Aureus
BGood

APA Corporation(APA)

B

Financial data as of Dec 31, 2025Declining · Energy

FCF Margin19.9%Free Cash Flow / Revenue
Cash Conversion—Operating CF / Net Income
Free Cash Flow$1.8B
Revenue$8.9B
Net Cash-$4.1BNet debt position
Debt / FCF2.6xManageable debt load
Current Ratio0.82Tight short-term liquidity
YoY FCF Growth-36.3%5 of 5 quarters positive

How This Grade Was Calculated

Base grade from FCF margin, adjusted by financial health factors

BaseA
→
+0.5Healthy FCF margin with manageable debt (19.9%, 2.6x)
→
-0.5Current ratio below 1.0 (0.82) (reduced — strong FCF covers short-term obligations)
→
-1Significant YoY FCF decline (-36.3%)
→
FinalB

Analysis Summary

Strengths

  • Strong FCF margin (19.9%)

Concerns

  • Net debt position ($4.1B) — 2.6x FCF, manageable
  • Current ratio below 1.0 — tight short-term liquidity
  • Significant YoY FCF decline (-36.3%)
Cash conversion ratio unavailable or not meaningful

Financial Breakdown

Key financials compared side by side

Margin Composition

FCF Margin19.9%
Net Margin16.1%
Operating CF Margin51.0%
CapEx Ratio31.0%

Balance Sheet Health

Debt, liquidity, and leverage snapshot

Net Cash-$4.1BNet debt position
Debt / FCF2.6xManageable debt load
Current Ratio0.82Tight liquidity
Debt / Equity0.75Low leverage

Quarterly FCF Trend

-36.3% YoYDeclining (-36.3%)

Free cash flow per quarter

Sector Comparison — Energy

FCF Margin ranked against sector peers

View all →

Detailed Metrics

Company NameAPA Corporation
SectorEnergy
Free Cash Flow$1.8B
Revenue$8.9B
Net Income$1.4B
Operating Cash Flow$4.5B
Capital Expenditure$2.8B
FCF Margin19.9%
Cash Conversion Rate—
Net Margin16.1%
Total Debt$4.6B
Total Cash$516.0M
Net Cash-$4.1B
Current Ratio0.82
Debt / Equity0.75
Debt / FCF2.6x
YoY FCF Growth-36.3%
Positive Quarters5 of 5
Trend DirectionDeclining
Report DateDec 31, 2025
GradeB
Data SourceYahoo Finance