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Zacks Premium includes access to the Zacks Style Scores as well.
What are the Zacks Style Scores? The Zacks Style Scores is a unique set of guidelines that rates stocks based on three popular investing types, and were developed as complementary indicators for the Zacks Rank. This combination helps investors choose securities with the highest chances of beating the market over the next 30 days.
Each stock is given an alphabetic rating of A, B, C, D or F based on their value, growth, and momentum qualities. With this system, an A is better than a B, a B is better than a C, and so on, meaning the better the score, the better chance the stock will outperform.
The Style Scores are broken down into four categories:
Value ScoreFor value investors, it's all about finding good stocks at good prices, and discovering which companies are trading under their true value before the broader market catches on. The Value Style Score utilizes ratios like P/E, PEG, Price/Sales, Price/Cash Flow, and a host of other multiples to help pick out the most attractive and discounted stocks.
Growth ScoreWhile good value is important, growth investors are more focused on a company's financial strength and health, and its future outlook. The Growth Style Score takes projected and historic earnings, sales, and cash flow into account to uncover stocks that will see long-term, sustainable growth.
Momentum ScoreMomentum traders and investors live by the saying "the trend is your friend." This investing style is all about taking advantage of upward or downward trends in a stock's price or earnings outlook. Employing factors like one-week price change and the monthly percentage change in earnings estimates, the Momentum Style Score can indicate favorable times to build a position in high-momentum stocks.
VGM ScoreIf you want a combination of all three Style Scores, then the VGM Score will be your friend. It rates each stock on their combined weighted styles, helping you find the companies with the most attractive value, best growth forecast, and most promising momentum. It's also one of the best indicators to use with the Zacks Rank.
How Style Scores Work with the Zacks Rank A proprietary stock-rating model, the Zacks Rank utilizes the power of earnings estimate revisions, or changes to a company's earnings outlook, to help investors create a successful portfolio.
Investors can count on the Zacks Rank's success, with #1 (Strong Buy) stocks producing an unmatched +23.8% average annual return since 1988, more than double the S&P 500's performance. But the model rates a large number of stocks, and there are over 200 companies with a Strong Buy rank, plus another 600 with a #2 (Buy) rank, on any given day.
But it can feel overwhelming to pick the right stocks for you and your investing goals with over 800 top-rated stocks to choose from.
That's where the Style Scores come in.
To have the best chance of big returns, you'll want to always consider stocks with a Zacks Rank #1 or #2 that also have Style Scores of A or B, which will give you the highest probability of success. If you're looking at stocks with a #3 (Hold) rank, it's important they have Scores of A or B as well to ensure as much upside potential as possible.
Since the Scores were created to work together with the Zacks Rank, the direction of a stock's earnings estimate revisions should be a key factor when choosing which stocks to buy.
Here's an example: a stock with a #4 (Sell) or #5 (Strong Sell) rating, even one with Style Scores of A and B, still has a downward-trending earnings outlook, and a bigger chance its share price will decrease too.
Thus, the more stocks you own with a #1 or #2 Rank and Scores of A or B, the better.
Stock to Watch: Expand Energy (EXE - Free Report) Expand Energy Corporation is a leading U.S.-based natural gas producer formed through the merger of Chesapeake Energy Corporation and Southwestern Energy Company. The all-stock merger, completed on Oct. 1, 2024, established a premier natural gas-focused company with leading positions in the Haynesville and Appalachian basins, premium drilling inventory and proximity to key liquefied natural gas (LNG) and domestic demand markets. The merger strengthened scale, operational efficiencies and financial resilience, supporting an investment-grade balance sheet, enhanced credit capacity and significant shareholder returns, while positioning the company to meet growing global energy demand.
EXE is a #3 (Hold) on the Zacks Rank, with a VGM Score of A.
Additionally, the company could be a top pick for growth investors. EXE has a Growth Style Score of B, forecasting year-over-year earnings growth of 44.9% for the current fiscal year.
Four analysts revised their earnings estimate upwards in the last 60 days for fiscal 2026. The Zacks Consensus Estimate has increased $0.37 to $8.84 per share. EXE boasts an average earnings surprise of +7.2%.
With a solid Zacks Rank and top-tier Growth and VGM Style Scores, EXE should be on investors' short list.
Brigade Capital Management LP acquired a new position in shares of Expand Energy Corporation (NASDAQ:EXE – Free Report) during the 2nd quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The firm acquired 105,871 shares of the company’s stock, valued at approximately $9,649,000. Expand Energy comprises about 1.8% of Brigade Capital Management LP’s portfolio, making the stock its 2nd biggest holding.
Other large investors have also recently bought and sold shares of the company. Atlantic Union Bankshares Corp raised its stake in Expand Energy by 74.6% during the 4th quarter. Atlantic Union Bankshares Corp now owns 234 shares of the company’s stock worth $26,000 after buying an additional 100 shares during the period. Eastern Bank acquired a new stake in Expand Energy during the 2nd quarter worth approximately $27,000. SJS Investment Consulting Inc. lifted its stake in Expand Energy by 379.6% in the first quarter. SJS Investment Consulting Inc. now owns 259 shares of the company’s stock valued at $28,000 after buying an additional 205 shares in the last quarter. University of Texas Texas AM Investment Management Co. acquired a new position in shares of Expand Energy in the fourth quarter valued at approximately $30,000. Finally, Ascentis Independent Advisors acquired a new position in Expand Energy in the 1st quarter worth $32,000. Institutional investors own 97.93% of the company’s stock.
Insider Activity at Expand Energy In related news, CEO Michael Wichterich purchased 1,000 shares of the firm’s stock in a transaction that occurred on Friday, June 12th. The shares were acquired at an average price of $88.90 per share, for a total transaction of $88,900.00. Following the purchase, the chief executive officer owned 85,498 shares in the company, valued at approximately $7,600,772.20. This represents a 1.18% increase in their ownership of the stock. The purchase was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Insiders own 0.22% of the company’s stock.
Expand Energy Stock Performance Shares of NASDAQ EXE opened at $96.33 on Tuesday. The company has a current ratio of 0.96, a quick ratio of 0.96 and a debt-to-equity ratio of 0.19. The company has a market capitalization of $22.30 billion, a P/E ratio of 8.32 and a beta of 0.34. Expand Energy Corporation has a 12 month low of $84.99 and a 12 month high of $126.62. The stock has a 50 day moving average of $91.10 and a 200-day moving average of $97.42. Expand Energy (NASDAQ:EXE – Get Free Report) last announced its quarterly earnings results on Tuesday, July 28th. The company reported $1.33 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.13 by $0.20. Expand Energy had a return on equity of 10.33% and a net margin of 20.46%.The business had revenue of $2.96 billion during the quarter, compared to the consensus estimate of $3.05 billion. As a group, equities research analysts predict that Expand Energy Corporation will post 8.84 EPS for the current year.
Expand Energy Dividend Announcement The business also recently announced a quarterly dividend, which will be paid on Thursday, September 3rd. Stockholders of record on Thursday, August 13th will be paid a dividend of $0.575 per share. This represents a $2.30 dividend on an annualized basis and a dividend yield of 2.4%. The ex-dividend date is Thursday, August 13th. Expand Energy’s dividend payout ratio (DPR) is currently 19.86%.
Analyst Upgrades and Downgrades Several analysts have issued reports on EXE shares. Weiss Ratings downgraded Expand Energy from a “hold (c+)” rating to a “hold (c)” rating in a research note on Wednesday, August 12th. William Blair cut shares of Expand Energy from an “outperform” rating to a “market perform” rating in a research note on Thursday, April 30th. Barclays cut their price objective on shares of Expand Energy from $110.00 to $107.00 and set an “equal weight” rating on the stock in a research report on Monday, August 17th. Johnson Rice cut shares of Expand Energy from a “buy” rating to an “accumulate” rating and reduced their target price for the stock from $135.00 to $125.00 in a report on Monday, August 17th. Finally, UBS Group decreased their target price on shares of Expand Energy from $127.00 to $124.00 and set a “buy” rating for the company in a research report on Thursday, July 30th. Two investment analysts have rated the stock with a Strong Buy rating, thirteen have given a Buy rating and six have issued a Hold rating to the company’s stock. Based on data from MarketBeat, Expand Energy currently has a consensus rating of “Moderate Buy” and a consensus target price of $127.67.
Get Our Latest Research Report on EXE
Expand Energy Company Profile (Free Report)
Expand Energy Corporation is an independent natural gas producer principally in the United States. Expand Energy Corporation, formerly known as Chesapeake Energy Corporation, is based in OKLAHOMA CITY.
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A month has gone by since the last earnings report for Expand Energy (EXE - Free Report) . Shares have added about 4.5% in that time frame, underperforming the S&P 500.
But investors have to be wondering, will the recent positive trend continue leading up to its next earnings release, or is Expand Energy due for a pullback? Well, first let's take a quick look at the most recent earnings report in order to get a better handle on the recent drivers for Expand Energy Corporation before we dive into how investors and analysts have reacted as of late.
Expand Energy Q2 Earnings Beat Estimates on Strong ProductionExpand Energy reported second-quarter 2026 adjusted earnings per share of $1.33, beating the Zacks Consensus Estimate by 9%. The company’s bottom line increased from the year-ago adjusted profit of $1.10 per share, fueled by strong production and lower operating expenses.
Expand Energy’s ‘natural gas, oil and NGL’ revenues of $1.8 billion missed the Zacks Consensus Estimate of $2 billion. The top line was also below the year-ago figure of $2 billion.
On July 27, Expand Energy announced the acquisition of Twin Eagle, creating North America’s leading integrated natural gas company.
Production & Price RealizationsThe company reported the average second-quarter daily production (comprising 92% natural gas) of 7,482 million cubic feet of gas equivalent (MMcfe/day), increasing 3.9% from the year-ago level of 7,202 MMcfe/day. The daily production levels surpassed the Zacks Consensus Estimate of 7,460 MMcfe/day. Natural gas volume for the period came in at 6,896 MMcfe/day, up 4.5% year over year. The consensus mark called for 6,898 MMcf/day of natural gas. EXE’s oil production was 14 thousand barrels per day (MBbl/d), while NGL output totaled 83 MBbl/d.
The average sales price for natural gas during the second quarter was $2.42 per Mcf, down 17.4% from the prior-year realization of $2.93 per Mcf. It was also below the consensus mark of $2.64. The average realized oil price was $84.71 per barrel compared with the consensus mark of $80. Meanwhile, the average realized NGL price was $26.26 per barrel, above the Zacks Consensus Estimate of $25.79.
Costs & ExpensesTotal operating expenses in the quarter were $2.3 billion, lower than the year-ago quarter’s $2.4 billion. This was mainly driven by decreases in exploration, marketing and depreciation, depletion and amortization expenses. The company’s exploration, marketing and depreciation, depletion and amortization expenses of $16 million, $649 million and $722 million during the second quarter of 2026 decreased from the year-ago levels of $20 million, $791 million and $769 million, respectively.
Dividend & Share RepurchasesIn the second quarter, the company plans to pay its quarterly base dividend of 57.5 cents per share on Sept. 3, 2026, to its shareholders of record on Aug. 13. Furthermore, Expand Energy expects to continue its returns-focused allocation of capital, including share repurchases, while preserving its balance sheet capacity.
Year-to-date through July 24, 2026, Expand Energy has redeemed approximately $1.3 billion of gross debt and executed $849 million of share repurchases.
Financial PositionCash flow from operations totaled $1.1 billion, decreasing from the prior-year quarter levels of $1.3 billion, while Expand Energy’s cash capital expenditure totaled $753 million, leading to a free cash flow of $343 million. It also paid out $138 million in dividends during the period.
As of June 30, 2026, the company had $663 million in cash and cash equivalents. Expand Energy had long-term debt of $3.7 billion, reflecting a debt-to-capitalization ratio of 15.96%.
Guidance for Q3 & 2026Expand Energy is targeting an average daily production in the range of 7,400-7,500 MMcfe for the third quarter of 2026 and 7,400-7,600 MMcfe for full-year 2026. The company has budgeted its capital spending between $700 million and $780 million for the upcoming quarter, while for 2026, the figure is projected to be between $2.75 billion and $2.95 billion.
How Have Estimates Been Moving Since Then?It turns out, estimates review have trended downward during the past month.
VGM ScoresCurrently, Expand Energy has a nice Growth Score of B, though it is lagging a lot on the Momentum Score front with an F. However, the stock has a score of A on the value side, putting it in the top 20% for value investors.
Overall, the stock has an aggregate VGM Score of A. If you aren't focused on one strategy, this score is the one you should be interested in.
OutlookEstimates have been broadly trending downward for the stock, and the magnitude of these revisions indicates a downward shift. Interestingly, Expand Energy has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.
Danske Bank A S bought a new position in shares of Expand Energy Corporation (NASDAQ:EXE – Free Report) in the second quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission (SEC). The institutional investor bought 6,805 shares of the company’s stock, valued at approximately $621,000.
A number of other hedge funds have also modified their holdings of the business. Siemens Fonds Invest GmbH boosted its position in Expand Energy by 6.8% during the third quarter. Siemens Fonds Invest GmbH now owns 1,383 shares of the company’s stock worth $147,000 after acquiring an additional 88 shares during the last quarter. Atlantic Union Bankshares Corp grew its stake in Expand Energy by 74.6% during the 4th quarter. Atlantic Union Bankshares Corp now owns 234 shares of the company’s stock valued at $26,000 after acquiring an additional 100 shares in the last quarter. McGowan Group Asset Management Inc. raised its holdings in Expand Energy by 0.4% in the 4th quarter. McGowan Group Asset Management Inc. now owns 24,073 shares of the company’s stock valued at $2,657,000 after acquiring an additional 105 shares during the last quarter. Smartleaf Asset Management LLC raised its holdings in Expand Energy by 25.4% in the 4th quarter. Smartleaf Asset Management LLC now owns 543 shares of the company’s stock valued at $61,000 after acquiring an additional 110 shares during the last quarter. Finally, EverSource Wealth Advisors LLC lifted its stake in Expand Energy by 4.5% in the 4th quarter. EverSource Wealth Advisors LLC now owns 2,590 shares of the company’s stock worth $286,000 after purchasing an additional 111 shares in the last quarter. 97.93% of the stock is currently owned by institutional investors and hedge funds.
Insider Buying and Selling In other Expand Energy news, CEO Michael Wichterich acquired 1,000 shares of the stock in a transaction that occurred on Friday, June 12th. The stock was bought at an average cost of $88.90 per share, for a total transaction of $88,900.00. Following the completion of the transaction, the chief executive officer owned 85,498 shares of the company’s stock, valued at approximately $7,600,772.20. The trade was a 1.18% increase in their position. The acquisition was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this link. Corporate insiders own 0.22% of the company’s stock.
Wall Street Analysts Forecast Growth Several research analysts have recently weighed in on the company. Benchmark lowered their target price on Expand Energy from $124.00 to $109.00 and set a “buy” rating on the stock in a report on Wednesday, August 12th. Johnson Rice cut Expand Energy from a “buy” rating to an “accumulate” rating and cut their price target for the company from $135.00 to $125.00 in a report on Monday, August 17th. Citigroup cut their price target on Expand Energy from $125.00 to $115.00 and set a “buy” rating for the company in a report on Thursday, July 9th. Truist Financial lifted their price objective on Expand Energy from $117.00 to $121.00 and gave the stock a “buy” rating in a research report on Thursday, July 30th. Finally, William Blair lowered Expand Energy from an “outperform” rating to a “market perform” rating in a research note on Thursday, April 30th. Two analysts have rated the stock with a Strong Buy rating, thirteen have issued a Buy rating and six have given a Hold rating to the stock. According to MarketBeat.com, Expand Energy currently has a consensus rating of “Moderate Buy” and a consensus price target of $127.67. Check Out Our Latest Stock Report on Expand Energy
Expand Energy Price Performance Shares of EXE stock opened at $96.09 on Friday. The company has a debt-to-equity ratio of 0.19, a current ratio of 0.96 and a quick ratio of 0.96. The firm’s 50-day moving average is $90.93 and its two-hundred day moving average is $97.58. Expand Energy Corporation has a 12 month low of $84.99 and a 12 month high of $126.62. The company has a market capitalization of $22.24 billion, a PE ratio of 8.30 and a beta of 0.34.
Expand Energy (NASDAQ:EXE – Get Free Report) last posted its earnings results on Tuesday, July 28th. The company reported $1.33 earnings per share for the quarter, beating the consensus estimate of $1.13 by $0.20. The company had revenue of $2.96 billion for the quarter, compared to analyst estimates of $3.05 billion. Expand Energy had a net margin of 20.46% and a return on equity of 10.33%. Analysts predict that Expand Energy Corporation will post 8.84 earnings per share for the current year.
Expand Energy Dividend Announcement The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, September 3rd. Investors of record on Thursday, August 13th will be issued a $0.575 dividend. The ex-dividend date is Thursday, August 13th. This represents a $2.30 dividend on an annualized basis and a yield of 2.4%. Expand Energy’s dividend payout ratio is currently 19.86%.
Expand Energy Profile (Free Report)
Expand Energy Corporation is an independent natural gas producer principally in the United States. Expand Energy Corporation, formerly known as Chesapeake Energy Corporation, is based in OKLAHOMA CITY.
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Extendicare Inc. (TSE:EXE – Get Free Report) crossed above its 200-day moving average during trading on Friday . The stock has a 200-day moving average of C$30.82 and traded as high as C$31.02. Extendicare shares last traded at C$30.36, with a volume of 1,282,777 shares changing hands.
Analyst Upgrades and Downgrades A number of analysts recently weighed in on the company. Canaccord Genuity Group boosted their target price on Extendicare from C$37.00 to C$44.00 and gave the stock a “buy” rating in a research report on Monday, August 10th. National Bank Financial increased their price target on shares of Extendicare from C$34.00 to C$40.00 and gave the company an “outperform” rating in a research report on Wednesday, May 27th. TD lifted their price target on shares of Extendicare from C$32.00 to C$39.00 and gave the stock a “buy” rating in a research note on Monday, May 11th. Desjardins lowered their price objective on shares of Extendicare from C$40.00 to C$39.00 and set a “buy” rating for the company in a report on Monday, August 10th. Finally, Royal Bank Of Canada upped their price objective on shares of Extendicare from C$38.00 to C$39.00 and gave the company an “outperform” rating in a research note on Friday, August 14th. One investment analyst has rated the stock with a Strong Buy rating and seven have issued a Buy rating to the stock. According to data from MarketBeat, the company presently has an average rating of “Buy” and a consensus price target of C$37.00.
Check Out Our Latest Stock Analysis on EXE
Extendicare Price Performance The business’s 50-day simple moving average is C$35.12 and its 200-day simple moving average is C$30.82. The stock has a market cap of C$2.89 billion, a PE ratio of 23.25 and a beta of 1.59. The company has a quick ratio of 0.98, a current ratio of 0.75 and a debt-to-equity ratio of 159.54. Extendicare (TSE:EXE – Get Free Report) last posted its earnings results on Thursday, August 6th. The company reported C$0.32 earnings per share for the quarter. The company had revenue of C$611.04 million during the quarter. Extendicare had a net margin of 6.13% and a return on equity of 36.33%. On average, research analysts expect that Extendicare Inc. will post 0.6134729 EPS for the current fiscal year.
Extendicare Announces Dividend The firm also recently declared a monthly dividend, which was paid on Monday, August 17th. Shareholders of record on Monday, August 17th were given a dividend of $0.0441 per share. The ex-dividend date of this dividend was Friday, July 31st. This represents a c) dividend on an annualized basis and a yield of 1.7%. Extendicare’s dividend payout ratio is presently 39.23%.
Extendicare Company Profile (Get Free Report)
Extendicare Inc, operating solely in Canada, is the largest private-sector owner and operator of long-term care (LTC”) homes and one of the largest private-sector providers of publicly funded home health care services.
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It doesn't matter your age or experience: taking full advantage of the stock market and investing with confidence are common goals for all investors. Luckily, Zacks Premium offers several different ways to do both.
The research service features daily updates of the Zacks Rank and Zacks Industry Rank, full access to the Zacks #1 Rank List, Equity Research reports, and Premium stock screens, all of which will help you become a smarter, more confident investor.
Zacks Premium also includes the Zacks Style Scores.
What are the Zacks Style Scores? The Zacks Style Scores, developed alongside the Zacks Rank, are complementary indicators that rate stocks based on three widely-followed investing methodologies; they also help investors pick stocks with the best chances of beating the market over the next 30 days.
Each stock is assigned a rating of A, B, C, D, or F based on their value, growth, and momentum characteristics. Just like in school, an A is better than a B, a B is better than a C, and so on -- that means the better the score, the better chance the stock will outperform.
The Style Scores are broken down into four categories:
Value ScoreFinding good stocks at good prices, and discovering which companies are trading under their true value, are what value investors like to focus on. So, the Value Style Score takes into account ratios like P/E, PEG, Price/Sales, Price/Cash Flow, and a host of other multiples to highlight the most attractive and discounted stocks.
Growth ScoreGrowth investors, on the other hand, are more concerned with a company's financial strength and health, and its future outlook. The Growth Style Score examines things like projected and historic earnings, sales, and cash flow to find stocks that will experience sustainable growth over time.
Momentum ScoreMomentum traders and investors live by the saying "the trend is your friend." This investing style is all about taking advantage of upward or downward trends in a stock's price or earnings outlook. Employing factors like one-week price change and the monthly percentage change in earnings estimates, the Momentum Style Score can indicate favorable times to build a position in high-momentum stocks.
VGM ScoreWhat if you like to use all three types of investing? The VGM Score is a combination of all Style Scores, making it one of the most comprehensive indicators to use with the Zacks Rank. It rates each stock on their combined weighted styles, which helps narrow down the companies with the most attractive value, best growth forecast, and most promising momentum.
How Style Scores Work with the Zacks Rank A proprietary stock-rating model, the Zacks Rank utilizes the power of earnings estimate revisions, or changes to a company's earnings outlook, to help investors create a successful portfolio.
#1 (Strong Buy) stocks have produced an unmatched +23.94% average annual return since 1988, which is more than double the S&P 500's performance over the same time frame. However, the Zacks Rank examines a ton of stocks, and there can be more than 200 companies with a Strong Buy rank, and another 600 with a #2 (Buy) rank, on any given day.
This totals more than 800 top-rated stocks, and it can be overwhelming to try and pick the best stocks for you and your portfolio.
That's where the Style Scores come in.
You want to make sure you're buying stocks with the highest likelihood of success, and to do that, you'll need to pick stocks with a Zacks Rank #1 or #2 that also have Style Scores of A or B. If you like a stock that only has a #3 (Hold) rank, it should also have Scores of A or B to guarantee as much upside potential as possible.
The direction of a stock's earnings estimate revisions should always be a key factor when choosing which stocks to buy, since the Scores were created to work together with the Zacks Rank.
Here's an example: a stock with a #4 (Sell) or #5 (Strong Sell) rating, even one with Style Scores of A and B, still has a downward-trending earnings outlook, and a bigger chance its share price will decrease too.
Thus, the more stocks you own with a #1 or #2 Rank and Scores of A or B, the better.
Stock to Watch: Expand Energy (EXE - Free Report) Expand Energy Corporation is a leading U.S.-based natural gas producer formed through the merger of Chesapeake Energy Corporation and Southwestern Energy Company. The all-stock merger, completed on Oct. 1, 2024, established a premier natural gas-focused company with leading positions in the Haynesville and Appalachian basins, premium drilling inventory and proximity to key liquefied natural gas (LNG) and domestic demand markets. The merger strengthened scale, operational efficiencies and financial resilience, supporting an investment-grade balance sheet, enhanced credit capacity and significant shareholder returns, while positioning the company to meet growing global energy demand.
EXE is a #3 (Hold) on the Zacks Rank, with a VGM Score of A.
Additionally, the company could be a top pick for growth investors. EXE has a Growth Style Score of B, forecasting year-over-year earnings growth of 46.2% for the current fiscal year.
Four analysts revised their earnings estimate higher in the last 60 days for fiscal 2026, while the Zacks Consensus Estimate has increased $0.25 to $8.92 per share. EXE also boasts an average earnings surprise of +7.2%.
With a solid Zacks Rank and top-tier Growth and VGM Style Scores, EXE should be on investors' short list.
Focus Partners Advisor Solutions LLC acquired a new stake in Expand Energy Corporation (NASDAQ: EXE) during the undefined quarter, according to its most recent filing with the Securities and Exchange Commission. The fund acquired 13,898 shares of the company's stock, valued at approximately $1,267,000. Several other large investors also recently modified their holdings
Extendicare TSE: EXE reported sharply higher second-quarter revenue and adjusted EBITDA as its recently completed acquisitions contributed for a full quarter, while management said it remains focused on integrating CBI Home Health and advancing its Ontario long-term-care redevelopment program.
Revenue rose 59.4% from a year earlier to C$611 million in the second quarter, while adjusted EBITDA increased 71% to C$68.3 million. President and CEO Michael Guerriere said the results reflected execution of the company’s acquisition strategy over the past 18 months, including the C$570 million purchase of CBI, which closed April 1.
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The quarter also included contributions from nine long-term-care homes acquired from Revera in June 2025 and Closing the Gap, a home-health-care acquisition completed in July 2025. Guerriere said all three acquisitions were exceeding the adjusted EBITDA levels originally underwritten when the transactions were announced.
CBI adds scale to home health operations CBI contributed C$145.7 million of revenue and C$18.5 million of adjusted EBITDA during the quarter, according to management. The business generated average daily visits of 33,609, representing an annualized run rate of about 12 million hours of care and approximately 20% growth from 2024 volumes.
Guerriere said CBI expands Extendicare’s presence in Western Canada and adds business models that create additional organic-growth opportunities. He said the combined scale of CBI and ParaMed should support further technology investment and future operating synergies after integration is completed.
Management said the integration remains in its early stages. Chief Financial Officer David Bacon said the immediate priority is exiting remaining transitional service arrangements, with that work targeted for the beginning of 2027. The company plans to integrate CBI methodically by geography rather than through a single cutover.
Extendicare continues to expect C$7.4 million in cost synergies once CBI is fully integrated. Management maintained its expectation that the integration will take roughly 18 to 24 months. Bacon said the company expects CBI-related integration expenses of about C$3 million to C$4 million annually over the next couple of years.
Guerriere said CBI integration will be the company’s principal focus through the rest of 2026, although Extendicare’s strengthened balance sheet gives it the ability to consider opportunities that fit its strategy. He said additional acquisition activity is more likely later in 2027 at the earliest, barring an unusually compelling opportunity.
Home health growth remains strong, margins affected by investment Home health-care volumes increased 132.6% year over year, driven by acquisitions and organic demand. Excluding CBI, average daily visits rose 31.7% from the prior-year period, reflecting both the Closing the Gap purchase and market growth.
Home health-care revenue increased by C$201.7 million year over year, while net operating income rose C$25.2 million, or 117.8%. However, the segment’s NOI margin declined 60 basis points to 12.9%.
Management attributed the margin decline to additional investment in technology and frontline-support functions, including scheduling, coordination and supervisory resources, as well as the absence of a 2026 Ontario home-care rate increase to offset labor-cost inflation.
Bacon said the company had made a “fairly large step up” in the size of its supporting back-office team over the past six months and does not expect another comparable step-up. He said management still views home health care as a higher-margin business over the medium to long term, though the timing of expansion will depend partly on funding-rate increases.
Guerriere said provincial home-care funding increases have historically tracked labor-cost inflation over the long term, though announcements are less regular than in long-term care and may include retroactive adjustments. Ontario’s two recent C$1.1 billion home-care funding announcements were primarily aimed at volumes rather than rates, he said.
Despite recent rapid expansion, Extendicare continues to expect long-run home-health-care volume growth of approximately 6% to 8% annually. Management cited roughly 4% demographic growth and continued shortages of long-term-care beds, while noting that recent higher growth likely reflects unmet demand and healthcare-system backlogs.
Long-term care and managed services contribute to earnings growth Long-term-care revenue rose C$26.5 million, or 12.8%, supported by the nine acquired homes, funding increases and improved preferred occupancy. Segment NOI increased C$5.7 million, or 23.9%, and the quarterly NOI margin rose 110 basis points to 12.7%.
Bacon said long-term-care margins tend to be higher during the second and third quarters because of the timing of funding and wage increases. For the trailing 12 months ended June, normalized long-term-care NOI margin was about 11.8%, which management said is consistent with its recent expectations.
Managed Services revenue declined C$0.6 million to C$17.1 million, partly because certain management contracts were not renewed. Still, NOI increased C$0.2 million to C$9.9 million, supported by 8.3% organic growth in SGP clients and higher management fees from the newly opened Extendicare Beauclaire home. The segment’s NOI margin was 57.6%, above the company’s expected annualized range of 50% to 55%.
Financing changes lower leverage and borrowing costs Extendicare completed its inaugural unsecured notes offering during the quarter, issuing C$450 million of five-year senior unsecured notes bearing interest at 4.345% and maturing in April 2031. Morningstar DBRS assigned both the company and the notes a BBB stable rating.
The company also established a new C$250 million unsecured credit facility maturing in April 2029 and repaid certain higher-cost and nearer-term long-term-care mortgages and loans. Bacon said these changes reduced Extendicare’s weighted-average interest rate by 80 basis points to 4.4% and extended its weighted-average debt maturity to 5.1 years.
At quarter-end, the company had C$208 million of liquidity, consisting of C$93 million of cash and C$115 million available under its unsecured revolving facility. Pro forma debt to adjusted EBITDA was approximately 2.5 times, below management’s original estimate of about 3.3 times following the CBI acquisition.
Second-quarter net earnings were C$30.9 million, down C$1.1 million from a year earlier, reflecting financing, debt-prepayment, transaction and integration costs. AFFO rose 47% to C$36.5 million, but was affected by C$8.7 million of payroll withholding taxes related to deferred share-unit settlements for two retiring directors. Excluding that impact, AFFO increased 73% to C$42.9 million, or C$0.448 per basic share.
Looking ahead, Extendicare plans to complete the Closing the Gap integration this year, continue integrating CBI and advance its redevelopment agenda. The company opened the 320-bed Extendicare Beauclaire home in Ottawa in May and has six redevelopment projects under construction, including the 256-bed Extendicare Forest Trail home in Peterborough, which is scheduled to open next month. Management said it remains on track to open four additional homes in 2027, adding 832 beds.
About Extendicare (TSE:EXE)Extendicare Inc, operating solely in Canada, is the largest private-sector owner and operator of long-term care (LTC") homes and one of the largest private-sector providers of publicly funded home health care services.
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Stock to Watch: Expand Energy (EXE - Free Report) Expand Energy Corporation is a leading U.S.-based natural gas producer formed through the merger of Chesapeake Energy Corporation and Southwestern Energy Company. The all-stock merger, completed on Oct. 1, 2024, established a premier natural gas-focused company with leading positions in the Haynesville and Appalachian basins, premium drilling inventory and proximity to key liquefied natural gas (LNG) and domestic demand markets. The merger strengthened scale, operational efficiencies and financial resilience, supporting an investment-grade balance sheet, enhanced credit capacity and significant shareholder returns, while positioning the company to meet growing global energy demand.
EXE is a #3 (Hold) on the Zacks Rank, with a VGM Score of A.
Additionally, the company could be a top pick for growth investors. EXE has a Growth Style Score of B, forecasting year-over-year earnings growth of 46.2% for the current fiscal year.
Four analysts revised their earnings estimate higher in the last 60 days for fiscal 2026, while the Zacks Consensus Estimate has increased $0.11 to $8.92 per share. EXE also boasts an average earnings surprise of +7.2%.
With a solid Zacks Rank and top-tier Growth and VGM Style Scores, EXE should be on investors' short list.
Arrowstreet Capital Limited Partnership bought a new stake in shares of Expand Energy Corporation (NASDAQ:EXE – Free Report) during the first quarter, according to its most recent 13F filing with the SEC. The institutional investor bought 95,571 shares of the company’s stock, valued at approximately $10,492,000.
Several other large investors also recently modified their holdings of EXE. Caxton Associates LLP increased its stake in Expand Energy by 200.7% in the 1st quarter. Caxton Associates LLP now owns 12,037 shares of the company’s stock valued at $1,321,000 after buying an additional 8,034 shares during the last quarter. Inceptionr LLC acquired a new stake in shares of Expand Energy during the first quarter worth $483,000. Sei Investments Co. boosted its position in shares of Expand Energy by 86.9% in the first quarter. Sei Investments Co. now owns 251,984 shares of the company’s stock valued at $27,663,000 after acquiring an additional 117,163 shares during the period. Lido Advisors LLC bought a new position in Expand Energy during the first quarter worth about $350,000. Finally, Cetera Investment Advisers boosted its stake in shares of Expand Energy by 7.8% in the first quarter. Cetera Investment Advisers now owns 39,239 shares of the company’s stock valued at $4,308,000 after buying an additional 2,826 shares during the period. 97.93% of the stock is currently owned by institutional investors.
Insider Buying and Selling In other Expand Energy news, CEO Michael Wichterich purchased 1,000 shares of the firm’s stock in a transaction on Friday, June 12th. The stock was purchased at an average cost of $88.90 per share, for a total transaction of $88,900.00. Following the transaction, the chief executive officer owned 85,498 shares in the company, valued at $7,600,772.20. The trade was a 1.18% increase in their position. The transaction was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, CFO Marcel Teunissen purchased 2,000 shares of the business’s stock in a transaction dated Thursday, May 7th. The shares were acquired at an average price of $96.43 per share, for a total transaction of $192,860.00. Following the acquisition, the chief financial officer owned 9,144 shares of the company’s stock, valued at $881,755.92. This trade represents a 28.00% increase in their position. The SEC filing for this purchase provides additional information. Insiders have acquired a total of 4,000 shares of company stock worth $375,120 over the last three months. Insiders own 0.22% of the company’s stock.
Key Stories Impacting Expand Energy Here are the key news stories impacting Expand Energy this week:
Positive Sentiment: Q2 earnings beat estimates: Expand Energy reported adjusted earnings of $1.33 per share, above the $1.13 consensus estimate. Higher production and lower operating costs helped offset weaker revenue and natural-gas prices. Expand Energy Q2 Earnings Beat Estimates on Strong Production Positive Sentiment: Analyst support strengthened: Truist raised its price target from $117 to $121 and maintained a Buy rating, while Morgan Stanley and UBS also reiterated or issued Buy ratings. These targets imply substantial potential upside from recent trading levels. Truist Raises Expand Energy Price Target Morgan Stanley Keeps Their Buy Rating on Expand Energy Expand Energy Receives a Buy from UBS Positive Sentiment: Growth strategy gains traction: The acquisition of Twin Eagle Holdings expands Expand Energy’s gas-marketing platform and could improve access to LNG, power and industrial customers. Management also retained its full-year production target and highlighted the potential for a larger buyback authorization. Expand Energy Sticks to Full-Year Production Goal Expand Energy Agrees to Buy Twin Eagle Holdings Neutral Sentiment: Barclays maintained a Hold rating, indicating that some analysts remain cautious despite the earnings beat and strategic expansion. Barclays Keeps Their Hold Rating on Expand Energy Negative Sentiment: Lower natural-gas prices, weaker quarterly revenue versus expectations and potential infrastructure constraints remain risks to near-term cash flow and the pace of growth. Wall Street Analysts Forecast Growth Several analysts have recently issued reports on the company. Truist Financial increased their target price on Expand Energy from $117.00 to $121.00 and gave the stock a “buy” rating in a report on Thursday. Roth Capital reiterated a “neutral” rating and set a $93.00 price objective on shares of Expand Energy in a research note on Wednesday. Barclays lowered shares of Expand Energy from an “overweight” rating to a “reduce” rating in a report on Tuesday, May 26th. Citigroup cut their price target on shares of Expand Energy from $125.00 to $115.00 and set a “buy” rating for the company in a report on Thursday, July 9th. Finally, Weiss Ratings lowered shares of Expand Energy from a “buy (b-)” rating to a “hold (c+)” rating in a research report on Tuesday, May 19th. Two research analysts have rated the stock with a Strong Buy rating, twelve have given a Buy rating, five have assigned a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $129.00.
Check Out Our Latest Report on Expand Energy
Expand Energy Price Performance Shares of NASDAQ:EXE opened at $94.03 on Friday. The company has a debt-to-equity ratio of 0.19, a current ratio of 0.96 and a quick ratio of 1.11. Expand Energy Corporation has a one year low of $84.99 and a one year high of $126.62. The company has a market cap of $21.77 billion, a price-to-earnings ratio of 8.12 and a beta of 0.34. The firm has a 50 day simple moving average of $89.98 and a 200 day simple moving average of $98.77.
Expand Energy (NASDAQ:EXE – Get Free Report) last issued its earnings results on Tuesday, July 28th. The company reported $1.33 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.13 by $0.20. The business had revenue of $2.96 billion during the quarter, compared to analysts’ expectations of $3.05 billion. Expand Energy had a return on equity of 10.33% and a net margin of 20.46%. Research analysts predict that Expand Energy Corporation will post 8.66 earnings per share for the current fiscal year.
Expand Energy Dividend Announcement The firm also recently announced a quarterly dividend, which will be paid on Thursday, September 3rd. Investors of record on Thursday, August 13th will be given a dividend of $0.575 per share. The ex-dividend date is Thursday, August 13th. This represents a $2.30 annualized dividend and a yield of 2.4%. Expand Energy’s dividend payout ratio (DPR) is currently 19.86%.
About Expand Energy (Free Report)
Expand Energy Corporation is an independent natural gas producer principally in the United States. Expand Energy Corporation, formerly known as Chesapeake Energy Corporation, is based in OKLAHOMA CITY.
Further Reading Five stocks we like better than Expand Energy Chevron’s Strong Quarter Shows Why It Still Leads the Energy Sector Amazon’s Earnings Beat Shows Why AWS Is Back at the Center of the Bull Case Apple’s Record Quarter Could Not Outrun Its Guidance Problem McKesson’s Compounding Keeps Adding Up Want to see what other hedge funds are holding EXE? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Expand Energy Corporation (NASDAQ:EXE – Free Report).
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Key Takeaways Expand Energy beat Q2 earnings estimates as higher production and lower operating expenses lifted results.EXE topped production estimates, announced the Twin Eagle acquisition and maintained 2026 output guidance.Expand Energy plans a 57.5-cent dividend, continued buybacks and reduced about $1.3B of gross debt YTD. Expand Energy Corporation (EXE - Free Report) reported second-quarter 2026 adjusted earnings per share of $1.33, beating the Zacks Consensus Estimate of $1.22. The company’s bottom line increased from the year-ago adjusted profit of $1.10 per share, fueled by strong production and lower operating expenses.
Expand Energy’s ‘natural gas, oil and NGL’ revenues of $1.8 billion missed the Zacks Consensus Estimate of $2 billion. The top line was also below the year-ago figure of $2 billion.
On July 27, Expand Energy announced the acquisition of Twin Eagle, creating North America’s leading integrated natural gas company.
EXE’s Production & Price RealizationsThe company reported the average second-quarter daily production (comprising 92% natural gas) of 7,482 million cubic feet of gas equivalent (MMcfe/day), increasing 3.9% from the year-ago level of 7,202 MMcfe/day. The daily production levels surpassed the Zacks Consensus Estimate of 7,460 MMcfe/day. Natural gas volume for the period came in at 6,896 MMcfe/day, up 4.5% year over year. The consensus mark called for 6,898 MMcf/day of natural gas. EXE’s oil production was 14 thousand barrels per day (MBbl/d), while NGL output totaled 83 MBbl/d.
The average sales price for natural gas during the second quarter was $2.42 per Mcf, down 17.4% from the prior-year realization of $2.93 per Mcf. It was also below the consensus mark of $2.64. The average realized oil price was $84.71 per barrel compared with the consensus mark of $80. Meanwhile, the average realized NGL price was $26.26 per barrel, above the Zacks Consensus Estimate of$25.79.
EXE’s Q2 Costs & ExpensesTotal operating expenses in the quarter were $2.3 billion, lower than the year-ago quarter’s $2.4 billion. This was mainly backed by a decrease in exploration, marketing and depreciation, depletion and amortization expenses. The company’s exploration, marketing and depreciation, depletion and amortization expenses of $16 million, $649 million and $722 million during the second quarter of 2026 decreased from the year-ago levels of $20 million, $791 million and $769 million, respectively.
Dividend & Share RepurchasesIn the second quarter, the company plans to pay its quarterly base dividend of 57.5 cents per share on Sept. 3, 2026, to its shareholders of record on Aug. 13. Furthermore, Expand Energy expects to continue its returns-focused allocation of capital, including share repurchases, while preserving its balance sheet capacity.
Year-to-date through July 24, 2026, Expand Energy has redeemed approximately $1.3 billion of gross debt and executed $849 million of share repurchases.
Financial PositionCash flow from operations totaled $1.1 billion, decreasing from the prior-year quarter levels of $1.3 billion, while Expand Energy’s capital expenditure totaled $753 million, leading to a free cash flow of $343 million. It also paid out $138 million in dividends during the period.
As of June 30, 2026, the company had $663 million in cash and cash equivalents. Expand Energy had a long-term debt of $3.7 billion, reflecting a debt-to-capitalization of 16%.
Expand Energy’s Guidance for Q3 & 2026Expand Energy is targeting an average daily production in the range of 7,400-7,500 MMcfe for the third quarter of 2026 and 7,400-7,600 MMcfe for full-year 2026. The company has budgeted its capital spending between $700 million and $780 million for the upcoming quarter, while for 2026, the figure is projected to be between $2.75 billion and $2.95 billion.
Expand Energy currently has a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Important Earnings at a GlanceWhile we have discussed EXE’s second-quarter results in detail, let us take a look at three other reports in this space.
Halliburton Company (HAL - Free Report) reported second-quarter 2026 adjusted net income per share of 55 cents, marginally beating the Zacks Consensus Estimate of 54 cents. The outperformance was backed by year-over-year revenue growth. However, the bottom line was flat compared with the prior-year level. Meanwhile, HAL’s second-quarter revenues of $5.7 billion were up 3.7% year over year and beat the Zacks Consensus Estimate of $5.5 billion. The outperformance was driven by higher revenues in both segments of the company — the Completion and Production segment and the Drilling and Evaluation segment.
Halliburton reported second-quarter capital expenditure of $235 million. As of June 30, 2026, the company had approximately $2 billion in cash/cash equivalents and $7.1 billion in long-term debt, representing a debt-to-capitalization of 39%.
Liberty Energy Inc. (LBRT - Free Report) reported a second-quarter 2026 adjusted net profit of 9 cents per share, beating the Zacks Consensus Estimate of 7 cents. The outperformance was driven by the company’s focus on AI-driven technology advancements and strong operational execution. However, the bottom line decreased from the year-ago quarter’s profit of 12 cents due to increased year-over-year costs and expenses. LBRT's revenues totaled $1.2 billion, which beat the Zacks Consensus Estimate of $1.1 billion. The top line also increased from the prior-year quarter’s $1 billion by 14%, supported by record utilization and a modest pricing uplift along with higher product sales.
As of June 30, Liberty Energy had approximately $555.4 million in cash and cash equivalents. The pressure pumper’s long-term debt of $1.3 billion represented a debt-to-capitalization of 39.5%.
Houston, TX-based oil and gas storage and transportation company Kinder Morgan Inc. (KMI - Free Report) reported second-quarter 2026 adjusted earnings of 37 cents per share, beating the Zacks Consensus Estimate of 31 cents by 19.35%. Earnings increased 32.1% from 28 cents in the year-ago quarter. KMI’s Revenues increased 10.8% year over year to $4.48 billion from the prior year’s figure of $4.04 billion. Revenues surpassed the consensus estimate of $4.29 billion by 4.43%.
Cash flow from operations was $1.96 billion in the quarter. Meanwhile, free cash flow was $978 million and free cash flow after dividends reached $313 million. As of June 30, 2026, KMI reported $89 million in cash and cash equivalents. Net debt stood at $32.03 billion at quarter-end.
Exelixis Reports Solid Earnings—Are New Highs Back on the Table?Expand Energy NASDAQ: EXE said its second-quarter operating performance and capital allocation actions reinforced its strategy of becoming an integrated natural gas company, highlighting debt reduction, share repurchases, organic lease additions and its planned acquisition of natural gas marketer Twin Eagle.
Interim President, Chief Executive Officer and Chairman Mike Wichterich said the company used strong free cash flow during the first quarter, when natural gas prices were higher, to reduce gross debt by $1.3 billion. When natural gas prices subsequently declined and Expand’s share price fell below its view of mid-cycle value, the company repurchased $850 million of stock, representing about 4% of shares outstanding.
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Oil’s Outlook Looks Ugly—That’s Why These 3 Energy Plays MatterThe board has authorized an additional $1 billion for future share repurchases, Wichterich said. He described the actions as part of a capital-allocation approach intended to generate returns through commodity cycles.
Twin Eagle Acquisition Expands Marketing Strategy Expand announced the purchase of Twin Eagle, a physical natural gas marketing company, on Monday. Wichterich said the transaction accelerates Expand’s Marketing & Commercial strategy by combining the company’s supply base and financial resources with Twin Eagle’s customer relationships, transportation and storage capabilities.
3 Companies to Watch as Natural Gas Stocks Make a ComebackTwin Eagle has more than 1,000 customers, according to Wichterich, while CFO Marcel Teunissen later said the business has more than 1,300 customers in its book. Wichterich said the marketer’s average customer retention rate is 90% and that Twin Eagle has been profitable every year since its inception.
“This is a demand pull future as opposed to a supply future,” Wichterich said in response to an analyst question. “If you think that’s the number one goal is to get customers, Twin Eagle has that.”
Expand expects Twin Eagle to contribute more than $200 million of EBITDA in its first year and to grow to $350 million annually after the company captures anticipated synergies over the next two years. Management said those estimates assume normal market conditions and exclude potential upside during periods of heightened volatility.
Teunissen said Twin Eagle has generated its base EBITDA consistently over recent years and could produce roughly 1.5 to two times that amount in more volatile markets. He said the transaction is expected to reduce Expand’s excluding-dividend breakeven by approximately $0.05 to $0.10 per Mcf on its own, with synergies adding a further $0.10 to $0.15 of improvement. The company’s broader $750 million Marketing & Commercial free-cash-flow target would represent roughly $0.30 of breakeven improvement, he said.
Management characterized the acquisition as capital-light relative to owning midstream infrastructure directly. Wichterich said Expand may still pursue partnerships or projects that improve access to higher-value markets, but it does not intend to become a midstream operator.
Twin Eagle’s storage and transportation assets will be evaluated based on how they support recurring earnings and optimization opportunities, rather than on standalone asset values, Wichterich said. The combined company will have 49 Bcf of storage capacity on a pro forma basis, according to an analyst question. Management declined to provide details on customer-specific storage arrangements.
Demand Outlook and Production Flexibility Dan Turco, executive vice president of Marketing and Commercial, said Expand remains constructive on long-term demand growth from power generation, industrial activity and liquefied natural gas exports. He said U.S. power demand recently reached an all-time high of 101 terawatts and pointed to manufacturing expansions near the Haynesville region, as well as accelerated LNG projects and additional final investment decisions.
Turco said Expand is pursuing products and longer-term arrangements that can help customers meet their needs across North America. Management said Twin Eagle’s national footprint and relationships with utilities could help Expand participate in supply agreements linked to data centers and other power-demand growth across the country.
COO Josh Viets said the company still views a $3.50 to $4.00 per Mcf range as the natural gas price needed to balance the market over the cycle. He said Expand is positioned to grow if its outlook for mid-cycle pricing rises as demand increases later in the decade.
Viets said management expects the natural gas market to remain modestly oversupplied in the near term, citing potential Haynesville output growth and about 3.5 Bcf per day of additional Permian takeaway capacity expected by year-end. He said the market could remain oversupplied through at least the first half of 2027, before 5.5 to 6 Bcf per day of new demand is expected to emerge in the second half of that year.
Looking further ahead, Viets cited an outlook for 19 to 24 Bcf per day of incremental demand by the end of the decade. He said Expand’s Haynesville inventory, infrastructure access and expanded commercial platform position it to supply that demand.
The company expects production to increase modestly in the fourth quarter, primarily in Appalachia, as winter demand potentially improves basis conditions. Viets said Expand expects output above 7.6 Bcf per day in the fourth quarter, while maintaining flexibility to adjust production if demand or weather conditions soften. The company’s business is structured around approximately 7.5 Bcf per day, he said.
Leasehold Investment and Operating Improvements Expand said it has actively added acreage across its operating areas, seeking locations that can support near-term drilling plans or provide longer-term growth optionality. Viets said the company acquired more than 100 locations in the Natchitoches Fault Zone extension in Louisiana at less than $500,000 per location.
The acreage targets deeper Haynesville and Bossier formations, about 2,000 feet below existing development areas, Viets said. He said Expand’s experience operating high-pressure gas reservoirs and its subsurface data give it an advantage in evaluating the opportunity.
The company also cited a 3,000-acre acquisition in the core of Bradford County that it had pursued for more than two years. Viets said leasehold spending should decline during the second half of the year but could push full-year capital spending toward the high end of guidance if additional attractive opportunities emerge.
Capital spending is also expected to decline in the second half due partly to lower drilling and completion activity in Appalachia, management said. Viets said higher fuel costs created some inflationary pressure during the second quarter, though those costs are included in full-year guidance.
Expand expects maintenance capital, excluding growth leasehold and growth drilling and completion spending in East Texas, to remain around $2.8 billion. Viets said operational gains and improved Haynesville completion designs could produce modest year-over-year maintenance-capital improvements in 2027.
In the Haynesville, the company said enhanced completions have increased per-well production by roughly 5% to 10%, particularly by flattening production declines in years two and three. Larger and more complex completions have extended pumping and drill-out times, however, and management expects roughly 10 fewer wells to be turned in line during 2026 than previously anticipated. Those wells may move into 2027.
CEO Search Nearing Conclusion Wichterich said Expand’s CEO search remains on track to conclude within the previously stated six- to nine-month timeframe. The company is at the six-month mark and in the “back third” of the process, he said.
The board is seeking an executive with a long energy-industry career, a record of success and support for the company’s integrated gas strategy, Wichterich said. He also emphasized recent additions and investments in the broader leadership team, including the CFO, chief risk officer, chief human resources officer and business development organization.
About Expand Energy (NASDAQ:EXE)Expand Energy Corporation is an independent natural gas producer principally in the United States. Expand Energy Corporation, formerly known as Chesapeake Energy Corporation, is based in OKLAHOMA CITY.
This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected].
Should You Invest $1,000 in Expand Energy Right Now?Before you consider Expand Energy, you'll want to hear this.
MarketBeat keeps track of Wall Street's top-rated and best performing research analysts and the stocks they recommend to their clients on a daily basis. MarketBeat has identified the five stocks that top analysts are quietly whispering to their clients to buy now before the broader market catches on... and Expand Energy wasn't on the list.
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Bank of Nova Scotia trimmed its stake in Expand Energy Corporation (NASDAQ:EXE – Free Report) by 37.7% during the 1st quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The fund owned 38,576 shares of the company’s stock after selling 23,300 shares during the period. Bank of Nova Scotia’s holdings in Expand Energy were worth $4,235,000 as of its most recent SEC filing.
Several other institutional investors and hedge funds also recently made changes to their positions in EXE. Capital Research Global Investors increased its stake in Expand Energy by 33.2% during the fourth quarter. Capital Research Global Investors now owns 21,251,283 shares of the company’s stock valued at $2,345,303,000 after acquiring an additional 5,291,948 shares during the period. Northwestern Mutual Wealth Management Co. grew its holdings in shares of Expand Energy by 36,574.9% during the 4th quarter. Northwestern Mutual Wealth Management Co. now owns 2,420,912 shares of the company’s stock worth $267,172,000 after purchasing an additional 2,414,311 shares in the last quarter. Bank of New York Mellon Corp grew its holdings in shares of Expand Energy by 94.7% during the 1st quarter. Bank of New York Mellon Corp now owns 4,498,905 shares of the company’s stock worth $493,890,000 after purchasing an additional 2,188,422 shares in the last quarter. Victory Capital Management Inc. increased its position in shares of Expand Energy by 192.0% during the fourth quarter. Victory Capital Management Inc. now owns 3,286,361 shares of the company’s stock valued at $362,683,000 after purchasing an additional 2,160,979 shares during the period. Finally, Dragoneer Investment Group LLC acquired a new position in shares of Expand Energy in the fourth quarter valued at $145,633,000. Institutional investors own 97.93% of the company’s stock.
Analyst Upgrades and Downgrades Several research analysts recently commented on EXE shares. Barclays cut Expand Energy from an “overweight” rating to a “reduce” rating in a research report on Tuesday, May 26th. KeyCorp reaffirmed a “sector weight” rating on shares of Expand Energy in a report on Thursday, April 2nd. Weiss Ratings downgraded shares of Expand Energy from a “buy (b-)” rating to a “hold (c+)” rating in a report on Tuesday, May 19th. William Blair lowered shares of Expand Energy from an “outperform” rating to a “market perform” rating in a research report on Thursday, April 30th. Finally, Citigroup lowered their target price on shares of Expand Energy from $125.00 to $115.00 and set a “buy” rating on the stock in a research note on Thursday, July 9th. Two research analysts have rated the stock with a Strong Buy rating, eleven have given a Buy rating, five have given a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat, the stock has an average rating of “Moderate Buy” and an average price target of $130.19.
Read Our Latest Analysis on Expand Energy
Expand Energy Stock Performance Shares of NASDAQ:EXE opened at $88.52 on Wednesday. The business’s fifty day moving average price is $90.29 and its two-hundred day moving average price is $98.95. Expand Energy Corporation has a fifty-two week low of $84.99 and a fifty-two week high of $126.62. The stock has a market capitalization of $21.18 billion, a price-to-earnings ratio of 6.60 and a beta of 0.34. The company has a debt-to-equity ratio of 0.21, a current ratio of 1.11 and a quick ratio of 1.11.
Expand Energy (NASDAQ:EXE – Get Free Report) last issued its quarterly earnings data on Tuesday, July 28th. The company reported $1.33 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.13 by $0.20. Expand Energy had a return on equity of 10.26% and a net margin of 22.53%.The company had revenue of $2.96 billion during the quarter, compared to analysts’ expectations of $3.05 billion. As a group, analysts predict that Expand Energy Corporation will post 8.41 EPS for the current fiscal year.
Expand Energy Announces Dividend The company also recently announced a quarterly dividend, which will be paid on Thursday, September 3rd. Investors of record on Thursday, August 13th will be given a dividend of $0.575 per share. The ex-dividend date is Thursday, August 13th. This represents a $2.30 dividend on an annualized basis and a dividend yield of 2.6%. Expand Energy’s dividend payout ratio (DPR) is 17.15%.
Insider Activity In other news, CFO Marcel Teunissen purchased 2,000 shares of the business’s stock in a transaction that occurred on Thursday, May 7th. The stock was purchased at an average cost of $96.43 per share, with a total value of $192,860.00. Following the acquisition, the chief financial officer directly owned 9,144 shares of the company’s stock, valued at approximately $881,755.92. This trade represents a 28.00% increase in their position. The transaction was disclosed in a legal filing with the SEC, which is available through the SEC website. Also, CEO Michael Wichterich purchased 1,000 shares of Expand Energy stock in a transaction on Friday, June 12th. The stock was purchased at an average price of $88.90 per share, for a total transaction of $88,900.00. Following the completion of the transaction, the chief executive officer owned 85,498 shares of the company’s stock, valued at approximately $7,600,772.20. This represents a 1.18% increase in their ownership of the stock. The SEC filing for this purchase provides additional information. Insiders have purchased a total of 4,000 shares of company stock valued at $375,120 over the last three months. 0.22% of the stock is currently owned by insiders.
Expand Energy News Summary Here are the key news stories impacting Expand Energy this week:
Positive Sentiment: Second-quarter earnings beat expectations. Expand Energy reported adjusted earnings of $1.33 per share, above consensus estimates ranging from $1.13 to $1.22 and up from $1.10 a year earlier. Expand Energy Q2 Earnings Beat Estimates Positive Sentiment: Twin Eagle acquisition offers growth and integration benefits. EXE agreed to acquire privately held natural-gas marketer Twin Eagle for $1.25 billion. Management expects the deal to contribute more than $200 million in annual EBITDA initially and generate $150 million in annual synergies by the end of 2028, expanding Expand Energy’s reach across major U.S. and Canadian demand markets. Expand Energy to Acquire Twin Eagle Neutral Sentiment: The deal shifts EXE toward an integrated natural-gas model. Combining North America’s largest gas producer with a marketing and optimization platform could improve value capture and diversify earnings, but investors will likely monitor transaction funding, closing conditions and the pace of synergy realization. Expand Energy to Acquire Twin Eagle in $1.25 Billion Deal Negative Sentiment: Revenue missed forecasts. Quarterly revenue was $2.96 billion, below analysts’ $3.05 billion estimate. The revenue shortfall may be overshadowing the EPS beat, particularly as pre-earnings coverage cited downward estimate revisions. Expand Energy Earnings Results About Expand Energy (Free Report)
Expand Energy Corporation is an independent natural gas producer principally in the United States. Expand Energy Corporation, formerly known as Chesapeake Energy Corporation, is based in OKLAHOMA CITY.
See Also Five stocks we like better than Expand Energy These 3 Stocks Have Soared in 2026—Can They Keep Climbing? Hasbro’s Earnings Beat Shows Why This Is No Longer Just a Toy Story Rambus: Another AI Phoenix Ready to Rise From the Ashes of Correction Chips & Clips: Memory Tariffs Rewire Tech Supply Chains Want to see what other hedge funds are holding EXE? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Expand Energy Corporation (NASDAQ:EXE – Free Report).
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Expand Energy (EXE - Free Report) came out with quarterly earnings of $1.33 per share, beating the Zacks Consensus Estimate of $1.22 per share. This compares to earnings of $1.1 per share a year ago. These figures are adjusted for non-recurring items.
This quarterly report represents an earnings surprise of +9.02%. A quarter ago, it was expected that this oil and gas company would post earnings of $3.69 per share when it actually produced earnings of $3.83, delivering a surprise of +3.79%.
Over the last four quarters, the company has surpassed consensus EPS estimates four times.
Expand Energy, which belongs to the Zacks Alternative Energy - Other industry, posted revenues of $1.83 billion for the quarter ended June 2026, missing the Zacks Consensus Estimate by 10.04%. This compares to year-ago revenues of $2.02 billion. The company has topped consensus revenue estimates two times over the last four quarters.
The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.
Expand Energy shares have lost about 18% since the beginning of the year versus the S&P 500's gain of 8.3%.
What's Next for Expand Energy?While Expand Energy has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?
There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.
Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.
Ahead of this earnings release, the estimate revisions trend for Expand Energy was unfavorable. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #4 (Sell) for the stock. So, the shares are expected to underperform the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $1.40 on $2.14 billion in revenues for the coming quarter and $8.41 on $9.65 billion in revenues for the current fiscal year.
Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Alternative Energy - Other is currently in the top 40% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.
One other stock from the same industry, TC Energy (TRP - Free Report) , is yet to report results for the quarter ended June 2026. The results are expected to be released on July 30.
This energy infrastructure company is expected to post quarterly earnings of $0.59 per share in its upcoming report, which represents no change from the year-ago quarter. The consensus EPS estimate for the quarter has been revised 0.5% higher over the last 30 days to the current level.
TC Energy's revenues are expected to be $2.74 billion, up 1.5% from the year-ago quarter.
SPRING, Texas, July 28, 2026 (GLOBE NEWSWIRE) -- Expand Energy Corporation (NASDAQ: EXE) ("Expand Energy" or the "Company") today reported second quarter 2026 financial and operating results.
Net cash provided by operating activities of $1,096 million, driven by continued operational executionNet income of $522 million, or $2.19 per fully diluted share; adjusted net income(1) of $317 million, or $1.33 per diluted shareAdjusted EBITDAX(1) of $1,183 millionNet production of ~7.48 Bcfe/d (92% natural gas), reaffirmed full-year 2026 guidance of 7.4 – 7.6 Bcfe/dTotal debt of $3.7 billion as of quarter-end, down ~$1.3 billion from year-end as a result of senior note redemption in April 2026Reported quarter-end net debt(1) of $3.1 billion and peer-leading leverage ratio of ~0.5xApproximately $530 million of common stock repurchases in the second quarter; year-to-date repurchases total approximately $850 million or 4% of shares outstandingAnnounced additional ~$1 billion buyback authorization, facilitating continued opportunistic share repurchasesReleased 2025 Sustainability Report with consistent, transparent performance data disclosureAnnounced the acquisition of Twin Eagle Holdings, N.A. LLC ("Twin Eagle"), creating North America's leading integrated natural gas company (1) Definitions of non-GAAP financial measures and reconciliations of each non-GAAP financial measure to the most directly comparable GAAP financial measure are included at the end of this release.
“This year, the team has been focused on two key initiatives, executing with discipline and accelerating our marketing and commercial strategy. I'm pleased with the significant progress we've made on both fronts,” said Mike Wichterich, Interim President and Chief Executive Officer of Expand Energy. “We’ve strengthened our balance sheet and achieved a peer-leading leverage ratio, giving us the flexibility to opportunistically allocate capital. We acted decisively with our buyback program, reduced outstanding shares by 4%, and authorized an additional $1 billion of share repurchases. Through our leasing program, we’ve organically extended our inventory across our portfolio at a significant discount to recent industry acquisitions. Most importantly, our recently announced acquisition of Twin Eagle immediately establishes Expand as the leading integrated natural gas company, extends our access to demand markets from coast to coast, and meaningfully accelerates our strategy. The team is executing on all fronts, delivering as promised, and creating sustainable value for our shareholders.”
Operations Update
Expand Energy operated an average of 12 rigs during the second quarter, drilling 55 wells and turning 48 wells in line, resulting in net production of approximately 7.48 Bcfe/d (92% natural gas). A detailed breakdown of second quarter production, capital expenditures and activity can be found in the supplemental slides which have been posted at https://investors.expandenergy.com/events-presentations.
2026 Capital and Operating Outlook
In 2026, Expand Energy expects to run 11 – 12 rigs and invest approximately $2.75 – $2.95 billion. Average daily production is expected to be approximately 7.4 – 7.6 Bcfe/d.
A detailed breakdown of the Company's 2026 annual capital and operating outlook can be found in the supplemental slides.
Shareholder Returns Update
Expand Energy expects to continue its returns-focused allocation of capital, including to share repurchases, while preserving balance sheet capacity to capitalize on attractive opportunities through the cycle. Year-to-date through July 24, 2026, the Company has redeemed approximately $1.3 billion of gross debt and executed $849 million of share repurchases. The Company plans to pay its quarterly base dividend of $0.575 per share on September 3, 2026 to shareholders of record at the close of business on August 13, 2026.
Conference Call Information
A conference call to discuss Expand Energy's second quarter 2026 financial and operating results and 2026 outlook has been scheduled for 9 a.m. EDT on July 29, 2026. Participants can access the live webcast at https://edge.media-server.com/mmc/p/w7azq3eg/. Participants who would like to ask a question, can register at https://register-conf.media-server.com/register/BIa5617126d27645d887bff8d8eefaf1c6, and will receive the dial-in info and a unique PIN to join the call. Links to the conference call will be provided at https://investors.expandenergy.com/. A replay will be available on the website following the call.
Financial Statements, Non-GAAP Financial Measures and 2026 Guidance and Outlook Projections
This news release contains the non-GAAP financial measures described below in the section titled "Non-GAAP Financial Measures." Reconciliations of each non-GAAP financial measure used in this news release to the most directly comparable GAAP financial measure are provided below. Additional detail on the Company’s 2026 second quarter financial and operational results, along with non-GAAP measures that adjust for items typically excluded by securities analysts, are available on the Company’s website. Non-GAAP measures should not be considered as an alternative to, or more meaningful than, GAAP measures. Management’s guidance for 2026 can be found on the Company’s website at www.expandenergy.com.
Expand Energy Corporation (NASDAQ: EXE) is North America’s largest natural gas producer, powered by dedicated and innovative employees focused on expanding the value of natural gas by connecting global scale to growing markets. Expand Energy’s returns-driven strategy strives to create sustainable value for its stakeholders by leveraging its advantaged portfolio, financial strength and operational excellence. Expand Energy is committed to expanding America’s energy reach to fuel a more affordable, reliable, lower carbon future.
Forward-Looking Statements
This release includes “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements include our current expectations or forecasts of future events, including matters relating to armed conflict between Russia and Ukraine, instability in the Middle East and Venezuela and changes in China-Taiwan relations, along with the effects of the current global economic environment, and the impact of each on our business, financial condition, results of operations and cash flows, actions by, or disputes among or between, members of OPEC+ and other foreign oil-exporting countries, market factors, market prices, our ability to meet debt service requirements, our ability to continue to pay cash dividends, the amount and timing of any cash dividends and our sustainability initiatives. Forward-looking and other statements in this news release regarding our environmental, social and other sustainability plans and goals are not an indication that these statements are necessarily material to investors or required to be disclosed in our filings with the Securities and Exchange Commission ("SEC"). In addition, historical, current, and forward-looking environmental, social and sustainability-related statements may be based on standards for measuring progress that are still developing, internal controls and processes that continue to evolve, and assumptions that are subject to change in the future. Forward-looking statements often address our expected future business, financial performance and financial condition, and often contain words such as "aim", "predict", "should", "expect," “could,” “may,” "anticipate," "intend," "plan," “ability,” "believe," "seek," "see," "will," "would," “estimate,” “forecast,” "target," “guidance,” “outlook,” “opportunity” or “strategy.” The absence of such words or expressions does not necessarily mean the statements are not forward-looking.
Although we believe the expectations and forecasts reflected in our forward-looking statements are reasonable, they are inherently subject to numerous risks and uncertainties, most of which are difficult to predict and many of which are beyond our control. No assurance can be given that such forward-looking statements will be correct or achieved or that the assumptions are accurate or will not change over time. Particular uncertainties that could cause our actual results to be materially different than those expressed in our forward-looking statements include:
Reduced demand for natural gas, oil, and natural gas liquids ("NGLs");negative public perceptions of our industry;competition in the natural gas and oil exploration and production industry;the volatility of natural gas, oil and NGL prices, which are affected by general economic and business conditions, as well as increased demand for (and availability of) alternative fuels and electric vehicles;risks from regional epidemics or pandemics and related economic turmoil, including supply chain constraints;write-downs of our natural gas and oil asset carrying values due to low commodity prices;significant capital expenditures are required to replace our reserves and conduct our business;our ability to replace reserves and sustain production;uncertainties inherent in estimating quantities of natural gas, oil and NGL reserves and projecting future rates of production and the amount and timing of development expenditures;drilling and operating risks and resulting liabilities;our ability to generate profits or achieve targeted results in drilling and well operations;leasehold terms expiring before production can be established;risks from our commodity price risk management activities;uncertainties, risks and costs associated with natural gas and oil operations;our need to secure adequate supplies of water for our drilling operations and to dispose of or recycle the water used;pipeline and gathering system capacity constraints and transportation interruptions;risks related to our plans to participate in the global LNG value chain;terrorist activities and/or cyber-attacks adversely impacting our operations;risks from failure to protect personal information and data and compliance with data privacy and security laws and regulations;disruption of our business by natural or human causes beyond our control;a deterioration in general economic, business or industry conditions;the impact of inflation and commodity price volatility, including as a result of decisions made by OPEC+ and armed conflict between Russia and Ukraine, instability in the Middle East and Venezuela, and changes in China-Taiwan relations, along with the effects of the current global economic environment, on our business, financial condition, employees, contractors, vendors and the global demand for natural gas and oil and on U.S. and global financial markets;our inability to access the capital markets on favorable terms;the limitations on our financial flexibility due to our level of indebtedness and restrictive covenants from our indebtedness;challenges with employee recruitment and retention and an increasingly competitive labor market;risks related to acquisitions or dispositions, or potential acquisitions or dispositions;security threats, including cybersecurity threats and disruptions to our business and operations from breaches of our information technology systems, or from breaches of information technology systems of third parties with whom we transact business;our ability to achieve and maintain sustainability certifications, goals and commitments;environmental and sustainability legislation and regulatory initiatives, including those addressing the impact of climate change or further regulating hydraulic fracturing, greenhouse gas emissions, flaring or water disposal;federal and state tax proposals affecting our industry;risks related to an annual limitation on the utilization of our tax attributes, which was triggered upon the completion of our merger with Southwestern Energy Company, as well as trading in our common stock, additional issuance of common stock, and certain other stock transactions, which could lead to an additional, potentially more restrictive, annual limitation;the actual consummation of the acquisition of Twin Eagle (the "Twin Eagle Acquisition") and the expected timetable for completion thereof, the results, effects and benefits of the Twin Eagle Acquisition, future opportunities for the Company, other plans with respect to the Twin Eagle Acquisition, and the anticipated impact of the Twin Eagle Acquisition on the Company’s results of operations, financial position, growth opportunities and competitive position;the integration of acquisitions, including the Twin Eagle Acquisition; andother factors that are described under Risk Factors in Item 1A of Part I of our Annual Report on Form 10-K filed with the SEC. We caution you not to place undue reliance on the forward-looking statements contained in this news release, which speak only as of the filing date, and we undertake no obligation and have no intention to update any forward-looking statement, except as required by law. We urge you to carefully review and consider the disclosures in this news release and our filings with the SEC that attempt to advise interested parties of the risks and factors that may affect our business.
All forward-looking statements attributable to us are expressly qualified in their entirety by this cautionary statement.
INVESTOR CONTACT:
Brittany Raiford
(405) 935-8870 [email protected] CONTACT:
Brooke Coe
(405) 935-8878 [email protected] CONDENSED CONSOLIDATED BALANCE SHEETS (unaudited) ($ in millions, except per share data)June 30,
2026 December 31,
2025Assets Current assets: Cash and cash equivalents$663 $616 Restricted cash 101 80 Accounts receivable, net 1,098 1,599 Derivative assets 602 264 Other current assets 378 357 Total current assets 2,842 2,916 Property and equipment: Natural gas and oil properties, successful efforts method Proved natural gas and oil properties 28,092 26,606 Unproved properties 5,501 5,478 Other property and equipment 547 509 Total property and equipment 34,140 32,593 Less: accumulated depreciation, depletion and amortization (9,690) (8,278)Property and equipment held for sale, net — 40 Total property and equipment, net 24,450 24,355 Long-term derivative assets 113 47 Deferred income tax assets — 168 Other long-term assets 625 801 Total assets$28,030 $28,287 Liabilities and stockholders' equity Current liabilities: Accounts payable$942 $753 Accrued interest 78 100 Derivative liabilities 1 3 Other current liabilities 1,944 2,045 Total current liabilities 2,965 2,901 Long-term debt, net 3,685 5,009 Long-term derivative liabilities — 1 Asset retirement obligations, net of current portion 723 688 Long-term contract liabilities 835 975 Other long-term liabilities 412 135 Total liabilities 8,620 9,709 Contingencies and commitments Stockholders' equity: Common stock, $0.01 par value, 450,000,000 shares authorized: 234,349,727 and 239,249,874 shares issued 2 2 Additional paid-in capital 13,774 13,746 Retained earnings 5,634 4,830 Total stockholders' equity 19,410 18,578 Total liabilities and stockholders' equity$28,030 $28,287 CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (unaudited) Three Months
Ended June 30, Six Months
Ended June 30,($ in millions, except per share data) 2026 2025 2026 2025 Revenues and other: Natural gas, oil and NGL$1,830 $2,021 $5,145 $4,321 Marketing 681 788 1,893 1,698 Gains (losses) on derivatives 449 877 320 (137)Gains (losses) on sales of assets — 4 (1) 4 Total revenues and other 2,960 3,690 7,357 5,886 Operating expenses: Production 168 151 353 298 Gathering, processing and transportation 634 563 1,324 1,126 Severance and ad valorem taxes 60 49 120 97 Exploration 16 20 30 27 Marketing 649 791 1,770 1,710 General and administrative 50 40 113 87 Separation and other termination costs — — 9 — Depreciation, depletion and amortization 722 769 1,433 1,480 Other operating expense, net — 38 13 60 Total operating expenses 2,299 2,421 5,165 4,885 Income from operations 661 1,269 2,192 1,001 Other income (expense): Interest expense (43) (60) (102) (119)Gains on purchases, exchanges or extinguishments of debt 37 3 37 3 Other income, net 17 16 34 24 Total other income (expense) 11 (41) (31) (92)Income before income taxes 672 1,228 2,161 909 Income tax expense 150 260 480 190 Net income$522 $968 $1,681 $719 Earnings per common share: Basic$2.19 $4.07 $7.03 $3.04 Diluted$2.19 $4.02 $7.02 $2.99 Weighted average common shares outstanding (in thousands): Basic 238,224 237,973 239,058 236,213 Diluted 238,357 240,560 239,559 240,628 CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (unaudited) Three Months
Ended June 30, Six Months
Ended June 30,($ in millions) 2026 2025 2026 2025 Cash flows from operating activities: Net income$522 $968 $1,681 $719 Adjustments to reconcile net income to net cash provided by operating activities: Depreciation, depletion and amortization 722 769 1,433 1,480 Deferred income tax expense 146 171 465 134 Derivative (gains) losses, net (449) (877) (320) 137 Cash receipts (payments) on derivative settlements, net 294 16 (92) (29)Share-based compensation 12 13 22 22 (Gains) losses on sales of assets — (4) 1 (4)Contract amortization (68) (72) (98) (124)Gains on purchases, exchanges or extinguishments of debt (37) (3) (37) (3)Other (1) 20 34 16 Changes in assets and liabilities (45) 321 409 70 Net cash provided by operating activities 1,096 1,322 3,498 2,418 Cash flows from investing activities: Capital expenditures (753) (657) (1,460) (1,220)Property acquisitions (3) — (7) — Receipts of deferred consideration 56 56 116 116 Contributions to investments — (5) (1) (9)Distributions from investments — — 10 — Proceeds from divestitures of property and equipment 2 15 43 15 Net cash used in investing activities (698) (591) (1,299) (1,098)Cash flows from financing activities: Proceeds from credit facility — 100 — 825 Payments on credit facility — (100) — (825)Proceeds from warrant exercise — 1 15 22 Cash paid to repurchase and retire common stock (514) (99) (580) (99)Cash paid to purchase debt (1,287) (117) (1,287) (553)Cash paid for common stock dividends (138) (137) (279) (279)Net cash used in financing activities (1,939) (352) (2,131) (909)Net increase (decrease) in cash, cash equivalents and restricted cash (1,541) 379 68 411 Cash, cash equivalents and restricted cash, beginning of period 2,305 427 696 395 Cash, cash equivalents and restricted cash, end of period$764 $806 $764 $806 Cash and cash equivalents$663 $731 $663 $731 Restricted cash 101 75 101 75 Total cash, cash equivalents and restricted cash$764 $806 $764 $806 NATURAL GAS, OIL AND NGL PRODUCTION AND AVERAGE SALES PRICES (unaudited) Three Months Ended June 30, 2026 Natural Gas Oil NGL Total MMcf per day $/Mcf MBbl per day $/Bbl MBbl per day $/Bbl MMcfe per day $/McfeHaynesville3,187 2.62 — — — — 3,187 2.62Northeast Appalachia2,625 2.15 — — — — 2,625 2.15Southwest Appalachia1,084 2.47 14 84.71 83 26.26 1,670 3.64Total6,896 2.42 14 84.71 83 26.26 7,482 2.69 Average NYMEX Price 2.90 92.79 Average Realized Price (including realized derivatives) 2.90 81.37 25.82 3.12 Three Months Ended June 30, 2025 Natural Gas Oil NGL Total MMcf per day $/Mcf MBbl per day $/Bbl MBbl per day $/Bbl MMcfe per day $/McfeHaynesville2,978 3.12 — — — — 2,978 3.12Northeast Appalachia2,662 2.65 — — — — 2,662 2.65Southwest Appalachia956 3.11 18 54.47 83 23.19 1,562 3.75Total6,596 2.93 18 54.47 83 23.19 7,202 3.08 Average NYMEX Price 3.44 63.74 Average Realized Price (including realized derivatives) 2.98 55.89 23.08 3.14 Six Months Ended June 30, 2026 Natural Gas Oil NGL Total MMcf per day $/Mcf MBbl per day $/Bbl MBbl per day $/Bbl MMcfe per day $/McfeHaynesville3,167 3.50 — — — — 3,167 3.50Northeast Appalachia2,705 3.96 — — — — 2,705 3.96Southwest Appalachia1,033 3.39 15 74.47 78 25.90 1,587 4.16Total6,905 3.67 15 74.47 78 25.90 7,459 3.81 Average NYMEX Price 3.97 82.36 Average Realized Price (including realized derivatives) 3.59 73.01 25.67 3.73 Six Months Ended June 30, 2025 Natural Gas Oil NGL Total MMcf per day $/Mcf MBbl per day $/Bbl MBbl per day $/Bbl MMcfe per day $/McfeHaynesville2,798 3.29 — — — — 2,798 3.29Northeast Appalachia2,665 3.20 — — — — 2,665 3.20Southwest Appalachia963 3.24 16 58.34 79 26.66 1,533 4.01Total6,426 3.24 16 58.34 79 26.66 6,996 3.41 Average NYMEX Price 3.55 67.58 Average Realized Price (including realized derivatives) 3.24 59.30 26.04 3.40 CAPITAL EXPENDITURES ACCRUED (unaudited) Three Months
Ended June 30, Six Months
Ended June 30,($ in millions) 2026 2025 2026 2025Drilling and completion capital expenditures: Haynesville$335 $348 $631 $634Northeast Appalachia 132 117 248 220Southwest Appalachia 189 138 345 303Total drilling and completion capital expenditures 656 603 1,224 1,157Non-drilling and completion - field 152 86 258 142Non-drilling and completion - corporate 43 38 85 90Total capital expenditures$851 $727 $1,567 $1,389 NON-GAAP FINANCIAL MEASURES
As a supplement to the financial results prepared in accordance with U.S. GAAP, Expand Energy’s quarterly earnings releases contain certain financial measures that are not prepared or presented in accordance with U.S. GAAP. These non-GAAP financial measures include Adjusted Net Income, Adjusted Diluted Earnings Per Common Share, Adjusted EBITDAX, Free Cash Flow, Adjusted Free Cash Flow and Net Debt. A reconciliation of each financial measure to its most directly comparable GAAP financial measure is included in the tables below. Management believes these adjusted financial measures are a meaningful adjunct to earnings and cash flows calculated in accordance with GAAP because (a) management uses these financial measures to evaluate the Company’s trends and performance, (b) these financial measures are comparable to estimates provided by securities analysts, and (c) items excluded generally are one-time items or items whose timing or amount cannot be reasonably estimated. Accordingly, any guidance provided by the Company generally excludes information regarding these types of items.
Expand Energy's definitions of each non-GAAP measure presented herein are provided below. Because not all companies or securities analysts use identical calculations, Expand Energy’s non-GAAP measures may not be comparable to similarly titled measures of other companies or securities analysts.
Adjusted Net Income: Adjusted Net Income is defined as net income (loss) adjusted to exclude unrealized (gains) losses on derivatives, separation and other termination costs, (gains) losses on sales of assets, and certain items management believes affect the comparability of operating results, less a tax effect using applicable rates. Expand Energy believes that Adjusted Net Income facilitates comparisons of the Company's period-over-period performance, by excluding the impact of items that, in the opinion of management, do not reflect Expand Energy's core operating performance. Adjusted Net Income should not be considered an alternative to, or more meaningful than, net income (loss) as presented in accordance with GAAP.
Adjusted Diluted Earnings Per Common Share: Adjusted Diluted Earnings Per Common Share is defined as diluted earnings (loss) per common share adjusted to exclude the per diluted share amounts attributed to unrealized (gains) losses on derivatives, separation and other termination costs, (gains) losses on sales of assets, and certain items management believes affect the comparability of operating results, less a tax effect using applicable rates. Expand Energy believes that Adjusted Diluted Earnings Per Common Share facilitates comparisons of the Company's period-over-period performance, by excluding the impact of items that, in the opinion of management, do not reflect Expand Energy's core operating performance. Adjusted Diluted Earnings Per Common Share should not be considered an alternative to, or more meaningful than, earnings (loss) per common share as presented in accordance with GAAP.
Adjusted EBITDAX: Adjusted EBITDAX is defined as net income (loss) before interest expense, income tax expense (benefit), depreciation, depletion and amortization expense, exploration expense, unrealized (gains) losses on derivatives, separation and other termination costs, (gains) losses on sales of assets, and certain items management believes affect the comparability of operating results. Adjusted EBITDAX is presented as it provides investors an indication of the Company's ability to internally fund exploration and development activities and service or incur debt. Adjusted EBITDAX should not be considered an alternative to, or more meaningful than, net income (loss) as presented in accordance with GAAP.
Free Cash Flow: Free Cash Flow is defined as net cash provided by operating activities less cash capital expenditures. Free Cash Flow is a liquidity measure that provides investors additional information regarding the Company's ability to service or incur debt and return cash to shareholders. Free Cash Flow should not be considered an alternative to, or more meaningful than, net cash provided by (used in) operating activities, or any other measure of liquidity presented in accordance with GAAP.
Adjusted Free Cash Flow: Adjusted Free Cash Flow is defined as net cash provided by operating activities less cash capital expenditures and cash contributions to investments, adjusted to exclude certain items management believes affect the comparability of operating results. Adjusted Free Cash Flow is a liquidity measure that provides investors additional information regarding the Company's ability to service or incur debt and return cash to shareholders. Adjusted Free Cash Flow should not be considered an alternative to, or more meaningful than, net cash provided by (used in) operating activities, or any other measure of liquidity presented in accordance with GAAP.
Net Debt: Net Debt is defined as GAAP total debt excluding premiums, discounts, and deferred issuance costs less cash and cash equivalents. Net Debt is useful to investors as a widely understood measure of liquidity and leverage, but this measure should not be considered as an alternative to, or more meaningful than, total debt presented in accordance with GAAP.
Net debt to Adjusted EBITDAX: Net debt to Adjusted EBITDAX is a non-GAAP measure and is defined as Net Debt divided by an annualized Adjusted EBITDAX measure on a trailing twelve month calculation. Management uses Net Debt to Adjusted EBITDAX to assess liquidity and leverage. The Company believes this measure is useful to investors because it provides supplemental information to investors regarding its ability internally fund exploration and development activities and service or incur debt. However, this measure should not be considered as an alternative to, or more meaningful than, total debt or net income (loss) as presented in accordance with GAAP.
RECONCILIATION OF NET INCOME (LOSS) TO ADJUSTED NET INCOME (unaudited) Three Months
Ended June 30, Six Months
Ended June 30,($ in millions) 2026 2025 2026 2025 Net income (GAAP)$522 $968 $1,681 $719 Adjustments: Unrealized (gains) losses on derivatives (153) (842) (432) 127 Separation and other termination costs — — 9 — (Gains) losses on sales of assets — (4) 1 (4)Other operating expense, net 3 32 13 58 Gains on purchases, exchanges or extinguishments of debt (37) (3) (37) (3)Contract amortization (68) (72) (98) (124)Other (6) (8) (18) (12)Tax effect of adjustments(a) 56 194 121 (9)Adjusted net income (Non-GAAP)$317 $265 $1,240 $752 (a)The three- and six-month periods ended June 30, 2026 and June 30, 2025 include a tax effect attributed to the reconciling adjustments using a statutory rate of 22%. RECONCILIATION OF EARNINGS (LOSS) PER COMMON SHARE TO ADJUSTED DILUTED EARNINGS PER COMMON SHARE (unaudited) Three Months
Ended June 30, Six Months
Ended June 30,($/share) 2026 2025 2026 2025 Earnings per common share (GAAP)$2.19 $4.07 $7.03 $3.04 Effect of dilutive securities — (0.05) (0.01) (0.05)Diluted earnings per common share (GAAP)$2.19 $4.02 $7.02 $2.99 Adjustments: Unrealized (gains) losses on derivatives (0.64) (3.50) (1.80) 0.53 Separation and other termination costs — — 0.04 — (Gains) losses on sales of assets — (0.02) 0.01 (0.02)Other operating expense, net 0.01 0.13 0.05 0.24 Gains on purchases, exchanges or extinguishments of debt (0.16) (0.01) (0.16) (0.01)Contract amortization (0.29) (0.30) (0.41) (0.51)Other (0.03) (0.03) (0.08) (0.05)Tax effect of adjustments(a) 0.25 0.81 0.50 (0.04)Adjusted diluted earnings per common share (Non-GAAP)$1.33 $1.10 $5.17 $3.13 (a)The three- and six-month periods ended June 30, 2026 and June 30, 2025 include a tax effect attributed to the reconciling adjustments using a statutory rate of 22%. RECONCILIATION OF NET INCOME (LOSS) TO ADJUSTED EBITDAX (unaudited) Three Months
Ended June 30, Six Months
Ended June 30,($ in millions) 2026 2025 2026 2025 Net income (GAAP)$522 $968 $1,681 $719 Adjustments: Interest expense 43 60 102 119 Income tax expense 150 260 480 190 Depreciation, depletion and amortization 722 769 1,433 1,480 Exploration 16 20 30 27 Unrealized (gains) losses on derivatives (153) (842) (432) 127 Separation and other termination costs — — 9 — (Gains) losses on sales of assets — (4) 1 (4)Other operating expense, net 3 32 13 58 Gains on purchases, exchanges or extinguishments of debt (37) (3) (37) (3)Contract amortization (68) (72) (98) (124)Other (15) (12) (31) (18)Adjusted EBITDAX (Non-GAAP)$1,183 $1,176 $3,151 $2,571 RECONCILIATION OF NET CASH PROVIDED BY OPERATING ACTIVITIES TO ADJUSTED FREE CASH FLOW (unaudited) Three Months
Ended June 30, Six Months
Ended June 30,($ in millions) 2026 2025 2026 2025 Net cash provided by operating activities (GAAP)$1,096 $1,322 $3,498 $2,418 Cash capital expenditures (753) (657) (1,460) (1,220)Free cash flow (Non-GAAP) 343 665 2,038 1,198 Cash distributions from investments — — 10 — Cash contributions to investments — (5) (1) (9)Cash paid for merger expenses — 32 — 80 Adjusted free cash flow (Non-GAAP)$343 $692 $2,047 $1,269 RECONCILIATION OF TOTAL DEBT TO NET DEBT (unaudited) ($ in millions)June 30,
2026 December 31,
2025Total debt (GAAP)$3,685 $5,009 Premiums, discounts and issuance costs on debt 53 16 Principal amount of debt 3,738 5,025 Cash and cash equivalents (663) (616)Net debt (Non-GAAP)$3,075 $4,409 RECONCILIATION OF NET INCOME TO ADJUSTED EBITDAX TRAILING TWELVE MONTHS (unaudited) Three Months Ended
June 30, 2026 Three Months Ended
March 31, 2026 Three Months Ended
December 31, 2025 Three Months Ended
September 30, 2025 Trailing Twelve
Months($ in millions) Net income (GAAP)$522 $1,159 $553 $547 $2,781 Adjustments: Interest expense 43 59 59 57 218 Income tax expense 150 330 134 139 753 Depreciation, depletion and amortization 722 711 759 741 2,933 Exploration 16 14 16 3 49 Unrealized gains on derivatives (153) (279) (179) (309) (920)Separation and other termination costs — 9 — 5 14 Losses on sales of assets — 1 68 1 70 Other operating expense (income), net 3 10 11 (40) (16)Impairments — — 37 — 37 Gains on purchases, exchanges or extinguishments of debt (37) — — (1) (38)Contract amortization (68) (30) (32) (47) (177)Other (15) (16) (1) (14) (46)Adjusted EBITDAX (Non-GAAP)$1,183 $1,968 $1,425 $1,082 $5,658 NET DEBT TO ADJUSTED EBITDAX (unaudited) ($ in millions)June 30,
2026Net debt (Non-GAAP)$3,075Adjusted EBITDAX (Non-GAAP)(a)$5,658Net debt to Adjusted EBITDAX (Non-GAAP) 0.5 (a)Adjusted EBITDAX using a trailing twelve month calculation.
Key Takeaways Expand Energy will acquire Twin Eagle for $1.25 billion to build an integrated natural gas platform.EXE expects about $750 million in annual incremental free cash flow, up 50% from its prior target.Expand Energy will reach nearly 90% of the North American natural gas market after the deal closes. Expand Energy Corporation (EXE - Free Report) has taken a transformative step toward reshaping the North American natural gas industry by signing a definitive agreement to acquire Twin Eagle Holdings, N.A., LLC for $1.25 billion. The strategic acquisition positions Expand as not only the largest natural gas producer in North America but also one of the continent's leading integrated natural gas marketing and optimization companies.
The acquisition, expected to close during the third quarter of 2026, subject to customary regulatory approvals and closing conditions, will be financed through a combination of cash on hand and borrowings under Expand's revolving credit facility. Once completed, the transaction will significantly enhance the company's commercial capabilities, expand market access and create new opportunities for long-term shareholder value.
EXE Builds a Fully Integrated Natural Gas PlatformThe acquisition represents a major milestone in Expand's long-term growth strategy. By integrating Twin Eagle's industry-leading marketing platform with the large-scale production assets, the company will strengthen its presence across every stage of the natural gas value chain.
Twin Eagle has built a strong reputation through its asset-backed natural gas marketing business, physical supply management, logistics expertise, transportation optimization and advanced analytics. Combining these capabilities with Expand's production strength creates a vertically integrated energy company capable of generating value from production through final delivery.
This integration enables Expand to serve customers more efficiently while improving operational flexibility across key natural gas markets throughout the United States and Canada.
Strategic Acquisition Creates Significant Commercial AdvantagesThe merger substantially enhances Expand's commercial strategy by providing direct access to a sophisticated marketing platform that has consistently generated earnings through varying market conditions.
The integrated business combines production, transportation, storage, marketing and optimization under one organization. This structure allows the company to maximize margins throughout the natural gas supply chain while reducing dependence on third-party marketers.
Expand's interim president and chief executive officer, Michael Wichterich, emphasized that the transaction accelerates its evolution into a leading integrated natural gas company with stronger commercial and marketing capabilities than many industry competitors.
By leveraging Twin Eagle's extensive commercial relationships alongside Expand's production scale and financial strength, the combined company expects to capture greater value from every molecule of natural gas produced.
Twin Eagle Brings Extensive Marketing ExpertiseFounded in 2010, Twin Eagle has become one of North America's most respected independent natural gas and power marketing firms. Over the past 16 years, the company has developed comprehensive capabilities across wholesale marketing, transportation management, asset optimization, logistics, market intelligence and structured energy solutions.
Twin Eagle handles more than 5 billion cubic feet per day (Bcf/d) of natural gas marketing, backed by approximately 44 Bcf of storage capacity and nearly 2 Bcf/d of firm transportation. Its diversified customer base includes more than 1,000 commercial relationships spanning major U.S. and Canadian energy markets.
This established commercial infrastructure provides Expand with immediate access to experienced professionals, proven operational systems and long-standing customer partnerships that would otherwise require years to develop organically.
Combined Operations Deliver Greater Market ReachFollowing completion of the acquisition, the combined organization will oversee approximately 14 Bcf/d of marketed natural gas volumes supported by nearly 9 Bcf/d of firm transportation capacity and approximately 49 Bcf of storage capacity.
This expanded infrastructure allows EXE to reach nearly 90% of the North American natural gas market, significantly increasing its ability to serve premium demand centers.
The enhanced transportation network and storage portfolio improve operational reliability while providing additional flexibility during periods of changing market demand. Customers will benefit from improved supply security, enhanced delivery capabilities and greater responsiveness across diverse market conditions.
These advantages position the combined company to capitalize on growing natural gas demand driven by industrial expansion, power generation, liquefied natural gas exports and increasing energy infrastructure investment.
Free Cash Flow Expectations Increase SignificantlyOne of the most compelling financial outcomes of the transaction is the expected increase in annual free cash flow generated through Expand's marketing and commercial strategy.
The company now projects approximately $750 million per year in incremental free cash flow from its expanded marketing operations. This represents a 50% increase compared with the company's previous target.
The improvement reflects the recurring earnings profile of Twin Eagle's asset-backed marketing business as well as the additional optimization opportunities created through integrating production, transportation, storage and commercial operations.
Rather than relying solely on production volumes, the combined business can generate earnings through multiple complementary revenue streams, creating a more resilient financial model across varying commodity price environments.
Financial Strength Supports Long-Term GrowthExpand's strong balance sheet provides the financial flexibility needed to support the acquisition while continuing to pursue strategic growth opportunities.
The company's production scale, diversified asset portfolio and robust financial position strengthen Twin Eagle's existing marketing platform by enabling longer-term commercial agreements, attracting additional high-quality customers and expanding participation in premium markets.
This financial backing enhances the combined company's ability to invest in infrastructure, technology, logistics and customer relationships that support sustainable earnings growth over the long term.
Experienced Leadership Ensures Business ContinuityA key benefit of the transaction is the retention of Twin Eagle's experienced leadership team.
Upon closing, Twin Eagle will become a wholly owned subsidiary of Expand, with several senior executives, including president and chief executive officer Jeremy Davis, continuing with the business.
Their continued leadership preserves institutional knowledge, customer relationships, commercial expertise and operational excellence that have driven Twin Eagle's consistent success since its founding.
The continuity of management also supports a smoother integration process while maintaining service quality for existing customers.
Industry Advisors Support the TransactionSeveral leading financial and legal advisors supported the transaction. PJT Partners advised Expand Energy, with White & Case LLP serving as legal counsel. Twin Eagle was advised by Lazard and Latham & Watkins LLP, while DrivePath Advisors and Kekst CNC served as communications advisors to Expand and Twin Eagle, respectively.
EXE Positions Itself for GrowthThe Twin Eagle acquisition transforms EXE into a fully integrated natural gas company with stronger production, marketing and logistics capabilities. The combined business is expected to expand market reach, boost free cash flow and strengthen long-term value for customers and shareholders.
EXE's Zacks Rank & Key PicksCurrently, EXE has a Zacks Rank #4 (Sell).
Investors interested in the energy sector might consider some better-ranked stocks, such as Par Pacific (PARR - Free Report) , Delek US Holdings (DK - Free Report) , both sporting a Zacks Rank #1 (Strong Buy), and Cheniere Energy (LNG - Free Report) , carrying a Zacks Rank #2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
Par Pacific is valued at 3.88 billion. It is a diversified energy company that owns and operates petroleum refineries, logistics assets and retail fuel businesses across the United States. Par Pacific focuses on refining, transporting and marketing fuel products while serving regional markets with reliable energy solutions.
Delek US Holdings is valued at $3.87 billion. It is a diversified downstream energy company engaged in petroleum refining, renewable fuels, asphalt production and logistics operations. Delek US Holdings operates multiple refineries in the United States and is committed to delivering safe, reliable energy while investing in cleaner energy initiatives.
Cheniere Energy is valued at $56.52 billion. It is a leading U.S. producer and exporter of liquefied natural gas (“LNG”), supplying energy to customers across more than 40 international markets. Cheniere Energy operates major LNG export terminals in Louisiana and Texas and focuses on providing reliable, lower-carbon energy solutions.
North America’s largest natural gas producer will become leading gas marketer, reaching customers across key demand markets in the United States and CanadaTransaction will accelerate Expand’s marketing and commercial ambitions, combining industry-leading natural gas supply with sophisticated and experienced asset-backed gas marketing capabilities Immediately accretive transaction, initially expected to contribute more than $200 million of projected annual EBITDA; $150 million per year of synergies by year-end 2028
SPRING, Texas and HOUSTON, July 27, 2026 (GLOBE NEWSWIRE) -- Expand Energy Corporation (NASDAQ: EXE) (“Expand” or the “Company”), the largest natural gas producer in North America, announced today that it has entered into a definitive merger agreement to acquire Twin Eagle Holdings, N.A., LLC (“Twin Eagle”), a leading private asset-backed natural gas marketing and optimization business, for $1.25 billion from Five Point Infrastructure. The transaction is subject to typical purchase price adjustments, including working capital, and is expected to close in the third quarter of 2026, pending customary closing conditions and required regulatory approvals. The Company expects to fund the transaction through a combination of cash on hand and borrowings under its revolving credit facility.
The transaction unites Expand’s industry-leading supply and financial strength with Twin Eagle’s premier physical marketing platform, creating a fully integrated natural gas company positioned to capture value across the entire chain in key U.S. and Canadian markets. Twin Eagle’s earnings are primarily supported by recurring physical supply and delivery relationships, asset-backed portfolio optimization, and experienced commercial, logistics and operating capabilities, consistently delivering earnings growth across a wide range of market conditions.
“This transaction accelerates Expand’s evolution into a leading integrated natural gas company with a commercial and marketing advantage compared to peers,” said Michael Wichterich, Expand Energy’s Interim President and Chief Executive Officer. “We’re already North America’s largest natural gas producer, and now we’ll be its leading gas marketer, with direct access to customers and structural demand growth. By combining Expand’s scale, resource depth and financial strength with Twin Eagle’s marketing and optimization platform, we’ll capture additional margin across the natural gas value chain and deliver more durable shareholder returns.”
Founded in 2010, Twin Eagle has established itself as one of the leading independent natural gas and power marketers in North America. Its business spans wholesale marketing, asset management, structuring and analytics, logistics and market intelligence.
“This is an exciting day for Twin Eagle, our employees and our customers,” said Jeremy Davis, Twin Eagle’s President and Chief Executive Officer. “This powerful combination pairs Expand’s enviable financial position and large, lower-cost natural gas supply with the talented team and marketing platform we have spent the past 16 years developing. We thank Five Point Infrastructure for their partnership and vision over the last dozen years. Together, with our new partner, we can create additional value in ways neither company could have accomplished on its own.”
“We saw a tremendous opportunity to partner with Twin Eagle management to expand its platform and capitalize on the growing demand for North American gas,” said David Capobianco, CEO and Managing Partner of Five Point Infrastructure. “Twin Eagle has generated exceptional returns for all stakeholders, while solidifying its standing as one of the leading independent asset-backed natural gas marketing and optimization platforms. We wish Jeremy and the team all the best as they move forward in partnership with Expand.”
Today, Twin Eagle markets more than 5 billion cubic feet per day (Bcf/d) of natural gas and manages roughly 44 Bcf of storage capacity and approximately 2 Bcf/d of firm transportation. It serves more than 1,000 customers across a diversified footprint spanning the U.S. and Canada. On a pro forma basis, the combined portfolio will have approximately 14 Bcf/d of marketed volume supported by roughly 9 Bcf/d of firm transportation and 49 Bcf of storage capacity.
The combination does more than add scale, it will enhance how Expand creates value by:
Accelerating the Company’s Marketing and Commercial strategy. The Company now expects to deliver $750 million per year of incremental free cash flow from its marketing and commercial strategy. This is an increase of 50% from its previous target, reflecting the value of the new integrated platform and the repeatable earnings of Twin Eagle. Expanding customer and market reach to capture greater value from every molecule. The acquisition will broaden access to premium demand centers across the U.S. and Canada, reaching approximately 90% of the natural gas market. The combined production, transportation and storage capacity will enable the Company offer additional reliability and flexibility to respond to customers’ needs and provide optimization opportunities. Leveraging scale and financial strength. Expand’s diversified portfolio and financial strength will elevate Twin Eagle’s asset-backed natural gas marketing and optimization business, enabling the combined business to extend contract terms, attract additional high-quality customers, and reach high-value markets. Adding experienced team with highly successful track record. Since its inception, Twin Eagle has consistently grown cash flows by leveraging its natural gas market expertise and effective risk management. Following the close of the merger, Twin Eagle will become a wholly-owned subsidiary of Expand, with key members of Twin Eagle’s management, including Jeremy Davis, continuing with the Company after closing.
Advisors
PJT Partners is serving as exclusive financial advisor to Expand Energy in connection with its acquisition of Twin Eagle. White & Case, LLP served as legal counsel and DrivePath Advisors served as communications advisor to Expand. Lazard is serving as financial advisor for Twin Eagle, Latham & Watkins LLP is serving as the lead legal counsel for Twin Eagle and Kekst CNC served as communications advisor to Five Point Infrastructure.
About Expand Energy
Expand Energy Corporation (NASDAQ: EXE) is North America’s largest natural gas producer, powered by dedicated and innovative employees focused on expanding the value of natural gas by connecting global scale to growing markets. Expand Energy’s returns-driven strategy strives to create sustainable value for its stakeholders by leveraging its advantaged portfolio, financial strength and operational excellence. Expand Energy is committed to expanding America’s energy reach to fuel a more affordable, reliable, lower carbon future.
About Twin Eagle
Founded in 2010, Twin Eagle is a leading physical energy marketer. Today, Twin Eagle is a recognized leader in customized and reliable energy products and services to suppliers, customers, and asset owners across the U.S. and Canada. The basis for Twin Eagle’s success is the depth of its customer relationships, the capabilities of its talented staff, and emphasis on culture, grounded by its Core Values: Safety, Integrity, Performance, Learning, and Teamwork.
About Five Point Infrastructure
Five Point Infrastructure LLC is a private equity and infrastructure investor focused on investments within the North American water management, surface management, powered land, and sustainable infrastructure sectors. The firm was founded by industry veterans with demonstrated records of success investing in, building, and running infrastructure companies. Headquartered in Houston, Texas, Five Point has approximately $7.2 billion of assets under management across multiple investment funds. For more information, please visit www.fpinfra.com.
Forward-Looking Statements
This release includes “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements include our current expectations or forecasts of future events, including statements regarding the proposed transaction with Twin Eagle, including the expected closing of the proposed transaction and the timing thereof, expected synergies, EBITDA and free cash flow contributions from the proposed transaction, the acceleration of Expand Energy’s marketing and commercial ambitions and the operations, strategies and plans of the combined company, and anticipated future performance. Information adjusted for the proposed transaction should not be considered a forecast of future results. Forward-looking statements often address our expected future business, financial performance and financial condition, and often contain words such as "aim", "predict", "should", "expect," “could,” “may,” "anticipate," "intend," "plan," “ability,” "believe," "seek," "see," "will," "would," “estimate,” “forecast,” "target," “guidance,” “outlook,” “opportunity” or “strategy.” The absence of such words or expressions does not necessarily mean the statements are not forward-looking.
Although we believe the expectations and forecasts reflected in our forward-looking statements are reasonable, they are inherently subject to numerous risks and uncertainties, most of which are difficult to predict and many of which are beyond our control. No assurance can be given that such forward-looking statements will be correct or achieved or that the assumptions are accurate or will not change over time. Particular uncertainties that could cause our actual results to be materially different than those expressed in our forward-looking statements include: the occurrence of any event, change or other circumstances that could give rise to the termination of the merger agreement; the risk that we or Twin Eagle may be unable to obtain governmental and regulatory approvals required for the proposed transaction, or required governmental and regulatory approvals may delay the transaction or result in the imposition of conditions that could cause the parties to abandon the merger; the risk that the parties may not be able to satisfy the conditions to the proposed transaction in a timely manner or at all; risks related to disruption of management time from ongoing business operations due to the proposed transaction; the risk of any unexpected costs or expenses resulting from the proposed transaction; the risk that the proposed transaction and its announcement could have an adverse effect on the ability of the Company or Twin Eagle to retain and hire key personnel, on the ability of the Company and Twin Eagle to attract customers and maintain its relationships with counterparties and on the Company’s and Twin Eagle’s operating results and businesses generally; the risk that problems may arise in successfully integrating Twin Eagle’s business with the Company’s; the risk that the Company may be unable to achieve synergies or other anticipated benefits of the proposed transaction or it may take longer than expected to achieve those synergies or benefits and other important factors that could cause actual results to differ materially from those projected; the volatility in commodity prices; the effect of future regulatory or legislative actions on the companies or the industries in which they operate; the ability of management to execute its plans, to meet its goals and other risks inherent in the Company’s and Twin Eagle's businesses; the potential disruption or interruption of the Company’s or Twin Eagle’s operations due to war, accidents, political events, civil unrest, severe weather, cyber threats, terrorist acts, or other natural or human causes beyond the Company’s or Twin Eagle’s control; and the combined company's ability to identify and mitigate the risks and hazards inherent in operating in the global energy industry; and other factors that are described under Risk Factors in Item 1A of Part I of our Annual Report on Form 10-K filed with the SEC.
We caution you not to place undue reliance on the forward-looking statements contained in this news release, which speak only as of the filing date, and we undertake no obligation and have no intention to update any forward-looking statement, except as required by law. We urge you to carefully review and consider the disclosures in this news release and our filings with the SEC that attempt to advise interested parties of the risks and factors that may affect our business.
All forward-looking statements attributable to us are expressly qualified in their entirety by this cautionary statement.
Non-GAAP measures
The Company has not provided projected net income or a reconciliation of projected EBITDA to projected net income, the most comparable financial measure calculated in accordance with GAAP. Net income includes the impact of one-time, non-recurring and non-cash changes and certain other items that impact comparability between periods and the tax effect of such items, which may be significant and difficult to project with a reasonable degree of accuracy. Therefore, projected net income, and a reconciliation of projected EBITDA to projected net income (loss), are not available without unreasonable effort.
The Company has not provided projected net cash provided by operating activities or a reconciliation of projected free cash flow to projected net cash provided by operating activities, the most comparable financial measure calculated in accordance with GAAP. The Company is unable to project net cash provided by operating activities for any future period because this metric includes the impact of changes in operating assets and liabilities related to the timing of cash receipts and disbursements that may not relate to the period in which the operating activities occurred. The Company is unable to project these timing differences with any reasonable degree of accuracy without unreasonable efforts such as predicting the timing of its payments and its customers' payments, with accuracy to a specific day, months in advance. Furthermore, the Company does not provide guidance with respect to its average realized price, among other items, that impact reconciling items between net cash provided by operating activities and free cash flow. Natural gas prices are volatile and out of the Company's control, and the timing of transactions and the income tax effects of future transactions and other items are difficult to accurately predict. Therefore, the Company is unable to provide projected net cash provided by operating activities, or the related reconciliation of projected free cash flow to projected net cash provided by operating activities, without unreasonable effort.
A U.S. Dollar note is seen in this June 22, 2017 illustration photo. REUTERS/Thomas White/Illustration Purchase Licensing Rights, opens new tab
CompaniesJuly 27 (Reuters) - Expand Energy (EXE.O), opens new tab said on Monday it would buy privately held natural gas marketer Twin Eagle Holdings from Five Point Infrastructure for $1.25 billion to expand its marketing business across North America.
With U.S. natural gas demand expected to grow, producers are increasingly expanding into marketing and logistics businesses to improve margins and gain greater control over how gas reaches end-users.
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Founded in 2010, Twin Eagle is an independent natural gas and power marketer, with operations spanning wholesale marketing, asset management, logistics and analytics.
Following the deal's completion, it will operate as a wholly owned subsidiary of Expand, with key members of Twin Eagle's management team, including Chief Executive Jeremy Davis, remaining with the company, the companies said.
Expand now expects $750 million per year of incremental free cash flow from its marketing and commercial strategy, a 50% jump from its previous target.
Twin Eagle currently markets more than 5 billion cubic feet of natural gas per day and manages about 44 billion cubic feet of storage capacity, but together, they would market about 14 billion cubic feet of gas per day.
The combined company is expected to reach about 90% of the U.S. and Canadian natural gas market through access to key demand centers, the companies said.
The deal is expected to close in the third quarter of 2026. Expand plans to fund the acquisition through a mix of cash on hand and borrowings under its revolving credit facility.
Reporting by Sumit Saha in Bengaluru; Editing by Shinjini Ganguli
Our Standards: The Thomson Reuters Trust Principles., opens new tab
Key Takeaways Expand Energy to report Q2 results on July 28, with earnings seen rising while revenues edges lower.EXE faces higher CapEx, weather disruptions and softer gas prices, but production guidance remains intact.Expand Energy may benefit from marketing gains, LNG access, hedging and efficiency improvements. Expand Energy Corporation (EXE - Free Report) is set to release second-quarter 2026 earnings on July 28. The Zacks Consensus Estimate for the to-be-reported quarter is pegged at a profit of $1.16 per share on revenues of $2.01 billion.
Let us delve into the factors that might have influenced EXE’s performance in the to-be-reported quarter. Before that, it is worth taking a look at the company’s performance in the last reported quarter.
Highlights of EXE’s Q1 Earnings & Surprise HistoryIn the first quarter, the U.S.-based natural gas producer’s adjusted earnings of $3.83 per share beat the Zacks Consensus Estimate of $3.69, driven by strong production and higher natural gas price realization. Moreover, revenues of $3.3 billion beat the Zacks Consensus Estimate of $3.1 billion.
Expand Energy’s earnings beat the consensus estimate in three of the trailing four quarters and missed in one, delivering an average surprise of 4.1%.
This is depicted in the graph below.
Trend in Estimate Revision for EXEThe Zacks Consensus Estimate for the second-quarter bottom line has remained unchanged in the past seven days. The estimated figure indicates a 5.5% year-over-year surge. However, the top-line estimate implies a 0.4% decrease from the year-ago period’s level.
Factors to Consider Ahead of EXE’s Q2 ReleaseExpand Energy's second-quarter results could face pressure from higher capital spending, as management indicated that this quarter would represent the year's peak CapEx due to increased drilling and completion activity, leasehold acquisitions and seasonal workovers, while production is expected to remain flat sequentially. The Gulf Coast also experienced weather-related disruptions that shifted spending into the quarter to be reported, potentially weighing on free cash flow. Additionally, management acknowledged exposure to softer natural gas prices, noting it could defer activity if markets weaken, while diesel inflation tied to geopolitical tensions may modestly increase operating costs.
However, on a positive note, Expand Energy could outperform expectations, supported by resilient operations, strong marketing gains and improved commercial execution. The company generated nearly $90 million from market volatility in the first quarter, expanded access to premium LNG markets through the Delfin agreement and maintained full-year production guidance. Strong hedging, stable operating costs and continued efficiency improvements could further support earnings in the quarter to be reported.
What Does Our Model Say About EXE?The proven Zacks model does not predict an earnings beat for Expand Energy this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of beating estimates. However, this is not the case here.
EXE’s Earnings ESP: Earnings ESP, which represents the difference between the Most Accurate Estimate and the Zacks Consensus Estimate, for this company is -1.82%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
EXE’s Zacks Rank: Expand Energy currently carries a Zacks Rank #4 (Sell).
Stocks to ConsiderHere are some firms from the energy space that you may want to consider, as these have the right combination of elements to post an earnings beat this reporting cycle.
ProPetro Holding Corp. (PUMP - Free Report) has an Earnings ESP of +52.38% and a Zacks Rank #2 at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
ProPetro is scheduled to release earnings on July 29. The Zacks Consensus Estimate for current quarter earnings indicates year-over-year growth of about 85.7%. Valued at around $1.6 billion, PUMP’s shares have surged 122.4% in a year.
Cactus, Inc. (WHD - Free Report) has an Earnings ESP of +7.04% and a Zacks Rank #2 at present. It is scheduled to release earnings on July 29.
The Zacks Consensus Estimate for WHD’s 2026 earnings indicates year-over-year growth of about 8.6%. Valued at around $4.4 billion, WHD’s shares rose 21% in a year.
Oil States International, Inc. (OIS - Free Report) currently has an Earnings ESP of +27.27% and a Zacks Rank #3. It is scheduled to release earnings on July 30.
Notably, the Zacks Consensus Estimate for OIS’ 2026 earnings indicates year-over-year growth of about 43.2%. Valued at around $517.1 million, OIS’ shares have gained 55.3% in a year.
The market has been razor-focused on soaring oil prices this year, and rightfully so. But not paying attention to the broader energy landscape would be a mistake and potentially a missed investment opportunity.
That’s according to Chronometer Partners Chief Investment Officer Matthew Smith, who says there is a huge emerging opportunity in natural gas.
Smith’s argument is built on the thesis that, as power demand increases due to an oil crunch and the needs of artificial intelligence, natural gas will quickly become the best game in town.
Here are the stocks to buy before that happens.
Image source: Getty Images.
Why natural gas will see increased demand and ramp up productionSmith sees natural gas exports in the U.S. ramping from 15 billion cubic feet (Bcf) per day to 35 Bcf by the end of 2030. Smith also expects current excess supply to dwindle and there to eventually be a 5 Bcf deficit of natural gas per day “before the full force of AI demand.”
“Natural gas, which [represents] over 40% of U.S. power generation, is imminently going to become the most important fuel in the country,” Smith said on a recent podcast, according to MarketWatch.
“Gas has lulled everybody to sleep, but what happens is these structural things start to fall into place in 2027-2028, and we start to draw [down] meaningfully in the middle of 2028.”
Interestingly, according to Henry Hub natural gas spot prices provided by the U.S. Energy Information Administration, prices per million British thermal units (BTU) have dropped from $3.62 per million BTU in February to $3.15 in June.
Smith believes that the demand for AI-driven compute, particularly among hyperscalers, could double or triple.
The stocks that will benefitSmith recommends several ways to play this looming natural gas crunch.
U.S. natural gas producers like Expand Energy (EXE +4.48%) and Range Resources have quick access to natural gas and can therefore more quickly ramp production, according to Smith.
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Smith also thinks other renewable energy sources, such as solar and nuclear, could see increased demand, as they are among the few logical ways to counter higher electricity prices.
“… The only viable solution is to build large-scale nuclear as fast as possible, which would mean it needs to come on in 2033 or 2034,” Smith said.
He thinks a larger nuclear company like Cameco could potentially get up and running in that time frame. Solar stocks Smith likes include XPLR Infrastructure and Clearway Energy.
Ultimately, I agree with Smith’s view that natural gas and other alternative sources of energy could be a good place to park some capital.
What the Iran war has shown many people and investors is that there’s likely to be greater emphasis on domestic energy production and alternative energy, if nothing else, for national security.
Iran’s greatest weapon in this war has been the ability to close the Strait of Hormuz, through which one-fifth of the global oil supply travels daily under normal times.
This has made Americans, who are largely removed from war, feel the pain in their finances.
I also think that regardless of what happens with AI, power demand is likely to move higher because the electric grid has seen very few updates in decades.
Howard Marks hunts dislocation. His latest Oaktree 13F reveals five common-stock equity positions that look nothing like a bull-market portfolio: a leveraged turbo maker, the largest US gas producer bleeding YTD, a gold miner that just gave back a fifth of its price in three months, a tanker riding a geopolitical spike, and a specialty pharma with negative book value. Every one of these has moved sharply since the filing date. That’s the setup. Below, whether each is still a buy at today’s prices.
1. Garrett Motion (The Surprise Pick) Garrett Motion (NASDAQ:GTX) is the position hiding in plain sight. Turbochargers sound like a fading auto-parts story until you read the Q1 filing: commercial vehicle and industrial sales climbed, aftermarket demand is accelerating, and management is buying back stock at a scale that dwarfs the dividend. Marks is betting on the internal combustion engine having a longer, more profitable tail than the market prices in, not on electrification playing out on the Street’s timeline.
The Q1 2026 report made the case. EPS of $0.49 beat the $0.428 estimate by 14.49%, revenue of $985M beat by 6.59% and grew 12.2% year over year, and net income jumped 53.2% to $95M. Management raised the FY26 guide to net sales of $3.6B to $3.9B and adjusted free cash flow of $355M to $475M, and authorized a $250M buyback program for 2026 on top of $87M already repurchased in Q1.
The stock has already responded. GTX is up 82.26% year to date and 171.99% over one year, and trades at roughly 18 times trailing earnings against an analyst price target of $35.67. That’s a low-single-digit percent of upside to consensus after a monster run. The buyback backstop supports the stock at current prices, with a more compelling risk/reward on any pullback into the high $20s. Marks got there first. Whether you follow is now a question of entry, not thesis.
2. Expand Energy (The Gas Heavyweight) Expand Energy (NASDAQ:EXE | EXE Price Prediction) is the largest common-stock position in Marks’ book and the most bruised. The post-Southwestern merger left EXE as the largest US natural gas producer, which sounds like a category winner until you look at the stock. YTD, this stock has done the opposite of what the fundamentals suggest it should.
Q1 2026 was a blowout. Revenue of $4.40B crushed the $3.05B estimate by 43.96% and doubled year over year, net income surged 565% to $1.16B, and free cash flow hit $1.70B, up 218%. The company redeemed roughly $1.3B of gross debt year to date, ran $150M in buybacks, and locked in a 20-year LNG supply agreement with Delfin FLNG for about 1.15M tonnes per year targeting 2031. And yet shares are down 19.19% YTD and down 19.20% since Marks’ filing snapshot of March 31, 2026.
The disconnect is the trade. EXE trades at 7 times trailing earnings versus an analyst target of $125.32, with 3 strong-buy, 17 buy, and 6 hold ratings. Sentiment reads bullish at 63.79 with medium confidence. This screens as the cleanest setup on the list at current prices. Marks accumulated. The market handed him a lower entry after the fact. That’s a gift, not a warning.
3. AngloGold Ashanti (The Gold Heavyweight) AngloGold Ashanti (NYSE:AU) is the macro trade inside a value portfolio. Gold has run. AU has run harder. And now it’s giving some back.
The fundamentals remain unmistakable. Gold price received per ounce climbed 69% year over year, the Sukari mine acquired via Centamin in November 2024 is fully integrated, and management declared a record interim dividend of $585M, or 116 cents per share, under a 50% of free cash flow policy. The Arthur Gold discovery in Nevada added substantial new reserves. One year of stock performance: up 71.21%. Three months of stock performance since Marks’ filing snapshot: down 20.64%.
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At 11 times trailing earnings, a 5.81% dividend yield, and an analyst target of $114 against a current $76.55, the setup looks like a buy. The catch: news sentiment scores neutral at 56.30 with low confidence, and one analyst carries a sell rating against three strong-buys and four buys. AU screens attractively on this drawdown, with volatility argued for smaller sizing. The pullback is the entry Marks didn’t get.
4. TORM plc (The Rate Spike Trade) TORM (NASDAQ:TRMD) is the position where the catalyst is on the front page. The Strait of Hormuz closure tied to the US/Israel-Iran conflict constrained roughly 14% of global clean petroleum product flows, and TORM’s fleet sits directly in the rerouting. Product tanker rates went vertical.
Fleet-wide time charter equivalent rates rose 30% year over year to $34,937 per day, LR2 spot rates jumped 73% to $50,811 per day, and 57% of Q2 earning days were already covered at an average $71,494 per day. Management raised the FY26 guide to TCE earnings of $1.15B to $1.45B and EBITDA of $800M to $1.10B. A $0.70 interim dividend equal to 58% of net profit went out the door.
The trade is where the trap lives. TRMD is up 58.04% YTD and 84.95% over one year, trading at 9 times trailing earnings and 5 times forward earnings with a 9.45% dividend yield. Analyst target: $34.50, roughly where the 52-week high sits, against one buy and one hold rating. The forward multiple screams cheap; the ratings tell you the Street thinks rates normalize. The yield anchors the thesis; position sizing should assume rates fade. If Hormuz reopens, the cushion is that dividend.
5. Indivior (The Payoff) Indivior (NASDAQ:INDV) is what happens when the market gives up on a stock right before the operating leverage kicks in. Marks bought when the stock was ugly. The price has since caught up.
Q1 2026 obliterated estimates. EPS of $0.96 crushed the $0.66 estimate by 45.45%, revenue of $317M beat by 16.19% and grew 19.2%, net income jumped 89% to $89M, and adjusted EBITDA margin expanded to 52% from 29% year over year. The single asset driving it: SUBLOCADE net revenue of $232M, up 32% year over year, with US dispense units up 20% and a record 31,800 new patient starts. Management raised FY26 revenue guidance to $1.215B to $1.285B and adjusted EBITDA to $620M to $660M, roughly 50% higher year over year at the midpoint.
The TAM math is what makes this the payoff slot. 7.8M Americans misuse opioids, 4.8M are diagnosed with OUD, only 2.0M receive BMAT, and long-acting injectable penetration of about 8.5% is expected to grow to 20% to 30%. INDV trades at 13 times forward earnings against an analyst target of $50.83, with one strong-buy and five buy ratings and zero holds or sells. Shares are up 33.17% since the filing snapshot and 160.19% over one year. This screens as compelling at current prices with a runway measured in years.
The Bottom Line Marks’ top-five equity book is a study in mispricing. EXE screens as the clearest setup, priced below where Marks accumulated. AU is the volatility trade, on sale after a sharp pullback. INDV is the compounder the market kept mistaking for a lawsuit. TRMD and GTX have already run, and now demand discipline on entry. The window on the first three is the one closing fastest.
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Wall Street expects a year-over-year increase in earnings on lower revenues when Expand Energy (EXE - Free Report) reports results for the quarter ended June 2026. While this widely-known consensus outlook is important in gauging the company's earnings picture, a powerful factor that could impact its near-term stock price is how the actual results compare to these estimates.
The stock might move higher if these key numbers top expectations in the upcoming earnings report, which is expected to be released on July 28. On the other hand, if they miss, the stock may move lower.
While management's discussion of business conditions on the earnings call will mostly determine the sustainability of the immediate price change and future earnings expectations, it's worth having a handicapping insight into the odds of a positive EPS surprise.
Zacks Consensus EstimateThis oil and gas company is expected to post quarterly earnings of $1.16 per share in its upcoming report, which represents a year-over-year change of +5.5%.
Revenues are expected to be $2.01 billion, down 0.4% from the year-ago quarter.
Estimate Revisions TrendThe consensus EPS estimate for the quarter has been revised 3.46% lower over the last 30 days to the current level. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period.
Investors should keep in mind that an aggregate change may not always reflect the direction of estimate revisions by each of the covering analysts.
Price, Consensus and EPS Surprise
Earnings WhisperEstimate revisions ahead of a company's earnings release offer clues to the business conditions for the period whose results are coming out. Our proprietary surprise prediction model -- the Zacks Earnings ESP (Expected Surprise Prediction) -- has this insight at its core.
The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a more recent version of the Zacks Consensus EPS estimate. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier.
Thus, a positive or negative Earnings ESP reading theoretically indicates the likely deviation of the actual earnings from the consensus estimate. However, the model's predictive power is significant for positive ESP readings only.
A positive Earnings ESP is a strong predictor of an earnings beat, particularly when combined with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold). Our research shows that stocks with this combination produce a positive surprise nearly 70% of the time, and a solid Zacks Rank actually increases the predictive power of Earnings ESP.
Please note that a negative Earnings ESP reading is not indicative of an earnings miss. Our research shows that it is difficult to predict an earnings beat with any degree of confidence for stocks with negative Earnings ESP readings and/or Zacks Rank of 4 (Sell) or 5 (Strong Sell).
How Have the Numbers Shaped Up for Expand Energy?For Expand Energy, the Most Accurate Estimate is lower than the Zacks Consensus Estimate, suggesting that analysts have recently become bearish on the company's earnings prospects. This has resulted in an Earnings ESP of -1.82%.
On the other hand, the stock currently carries a Zacks Rank of #4.
So, this combination makes it difficult to conclusively predict that Expand Energy will beat the consensus EPS estimate.
Does Earnings Surprise History Hold Any Clue?Analysts often consider to what extent a company has been able to match consensus estimates in the past while calculating their estimates for its future earnings. So, it's worth taking a look at the surprise history for gauging its influence on the upcoming number.
For the last reported quarter, it was expected that Expand Energy would post earnings of $3.69 per share when it actually produced earnings of $3.83, delivering a surprise of +3.79%.
Over the last four quarters, the company has beaten consensus EPS estimates three times.
Bottom LineAn earnings beat or miss may not be the sole basis for a stock moving higher or lower. Many stocks end up losing ground despite an earnings beat due to other factors that disappoint investors. Similarly, unforeseen catalysts help a number of stocks gain despite an earnings miss.
That said, betting on stocks that are expected to beat earnings expectations does increase the odds of success. This is why it's worth checking a company's Earnings ESP and Zacks Rank ahead of its quarterly release. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported.
Expand Energy doesn't appear a compelling earnings-beat candidate. However, investors should pay attention to other factors too for betting on this stock or staying away from it ahead of its earnings release.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.
D.A. Davidson & CO. increased its holdings in Expand Energy Corporation (NASDAQ:EXE – Free Report) by 177.4% during the 1st quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The fund owned 21,535 shares of the company’s stock after purchasing an additional 13,772 shares during the quarter. D.A. Davidson & CO.’s holdings in Expand Energy were worth $2,364,000 as of its most recent filing with the Securities and Exchange Commission (SEC).
Other hedge funds also recently bought and sold shares of the company. Capital Research Global Investors grew its position in shares of Expand Energy by 33.2% in the 4th quarter. Capital Research Global Investors now owns 21,251,283 shares of the company’s stock worth $2,345,303,000 after buying an additional 5,291,948 shares during the last quarter. Northwestern Mutual Wealth Management Co. raised its holdings in shares of Expand Energy by 36,574.9% during the fourth quarter. Northwestern Mutual Wealth Management Co. now owns 2,420,912 shares of the company’s stock valued at $267,172,000 after acquiring an additional 2,414,311 shares in the last quarter. Bank of New York Mellon Corp raised its holdings in shares of Expand Energy by 94.7% during the first quarter. Bank of New York Mellon Corp now owns 4,498,905 shares of the company’s stock valued at $493,890,000 after acquiring an additional 2,188,422 shares in the last quarter. Victory Capital Management Inc. lifted its stake in Expand Energy by 192.0% in the fourth quarter. Victory Capital Management Inc. now owns 3,286,361 shares of the company’s stock worth $362,683,000 after acquiring an additional 2,160,979 shares during the period. Finally, Dragoneer Investment Group LLC purchased a new stake in Expand Energy in the fourth quarter worth $145,633,000. Hedge funds and other institutional investors own 97.93% of the company’s stock.
Insider Buying and Selling In related news, CFO Marcel Teunissen purchased 2,000 shares of the company’s stock in a transaction dated Thursday, May 7th. The shares were purchased at an average cost of $96.43 per share, with a total value of $192,860.00. Following the transaction, the chief financial officer directly owned 9,144 shares in the company, valued at $881,755.92. This trade represents a 28.00% increase in their position. The purchase was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Also, CEO Michael Wichterich purchased 1,000 shares of the business’s stock in a transaction that occurred on Friday, June 12th. The stock was bought at an average price of $88.90 per share, for a total transaction of $88,900.00. Following the purchase, the chief executive officer directly owned 85,498 shares in the company, valued at $7,600,772.20. The trade was a 1.18% increase in their ownership of the stock. The disclosure for this purchase is available in the SEC filing. Over the last three months, insiders bought 4,000 shares of company stock worth $375,120. Insiders own 0.22% of the company’s stock.
Expand Energy Trading Down 1.3% EXE opened at $86.95 on Tuesday. The company has a quick ratio of 1.11, a current ratio of 1.11 and a debt-to-equity ratio of 0.21. Expand Energy Corporation has a 52 week low of $84.99 and a 52 week high of $126.62. The stock has a market cap of $20.80 billion, a PE ratio of 6.48 and a beta of 0.34. The business has a 50 day moving average of $91.11 and a 200-day moving average of $99.69.
Expand Energy (NASDAQ:EXE – Get Free Report) last issued its quarterly earnings results on Tuesday, April 28th. The company reported $3.83 earnings per share for the quarter, topping the consensus estimate of $3.61 by $0.22. The company had revenue of $4.40 billion for the quarter, compared to analysts’ expectations of $3.53 billion. Expand Energy had a return on equity of 10.26% and a net margin of 22.53%. Equities research analysts predict that Expand Energy Corporation will post 8.4 earnings per share for the current fiscal year.
Expand Energy Announces Dividend The firm also recently announced a quarterly dividend, which was paid on Thursday, June 4th. Stockholders of record on Thursday, May 14th were issued a dividend of $0.575 per share. This represents a $2.30 annualized dividend and a dividend yield of 2.6%. The ex-dividend date was Thursday, May 14th. Expand Energy’s dividend payout ratio (DPR) is presently 17.15%.
Wall Street Analysts Forecast Growth Several research firms recently weighed in on EXE. Morgan Stanley cut their price target on shares of Expand Energy from $139.00 to $131.00 and set an “overweight” rating on the stock in a report on Monday, June 29th. KeyCorp reaffirmed a “sector weight” rating on shares of Expand Energy in a research report on Thursday, April 2nd. William Blair cut shares of Expand Energy from an “outperform” rating to a “market perform” rating in a research report on Thursday, April 30th. Barclays lowered shares of Expand Energy from an “overweight” rating to a “reduce” rating in a research note on Tuesday, May 26th. Finally, Weiss Ratings cut shares of Expand Energy from a “buy (b-)” rating to a “hold (c+)” rating in a research report on Tuesday, May 19th. Two equities research analysts have rated the stock with a Strong Buy rating, eleven have issued a Buy rating, five have issued a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat, the company currently has an average rating of “Moderate Buy” and a consensus target price of $130.19.
Get Our Latest Report on EXE
Expand Energy Company Profile (Free Report)
Expand Energy Corporation is an independent natural gas producer principally in the United States. Expand Energy Corporation, formerly known as Chesapeake Energy Corporation, is based in OKLAHOMA CITY.
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July 15, 2026 16:03 ET | Source: Expand Energy Corporation
SPRING, Texas, July 15, 2026 (GLOBE NEWSWIRE) -- Expand Energy Corporation (NASDAQ: EXE) announced today that it will release its 2026 second quarter operational and financial results after market close on July 28, 2026. A conference call to discuss the results has been scheduled for July 29, 2026 at 9:00 a.m. EDT. Participants can view the live webcast here. Participants who would like to ask a question, can register here, and will receive the dial-in info and a unique PIN to join the call. Links to the conference call will be provided on Expand Energy’s website. A replay will be available on the website following the call.
About Expand Energy
Expand Energy Corporation (NASDAQ: EXE) is North America’s largest natural gas producer, powered by dedicated and innovative employees focused on expanding the value of natural gas by connecting global scale to growing markets. Expand Energy’s returns-driven strategy strives to create sustainable value for its stakeholders by leveraging its advantaged portfolio, financial strength and operational excellence. Expand Energy is committed to expanding America’s energy reach to fuel a more affordable, reliable, lower carbon future.
Key Takeaways WMB handles a third of U.S. natural gas and has major expansion projects positioned for demand growth.AR pairs low-cost Appalachian assets with export exposure, midstream access and a low debt profile.EXE is the largest U.S. gas producer, with Haynesville and Marcellus assets tied to rising demand. Natural gas prices have fallen even though electricity demand remains strong during the summer. This has created a mixed picture for investors, making it important to distinguish between short-term price weakness and the long-term importance of natural gas for electricity generation and liquefied natural gas (“LNG”) exports.
In this environment, investors may want to keep an eye on The Williams Companies (WMB - Free Report) , Antero Resources (AR - Free Report) and Expand Energy (EXE - Free Report) , as each is exposed to a different part of the natural gas industry. The recent decline in gas prices should not be viewed as a negative signal on its own. Instead, it highlights the need to understand the temporary factors weighing on prices today and the conditions that could support a recovery over time.
Freeport Maintenance Weighs on Gas PricesPlanned maintenance at the Freeport LNG export terminal in Texas has lowered demand for natural gas used to produce and ship LNG overseas.
When a major export facility uses less gas, more supply remains in the U.S. market. This can put pressure on Henry Hub prices because domestic buyers must absorb gas that would otherwise have been exported.
The pressure is also evident in futures trading. Nymex natural gas settled at roughly $3 per million British thermal units on Friday and has declined about 10% so far in July.
This decline can hurt investor sentiment toward natural gas stocks. Although the maintenance is temporary, investors often react negatively when export demand falls at a time when domestic supplies are already sufficient.
High Storage Levels Keep Gas Market Sentiment UncertainNatural gas inventories remain a concern for the market. The U.S. Energy Information Administration reported that storage increased by 61 billion cubic feet (Bcf) for the week ended July 3, 2026, exceeding the five-year average build of 51 Bcf.
Total working gas in storage reached 2,983 Bcf. This was 185 Bcf, or 7%, above the five-year average, showing that supplies remain comfortable despite strong summer demand.
High inventory levels can continue to weigh on natural gas prices and investor sentiment toward producers. Traders may stay cautious until the storage surplus declines or stronger demand absorbs more of the available supply.
Here is a clearer and easier-to-understand version:
Power Demand and LNG Exports Could Improve the OutlookThe outlook is not entirely negative. Hot weather usually increases electricity use, which supports demand for natural gas from power plants. The EIA expects gas consumption in the power sector to rise 2% in 2026 and another 4% in 2027, reaching 38.1 Bcf per day.
This steady demand suggests that the current weakness in natural gas prices may be temporary rather than long-lasting. Once maintenance at the Freeport LNG terminal is completed, investors may again focus on LNG exports, weather conditions and storage levels.
Weak Henry Hub prices can pressure market sentiment in the near term. However, strong power demand and a recovery in export activity could quickly improve the outlook.
Although near-term pricing pressure may keep the sector volatile, the longer-term demand outlook remains encouraging. Against this mixed backdrop, investors may consider companies that are positioned to benefit from expanding power consumption and LNG exports.
3 Stocks to Focus OnThe Williams Companies: U.S. natural gas demand is projected to grow significantly in the long term, and The Williams Companies seems to be well-positioned to capitalize on the same, owing to its impressive portfolio of large-scale value-creating projects. With its extensive network handling a third of the U.S. natural gas and significant expansion projects in the pipeline, Zacks Rank #3 (Hold), Williams is set to benefit from favorable industry dynamics and growth prospects. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
The Zacks Consensus Estimate for the company’s 2026 earnings per share indicates 12.4% year-over-year growth. Williams Companies’ expected EPS growth rate for three to five years is 16.8%, which compares favorably with the industry's growth rate of 11.1%.
Antero Resources: This is an independent energy producer focused on natural gas and liquids in the Appalachian Basin. Headquartered in Denver, this company, with a Zacks Rank of 3, develops low-cost assets in the Marcellus and Utica shales, holding about 515,000 net acres. Antero Resources’ production mix is weighted toward natural gas and NGLs, with minimal oil exposure. AR is also one of the largest U.S. suppliers of natural gas and LPG to export markets.
Antero Resources is supported by its midstream affiliate, Antero Midstream, in which it owns roughly 29%. This integrated setup secures transportation and market access from Appalachia to the Gulf Coast. A low debt profile and steady drilling results provide flexibility and support long-term growth. The Zacks Consensus Estimate for Antero Resources’ 2026 earnings per share indicates a 153.8% year-over-year surge.
Expand Energy: Expand Energy has emerged as the largest natural gas producer in the United States after completing the Chesapeake-Southwestern merger. With a strong footprint in the Haynesville and Marcellus basins, the company is well-positioned to benefit from rising natural gas demand fueled by LNG exports, growing AI and data-center power needs, EV adoption and broader electrification trends.
The Zacks Consensus Estimate for Expand Energy’s 2026 earnings per share indicates a 39.7% year-over-year improvement. The firm, currently a #3 Ranked stock, has a trailing four-quarter earnings surprise of roughly 4.1%, on average.
Investors in Expand Energy Corporation (EXE - Free Report) need to pay close attention to the stock based on moves in the options market lately. That is because the Jan 15, 2027 $40 Call had some of the highest implied volatility of all equity options today.
What is Implied Volatility?Implied volatility shows how much movement the market is expecting in the future. Options with high levels of implied volatility suggest that investors in the underlying stocks are expecting a big move in one direction or the other. It could also mean there is an event coming up soon that may cause a big rally or a huge sell-off. However, implied volatility is only one piece of the puzzle when putting together an options trading strategy.
What do the Analysts Think?Clearly, options traders are pricing in a big move for Expand Energy shares, but what is the fundamental picture for the company? Currently, Expand Energy is a Zacks Rank #3 (Hold) in the Alternative Energy – Other industry that ranks in the Top 41% of our Zacks Industry Rank. Over the last 60 days, one analyst has increased the earnings estimate for the current quarter, while three analysts have revised their estimates downward. The net effect has taken our Zacks Consensus Estimate for the current quarter from $1.24 per share to $1.18 in that period.
Given the way analysts feel about Expand Energy right now, this huge implied volatility could mean there’s a trade developing. Oftentimes, options traders look for options with high levels of implied volatility to sell premium. This is a strategy many seasoned traders use because it captures decay. At expiration, the hope for these traders is that the underlying stock does not move as much as originally expected.
Expand Energy is rated a Strong Buy, with a $132 price target vs. sub-$90 current levels, driven by resilient free cash flow at low gas prices. EXE's dual-basin Marcellus-Haynesville footprint enables flexibility: Low-cost Marcellus supports cash flow in weak markets, while Haynesville offers upside as prices rise. Despite bearish speculative sentiment and near-term headwinds, intermediate-term catalysts include LNG export growth, industrial demand, and power sector expansion.
This article focuses on EXE's merger and how it became the largest U.S. natural gas producer. The company has strong financial health but trades at a discounted valuation as its 3.32x EV/EBITDA is well below the industry benchmark of about 5.0x. Investment thesis centers on the company's cyclical nature and potential for both risk and opportunity.
Markham, Ontario--(Newsfile Corp. - June 15, 2026) - Extendicare Inc. (TSX: EXE) ("Extendicare" or the "Company") announced that it has declared a cash dividend of C$0.0441 per common share of the Company for the month of June 2026, which is payable on July 15, 2026 to shareholders of record at the close of business on June 30, 2026. This dividend is designated as an "eligible dividend" within the meaning of the Income Tax Act (Canada).
About Extendicare
Extendicare is a leading provider of care and services for seniors across Canada, operating under the Extendicare, ParaMed, Extendicare Assist, and SGP Purchasing Network brands. We are committed to delivering quality care to meet the needs of the growing seniors' population, inspired by our mission to provide people with the care they need, wherever they call home. We operate a network of 99 long-term care homes (59 owned, 40 under management contracts), deliver approximately 24.5 million hours of home health care services annually, and provide group purchasing services to third parties representing approximately 157,100 beds across Canada. Extendicare proudly employs approximately 31,500 individuals and manages an additional 5,000 joint venture employees, all of whom are highly qualified, trained and dedicated team members and passionate about providing high-quality care and services to help people live better.
Forward-looking Statements
Information provided by Extendicare from time to time, including this release, contains or may contain forward-looking statements concerning anticipated future events, results, circumstances, economic performance or expectations with respect to Extendicare and its subsidiaries, including, without limitation: statements regarding its dividend levels, business operations, business strategy, growth strategy, results of operations and financial condition. Forward-looking statements can often be identified by the expressions "anticipate", "believe", "estimate", "expect", "intend", "objective", "plan", "project", "will", "may", "should" or other similar expressions or the negative thereof. These forward-looking statements reflect the Company's current expectations regarding future results, performance or achievements and are based upon information currently available to the Company and on assumptions that the Company believes are reasonable. These statements are not guarantees of future performance and involve known and unknown risks, uncertainties and other factors that may cause actual results, performance or achievements of the Company to differ materially from those expressed or implied in the statements. Given these risks and uncertainties, readers are cautioned not to place undue reliance on Extendicare's forward-looking statements. Further information can be found in the disclosure documents filed by Extendicare with the securities regulatory authorities, available at www.sedarplus.ca and on Extendicare's website at www.extendicare.com. Except as required by applicable securities laws, the Company assumes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/301480
Source: Extendicare Inc.
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Moran Wealth Management LLC raised its position in Expand Energy Corporation (NASDAQ:EXE – Free Report) by 89.4% in the fourth quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission (SEC). The fund owned 21,032 shares of the company’s stock after acquiring an additional 9,927 shares during the quarter. Moran Wealth Management LLC’s holdings in Expand Energy were worth $2,321,000 at the end of the most recent reporting period.
Other large investors have also recently added to or reduced their stakes in the company. ESL Trust Services LLC acquired a new stake in shares of Expand Energy during the 3rd quarter worth about $32,000. Abound Wealth Management lifted its stake in shares of Expand Energy by 890.0% during the 4th quarter. Abound Wealth Management now owns 297 shares of the company’s stock worth $33,000 after buying an additional 267 shares during the last quarter. Smartleaf Asset Management LLC lifted its stake in shares of Expand Energy by 85.0% during the 3rd quarter. Smartleaf Asset Management LLC now owns 433 shares of the company’s stock worth $46,000 after buying an additional 199 shares during the last quarter. Assetmark Inc. lifted its stake in shares of Expand Energy by 54.5% during the 4th quarter. Assetmark Inc. now owns 414 shares of the company’s stock worth $46,000 after buying an additional 146 shares during the last quarter. Finally, Root Financial Partners LLC acquired a new stake in shares of Expand Energy during the 3rd quarter worth about $47,000. Institutional investors and hedge funds own 97.93% of the company’s stock.
Analyst Upgrades and Downgrades Several analysts have weighed in on EXE shares. Piper Sandler lifted their price objective on shares of Expand Energy from $136.00 to $138.00 and gave the stock an “overweight” rating in a research note on Thursday, March 12th. UBS Group dropped their price objective on shares of Expand Energy from $139.00 to $133.00 and set a “buy” rating for the company in a research note on Monday, April 13th. KeyCorp reiterated a “sector weight” rating on shares of Expand Energy in a research note on Thursday, April 2nd. Wells Fargo & Company set a $123.00 price objective on shares of Expand Energy in a research note on Monday, February 23rd. Finally, Morgan Stanley reiterated an “overweight” rating on shares of Expand Energy in a research note on Friday, March 27th. Two research analysts have rated the stock with a Strong Buy rating, fourteen have assigned a Buy rating and three have issued a Hold rating to the company. Based on data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and a consensus target price of $131.95.
View Our Latest Stock Report on Expand Energy
Expand Energy Stock Performance EXE opened at $95.82 on Monday. Expand Energy Corporation has a fifty-two week low of $91.01 and a fifty-two week high of $126.62. The company has a debt-to-equity ratio of 0.27, a current ratio of 1.01 and a quick ratio of 1.01. The firm has a market capitalization of $23.04 billion, a price-to-earnings ratio of 12.71 and a beta of 0.47. The company’s 50 day moving average price is $104.92 and its two-hundred day moving average price is $108.07.
Expand Energy (NASDAQ:EXE – Get Free Report) last posted its earnings results on Tuesday, February 17th. The company reported $2.00 earnings per share for the quarter, topping analysts’ consensus estimates of $1.89 by $0.11. The firm had revenue of $3.27 billion for the quarter, compared to analyst estimates of $2.28 billion. Expand Energy had a net margin of 15.00% and a return on equity of 8.17%. As a group, research analysts predict that Expand Energy Corporation will post 1.33 earnings per share for the current year.
Expand Energy Announces Dividend The business also recently announced a quarterly dividend, which was paid on Thursday, March 26th. Investors of record on Thursday, March 5th were given a dividend of $0.575 per share. This represents a $2.30 dividend on an annualized basis and a dividend yield of 2.4%. The ex-dividend date was Thursday, March 5th. Expand Energy’s payout ratio is presently 30.50%.
Insider Activity In other Expand Energy news, CEO Michael Wichterich purchased 2,000 shares of the firm’s stock in a transaction on Friday, March 6th. The stock was acquired at an average price of $107.50 per share, for a total transaction of $215,000.00. Following the purchase, the chief executive officer owned 83,498 shares of the company’s stock, valued at $8,976,035. This trade represents a 2.45% increase in their position. The purchase was disclosed in a filing with the SEC, which can be accessed through this hyperlink. 0.17% of the stock is owned by insiders.
About Expand Energy (Free Report)
Expand Energy Corporation is an independent natural gas producer principally in the United States. Expand Energy Corporation, formerly known as Chesapeake Energy Corporation, is based in OKLAHOMA CITY.
Read More Five stocks we like better than Expand Energy Want to see what other hedge funds are holding EXE? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Expand Energy Corporation (NASDAQ:EXE – Free Report).
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Wall Street expects a year-over-year increase in earnings on higher revenues when Expand Energy (EXE - Free Report) reports results for the quarter ended March 2026. While this widely-known consensus outlook is important in gauging the company's earnings picture, a powerful factor that could impact its near-term stock price is how the actual results compare to these estimates.
The stock might move higher if these key numbers top expectations in the upcoming earnings report, which is expected to be released on April 28. On the other hand, if they miss, the stock may move lower.
While management's discussion of business conditions on the earnings call will mostly determine the sustainability of the immediate price change and future earnings expectations, it's worth having a handicapping insight into the odds of a positive EPS surprise.
Zacks Consensus EstimateThis oil and gas company is expected to post quarterly earnings of $3.71 per share in its upcoming report, which represents a year-over-year change of +83.7%.
Revenues are expected to be $2.92 billion, up 27.2% from the year-ago quarter.
Estimate Revisions TrendThe consensus EPS estimate for the quarter has been revised 5.32% lower over the last 30 days to the current level. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period.
Investors should keep in mind that the direction of estimate revisions by each of the covering analysts may not always get reflected in the aggregate change.
Price, Consensus and EPS Surprise
Earnings WhisperEstimate revisions ahead of a company's earnings release offer clues to the business conditions for the period whose results are coming out. This insight is at the core of our proprietary surprise prediction model -- the Zacks Earnings ESP (Expected Surprise Prediction).
The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a more recent version of the Zacks Consensus EPS estimate. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier.
Thus, a positive or negative Earnings ESP reading theoretically indicates the likely deviation of the actual earnings from the consensus estimate. However, the model's predictive power is significant for positive ESP readings only.
A positive Earnings ESP is a strong predictor of an earnings beat, particularly when combined with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold). Our research shows that stocks with this combination produce a positive surprise nearly 70% of the time, and a solid Zacks Rank actually increases the predictive power of Earnings ESP.
Please note that a negative Earnings ESP reading is not indicative of an earnings miss. Our research shows that it is difficult to predict an earnings beat with any degree of confidence for stocks with negative Earnings ESP readings and/or Zacks Rank of 4 (Sell) or 5 (Strong Sell).
How Have the Numbers Shaped Up for Expand Energy?For Expand Energy, the Most Accurate Estimate is lower than the Zacks Consensus Estimate, suggesting that analysts have recently become bearish on the company's earnings prospects. This has resulted in an Earnings ESP of -0.69%.
On the other hand, the stock currently carries a Zacks Rank of #3.
So, this combination makes it difficult to conclusively predict that Expand Energy will beat the consensus EPS estimate.
Does Earnings Surprise History Hold Any Clue?Analysts often consider to what extent a company has been able to match consensus estimates in the past while calculating their estimates for its future earnings. So, it's worth taking a look at the surprise history for gauging its influence on the upcoming number.
For the last reported quarter, it was expected that Expand Energy would post earnings of $1.89 per share when it actually produced earnings of $2.00, delivering a surprise of +5.82%.
Over the last four quarters, the company has beaten consensus EPS estimates three times.
Bottom LineAn earnings beat or miss may not be the sole basis for a stock moving higher or lower. Many stocks end up losing ground despite an earnings beat due to other factors that disappoint investors. Similarly, unforeseen catalysts help a number of stocks gain despite an earnings miss.
That said, betting on stocks that are expected to beat earnings expectations does increase the odds of success. This is why it's worth checking a company's Earnings ESP and Zacks Rank ahead of its quarterly release. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported.
Expand Energy doesn't appear a compelling earnings-beat candidate. However, investors should pay attention to other factors too for betting on this stock or staying away from it ahead of its earnings release.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.
Key Takeaways EXE is set to report Q1 2026 earnings on April 28 with estimates of $3.69 per share.EXE expects to benefit from LNG demand and basin strength, driving higher production and price realization.Higher costs and inflationary pressures may weigh on margins despite revenue growth expectations. Expand Energy Corporation (EXE - Free Report) is set to release first-quarter 2026 earnings on April 28, 2026.The Zacks Consensus Estimate for the to-be-reported quarter is pegged at a profit of $3.69 per share on revenues of $2.97 billion.
Let us delve into the factors that might have influenced EXE’s performance in the to-be-reported quarter. Before that, it is worth taking a look at the company’s performance in the last reported quarter.
Highlights of EXE’s Q4 Earnings & Surprise HistoryIn the fourth quarter, the U.S.-based natural gas producer’s adjusted earnings of $2 per share beat the Zacks Consensus Estimate of $1.89, driven by strong production and higher natural gas price realization. Moreover, the company’s ‘natural gas, oil and NGL’ revenues of $2.3 billion surpassed the Zacks Consensus Estimate of $2.2 billion. Expand Energy’s earnings beat the consensus estimate in three of the trailing four quarters and missed in one, delivering an average surprise of 5.43%
This is depicted in the graph below.
Trend in the Estimate Revision of EXEThe Zacks Consensus Estimate for first-quarter 2026 earnings has remained unchanged overall but has recorded two downward revisions in the past seven days. The estimated figure indicates an 82.67% year-over-year bottom-line increase. Moreover, the Zacks Consensus Estimate for revenues indicates an increase of 29.19% from the year-ago period’s level.
Factors to Consider Ahead of EXE’s Q1 ReleaseExpand Energy generates revenues primarily by extracting and selling natural gas from major shale basins, including the Haynesville and Marcellus/Utica regions, and supplying utilities, industrial customers and LNG exporters.
The company’s revenues depend largely on the price of gas and the volume it produces. Expand Energy follows a typical exploration and production model — acquiring reserves, drilling wells and selling output — while focusing on operational efficiency and scale to keep costs low and margins stable. It also benefits from proximity to LNG export terminals, which provide exposure to global demand, and generates smaller contributions from natural gas liquids, oil production and occasional asset transactions.
We believe EXE stands to benefit from strengthening natural gas demand — driven by LNG exports, expanding AI and data center energy consumption, EV growth and broader electrification — supported by its core positions in the Haynesville and Marcellus basins. Based on our estimates, we expect the company’s total daily production to increase 9.5% year over year compared with the same quarter last year. We also expect EXE’s average realized sales price to rise 32.7% year over year to $4.75 from the last year’s level.
Rising expenses might have weighed on results. EXE’s fourth-quarter total costs and expenses were 5.9% higher than the year-ago quarter’s figure, and this upward trajectory is expected to have persisted in the quarter to be reported. Combined spending on production costs, gathering, processing and transportation, marketing, and depreciation, depletion and amortization, along with persistent inflationary pressures, might have continued to weigh on margins.
What Does Our Model Say About EXE?The proven Zacks model does not conclusively predict an earnings beat for Expand Energy this season. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of beating estimates. This is not the case here.
You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
EXE’s Earnings ESP: Earnings ESP, which represents the difference between the Most Accurate Estimate and the Zacks Consensus Estimate, for this company is 0.00%.
EXE’s Zacks Rank: EXE currently carries a Zacks Rank #3.
Stocks to ConsiderHere are some firms from the energy space that you may want to consider, as these have the right combination of elements to post an earnings beat this reporting cycle.
ConocoPhillips (COP - Free Report) has an Earnings ESP of +8.05% and a Zacks Rank #1. You can see the complete list of today’s Zacks #1 Rank stocks here.
The firm is scheduled to release earnings on April 30. ConocoPhillips is a U.S.-based exploration and production company focused on discovering, developing, and producing oil and natural gas resources across multiple regions worldwide. Notably, the Zacks Consensus Estimate for ConocoPhillips’s 2026 earnings per share indicates 57.64% year-over-year growth. Valued at around $149.43 billion, ConocoPhillips’ shares have risen 38.5% in a year.
TotalEnergies (TTE - Free Report) has an Earnings ESP of +20.30% and a Zacks Rank #1. The firm is scheduled to release earnings on April 30. TotalEnergies is a France-based global energy company engaged in oil and gas exploration, production, refining and a growing portfolio of renewable and low-carbon energy solutions worldwide.
Notably, the Zacks Consensus Estimate for TotalEnergies’ 2026 earnings per share indicates 25.54% year-over-year growth. Valued at around $214.76 billion, TotalEnergies has gained 54.1% in a year.
Valero Energy Corporation (VLO - Free Report) has an Earnings ESP of +3.23% and a Zacks Rank #1. The firm is scheduled to release earnings on April 30. Valero Energy is a leading international manufacturer and marketer of transportation fuels, petrochemical products and renewable diesel.
Notably, the Zacks Consensus Estimate for Valero Energy’s 2026 earnings per share indicates 79.36% year-over-year growth. Valued at around $70.08 billion, Valero Energy has gained 104.2% in a year.
Siemens Energy (OTCMKTS:SMNEY – Get Free Report) and Expand Energy (NASDAQ:EXE – Get Free Report) are both large-cap energy companies, but which is the superior business? We will compare the two companies based on the strength of their dividends, analyst recommendations, earnings, risk, profitability, valuation and institutional ownership.
Institutional & Insider Ownership 97.9% of Expand Energy shares are held by institutional investors. 0.2% of Expand Energy shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.
Risk and Volatility Siemens Energy has a beta of 2.06, indicating that its stock price is 106% more volatile than the S&P 500. Comparatively, Expand Energy has a beta of 0.47, indicating that its stock price is 53% less volatile than the S&P 500.
Earnings & Valuation This table compares Siemens Energy and Expand Energy”s top-line revenue, earnings per share and valuation.
Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio Siemens Energy $43.21 billion 3.48 $1.56 billion $1.77 99.23 Expand Energy $12.12 billion 1.91 $1.82 billion $7.54 12.79 Expand Energy has lower revenue, but higher earnings than Siemens Energy. Expand Energy is trading at a lower price-to-earnings ratio than Siemens Energy, indicating that it is currently the more affordable of the two stocks.
Profitability This table compares Siemens Energy and Expand Energy’s net margins, return on equity and return on assets.
Net Margins Return on Equity Return on Assets Siemens Energy 4.75% 18.48% 3.50% Expand Energy 15.00% 8.17% 5.26% Dividends Siemens Energy pays an annual dividend of $0.53 per share and has a dividend yield of 0.3%. Expand Energy pays an annual dividend of $2.30 per share and has a dividend yield of 2.4%. Siemens Energy pays out 29.9% of its earnings in the form of a dividend. Expand Energy pays out 30.5% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years.
Analyst Recommendations This is a breakdown of recent ratings and price targets for Siemens Energy and Expand Energy, as reported by MarketBeat.com.
Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score Siemens Energy 0 3 7 2 2.92 Expand Energy 0 3 14 2 2.95 Expand Energy has a consensus target price of $131.95, suggesting a potential upside of 36.83%. Given Expand Energy’s stronger consensus rating and higher probable upside, analysts plainly believe Expand Energy is more favorable than Siemens Energy.
Summary Expand Energy beats Siemens Energy on 10 of the 16 factors compared between the two stocks.
About Siemens Energy (Get Free Report)
Siemens Energy AG operates as an energy technology company worldwide. It operates through Gas Services, Grid Technologies, Transformation of Industry, and Siemens Gamesa segments. The company provides gas and steam turbines, generators, and heat pumps, as well as performance enhancement, maintenance, customer training, and professional consulting services for central and distributed power generation; and high voltage direct current transmission systems, offshore windfarm grid connections, transformers, flexible alternating current transmission systems, high voltage substations, air and gas-insulated switchgears, digital grid solutions and components, and storage solutions. It also offers electrolyzers, industrial steam turbines, industrial generators, turbo and reciprocating compressors, compressor trains, and other systems and solutions; onshore and onshore wind turbines; design, engineering, manufacturing, and installation solutions for onshore markets; offshore wind turbine equipment design, manufacturing, and installation solutions; and operation and maintenance services for wind farms. The company serves utilities, independent power producers, project developers, oil and gas, transmission and distribution system operators, and industrial and infrastructure customers. Siemens Energy AG was founded in 1866 and is based in Munich, Germany.
About Expand Energy (Get Free Report)
Expand Energy Corporation is an independent natural gas producer principally in the United States. Expand Energy Corporation, formerly known as Chesapeake Energy Corporation, is based in OKLAHOMA CITY.
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Key Takeaways Natural gas prices fell after EIA reported a record-early 103 Bcf storage injection.Global LNG disruptions tied to Iran/Mideast tensions cut supply nearly 20%, adding a bullish undertone.CRK, AR and EXE flagged as gas plays position for long-term trends despite near-term pressure. Last week, the natural gas market was dominated by a historic development, marking the earliest-ever triple-digit storage injection. The U.S. Energy Information Administration (EIA) reported a massive 103 billion cubic feet (Bcf) build, significantly above both market expectations and historical averages. This surge pushed total inventories well above both last year’s levels and the five-year average, shifting market sentiment sharply bearish despite supportive global cues.
At this time, investors may consider focusing on select natural gas-focused stocks such as Comstock Resources (CRK - Free Report) , Antero Resources (AR - Free Report) and Expand Energy (EXE - Free Report) (AR - Free Report) , which remain well-positioned to benefit from long-term structural trends.
Weekly Price Movement Sees Gains Fade After Storage SurpriseNatural gas prices started the week on a modestly positive note, supported by a cooler weather outlook and steady LNG demand. Futures posted a six-session winning streak early in the week, briefly approaching the $2.70-$2.74/MMBtu range. However, the sentiment reversed sharply after the EIA reported the 103 Bcf storage injection — the largest and earliest of its kind. Prices fell nearly 3-4% in subsequent sessions, settling at just over $2.50/ MMBtu by the end of the week. Overall, the market ended the week with a slight loss, as the bearish storage data overshadowed weather-driven demand expectations and erased earlier gains.
Global Dynamics Add a Bullish UndercurrentWhile domestic fundamentals appeared weak, global developments painted a more optimistic picture. LNG supply disruptions linked to geopolitical tensions, particularly involving Iran and key Middle East producers, led to a sharp contraction in global gas supply. Reports suggest a nearly 20% decline in global LNG availability, driven by reduced production and logistical constraints.
At the same time, U.S. LNG exports have surged to record levels, partially offsetting supply gaps left by major producers like Qatar. This highlights the growing strategic importance of U.S. gas in the global energy mix. Strong export demand and tightening global balances could provide a floor for prices in the medium term.
Short-Term Pressure, Long-Term OpportunityDespite last week’s bearish price action, the broader outlook for natural gas remains cautiously optimistic. The large storage build reflects seasonal dynamics rather than a structural collapse in demand. As the market moves toward summer, rising power demand and cooling needs could gradually absorb excess supply and stabilize prices.
Moreover, global supply disruptions and increasing reliance on LNG underscore the long-term value of natural gas as a transition fuel. Investors with a medium- to long-term horizon may find current price weakness an opportunity to focus on quality natural gas stocks positioned to benefit from tightening global markets.
3 Stocks Worth a Closer LookIn this evolving landscape, companies like Comstock Resources, Antero Resources and Expand Energy stand out as strong candidates for investors seeking exposure to the natural gas space.
Comstock Resources: It is an independent natural gas producer based in Frisco, TX, with operations concentrated in north Louisiana and East Texas. Comstock Resources — currently carrying a Zacks Rank #3 (Hold) — is fully focused on developing the Haynesville and Bossier shales, two of the largest gas plays in the United States. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
CRK holds a large acreage position across Haynesville, giving it direct exposure to Gulf Coast LNG demand growth. Its production is 100% natural gas, making it one of the most gas-levered E&Ps in the sector. The Zacks Consensus Estimate for Comstock Resources’ 2026 earnings per share indicates a 50% year-over-year surge. The firm has a trailing four-quarter earnings surprise of roughly 56.9%, on average.
Antero Resources: It is an independent energy producer focused on natural gas and liquids in the Appalachian Basin. Headquartered in Denver, this Zacks #3 Ranked company develops low-cost assets in the Marcellus and Utica shales, holding about 515,000 net acres. Antero Resources’ production mix is weighted toward natural gas and NGLs, with minimal oil exposure. AR is also one of the largest U.S. suppliers of natural gas and LPG to export markets.
Antero Resources is supported by its midstream affiliate, Antero Midstream, in which it owns roughly 29%. This integrated setup secures transportation and market access from Appalachia to the Gulf Coast. A low debt profile and steady drilling results provide flexibility and support long-term growth. The Zacks Consensus Estimate for Antero Resources’ 2026 earnings per share indicates 148% year-over-year surge.
Expand Energy: Expand Energy has emerged as the largest natural gas producer in the United States after completing the Chesapeake-Southwestern merger. With a strong footprint in the Haynesville and Marcellus basins, the company is well-positioned to benefit from rising natural gas demand fueled by LNG exports, growing AI and data-center power needs, EV adoption and broader electrification trends.
The Zacks Consensus Estimate for Expand Energy’s 2026 earnings per share indicates a 45.9% year-over-year improvement. The firm, Zacks Rank of 3, has a trailing four-quarter earnings surprise of roughly 5.4%, on average.
SPRING, Texas, April 28, 2026 (GLOBE NEWSWIRE) -- Expand Energy Corporation (NASDAQ: EXE) (“Expand Energy” or the “Company”) today reported first quarter 2026 financial and operating results.
Net cash provided by operating activities of $2,402 million, reflecting continued strong cash generation from operationsNet income of $1,159 million, or $4.81 per fully diluted share; adjusted net income (1) of $923 million, or $3.83 per diluted shareAdjusted EBITDAX(1) of $1,968 millionNet production of ~7.44 Bcfe/d (93% natural gas), reaffirming full-year 2026 guidance of ~7.5 Bcfe/dTotal debt of $5.0 billion as of quarter-end reduced by ~$1.3 billion from senior note redemption during April 2026Reported quarter-end net debt (1) of $2.8 billion, down $1.6 billion from year-end 2025Repurchased $150 million of common stock through April 24, 2026, complementing debt reduction with meaningful shareholder returnsSigned 20-year Sales and Purchase Agreement (SPA) with Delfin FLNG Vessel 1 for ~1.15 million tonnes of LNG offtake per year, further extending market reach to growing global demand centers (1) Definitions of non-GAAP financial measures and reconciliations of each non-GAAP financial measure to the most directly comparable GAAP financial measure are included at the end of this release.
“The world critically needs natural gas supply to meet rapidly rising power demand, growing industrial activity, and global LNG expansion to address a global reset in energy security,” said Mike Wichterich, Interim President and Chief Executive Officer of Expand Energy. “We’re built for this future as the largest, low-cost, market-connected natural gas producer in America, with differentiated opportunity to grow free cash flow and enhance returns for shareholders. Our scale, direct access to rapidly expanding global markets, and operational discipline aren’t aspirations, they’re the foundation we’re building upon.”
Operations Update
Expand Energy operated an average of 13 rigs during the first quarter, drilling 60 wells and turning 49 wells in line, resulting in net production of approximately 7.44 Bcfe/d (93% natural gas). A detailed breakdown of first quarter production, capital expenditures and activity can be found in the supplemental slides which have been posted at https://investors.expandenergy.com/events-presentations.
2026 Capital and Operating Outlook
In 2026, Expand Energy expects to run 11 to 12 rigs and invest approximately $2.85 billion yielding an estimated daily production of approximately 7.5 Bcfe/d.
A detailed breakdown of 2026 annual capital and operating outlook can be found in the supplemental slides.
Delfin Sales and Purchase Agreement
On April 22, 2026, we executed a Sales and Purchase Agreement (“SPA”) for long-term liquefaction offtake with Delfin FLNG 1 LLC, subject to final investment decision. Under the SPA, we will purchase approximately 1.15 million tonnes of LNG per annum from Delfin FLNG 1 LLC at a Henry Hub price with a contract targeted start date in 2031. The previously announced SPAs with Delfin and Gunvor Group Ltd have been terminated.
Shareholder Returns Update
Expand Energy expects to utilize free cash flow generated during 2026 to further strengthen its balance sheet in order to create more capacity at cycle lows while also returning cash to shareholders through the base dividend and share repurchases. Year-to-date through April 24, 2026, the Company has redeemed approximately $1.3 billion of gross debt and executed $150 million of share repurchases. The Company plans to pay its quarterly base dividend of $0.575 per share on June 4, 2026 to shareholders of record at the close of business on May 14, 2026.
Conference Call Information
A conference call to discuss Expand Energy's first quarter 2026 financial and operating results and 2026 outlook has been scheduled for 9 a.m. EDT on April 29, 2026. Participants can access the live webcast at https://edge.media-server.com/mmc/p/adko8s9u/. Participants who would like to ask a question, can register at https://register-conf.media-server.com/register/BIcd20025e35ec46838c4e137bd3a96deb, and will receive the dial-in info and a unique PIN to join the call. Links to the conference call will be provided at https://investors.expandenergy.com/. A replay will be available on the website following the call.
Financial Statements, Non-GAAP Financial Measures and 2026 Guidance and Outlook Projections
This news release contains the non-GAAP financial measures described below in the section titled “Non-GAAP Financial Measures.” Reconciliations of each non-GAAP financial measure used in this news release to the most directly comparable GAAP financial measure are provided below. Additional detail on the Company’s 2026 first quarter financial and operational results, along with non-GAAP measures that adjust for items typically excluded by securities analysts, are available on the Company’s website. Non-GAAP measures should not be considered as an alternative to, or more meaningful than, GAAP measures. Management’s guidance for 2026 can be found on the Company’s website at www.expandenergy.com/.
Expand Energy Corporation (NASDAQ: EXE) is North America’s largest natural gas producer, powered by dedicated and innovative employees focused on expanding the value of natural gas by connecting global scale to growing markets. Expand Energy’s returns-driven strategy strives to create sustainable value for its stakeholders by leveraging its advantaged portfolio, financial strength and operational excellence. Expand Energy is committed to expanding America’s energy reach to fuel a more affordable, reliable, lower carbon future.
Forward-Looking Statements
This release includes “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements include our current expectations or forecasts of future events, including matters relating to armed conflict between Russia and Ukraine, instability the Middle East and Venezuela and changes in China-Taiwan relations, along with the effects of the current global economic environment, and the impact of each on our business, financial condition, results of operations and cash flows, actions by, or disputes among or between, members of OPEC+ and other foreign oil-exporting countries, market factors, market prices, our ability to meet debt service requirements, our ability to continue to pay cash dividends, the amount and timing of any cash dividends and our sustainability initiatives. Forward-looking and other statements in this news release regarding our environmental, social and other sustainability plans and goals are not an indication that these statements are necessarily material to investors or required to be disclosed in our filings with the Securities and Exchange Commission ("SEC"). In addition, historical, current, and forward-looking environmental, social and sustainability-related statements may be based on standards for measuring progress that are still developing, internal controls and processes that continue to evolve, and assumptions that are subject to change in the future. Forward-looking statements often address our expected future business, financial performance and financial condition, and often contain words such as "aim", "predict", "should", "expect," “could,” “may,” "anticipate," "intend," "plan," “ability,” "believe," "seek," "see," "will," "would," “estimate,” “forecast,” "target," “guidance,” “outlook,” “opportunity” or “strategy.” The absence of such words or expressions does not necessarily mean the statements are not forward-looking.
Although we believe the expectations and forecasts reflected in our forward-looking statements are reasonable, they are inherently subject to numerous risks and uncertainties, most of which are difficult to predict and many of which are beyond our control. No assurance can be given that such forward-looking statements will be correct or achieved or that the assumptions are accurate or will not change over time. Particular uncertainties that could cause our actual results to be materially different than those expressed in our forward-looking statements include:
Reduced demand for natural gas, oil, and natural gas liquids (“NGLs”);negative public perceptions of our industry;competition in the natural gas and oil exploration and production industry;the volatility of natural gas, oil and NGL prices, which are affected by general economic and business conditions, as well as increased demand for (and availability of) alternative fuels and electric vehicles;risks from regional epidemics or pandemics and related economic turmoil, including supply chain constraints;write-downs of our natural gas and oil asset carrying values due to low commodity prices;significant capital expenditures are required to replace our reserves and conduct our business;our ability to replace reserves and sustain production;uncertainties inherent in estimating quantities of natural gas, oil and NGL reserves and projecting future rates of production and the amount and timing of development expenditures;drilling and operating risks and resulting liabilities;our ability to generate profits or achieve targeted results in drilling and well operations;leasehold terms expiring before production can be established;risks from our commodity price risk management activities;uncertainties, risks and costs associated with natural gas and oil operations;our need to secure adequate supplies of water for our drilling operations and to dispose of or recycle the water used;pipeline and gathering system capacity constraints and transportation interruptions;risks related to our plans to participate in the global LNG value chain;terrorist activities and/or cyber-attacks adversely impacting our operations;risks from failure to protect personal information and data and compliance with data privacy and security laws and regulations;disruption of our business by natural or human causes beyond our control;a deterioration in general economic, business or industry conditions;the impact of inflation and commodity price volatility, including as a result of decisions made by OPEC+ and armed conflict between Russia and Ukraine, instability in the Middle East and Venezuela, and changes in China-Taiwan relations, along with the effects of the current global economic environment, on our business, financial condition, employees, contractors, vendors and the global demand for natural gas and oil and on U.S. and global financial markets;our inability to access the capital markets on favorable terms;the limitations on our financial flexibility due to our level of indebtedness and restrictive covenants from our indebtedness;challenges with employee recruitment and retention and an increasingly competitive labor market;risks related to acquisitions or dispositions, or potential acquisitions or dispositions;security threats, including cybersecurity threats and disruptions to our business and operations from breaches of our information technology systems, or from breaches of information technology systems of third parties with whom we transact business;our ability to achieve and maintain sustainability certifications, goals and commitments;environmental and sustainability legislation and regulatory initiatives, including those addressing the impact of climate change or further regulating hydraulic fracturing, greenhouse gas emissions, flaring or water disposal;federal and state tax proposals affecting our industry;risks related to an annual limitation on the utilization of our tax attributes, which was triggered upon the completion of our merger with Southwestern Energy Company, as well as trading in our common stock, additional issuance of common stock, and certain other stock transactions, which could lead to an additional, potentially more restrictive, annual limitation; andother factors that are described under Risk Factors in Item 1A of Part I of our Annual Report on Form 10-K filed with the SEC. We caution you not to place undue reliance on the forward-looking statements contained in this news release, which speak only as of the filing date, and we undertake no obligation and have no intention to update any forward-looking statement, except as required by law. We urge you to carefully review and consider the disclosures in this news release and our filings with the SEC that attempt to advise interested parties of the risks and factors that may affect our business.
All forward-looking statements attributable to us are expressly qualified in their entirety by this cautionary statement.
CONDENSED CONSOLIDATED BALANCE SHEETS (unaudited)
($ in millions, except per share data)March 31, 2026 December 31, 2025Assets Current assets: Cash and cash equivalents$2,220 $616 Restricted cash 85 80 Accounts receivable, net 1,290 1,599 Derivative assets 429 264 Other current assets 363 357 Total current assets 4,387 2,916 Property and equipment: Natural gas and oil properties, successful efforts method Proved natural gas and oil properties 27,336 26,606 Unproved properties 5,429 5,478 Other property and equipment 528 509 Total property and equipment 33,293 32,593 Less: accumulated depreciation, depletion and amortization (8,978) (8,278)Property and equipment held for sale, net — 40 Total property and equipment, net 24,315 24,355 Long-term derivative assets 127 47 Deferred income tax assets — 168 Other long-term assets 692 801 Total assets$29,521 $28,287 Liabilities and stockholders' equity Current liabilities: Accounts payable$881 $753 Current maturities of long-term debt, net 875 — Accrued interest 59 100 Derivative liabilities — 3 Other current liabilities 2,135 2,045 Total current liabilities 3,950 2,901 Long-term debt, net 4,133 5,009 Long-term derivative liabilities — 1 Asset retirement obligations, net of current portion 703 688 Long-term contract liabilities 911 975 Other long-term liabilities 278 135 Total liabilities 9,975 9,709 Contingencies and commitments Stockholders' equity: Common stock, $0.01 par value, 450,000,000 shares authorized: 240,085,572 and 239,249,874 shares issued 2 2 Additional paid-in capital 13,759 13,746 Retained earnings 5,785 4,830 Total stockholders' equity 19,546 18,578 Total liabilities and stockholders' equity$29,521 $28,287 CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (unaudited)
Three Months Ended March 31,($ in millions, except per share data) 2026 2025 Revenues and other: Natural gas, oil and NGL$3,315 $2,300 Marketing 1,212 910 Losses on derivatives (129) (1,014)Losses on sales of assets (1) — Total revenues and other 4,397 2,196 Operating expenses: Production 185 147 Gathering, processing and transportation 690 563 Severance and ad valorem taxes 60 48 Exploration 14 7 Marketing 1,121 919 General and administrative 63 47 Separation and other termination costs 9 — Depreciation, depletion and amortization 711 711 Other operating expense, net 13 22 Total operating expenses 2,866 2,464 Income (loss) from operations 1,531 (268)Other income (expense): Interest expense (59) (59)Other income, net 17 8 Total other income (expense) (42) (51)Income (loss) before income taxes 1,489 (319)Income tax expense (benefit) 330 (70)Net income (loss)$1,159 $(249)Earnings (loss) per common share: Basic$4.83 $(1.06)Diluted$4.81 $(1.06)Weighted average common shares outstanding (in thousands): Basic 239,900 234,434 Diluted 240,759 234,434 CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (unaudited)
Three Months Ended March 31,($ in millions) 2026 2025 Cash flows from operating activities: Net income (loss)$1,159 $(249)Adjustments to reconcile net income (loss) to net cash provided by operating activities: Depreciation, depletion and amortization 711 711 Deferred income tax expense (benefit) 319 (37)Derivative losses, net 129 1,014 Cash payments on derivative settlements, net (386) (45)Share-based compensation 10 9 Losses on sales of assets 1 — Contract amortization (30) (52)Other 35 (4)Changes in assets and liabilities 454 (251)Net cash provided by operating activities 2,402 1,096 Cash flows from investing activities: Capital expenditures (707) (563)Property acquisitions (4) — Receipts of deferred consideration 60 60 Contributions to investments (1) (4)Distributions from investments 10 — Proceeds from divestitures of property and equipment 41 — Net cash used in investing activities (601) (507)Cash flows from financing activities: Proceeds from credit facility — 725 Payments on credit facility — (725)Proceeds from warrant exercise 15 21 Cash paid to repurchase and retire common stock (66) — Cash paid to purchase debt — (436)Cash paid for common stock dividends (141) (142)Net cash used in financing activities (192) (557)Net increase in cash, cash equivalents and restricted cash 1,609 32 Cash, cash equivalents and restricted cash, beginning of period 696 395 Cash, cash equivalents and restricted cash, end of period$2,305 $427 Cash and cash equivalents$2,220 $349 Restricted cash 85 78 Total cash, cash equivalents and restricted cash$2,305 $427 NATURAL GAS, OIL AND NGL PRODUCTION AND AVERAGE SALES PRICES (unaudited)
Three Months Ended March 31, 2026 Natural Gas Oil NGL Total MMcf
per day $/Mcf MBbl
per day $/Bbl MBbl
per day $/Bbl MMcfe
per day $/McfeHaynesville3,148 4.40 — — — — 3,148 4.40Northeast Appalachia2,785 5.70 — — — — 2,785 5.70Southwest Appalachia981 4.42 15 64.37 72 25.49 1,503 4.74Total6,914 4.92 15 64.37 72 25.49 7,436 4.95 Average NYMEX Price 5.04 71.93 Average Realized Price (including realized derivatives) 4.28 64.77 25.49 4.35 Three Months Ended March 31, 2025 Natural Gas Oil NGL Total MMcf
per day $/Mcf MBbl
per day $/Bbl MBbl
per day $/Bbl MMcfe
per day $/McfeHaynesville2,617 3.48 — — — — 2,617 3.48Northeast Appalachia2,668 3.75 — — — — 2,668 3.75Southwest Appalachia969 3.38 14 63.40 75 30.54 1,503 4.28Total6,254 3.58 14 63.40 75 30.54 6,788 3.76 Average NYMEX Price 3.65 71.42 Average Realized Price (including realized derivatives) 3.51 63.76 29.35 3.69 CAPITAL EXPENDITURES ACCRUED (unaudited)
Three Months Ended March 31,($ in millions)2026
2025
Drilling and completion capital expenditures: Haynesville$296 $286Northeast Appalachia 116 103Southwest Appalachia 156 165Total drilling and completion capital expenditures 568 554Non-drilling and completion - field 106 56Non-drilling and completion - corporate 42 52Total capital expenditures$716 $662 NON-GAAP FINANCIAL MEASURES
As a supplement to the financial results prepared in accordance with U.S. GAAP, Expand Energy’s quarterly earnings releases contain certain financial measures that are not prepared or presented in accordance with U.S. GAAP. These non-GAAP financial measures include Adjusted Net Income, Adjusted Diluted Earnings Per Common Share, Adjusted EBITDAX, Free Cash Flow, Adjusted Free Cash Flow and Net Debt. A reconciliation of each financial measure to its most directly comparable GAAP financial measure is included in the tables below. Management believes these adjusted financial measures are a meaningful adjunct to earnings and cash flows calculated in accordance with GAAP because (a) management uses these financial measures to evaluate the Company’s trends and performance, (b) these financial measures are comparable to estimates provided by securities analysts, and (c) items excluded generally are one-time items or items whose timing or amount cannot be reasonably estimated. Accordingly, any guidance provided by the Company generally excludes information regarding these types of items.
Expand Energy's definitions of each non-GAAP measure presented herein are provided below. Because not all companies or securities analysts use identical calculations, Expand Energy’s non-GAAP measures may not be comparable to similarly titled measures of other companies or securities analysts.
Adjusted Net Income: Adjusted Net Income is defined as net income (loss) adjusted to exclude unrealized (gains) losses on derivatives, separation and other termination costs, (gains) losses on sales of assets, and certain items management believes affect the comparability of operating results, less a tax effect using applicable rates. Expand Energy believes that Adjusted Net Income facilitates comparisons of the Company's period-over-period performance, by excluding the impact of items that, in the opinion of management, do not reflect Expand Energy's core operating performance. Adjusted Net Income should not be considered an alternative to, or more meaningful than, net income (loss) as presented in accordance with GAAP.
Adjusted Diluted Earnings Per Common Share: Adjusted Diluted Earnings Per Common Share is defined as diluted earnings (loss) per common share adjusted to exclude the per diluted share amounts attributed to unrealized (gains) losses on derivatives, separation and other termination costs, (gains) losses on sales of assets, and certain items management believes affect the comparability of operating results, less a tax effect using applicable rates. Expand Energy believes that Adjusted Diluted Earnings Per Common Share facilitates comparisons of the Company's period-over-period performance, by excluding the impact of items that, in the opinion of management, do not reflect Expand Energy's core operating performance. Adjusted Diluted Earnings Per Common Share should not be considered an alternative to, or more meaningful than, earnings (loss) per common share as presented in accordance with GAAP.
Adjusted EBITDAX: Adjusted EBITDAX is defined as net income (loss) before interest expense, income tax expense (benefit), depreciation, depletion and amortization expense, exploration expense, unrealized (gains) losses on derivatives, separation and other termination costs, (gains) losses on sales of assets, and certain items management believes affect the comparability of operating results. Adjusted EBITDAX is presented as it provides investors an indication of the Company's ability to internally fund exploration and development activities and service or incur debt. Adjusted EBITDAX should not be considered an alternative to, or more meaningful than, net income (loss) as presented in accordance with GAAP.
Free Cash Flow: Free Cash Flow is defined as net cash provided by operating activities less cash capital expenditures. Free Cash Flow is a liquidity measure that provides investors additional information regarding the Company's ability to service or incur debt and return cash to shareholders. Free Cash Flow should not be considered an alternative to, or more meaningful than, net cash provided by (used in) operating activities, or any other measure of liquidity presented in accordance with GAAP.
Adjusted Free Cash Flow: Adjusted Free Cash Flow is defined as net cash provided by operating activities less cash capital expenditures and cash contributions to investments, adjusted to exclude certain items management believes affect the comparability of operating results. Adjusted Free Cash Flow is a liquidity measure that provides investors additional information regarding the Company's ability to service or incur debt and return cash to shareholders. Adjusted Free Cash Flow should not be considered an alternative to, or more meaningful than, net cash provided by (used in) operating activities, or any other measure of liquidity presented in accordance with GAAP.
Net Debt: Net Debt is defined as GAAP total debt excluding premiums, discounts, and deferred issuance costs less cash and cash equivalents. Net Debt is useful to investors as a widely understood measure of liquidity and leverage, but this measure should not be considered as an alternative to, or more meaningful than, total debt presented in accordance with GAAP.
RECONCILIATION OF NET INCOME (LOSS) TO ADJUSTED NET INCOME (unaudited)
Three Months Ended March 31,($ in millions) 2026 2025 Net income (loss) (GAAP)$1,159 $(249) Adjustments: Unrealized (gains) losses on derivatives (279) 969 Separation and other termination costs 9 — Losses on sales of assets 1 — Other operating expense, net 10 26 Contract amortization (30) (52)Other (12) (4)Tax effect of adjustments(a) 65 (203)Adjusted net income (Non-GAAP)$923 $487 (a)The three month periods ended March 31, 2026 and March 31, 2025 include a tax effect attributed to the reconciling adjustments using a statutory rate of 22%.
RECONCILIATION OF EARNINGS (LOSS) PER COMMON SHARE TO ADJUSTED DILUTED EARNINGS PER COMMON SHARE (unaudited)
Three Months Ended March 31,($/share) 2026 2025 Earnings (loss) per common share (GAAP)$4.83 $(1.06)Effect of dilutive securities (0.02) — Diluted earnings (loss) per common share (GAAP)$4.81 $(1.06) Adjustments: Unrealized (gains) losses on derivatives (1.16) 4.14 Separation and other termination costs 0.04 — Losses on sales of assets — — Other operating expense, net 0.04 0.11 Contract amortization (0.12) (0.22)Other (0.05) (0.02)Tax effect of adjustments(a) 0.27 (0.87)Effect of dilutive securities — (0.06)Adjusted diluted earnings per common share (Non-GAAP)$3.83 $2.02 (a)The three month periods ended March 31, 2026 and March 31, 2025 include a tax effect attributed to the reconciling adjustments using a statutory rate of 22%. RECONCILIATION OF NET INCOME (LOSS) TO ADJUSTED EBITDAX (unaudited)
Three Months Ended March 31,($ in millions) 2026 2025 Net income (loss) (GAAP)$1,159 $(249) Adjustments: Interest expense 59 59 Income tax expense (benefit) 330 (70)Depreciation, depletion and amortization 711 711 Exploration 14 7 Unrealized (gains) losses on derivatives (279) 969 Separation and other termination costs 9 — Losses on sales of assets 1 — Other operating expense, net 10 26 Contract amortization (30) (52)Other (16) (6)Adjusted EBITDAX (Non-GAAP)$1,968 $1,395 RECONCILIATION OF NET CASH PROVIDED BY OPERATING ACTIVITIES TO ADJUSTED FREE CASH FLOW (unaudited)
Three Months Ended March 31,($ in millions) 2026 2025 Net cash provided by operating activities (GAAP)$2,402 $1,096 Cash capital expenditures (707) (563)Free cash flow (Non-GAAP) 1,695 533 Cash distributions from investments 10 — Cash contributions to investments (1) (4)Cash paid for merger expenses — 48 Adjusted free cash flow (Non-GAAP)$1,704 $577 RECONCILIATION OF TOTAL DEBT TO NET DEBT (unaudited)
($ in millions)March 31, 2026 December 31, 2025Total debt (GAAP)$5,008 $5,009 Premiums, discounts and issuance costs on debt 17 16 Principal amount of debt 5,025 5,025 Cash and cash equivalents (2,220) (616)Net debt (Non-GAAP)$2,805 $4,409 INVESTOR CONTACT:MEDIA CONTACT:Brittany RaifordBrooke Coe(405) 935-8870(405) [email protected]@expandenergy.com
U.S. natural gas producer Expand Energy beat Wall Street estimates for first-quarter profit on Tuesday, helped by higher output and stronger commodity prices.
Expand Energy (EXE - Free Report) came out with quarterly earnings of $3.83 per share, beating the Zacks Consensus Estimate of $3.69 per share. This compares to earnings of $2.02 per share a year ago. These figures are adjusted for non-recurring items.
This quarterly report represents an earnings surprise of +3.84%. A quarter ago, it was expected that this oil and gas company would post earnings of $1.89 per share when it actually produced earnings of $2, delivering a surprise of +5.82%.
Over the last four quarters, the company has surpassed consensus EPS estimates three times.
Expand Energy, which belongs to the Zacks Alternative Energy - Other industry, posted revenues of $3.32 billion for the quarter ended March 2026, surpassing the Zacks Consensus Estimate by 6.90%. This compares to year-ago revenues of $2.3 billion. The company has topped consensus revenue estimates two times over the last four quarters.
The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.
Expand Energy shares have lost about 12.7% since the beginning of the year versus the S&P 500's gain of 4.8%.
What's Next for Expand Energy?While Expand Energy has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?
There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.
Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.
Ahead of this earnings release, the estimate revisions trend for Expand Energy was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $1.30 on $2.05 billion in revenues for the coming quarter and $8.90 on $9.98 billion in revenues for the current fiscal year.
Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Alternative Energy - Other is currently in the top 30% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.
Another stock from the same industry, Ormat Technologies (ORA - Free Report) , has yet to report results for the quarter ended March 2026. The results are expected to be released on May 6.
This geothermal company is expected to post quarterly earnings of $0.92 per share in its upcoming report, which represents a year-over-year change of +35.3%. The consensus EPS estimate for the quarter has been revised 10.8% lower over the last 30 days to the current level.
Ormat Technologies' revenues are expected to be $349.29 million, up 52% from the year-ago quarter.
Expand generated approximately $1.7 billion in Q1 2026 adjusted free cash flow, helped by NYMEX natural gas averaging around $5. NYMEX gas strip is a bit over $3 during the rest of the year, but Expand is still projected to generate $1.47 billion FCF during that period. The strong Q1 free cash flow allowed Expand to redeem nearly $1.3 billion in debt and reduce its annual interest costs by over $80 million.
SummaryCompaniesUS gas prices hit 17-month low due to oversupply, low demand from mild springGlobal gas prices surge as Middle East exports disrupted, US LNG exports mostly maxed outUS LNG firms benefit from global shortages, but domestic producers face low prices and output cutsMay 1 (Reuters) - The war with Iran has boosted prices of globally traded natural gas by throttling exports from the Gulf. In West Texas, gas is so abundant that some producers must pay to have it taken away.
The war and Iran's attacks on Gulf energy producers have halted 20% of global liquefied natural gas (LNG) supply. Qatari LNG facilities have been damaged and tankers have been unable to sail through the Strait of Hormuz waterway at the Gulf's entry because of Iranian threats to fire on them.
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The crisis has exposed a major split in the global gas market: Import-dependent countries across Europe and Asia are scrambling for scarce supplies, but the United States - the world's largest gas producer, consumer and exporter - remains awash in fuel, with prices near 17-month lows. But U.S. pipelines are full and LNG export plants are at capacity, so that cheap U.S. gas cannot reach overseas buyers, creating a bifurcation much more stark than in the oil markets.
Since the war with Iran began on February 28, gas futures at the U.S. Henry Hub benchmark in Louisiana have dropped by as much as 12% to a 17-month low of $2.52 per million British thermal units (mmBtu), while prices around the world have soared by as much as 84% in Europe and 108% in Asia , to around $21 to $22 per mmBtu.
By contrast, the international crude benchmark Brent is trading around $111 a barrel, while the U.S. benchmark is at $104 a barrel, with both having risen more than 50% as a result of the war.
PAYING TO TAKE GAS AWAYThe United States has sufficient supply both to meet domestic demand and to fill the LNG export plants that chill gas to liquid form. However, those plants were already operating near maximum capacity before the war, so no matter how high global gas prices go, the U.S. cannot turn much more gas into LNG for export.
U.S. prices in the top shale field, the Permian Basin, are even lower than benchmark futures. Spot gas at the Waha Hub in West Texas has traded below zero almost every day this year, because gas pipelines out of the Permian are full, meaning there is no spare capacity to transport the fuel. Simply put, some producers have to pay others to take it away, as if it were a waste product.
U.S. gas production - already at a record 107.7 billion cubic feet per day (bcfd) in 2025 - is expected to keep rising to meet growing demand for power-hungry data centers and to supply new LNG export plants, according to a recent U.S. Energy Department outlook.
Output is increasing also as oil producers increase output - and as their wells gradually produce more gas than they used to as oil reserves are depleted. Additional pipeline capacity is months away, at best.
"Meaningful transport relief doesn't show up until late this year or early 2027, when larger pipeline projects are anticipated to start," analysts at Bank of America said in a report.
Some parts of the country are more exposed to high international gas prices, including New England, which must import expensive LNG and burn oil to generate power during winter months because the region lacks enough connections to the national gas pipeline grid to meet heating demand.
US LNG export firms have boosted shipments to record highs so far in 2026, offsetting the sharp fall in Qatar exportsWINNERS AND LOSERSFirms best able to take advantage of the global price dislocations from the Iran war, at least in the short term, have been those with excess LNG to sell.
To replace gas deliveries canceled by Qatar, energy firms around the world have purchased additional cargoes from U.S. LNG producers such as Venture Global (VG.N), opens new tab, the nation's second-biggest LNG company behind Cheniere Energy (LNG.N), opens new tab.
"Venture Global is (relatively) new to the LNG game and had spot cargoes available to put out to the highest bidder," said Bob Yawger, director of energy futures at Mizuho. "Suddenly everybody needs LNG now that QatarEnergy is out of the picture."
U.S. LNG capacity will almost double over the next five years from around 18 bcfd in 2025 to around 35 bcfd in 2030, based on the plants currently under construction.
U.S. gas producers who sell to LNG companies, however, have not fared as well because they sell much of their output at the domestic price, which in addition to near-record production, has been held down by weak spring demand and ample supply in storage.
Low U.S. prices have even prompted some energy firms, such as EQT (EQT.N), opens new tab, the second-biggest U.S. gas producer behind Expand Energy (EXE.O), opens new tab, to cut output while they wait for demand and prices to rise later in the year.
"Our strategic curtailments act as a form of storage, keeping gas in the ground (during) seasonally low periods of demand," EQT CFO Jeremy Knop told analysts last week after the company reported earnings.
Reporting by Scott DiSavino in New York and Curtis Williams in Houston; Editing by Liz Hampton and Edmund Klamann
Our Standards: The Thomson Reuters Trust Principles., opens new tab
Covers the North American power and natural gas markets.
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How Style Scores Work with the Zacks Rank The Zacks Rank is a proprietary stock-rating model that harnesses the power of earnings estimate revisions, or changes to a company's earnings expectations, to help investors build a successful portfolio.
Investors can count on the Zacks Rank's success, with #1 (Strong Buy) stocks producing an unmatched +23.93% average annual return since 1988, more than double the S&P 500's performance. But the model rates a large number of stocks, and there are over 200 companies with a Strong Buy rank, plus another 600 with a #2 (Buy) rank, on any given day.
But it can feel overwhelming to pick the right stocks for you and your investing goals with over 800 top-rated stocks to choose from.
That's where the Style Scores come in.
To maximize your returns, you want to buy stocks with the highest probability of success. This means picking stocks with a Zacks Rank #1 or #2 that also have Style Scores of A or B. If you find yourself looking at stocks with a #3 (Hold) rank, make sure they have Scores of A or B as well to ensure as much upside potential as possible.
The direction of a stock's earnings estimate revisions should always be a key factor when choosing which stocks to buy, since the Scores were created to work together with the Zacks Rank.
For instance, a stock with a #4 (Sell) or #5 (Strong Sell) rating, even one that boasts Scores of A and B, still has a downward-trending earnings forecast, and a much greater likelihood its share price will decline as well.
Thus, the more stocks you own with a #1 or #2 Rank and Scores of A or B, the better.
Stock to Watch: Expand Energy (EXE - Free Report) Expand Energy Corporation is a leading U.S.-based natural gas producer formed through the merger of Chesapeake Energy Corporation and Southwestern Energy Company. The all-stock merger, completed on Oct. 1, 2024, established a premier natural gas-focused company with leading positions in the Haynesville and Appalachian basins, premium drilling inventory and proximity to key liquefied natural gas (LNG) and domestic demand markets. The merger strengthened scale, operational efficiencies and financial resilience, supporting an investment-grade balance sheet, enhanced credit capacity and significant shareholder returns, while positioning the company to meet growing global energy demand.
EXE is a #3 (Hold) on the Zacks Rank, with a VGM Score of A.
Additionally, the company could be a top pick for growth investors. EXE has a Growth Style Score of B, forecasting year-over-year earnings growth of 47.4% for the current fiscal year.
Four analysts revised their earnings estimate higher in the last 60 days for fiscal 2026, while the Zacks Consensus Estimate has increased $0.98 to $8.99 per share. EXE also boasts an average earnings surprise of +4.1%.
With a solid Zacks Rank and top-tier Growth and VGM Style Scores, EXE should be on investors' short list.
Key Takeaways EXE posted Q1 EPS of $3.83, beating estimates, with $3.3B revenues also above expectations.EXE output rose 9.5% to 7,436 MMcfe/d, while gas prices jumped 37.4%, beating estimates.EXE signed a 20-year LNG deal for 1.15M tons yearly while boosting cash flow and reducing debt. Expand Energy Corporation (EXE - Free Report) reported first-quarter 2026 adjusted earnings per share of $3.83, beating the Zacks Consensus Estimate of $3.69. The company’s bottom line increased from the year-ago adjusted profit of $2.02, fueled by strong production and higher natural gas price realization.
Expand Energy’s ‘natural gas, oil and NGL’ revenues of $3.3 billion surpassed the Zacks Consensus Estimate of $3.1 billion. The top line was also higher than the year-ago figure of $2.3 billion.
During the first quarter of 2026, Expand Energy signed a 20-year Sales and Purchase Agreement (SPA) with Delfin FLNG Vessel 1 for about 1.15 million tons of LNG offtake per year, extending the company’s market reach to growing global demand centers.
EXE’s Production & Price RealizationsThe company reported the average first-quarter daily production (comprising 93% natural gas) of 7,436 million cubic feet of gas equivalent (MMcfe/day), increasing 9.5% from the year-ago level of 6,788 MMcfe/day. The daily production levels surpassed the Zacks Consensus Estimate of 7,431 MMcfe/day. Natural gas volume for the period came in at 6,914 MMcfe/day, up 10.6% year over year. The consensus mark called for 6,864 MMcf/day of natural gas. EXE’s oil production was 15 thousand barrels per day (MBbl/d), while NGL output totaled 72 MBbl/d.
The average sales price for natural gas during the first quarter was $4.92 per Mcf, up 37.4% from the prior-year realization of $3.58 per Mcf, and it was also above the consensus mark of $4.75. The average realized oil price was $64.37 per barrel compared with the consensus mark of $62. Meanwhile, the average realized NGL price was $25.49 per barrel, above the Zacks Consensus Estimate of$25.36.
EXE’s Q1 Costs & ExpensesTotal operating expenses in the quarter rose to $2.9 billion from the year-ago quarter’s $2.5 billion. This was mainly due to an increase in gathering, processing and transportation, exploration and marketing expenses. The company’s gathering, processing and transportation, exploration and marketing costs of $690 million, $14 million and $1.1 billion during the first quarter of 2026 rose from the year-ago levels of $563 million, $7 million and $919 million, respectively.
Dividend & Share RepurchasesIn the first quarter, the company plans to pay its quarterly base dividend of 57.5 cents per share on June 04, 2026, to its shareholders of record on May 14. Furthermore, Expand Energy plans to focus on reducing debt in 2026 to reinforce its balance sheet and enhance financial flexibility during market lows while continuing to reward shareholders through its base dividend and share buybacks.
Year-to-date through April 24, 2026, Expand Energy has redeemed approximately $1.3 billion of gross debt and executed $150 million of share repurchases.
Financial PositionCash flow from operations totaled $2.4 billion, which almost doubled from the prior-year quarter levels of $1.1 billion, while Expand Energy’s capital expenditure totaled $707 million, leading to a free cash flow of $1.7 billion. It also paid out $141 million in dividends during the period.
As of March 31, 2026, the company had $2.2 million in cash and cash equivalents. Expand Energy had a long-term debt of $4.1 billion, reflecting a debt-to-capitalization of 17.5%.
Expand Energy’s Guidance for Q2 & 2026Expand Energy is targeting an average daily production in the range of 7,400-7,500 MMcfe for the second quarter of 2026 and 7,400-7,600 MMcfe for full-year 2026. The company has budgeted its capital spending between $770 million and $845 million for the upcoming quarter, while for 2026, the figure is projected to be between $2.75 billion and $2.95 billion.
Expand Energy currently has a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Important Earnings at a GlanceWhile we have discussed EXE’s first-quarter results in detail, let us take a look at three other reports in this space.
Patterson-UTI Energy, Inc. (PTEN - Free Report) reported a first-quarter 2026 adjusted net loss of 6 cents per share, narrower than the Zacks Consensus Estimate of a 10-cent loss. However, the bottom line decreased from the year-ago quarter's breakeven result due to a decrease in operating income in its Drilling Services, Completion Services and Drilling Products segments.
Total revenues of $1.1 billion beat the Zacks Consensus Estimate by 3.1%. This was driven by higher-than-expected revenues from the Drilling Services and Completion Services segments. The Drilling Services and Completion Services segments reported revenues of $351.7 million and $679.6 million, which beat the consensus mark of $350 million and $37.1 million, respectively. However, the top line decreased about 12.8% year over year. This underperformance can be attributed to the decrease in year-over-year segment revenues.
As of March 31, 2026, the company had cash and cash equivalents worth $337.2 million and long-term debt of $1.2 billion. Its debt-to-capitalization was 27.8%.
NOV Inc. (NOV - Free Report) reported first-quarter 2026 adjusted earnings of 15 cents per share, which missed the Zacks Consensus Estimate of 17 cents. The bottom line also decreased 21% from the year-ago quarter’s 19 cents.
The oil and gas equipment and services company’s total revenues of $2.05 billion beat the Zacks Consensus Estimate by $2 million but fell 2.4% from the year-ago quarter’s figure of $2.1 billion.
The lower-than-expected quarterly earnings of the company were primarily attributable to conflict in the Middle East, which disrupted logistics, delayed deliveries and increased operational costs.
As of March 31, the company had cash and cash equivalents of $1.3 billion and long-term debt of $1.7 billion with a debt-to-capitalization of 21.2%. NOV had $1.5 billion available on its primary revolving credit facility during the same time.
Nabors Industries Ltd. (NBR - Free Report) reported a first-quarter 2026 adjusted loss of $1.54 per share, narrower than the Zacks Consensus Estimate of a loss of $2.39. Additionally, the metric is significantly above the prior-year quarter’s reported loss of $7.5 per share. This outperformance was mainly driven by higher adjusted operating income from its International Drilling segment.
The oil and gas drilling company’s operating revenues of $783.5 million beat the Zacks Consensus Estimate of $779 million. The top line also increased from the year-ago quarter’s $736.2 million, primarily supported by higher contributions from the U.S. Drilling, International Drilling and Drilling Solutions segments.
As of March 31, 2026, Nabors had $500.9 million in cash and short-term investments. Long-term debt was about $2.1 billion, with a debt-to-capitalization of 78.8%.
MARKHAM, Ontario, May 07, 2026 (GLOBE NEWSWIRE) -- Extendicare Inc. (“Extendicare” or the “Company”) (TSX: EXE) today reported results for the three months ended March 31, 2026.
First Quarter 2026 Highlights
Adjusted EBITDA(1), excluding out-of-period items, increased by $15.2 million or 52.2% from Q1 2025 to $44.2 million, driven primarily by continued organic growth in the home health care segment and contributions from the acquisitions of Closing the Gap and nine Class C LTC homes.Home health care average daily volume (“ADV”) increased by 10,333 or 32.7% from Q1 2025 to 41,936, driven by organic growth and the acquisition of Closing the Gap.Third-party and joint venture beds serviced by SGP reached 157,100 beds, reflecting organic growth of 6.0% from Q1 2025.5.0% increase in the monthly dividend to $0.0441 per common share.Completed the sale of the vacated West End Villa Class C property for proceeds of $12.1 million resulting in a pre-tax gain after closing costs of $10.0 million ($9.8 million after tax).
Subsequent to Q1
On April 1, 2026, completed the acquisition of CBI Home Health for $570.0 million, plus customary adjustments and the assumption of certain lease liabilities.On April 14, 2026, completed the Company’s inaugural offering of $450.0 million 4.345% senior unsecured notes due April 2031 (rated BBB stable by Morningstar DBRS), and amended and restated the existing senior secured credit facilities to a $250.0 million senior unsecured revolving credit facility ranking pari passu with the senior unsecured notes.
“Our first quarter results demonstrate the synergistic potential of the various components of our strategy in action: strong organic growth in home health care augmented by acquisitions, LTC redevelopment and organic growth in SGP and the operating leverage that comes with a technology enabled back office,” said Dr. Michael Guerriere, President and Chief Executive Officer. “Subsequent to the quarter, we closed the CBI acquisition and restructured our debt, setting the stage for further growth and value creation as we continue our mission to meet the growing care needs of the aging demographic.”
Completed the Acquisition of CBI Home Health for $570 Million
On April 1, 2026, the Company, through its wholly owned home health care subsidiary ParaMed Inc., completed its previously announced acquisition of CBI Home Health LP and CBI (GP) 3 Inc. and their respective subsidiaries (collectively, “CBI Home Health”) from CBI Health LP and CBI GP Holdco Inc. (the “CBI Acquisition”) for a cash purchase price of $570.0 million, subject to customary adjustments, plus approximately $17.3 million in estimated lease liabilities. The CBI Acquisition was funded using a combination of the net proceeds of approximately $191.5 million from the Company’s private placement of common shares that was completed on December 3, 2025, aggregate draws of approximately $308.2 million under the Company’s existing senior secured credit facility ($154.5 million delayed draw term facility and $153.7 million revolving credit facility), and cash on hand.
Completed $450 million Inaugural Offering of Investment Grade Senior Unsecured Notes
On April 14, 2026, the Company completed its offering of $450.0 million aggregate principal amount of 4.345% senior unsecured notes due April 14, 2031 (the “2031 Notes”). The 2031 Notes have been assigned a final rating of BBB, with a stable trend, by Morningstar DBRS. The Company used approximately $427.7 million of the net proceeds of the offering to repay in full the indebtedness owing under its term credit facility, and a portion of the indebtedness owing under its revolving credit facility, with the balance to be used for working capital and other general corporate purposes, including the repayment of other existing indebtedness.
In conjunction with the debt repayments, the existing senior secured credit facilities were amended and restated to reflect an investment grade credit rating structure, including the release of all security previously granted to the lenders, such that the Company’s remaining $250 million revolving credit facility (the “Unsecured Revolving Facility”) is senior unsecured debt that ranks pari passu with the 2031 Notes.
Q1 2026 Financial Highlights (all comparisons with Q1 2025)
Revenue increased $90.6 million to $374.7 million; excluding a reduction in out-of-period funding in both periods, revenue increased by $92.0 million or 25.3%, driven primarily by the acquisition of nine Class C LTC homes (the “LTC Acquisition”), LTC funding increases, and home health care ADV organic growth augmented by the acquisition of Closing the Gap, partially offset by the closure of a Class C LTC home that was vacated following the opening of a newly developed LTC home in Axium JV.NOI(1) increased $18.8 million to $69.0 million; excluding the impact of out-of-period items in both periods, NOI improved by $16.7 million or 38.3% to $60.3 million, reflecting revenue growth, partially offset by higher operating costs.Adjusted EBITDA(1) increased $17.3 million to $52.9 million; excluding the impact of out-of-period items, Adjusted EBITDA increased by $15.2 million or 52.2% to $44.2 million (9.7% of revenue) from $29.0 million (8.0% of revenue), reflecting the increase in NOI, partially offset by higher administrative costs of $1.5 million, largely due to higher wages, benefits and technology costs, partially offset by lower professional fees.Other income was $7.5 million compared with an expense of $3.2 million, reflecting a gain on sale of assets of $10.0 million in Q1 2026 and lower transaction-related professional fees and integration costs in Q1 2026 compared to strategic transformation costs in Q1 2025.Share of profit from joint ventures was $0.3 million compared to a loss of $0.1 million in Q1 2025, reflecting the opening of a new home in Axium JV and the favourable impact of a $0.2 million fair value adjustment on interest rate swaps.Net earnings increased $25.7 million to $40.7 million, largely driven by the increase in Adjusted EBITDA, an increase in other income and lower net finance costs, partially offset by higher depreciation and amortization costs related to the acquisitions.AFFO(1) increased to $32.7 million ($0.343 per basic share) from $19.8 million ($0.235 per basic share); excluding the impact of out-of-period items, AFFO improved by $11.4 million or 76.2% to $26.4 million ($0.276 per basic share) from $15.0 million ($0.177 per basic share), largely reflecting the improvement in Adjusted EBITDA, partially offset by increased current income taxes, and an unfavourable change in the adjustment for non-cash share-based compensation. Business Updates
The following is a summary of Extendicare’s revenue, NOI(1) and NOI margins(1) by business segment for the three months ended March 31, 2026 and 2025.
Three months ended March 31(unaudited)2026
2025
(millions of dollars unless otherwise noted)Revenue NOI Margin Revenue NOI MarginLong-term care243.5 32.2 13.2% 197.8 21.2 10.7%Home health care205.4 27.9 13.6% 158.3 19.1 12.0%Managed services16.2 8.9 54.6% 18.6 10.0 53.4% 465.2 69.0 14.8% 374.7 50.2 13.4%Note: Totals may not sum due to rounding.
Long-term Care
LTC average occupancy at 97.5% in Q1 2026 was unchanged from Q1 2025.
Revenue increased by $45.8 million or 23.2% to $243.5 million in Q1 2026. Excluding out-of-period funding recognized in Q1 2026 of $7.9 million, revenue increased by $37.9 million, largely driven by approximately $32.5 million from the LTC Acquisition, funding increases, timing of spend and improved preferred occupancy, partially offset by the closure of a Class C LTC home replaced by a newly opened LTC home in Axium JV.
NOI and NOI margin were $32.2 million and 13.2%, respectively, in Q1 2026, compared to $21.2 million and 10.7% in Q1 2025. Excluding the impact of out-of-period items of $5.2 million, NOI improved by $5.8 million or 31.4% to $24.3 million (10.3% of revenue) in Q1 2026 from $18.5 million (9.4% of revenue) in Q1 2025. This increase reflects approximately $3.5 million from the LTC Acquisition, funding enhancements, timing of spend, and improved preferred occupancy, partially offset by higher operating costs, and the closure of a redeveloped Class C LTC home.
Home Health Care
Home health care ADV of 41,936 in Q1 2026 increased by 32.7% from Q1 2025, driven by organic growth and the acquisition of Closing the Gap in July 2025.
Revenue increased to $205.4 million in Q1 2026, an increase of 29.8% from Q1 2025. Excluding a reduction in retroactive funding of $9.3 million, revenue increased by $56.5 million, primarily due to the 32.7% increase in ADV, driven by organic growth and the acquisition of Closing the Gap. The reduction in retroactive funding of $9.3 million ($1.7 million in Q1 2026 compared to $11.0 million in Q1 2025) largely related to changes in the recovery of increased wages, benefits and technology costs.
NOI and NOI margin were $27.9 million and 13.6%, respectively, in Q1 2026, an increase from $19.1 million and 12.0% in Q1 2025. Excluding a year-over-year decrease of $3.1 million related to out-of-period items, NOI increased by $12.0 million to $27.1 million (13.3% of revenue) in Q1 2026 from $15.2 million (10.3% of revenue) in the prior year period, reflecting revenue growth, partially offset by increased wages and benefits. The out-of-period items of $3.1 million related to retroactive funding of $0.8 million recognized in Q1 2026, offset by workers’ compensation rebates of $3.9 million recognized in Q1 2025.
Managed Services
At the end of Q1 2026, the number of third-party and joint venture beds served by SGP increased to approximately 157,100, an increase of 6.0% from the prior year period. Extendicare Assist held management contracts for 40 homes comprising 6,237 beds and provided a further 27 homes with consulting and other services.
Revenue decreased by $2.4 million or 12.9% to $16.2 million in Q1 2026 due primarily to the sale by Revera of 30 Class C LTC homes that had been operated by Extendicare Assist under management contracts, nine of which were acquired by the Company, partially offset by changes in the mix of Extendicare Assist services, management fees from a newly opened home in Axium JV and growth in SGP clients. NOI decreased by $1.1 million or 11.0% to $8.9 million (54.6% of revenue).
Financial Position
Extendicare had strong liquidity at March 31, 2026, with cash and cash equivalents on hand, excluding restricted cash, of $320.9 million, and access to a further $154.4 million under its revolving credit facility.
Following the CBI Acquisition in April 2026 for the cash purchase price of $570.0 million and the issuance of the 2031 Notes, of which approximately $427.7 million of the net proceeds were used to repay the delayed draw term loan in full and the revolving credit facility in part, the Company had access to $160.7 million under its Unsecured Revolving Facility and approximately $67.0 million in cash and cash equivalents.
Select Financial Information
The following is a summary of the Company’s consolidated financial information for the three months ended March 31, 2026 and 2025.
(unaudited)Three months ended
March 31(thousands of dollars unless otherwise noted)2026 2025 Revenue465,224 374,654 Operating expenses396,200 324,426 NOI(1)69,024 50,228 NOI margin(1)14.8%13.4%Administrative costs16,166 14,622 Adjusted EBITDA(1)52,858 35,606 Adjusted EBITDA margin(1)11.4%9.5%Other income (expense)7,472 (3,170)Share of profit (loss) from investment in joint ventures344 (126)Net earnings40,732 15,031 per basic share ($)0.427 0.178 per diluted share ($)0.422 0.176 AFFO(1)32,746 19,807 per basic share ($)0.343 0.235 per diluted share ($)0.339 0.232 Maintenance capex2,771 2,709 Cash dividends declared per share0.1281 0.1220 Payout ratio(1)37%51%Weighted average number of shares (000’s) Basic95,371 84,345 Diluted96,600 85,468
Extendicare’s disclosure documents, including its Management’s Discussion and Analysis (“MD&A”), may be found on SEDAR+ at www.sedarplus.ca under the Company’s issuer profile and on the Company’s website at www.extendicare.com under the “Investors/Financial Reports” section.
2025 Environmental, Social and Governance (“ESG”) Report Published
In May 2026, Extendicare published its 2025 Environmental, Social and Governance (ESG) report, which outlines how the Company’s mission — providing people with the care they need, wherever they call home — informs its approach to sustainability as it strives to increase access to care for Canadians. The report highlights priorities, including quality of care, a strong and supported workforce, the responsible stewardship of resources, effective governance and long-term operational resilience. It also describes Extendicare’s ongoing efforts to enhance the identification, management and reporting of sustainability-related risks and opportunities. The report is available at www.extendicare.com under the “ESG” section.
May Dividend Declared
The Board of Directors of Extendicare today declared a cash dividend of $0.0441 per share for the month of May 2026, which is payable on June 15, 2026, to shareholders of record at the close of business on May 29, 2026. This dividend is designated as an “eligible dividend” within the meaning of the Income Tax Act (Canada).
Conference Call and Webcast
Extendicare will hold a conference call to discuss its 2026 first quarter results on May 8, 2026, at 11:30 a.m. (EDT). The call will be webcast live and archived online at www.extendicare.com under the “Investors/Events & Presentations” section. Alternatively, the call-in number is 1-833-752-3395. A replay of the call will be available approximately two hours after completion of the live call until midnight on May 22, 2026, by dialing 1-855-669-9658 followed by the passcode 1923796#.
About Extendicare
Extendicare is a leading provider of care and services for seniors across Canada, operating under the Extendicare, ParaMed, Extendicare Assist, and SGP Purchasing Network brands. We are committed to delivering quality care to meet the needs of the growing seniors’ population, inspired by our mission to provide people with the care they need, wherever they call home. We operate a network of 99 long-term care homes (59 owned, 40 under management contracts), deliver approximately 24.5 million hours of home health care services annually, and provide group purchasing services to third parties representing approximately 157,100 beds across Canada. Extendicare proudly employs approximately 31,500 individuals and manages an additional 5,000 joint venture employees, all of whom are highly qualified, trained and dedicated team members and passionate about providing high-quality care and services to help people live better.
Non-GAAP Measures
Certain measures used in this press release, such as “net operating income”, “NOI”, “NOI margin”, “Adjusted EBITDA”, “Adjusted EBITDA margin”, “AFFO”, and “payout ratio”, including any related per share amounts, are not measures recognized under GAAP and do not have standardized meanings prescribed by GAAP. These measures may differ from similar computations as reported by other issuers and, accordingly, may not be comparable to similarly titled measures as reported by such issuers. These measures are not intended to replace earnings (loss) from continuing operations, net earnings (loss), cash flow, or other measures of financial performance and liquidity reported in accordance with GAAP. Such items are presented in this document because management believes that they are relevant measures of Extendicare’s operating performance and ability to pay cash dividends.
Management uses these measures to exclude the impact of certain items, because it believes doing so provides investors a more effective analysis of underlying operating and financial performance and improves comparability of underlying financial performance between periods. The exclusion of certain items does not imply that they are non-recurring or not useful to investors.
Detailed descriptions of these measures can be found in Extendicare’s Q1 2026 MD&A (refer to “Non-GAAP Measures”), which is available on SEDAR+ at www.sedarplus.ca and on Extendicare’s website at www.extendicare.com.
Reconciliations for certain non-GAAP measures included in this press release are outlined below.
The following table provides a reconciliation of AFFO to “net cash from operating activities”, which the Company believes is the most comparable GAAP measure to AFFO.
(unaudited) Three months ended
March 31(thousands of dollars)2026 2025 Net cash from operating activities(4,744)18,421 Add (Deduct): Net change in operating assets and liabilities, including interest, and taxes37,368 1,226 Other expense2,551 3,170 Current income tax on items excluded from AFFO(408)(843)Depreciation for office leases(783)(732)Depreciation for FFEC (maintenance capex)(2,300)(1,888)Additional maintenance capex(233)(697)Principal portion of government capital funding417 403 AFFO for joint ventures878 747 AFFO32,746 19,807
The following table provides a reconciliation of “earnings before income taxes” to Adjusted EBITDA and “net operating income”.
(unaudited) Three months ended
March 31
(thousands of dollars)2026 2025 Earnings before income taxes49,370 18,919 Add (Deduct): Depreciation and amortization10,100 8,273 Net finance costs1,204 5,118 Other (income) expense(7,472)3,170 Share of (profit) loss from investment in joint ventures(344)126 Adjusted EBITDA52,858 35,606 Administrative costs16,166 14,622 Net operating income69,024 50,228
Forward-looking Statements
This press release contains forward-looking statements concerning anticipated future events, results, circumstances, economic performance or expectations with respect to Extendicare and its subsidiaries, including, without limitation: statements regarding its dividend levels, business operations, business strategy, growth strategy, results of operations and financial condition, including anticipated timelines and costs in respect of development projects. Forward-looking statements can often be identified by the expressions “anticipate”, “believe”, “estimate”, “expect”, “intend”, “objective”, “plan”, “project”, “will”, “may”, “should” or other similar expressions or the negative thereof. These forward-looking statements reflect the Company’s current expectations regarding future results, performance or achievements and are based upon information currently available to the Company and on assumptions that the Company believes are reasonable. These statements are not guarantees of future performance and involve known and unknown risks, uncertainties and other factors that may cause actual results, performance or achievements of the Company to differ materially from those expressed or implied in the statements. For further information on the risks, uncertainties and assumptions that could cause Extendicare’s actual results to differ from current expectations, refer to “Risks and Uncertainties” and “Forward-looking Statements” in Extendicare’s Q1 2026 MD&A and latest Annual Information Form filed by Extendicare with the securities regulatory authorities, available at www.sedarplus.ca and on Extendicare’s website at www.extendicare.com. Given these risks and uncertainties, readers are cautioned not to place undue reliance on Extendicare’s forward-looking statements. Except as required by applicable securities laws, the Company assumes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
Extendicare contact:
David Bacon, Executive Vice President and Chief Financial Officer
T: (905) 470-4000
E: [email protected]
www.extendicare.com
Endnote(1) See the “Non-GAAP Measures” section of this press release and the Company’s Q1 2026 MD&A, which includes the reconciliation of such non-GAAP measures to the most directly comparable GAAP measures.
MARKHAM, Ontario, May 12, 2026 (GLOBE NEWSWIRE) -- Extendicare Inc. (“Extendicare” or the “Company”) (TSX: EXE) has filed a Business Acquisition Report on Form 51-102F4 (the “BAR”) on SEDAR+ (www.sedarplus.ca) in connection with the Company’s acquisition on April 1, 2026 of CBI Home Health LP and CBI (GP) 3 Inc. and their respective subsidiaries (collectively, “CBI Home Health”).
As required under applicable securities laws, the BAR contains the following financial statements and related notes thereto:
Audited combined and carve-out financial statements of CBI Home Health as at and for the year ended December 31, 2025, together with the independent auditor’s report thereon; andUnaudited pro forma consolidated financial statements of the Company, including the unaudited pro forma consolidated statement of financial position of the Company for the year ended December 31, 2025 and the unaudited pro forma consolidated statement of earnings of the Company for the year ended December 31, 2025. Pro Forma Fiscal 2025 Financial Highlights
As reflected in the unaudited pro forma consolidated financial statements of the Company included in the BAR:
Extendicare’s pro forma consolidated revenue for the year ended December 31, 2025 is $2.164 billion, including $504.0 million of CBI Home Health’s standalone revenue. This compares to the approximately $477.9 million standalone revenue of CBI Home Health for the twelve-month period ending July 31, 2025 previously reported by the Company in its management’s discussion and analysis for the year ended December 31, 2025 (the “2025 MD&A”).Extendicare’s pro forma consolidated Adjusted EBITDA(1) for the year ended December 31, 2025 is $263.5 million, including $87.9 million of CBI Home Health’s standalone Adjusted EBITDA. Included in CBI Home Health’s standalone Adjusted EBITDA for the year ended December 31, 2025 are out-of-period items totalling approximately $15.0 million related to retroactive funding amounts and workers’ compensation rebates. These amounts relate to prior periods and are not reflective of CBI Home Health’s actual results for the year ended December 31, 2025. Additionally, as previously reported in the 2025 MD&A, the Company identified certain adjustments related to differences in estimates and timing matters identified by the Company’s Quality of Earnings (“QoE”) due diligence of $3.3 million. Excluding the out-of-period items and including the QoE adjustments, CBI Home Health’s standalone Adjusted EBITDA for the year ended December 31, 2025 was $69.6 million, as compared to the $61.9 million for the twelve-months ended July 31, 2025 previously reported in the 2025 MD&A. About Extendicare
Extendicare is a leading provider of care and services for seniors across Canada, operating under the Extendicare, ParaMed, Extendicare Assist, and SGP Purchasing Network brands. We are committed to delivering quality care to meet the needs of the growing seniors’ population, inspired by our mission to provide people with the care they need, wherever they call home. We operate a network of 99 long-term care homes (59 owned, 40 under management contracts), deliver approximately 24.5 million hours of home health care services annually, and provide group purchasing services to third parties representing approximately 157,100 beds across Canada. Extendicare proudly employs approximately 31,500 individuals and manages an additional 5,000 joint venture employees, all of whom are highly qualified, trained and dedicated team members and passionate about providing high-quality care and services to help people live better.
Non-GAAP Measures
“Adjusted EBITDA” is not a measure recognized under GAAP and does not have a standardized meaning prescribed by GAAP. This measure may differ from similar computations as reported by other issuers and, accordingly, may not be comparable to similarly titled measures as reported by such issuers. This measure is not intended to replace earnings (loss) from continuing operations, net earnings (loss), cash flow, or other measures of financial performance and liquidity reported in accordance with GAAP. Such items are presented in this document because management believes that they are relevant measures of Extendicare’s and CBI Home Health’s operating performance and the Company’s ability to pay cash dividends.
Management uses these measures to exclude the impact of certain items, because it believes doing so provides investors a more effective analysis of underlying operating and financial performance and improves comparability of underlying financial performance between periods. The exclusion of certain items does not imply that they are non-recurring or not useful to investors.
Detailed descriptions of this measure can be found in Extendicare’s Q1 2026 MD&A (refer to “Non-GAAP Measures”), which is available on SEDAR+ at www.sedarplus.ca and on Extendicare’s website at www.extendicare.com.
Extendicare contact:
David Bacon, Executive Vice President and Chief Financial Officer
T: (905) 470-4000
E: [email protected]
www.extendicare.com
Endnote(1)
See the “Non-GAAP Measures” section of this press release and the Company’s Q1 2026 MD&A, which includes the reconciliation of such non-GAAP measure to the most directly comparable GAAP measure.
Natural gas equities enter summer 2026 with two powerful tailwinds. Artificial intelligence (AI) data center power demand is pulling structural load into Appalachia and the Gulf, with some producers now treating 10 billion cubic feet (Bcf) per day of incremental demand as the new base case. At the same time, liquefied natural gas (LNG) export capacity is ramping, with total U.S. LNG exports around 20 Bcf per day, up 20% year over year. Pure-play producers offer the cleanest exposure to that demand curve, without the oil drag weighing on integrated majors.
We ranked the four largest U.S. pure-play natural gas names on production scale, free cash flow generation, balance sheet trajectory, realized pricing, and earnings execution. Henry Hub spot pricing sat at $3.07/MMBtu as of May 18, 2026, well below the realized premiums every producer in this group locked in during Q1.
4. Antero Resources Antero Resources (NYSE: AR | AR Price Prediction) posted the biggest beat in the group at Q1 2026 EPS of $1.72 versus $1.14 consensus, a 33.7% beat, on record production of 3.9 Bcfe/d and a $5.57/Mcf pre-hedge gas realization, $0.53 above NYMEX. It is also the largest U.S. natural gas liquids (NGL) exporter with the highest LNG exposure among Appalachian producers at 2.3 Bcf/d sold along the LNG fairway.
The catch is leverage. Net debt jumped to $2.66 billion from $1.19 billion after the $2.80 billion cash acquisition of HG Energy II Production. Analyst mean target is $50.15 with a consensus buy recommendation from analysts, against a current price near $37.
3. Range Resources Range Resources (NYSE: RRC) delivered Q1 2026 adjusted EPS of $1.52 versus $1.27 consensus, a 19.75% beat, alongside its highest natural gas premium to NYMEX in over a decade at $0.18/mcf and a record $4.41/barrel NGL premium to Mont Belvieu. Net debt fell 32% to roughly $834 million, the lowest in company history.
CEO Dennis Degner described Range as “increasingly well-positioned to serve growing local and global demand for U.S. natural gas and NGLs given our consistent operational results, low full-cycle cost structure, and high-return, long-life asset base.” The bear case is scale: at an $11.4 billion market cap and roughly 2.4 Bcfe/d, Range is the smallest in the group, and the sell-side leans cautious.
2. Expand Energy Expand Energy (NASDAQ: EXE) is the largest pure-play gas producer in America at 7.44 Bcfe/d, with a Q1 2026 revenue beat of 43.96% on $4.40 billion versus a $3.05 billion estimate. Free cash flow hit $1.70 billion, with $1.60 billion deployed to debt reduction. CEO Mike Wichterich called the company “the largest, low-cost, market-connected natural gas producer in America.”
The $130.84 consensus analyst target is well above the current $97.94. The bear case is share underperformance: shares are down 11.3% year to date and 14.4% over the past year, suggesting investors are losing patience with the integration timeline.
1. EQT EQT (NYSE: EQT) beat on Q1 2026 EPS at $2.33 versus $2.16 consensus, its fourth consecutive EPS beat, on 618 Bcfe of production above guidance, a $5.08/Mcfe realized price, and record-low operating costs of $1.09/Mcfe. Free cash flow exceeded $1.8 billion in 90 days, roughly what EQT generated in all of 2022. Net debt fell to $5.67 billion after $1.73 billion in retirements, and Fitch upgraded the credit to BBB.
CEO Toby Rice said EQT “delivered outstanding operational and financial performance in the first quarter, generating record free cash flow while continuing to strengthen our balance sheet.” Full-year 2026 guidance points to $3.5 billion in free cash flow at strip pricing. The analyst consensus estimate is the most constructive in the group at $70. Shares are up 8.1% year to date.
The Verdict EQT wins on production scale, balance sheet velocity, vertical integration through the Equitrans Midstream merger, and the deepest LNG offtake book. Expand Energy is the runner-up and could close the gap if its Haynesville breakevens keep improving. Antero ranks last because of its elevated debt load following the HG Energy II acquisition.
Key Takeaways Gas slid under $3 as a 101 Bcf injection lifted inventories to 2,391 Bcf, 7% above 5-yr avg.AR is gas/NGL-heavy in Marcellus/Utica with ~515,000 net acres and support from its midstream tie.LNG's Corpus Christi saw near-record feedgas as trains ramped, though maintenance cut overall LNG flows. U.S. natural gas prices struggled to hold above the key $3 level last week as traders weighed rising storage levels against uneven weather-driven demand. Cooler forecasts heading into early June reduced expectations for stronger power-sector consumption, even as liquefied natural gas (“LNG”) exports remained active.
At this time, investors may want to keep a close watch on natural gas-focused companies such as Antero Resources (AR - Free Report) , Expand Energy (EXE - Free Report) and Cheniere Energy (LNG - Free Report) as the market moves into the critical summer demand season.
Storage Growth Keeps Prices in Check
The biggest pressure point for natural gas last week came from another large inventory build. The U.S. Energy Information Administration reported a 101 billion cubic feet (Bcf) storage injection for the week ending May 15. That was above market expectations and also higher than the five-year average injection for the same period.
Working gas inventories climbed to 2,391 Bcf, leaving storage levels about 7% above the five-year average. Strong supply growth has kept the market comfortably supplied, limiting bullish momentum despite periods of hotter weather.
U.S. dry gas production also stayed resilient above 103 Bcf per day. That steady output has made it difficult for prices to sustain rallies.
Natural Gas Prices Swing Through the Week
Natural gas futures experienced sharp swings throughout the week before ending under pressure. Prices began the week with strong momentum as hotter temperatures across parts of the eastern United States lifted cooling demand expectations. June futures climbed above $3 and briefly reached a seven-week high near $3.11 per million British thermal units (MMBtu).
However, sentiment weakened later in the week after cooler forecasts emerged and the larger-than-expected storage build reinforced oversupply concerns. By Thursday and Friday, futures slipped back below the important $3 level, with June gas settling near $2.91 per MMBtu. Overall, natural gas posted a weekly loss as traders focused more on rising inventories and softer near-term weather demand than on temporary heat-driven consumption gains.
LNG Exports Offer Support, But Not Enough Yet
LNG exports continued to provide some support to the market. Cheniere Energy’s Corpus Christi facility reported near-record feedgas flows during the week as new expansion trains continued ramping up operations.
Still, overall LNG feedgas demand softened because of maintenance activity at several export plants, including Golden Pass and Freeport LNG. Average flows to major U.S. LNG terminals declined from April’s record highs, reducing one of the market’s key balancing forces.
That left domestic supply levels too large for current demand conditions. Mild early June forecasts are also expected to limit near-term electricity demand for air conditioning.
Summer Heat Could Shift the Market
Despite recent weakness, the outlook for natural gas is not entirely negative. The market is entering the most weather-sensitive period of the year, and any prolonged heat wave could quickly tighten supply-demand balances. Stronger cooling demand would increase power-sector gas consumption and slow the pace of storage injections.
Hurricane risks also remain an important wildcard during the summer months. Any disruption to Gulf Coast production or LNG operations could rapidly shift sentiment and lift prices.
3 Natural Gas Stocks Worth a Closer Look
For long-term investors, this remains a market driven by timing and weather. Companies such as Antero Resources, Expand Energy and Cheniere Energy could benefit if stronger summer demand eventually helps absorb today’s oversupply conditions.
Antero Resources:It is an independent energy producer focused on natural gas and liquids in the Appalachian Basin. Headquartered in Denver, this Zacks Rank #3 (Hold) company develops low-cost assets in the Marcellus and Utica shales, holding about 515,000 net acres. Antero Resources’ production mix is weighted toward natural gas and NGLs, with minimal oil exposure. AR is also one of the largest U.S. suppliers of natural gas and LPG to export markets. You can seethe complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Antero Resources is supported by its midstream affiliate, Antero Midstream, in which it owns roughly 29%. This integrated setup secures transportation and market access from Appalachia to the Gulf Coast. A low debt profile and steady drilling results provide flexibility and support long-term growth. The Zacks Consensus Estimate for Antero Resources’ 2026 earnings per share indicates a 152.1% year-over-year surge.
Expand Energy:Expand Energy has emerged as the largest natural gas producer in the United States after completing the Chesapeake-Southwestern merger. With a strong footprint in the Haynesville and Marcellus basins, the company is well-positioned to benefit from rising natural gas demand fueled by LNG exports, growing AI and data-center power needs, EV adoption and broader electrification trends.
The Zacks Consensus Estimate for Expand Energy’s 2026 earnings per share indicates a 44.3% year-over-year improvement. The firm, with a Zacks Rank of 3, has a trailing four-quarter earnings surprise of roughly 4.1%, on average.
Cheniere Energy:It is a leading U.S. LNG producer and exporter, operating large-scale facilities along the Gulf Coast. Since starting exports in 2016, it has grown into the largest LNG producer in the United States, supplying customers across more than 40 global markets with reliable and cleaner-burning energy.
Backed by firm gas supply agreements for its Sabine Pass and Corpus Christi facilities, this Zacks #3 Ranked company enjoys strong cash flow visibility and solid long-term growth prospects. The Zacks Consensus Estimate for Cheniere Energy’s 2026 earnings per share indicates 36.1% year-over-year growth.
Pre-Market Stock Futures: Futures are trading higher as investors return to a holiday-shortened trading week after a record-setting Friday, when the S&P 500, which posted its eighth straight weekly gain, and the Dow Jones Industrial Average both posted new all-time highs, closing at 7,473 and 50,579, respectively. Not to be left behind, the Nasdaq closed at a record high of 26,343. The small-cap-heavy Russell 2000 did not hit a record high, but it shared in the across-the-board rally, finishing the session at 2,869. The hopes for a settlement with Iran have been the driving force behind the strong rally, as first-quarter earnings, which are all but over, came in better than expected, with 85% of companies beating Wall Street analysts’ expectations.
Treasury Bonds: Yields were mixed across the curve, but the maturities that saw the biggest buying were from the belly of the curve to the long end. The 30-year bond, which hit levels not seen in almost 20 years early last week, finished the day at 5.06%, while the benchmark 10-year note was last seen at 4.56%. Bond traders scooped up the long end as the yield had touched 5.18% earlier in the week.
Oil and Gas: Hopes for an end to the conflict with Iran sent oil prices spiraling lower Friday. Positive comments from President Trump on progress in peace negotiations are helping to cut into the huge war premium that had sent prices higher, which was cited as the chief reason for the big decline. Brent Crude finished the day at $96.14, down 7.15%, while West Texas Intermediate finished at $90.30, down 6.52%. With Memorial Day marking the unofficial start of summer and the busy summer driving season, investors cheered the drop in crude prices. Natural gas had a solid day Friday, closing up 0.21% at $2.92.
Gold: Gold closed the week on a solid note in front of the holiday weekend, as traders were also positive on the geopolitical news. Gold was last seen at $4,569, up 1.35%, and Silver finished at $77.95, up 3.38%. Some traders have noted that both precious metals have traded in a tight range for the last few months and could be poised for a big breakout higher.
Crypto: Cryptocurrency markets endured a volatile weekend before staging a solid rebound early Monday, with Bitcoin climbing above $77,000. The broader recovery was fueled by growing optimism around a potential U.S.-Iran peace agreement and fresh announcements that Nasdaq plans to introduce options trading on crypto derivatives. At 8 AM EDT, Bitcoin was trading at $77,424, while Ethereum was trading at $ 2,119.
24/7 Wall St. reviews dozens of analyst research reports daily to identify new investment ideas for both investors and traders. Some of these daily analyst calls cover stocks to buy. Other calls cover stocks to sell or avoid. Remember that no single analyst call should ever be used as a basis to buy or sell a stock.
Here are some of the top Wall Street analyst upgrades, downgrades, and initiations seen on Tuesday, May 26, 2026.
Upgrades: Albermarle (NYSE: ALB | ALB Price Prediction) was raised to Buy from Hold at Vertical Research, with a $224 target price objective. Booz Allen Hamilton (NYSE: BAH) was upgraded to Buy from Hold at Jefferies, which trimmed the target price for the shares to $110 from $115. Occidental Petroleum (NYSE: OXY) was upgraded to Overweight from Equal Weight at Barclays, with a $72 target price. Okta (NASDAQ: OKTA) caught a double upgrade and was raised from Sell to Buy at Arete, with a $127 price target. Travelers Companies (NYSE: TRV) was upgraded to Neutral from Underweight at JPMorgan, which bumped the target price for the insurance giant to $322 from $316. Downgrades: BayCom (NASDAQ: BCML) was downgraded to Neutral from Buy at DA Davidson, with a $34 target price. Cigna Group (NYSE: CI) was downgraded to Equal Weight from Overweight at Barclays, which trimmed the price target for the shares to $304 from $310. Expand Energy (NASDAQ: EXE) was cut to Equal Weight from Overweight at Barclays, with a $110 target price. Intel (NASDAQ: INTC) was downgraded to Market Perform from Outperform at Northland, without a target price. Vodafone Group (NYSE: VOD) was cut to Underperform from Neutral from Buy at Bank of America, which dropped the target price for the European communications giant to $13.13 from $15.55. Initiations: Dave (NASDAQ: DAVE) was initiated with a Buy rating at UBS, with a $300 target price. DT Midstream (NYSE: DTM) was initiated with an Outperform rating at Scotiabank, which has a $176 target price for the shares. GE Vernova (NYSE: GEV) was initiated with a Buy rating at Huatai Research, which has a $1,174 target price.
Nucor (NYSE: NUE) was initiated with an Outperform rating at CICC, with a $263 target price. Pershing Square USA (NYSE: PSUS) was started with a Buy rating at Jefferies, without a price target.
A month has gone by since the last earnings report for Expand Energy (EXE - Free Report) . Shares have lost about 8.3% in that time frame, underperforming the S&P 500.
But investors have to be wondering, will the recent negative trend continue leading up to its next earnings release, or is Expand Energy due for a breakout? Well, first let's take a quick look at the most recent earnings report in order to get a better handle on the recent catalysts for Expand Energy Corporation before we dive into how investors and analysts have reacted as of late.
Expand Energy Q1 Earnings Beat Estimates on Strong ProductionExpand Energy reported first-quarter 2026 adjusted earnings per share of $3.83, beating the Zacks Consensus Estimate of $3.69. The company’s bottom line increased from the year-ago adjusted profit of $2.02, fueled by strong production and higher natural gas price realization.
Expand Energy’s ‘natural gas, oil and NGL’ revenues of $3.3 billion surpassed the Zacks Consensus Estimate of $3.1 billion. The top line was also higher than the year-ago figure of $2.3 billion.
During the first quarter of 2026, Expand Energy signed a 20-year Sales and Purchase Agreement (SPA) with Delfin FLNG Vessel 1 for about 1.15 million tons of LNG offtake per year, extending the company’s market reach to growing global demand centers.
Production & Price RealizationsThe company reported the average first-quarter daily production (comprising 93% natural gas) of 7,436 million cubic feet of gas equivalent (MMcfe/day), increasing 9.5% from the year-ago level of 6,788 MMcfe/day. The daily production levels surpassed the Zacks Consensus Estimate of 7,431 MMcfe/day. Natural gas volume for the period came in at 6,914 MMcfe/day, up 10.6% year over year. The consensus mark called for 6,864 MMcf/day of natural gas. EXE’s oil production was 15 thousand barrels per day (MBbl/d), while NGL output totaled 72 MBbl/d.
The average sales price for natural gas during the first quarter was $4.92 per Mcf, up 37.4% from the prior-year realization of $3.58 per Mcf, and it was also above the consensus mark of $4.75. The average realized oil price was $64.37 per barrel compared with the consensus mark of $62. Meanwhile, the average realized NGL price was $25.49 per barrel, above the Zacks Consensus Estimate of$25.36.
Costs & ExpensesTotal operating expenses in the quarter rose to $2.9 billion from the year-ago quarter’s $2.5 billion. This was mainly due to an increase in gathering, processing and transportation, exploration and marketing expenses. The company’s gathering, processing and transportation, exploration and marketing costs of $690 million, $14 million and $1.1 billion during the first quarter of 2026 rose from the year-ago levels of $563 million, $7 million and $919 million, respectively.
Dividend & Share RepurchasesIn the first quarter, the company plans to pay its quarterly base dividend of 57.5 cents per share on June 04, 2026, to its shareholders of record on May 14. Furthermore, Expand Energy plans to focus on reducing debt in 2026 to reinforce its balance sheet and enhance financial flexibility during market lows while continuing to reward shareholders through its base dividend and share buybacks.
Year-to-date through April 24, 2026, Expand Energy has redeemed approximately $1.3 billion of gross debt and executed $150 million of share repurchases.
Financial PositionCash flow from operations totaled $2.4 billion, which almost doubled from the prior-year quarter levels of $1.1 billion, while Expand Energy’s capital expenditure totaled $707 million, leading to a free cash flow of $1.7 billion. It also paid out $141 million in dividends during the period.
As of March 31, 2026, the company had $2.2 million in cash and cash equivalents. Expand Energy had a long-term debt of $4.1 billion, reflecting a debt-to-capitalization of 17.5%.
Guidance for Q2 & 2026Expand Energy is targeting an average daily production in the range of 7,400-7,500 MMcfe for the second quarter of 2026 and 7,400-7,600 MMcfe for full-year 2026. The company has budgeted its capital spending between $770 million and $845 million for the upcoming quarter, while for 2026, the figure is projected to be between $2.75 billion and $2.95 billion.
How Have Estimates Been Moving Since Then?Since the earnings release, investors have witnessed a downward trend in estimates review.
The consensus estimate has shifted -7.12% due to these changes.
VGM ScoresAt this time, Expand Energy has a great Growth Score of A, though it is lagging a lot on the Momentum Score front with a D. However, the stock was allocated a grade of A on the value side, putting it in the top 20% for this investment strategy.
Overall, the stock has an aggregate VGM Score of A. If you aren't focused on one strategy, this score is the one you should be interested in.
OutlookEstimates have been broadly trending downward for the stock, and the magnitude of these revisions indicates a downward shift. Notably, Expand Energy has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.
