 11.1%. - 2026-01-15: Range redeemed all $600 million of its 8.25% senior notes due 2029 at 101.375% of face value. It used its bank credit facility to pay for the redemption. ## Latest news and filings - Last earnings: 2026-10-28 (8-K: https://www.sec.gov/Archives/edgar/data/315852/000119312526435073/) - Next earnings: 2027-02-23 (expected; the company has not confirmed it) | Filed | Form | Headline | Period end | XBRL document | Link | | --- | --- | --- | --- | --- | --- | | 2026-10-28 | 8-K | Earnings release | | | https://www.sec.gov/Archives/edgar/data/315852/000119312526435073/d174576d8k.htm | | 2026-10-27 | 10-Q | Quarterly report for the period ended Sep 30, 2026 | 2026-09-30 | rrc-20260930 | https://www.sec.gov/Archives/edgar/data/315852/000119312526434351/rrc-20260930.htm | | 2026-10-26 | 8-K | New material agreement and Investor disclosure | | | https://www.sec.gov/Archives/edgar/data/315852/000119312526431025/d161989d8k.htm | | 2026-10-14 | 8-K | Earnings release | | rrc-20261014 | https://www.sec.gov/Archives/edgar/data/315852/000031585226000022/rrc-20261014.htm | | 2026-07-22 | 8-K | Earnings release | | rrc-20260721 | https://www.sec.gov/Archives/edgar/data/315852/000031585226000018/rrc-20260721.htm | | 2026-07-21 | 10-Q | Quarterly report for the period ended Jun 30, 2026 | 2026-06-30 | rrc-20260630 | https://www.sec.gov/Archives/edgar/data/315852/000119312526310446/rrc-20260630.htm | | 2026-07-10 | 8-K | Earnings release | | rrc-20260710 | https://www.sec.gov/Archives/edgar/data/315852/000031585226000015/rrc-20260710.htm | | 2026-05-13 | 8-K | Shareholder vote results | | rrc-20260513 | https://www.sec.gov/Archives/edgar/data/315852/000031585226000013/rrc-20260513.htm | | 2026-04-21 | 10-Q | Quarterly report for the period ended Mar 31, 2026 | 2026-03-31 | rrc-20260331 | https://www.sec.gov/Archives/edgar/data/315852/000119312526167076/rrc-20260331.htm | | 2026-02-24 | 10-K | Annual report for the period ended Dec 31, 2025 | 2025-12-31 | rrc-20251231 | https://www.sec.gov/Archives/edgar/data/315852/000119312526067292/rrc-20251231.htm | Every filing on SEC EDGAR (CIK 315852): https://www.sec.gov/cgi-bin/browse-edgar?action=getcompany&CIK=0000315852&type=&dateb=&owner=include&count=40 ## Risks - High: Natural gas and NGL prices set most of Range's cash flow. The realized price with hedges fell from $4.84 per mcfe in Q1 2026 to $3.43 per mcfe in Q3 2026. - Medium: The merger needs approval from shareholders of both companies and the end of the antitrust waiting period. If the deal fails, the price can fall, and in some cases Range must pay EQT a $423 million fee. - Medium: After the merger, Range holders will hold EQT shares. Their value will depend on EQT's integration of Range and on the synergies. - Low: Firm transportation, gathering and processing commitments rose by about $1.5 billion in the first nine months of 2026. These fixed costs stay when gas prices fall. ## Links - Page: https://picks.utilarium.app/company/RRC/ - History of changes: https://picks.utilarium.app/company/RRC/history/ - JSON with full history: https://picks.utilarium.app/data/company/RRC.json > Picks is a personal record of stock picks. It gives general information only, not financial, investment, tax or legal advice, and not advice for your situation. It is not a recommendation to buy or sell. Kevin may hold any stock on this site. Prices, intrinsic values and ratings can be delayed or wrong; check the original source. Full disclaimer: /disclaimer/.