--- title: "Is It Too Late To Consider Range Resources (RRC) After Its Strong Multi Year Run?" type: "News" locale: "en" url: "https://longbridge.com/en/news/285005703.md" description: "Range Resources (RRC) is currently priced at approximately $42.63, raising questions about its value after a strong performance, with a 20.8% year-to-date return. Analysts suggest the stock is undervalued, with a Discounted Cash Flow analysis indicating a potential intrinsic value of $90.42 per share, suggesting a 52.9% discount. Additionally, the company's P/E ratio of 11.1x is below the industry average of 14.6x, further supporting the undervaluation claim. Investors are encouraged to consider various valuation approaches and narratives to assess future growth and earnings potential." datetime: "2026-05-03T22:08:10.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/285005703.md) - [en](https://longbridge.com/en/news/285005703.md) - [zh-HK](https://longbridge.com/zh-HK/news/285005703.md) --- # Is It Too Late To Consider Range Resources (RRC) After Its Strong Multi Year Run? - If you are wondering whether Range Resources at around US$42.63 is still offering value or starting to look stretched, you are not alone. - The stock has returned 0.6% over the last 7 days and 20.8% year to date, with a 22.9% return over 1 year and a 73.6% return over 3 years. These figures may be reshaping how investors view its risk and reward trade off. - Recent coverage has focused on Range Resources as an established US energy name, with attention on how it fits into broader market interest in oil and gas companies and commodity price trends. This context helps explain why the share price has moved over time and why investors are paying closer attention to what they are getting for the current price tag. - On Simply Wall St's valuation checks, Range Resources scores a 5 out of 6 for being considered undervalued. The next sections walk through the main valuation approaches that lead to that score, and then outline a way to think about valuation that goes beyond any single model. Find out why Range Resources's 22.9% return over the last year is lagging behind its peers. ### Approach 1: Range Resources Discounted Cash Flow (DCF) Analysis A Discounted Cash Flow model estimates what a business could be worth by projecting its future cash flows and then discounting those back to today’s value in $. For Range Resources, the model used is a 2 Stage Free Cash Flow to Equity approach. The latest twelve month free cash flow is about $708.5 million. Analyst and extrapolated projections show free cash flow of $1,014.5 million in 2026 and $939.7 million by 2030, all in $. Simply Wall St uses analyst inputs for the earlier years and then extends those trends further out to complete the 10 year path. Discounting those projected cash flows back to today gives an estimated intrinsic value of about $90.42 per share. Compared to the current share price of around $42.63, this implies a discount of roughly 52.9%, which indicates that the shares are trading below this DCF estimate. **Result: UNDERVALUED** Our Discounted Cash Flow (DCF) analysis suggests Range Resources is undervalued by 52.9%. Track this in your watchlist or portfolio, or discover 50 more high quality undervalued stocks. RRC Discounted Cash Flow as at May 2026 Head to the Valuation section of our Company Report for more details on how we arrive at this Fair Value for Range Resources. ### Approach 2: Range Resources Price vs Earnings For a profitable business like Range Resources, the P/E ratio is a useful way to relate what you are paying per share to the company’s earnings per share. It helps you see how many dollars investors are currently willing to pay for each dollar of earnings. What counts as a “normal” or “fair” P/E depends on how the market views a company’s growth outlook and risk. Higher expected growth or lower perceived risk can support a higher P/E, while lower growth expectations or higher risk usually go with a lower multiple. Range Resources currently trades on a P/E of about 11.1x. That sits below the Oil and Gas industry average P/E of about 14.6x and well below the peer group average of around 23.1x. Simply Wall St also calculates a “Fair Ratio” for Range Resources of 19.2x. This is the P/E level suggested by factors such as its earnings growth profile, industry, profit margins, market value and risk characteristics. This Fair Ratio can be more useful than simple peer or industry comparisons because it adjusts for company specific traits rather than assuming all firms deserve similar multiples. With the current P/E of 11.1x compared to a Fair Ratio of 19.2x, the shares screen as undervalued on this measure. **Result: UNDERVALUED** NYSE:RRC P/E Ratio as at May 2026 P/E ratios tell one story, but what if the real opportunity lies elsewhere? Start investing in legacies, not executives. Discover our 17 top founder-led companies. ## Upgrade Your Decision Making: Choose your Range Resources Narrative Earlier it was mentioned that there is an even better way to understand valuation, so meet Narratives. These let you attach a clear story and set of assumptions to your numbers by linking how you see Range Resources’ future revenue, earnings and margins to a financial forecast, a Fair Value, and then a simple comparison with the current share price. All of this sits inside the Simply Wall St Community page used by millions of investors, where Narratives update automatically when new news or earnings arrive. One investor might back a higher Fair Value view around US$56.34 with assumptions of revenue growth of 15.2% a year and margins rising toward 35.3%. Another might lean toward a more cautious Fair Value near US$34.25 with revenue growth of 7.9% and margins moving toward 15.5%. This gives you a clear, side by side way to decide which story you believe before making any buy or sell decision. For Range Resources however, you can start with previews of two leading Range Resources Narratives: Begin by asking which of these stories feels closer to how you see the business, its risks and its potential. Then use that to frame what you are willing to pay for the shares and how comfortable you are with the current price around US$42.63. **🐂 Range Resources Bull Case** Fair Value: US$56.34 Implied discount vs Fair Value: about 24.4% below this narrative Revenue growth assumption: 15.17% a year - Assumes Range Resources converts its operational efficiency, drilling speeds and cost control into higher margins and stronger free cash flow supported by existing assets and infrastructure. - Sees growing demand for certified low emission gas, East Coast export access and premium pricing links as a support for revenue visibility with ESG focused and international buyers. - Builds in a higher Fair Value using analyst assumptions for faster revenue growth, rising profit margins and a lower future P/E multiple than the broader US Oil and Gas industry. **🐻 Range Resources Bear Case** Fair Value: US$34.25 Implied premium vs Fair Value: about 24.5% above this narrative Revenue growth assumption: 7.94% a year - Focuses on decarbonization trends, renewables and storage technology as headwinds for long term natural gas demand, earnings and cash flow. - Highlights exposure to regulation, ESG pressure, Marcellus concentration and potential domestic gas oversupply as constraints on margins and future growth. - Arrives at a lower Fair Value based on slower revenue growth, falling profit margins and a higher future P/E multiple than the US Oil and Gas industry. This assumes investors would still pay a relatively higher price for the earnings stream. When you put the two side by side, you can see that the same company can support very different fair values depending on what you believe about long term demand, pricing, margins and capital access. That is the core of valuation work, and these Narratives give you a ready made pair of reference points to test your own thinking against the market price. Once you know which story feels closer to your expectations, you can adjust the assumptions, build your own version and track how new data either supports or challenges your chosen range for Fair Value over time. To see how these results tie into long-term growth, risks, and valuation, check out the full range of community narratives for Range Resources on Simply Wall St. Add the company to your watchlist or portfolio so you'll be alerted when the story evolves. Do you think there's more to the story for Range Resources? Head over to our Community to see what others are saying! NYSE:RRC 1-Year Stock Price Chart _This article by Simply Wall St is general in nature. **We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice.** It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned._ ### **New:** AI Stock Screener & Alerts Our new AI Stock Screener scans the market every day to uncover opportunities. • Dividend Powerhouses (3%+ Yield) • Undervalued Small Caps with Insider Buying • High growth Tech and AI Companies Or build your own from over 50 metrics. Explore Now for Free ### Related Stocks - [RRC.US](https://longbridge.com/en/quote/RRC.US.md) ## Related News & Research - [Range Resources Shareholders Back Board, Pay and Auditor](https://longbridge.com/en/news/286325426.md) - [B. Metzler seel. Sohn & Co. AG Grows Stake in Range Resources Corporation $RRC](https://longbridge.com/en/news/284074202.md) - [The S&P 500 Just Completed Its 7th Straight Up Week. History Says It's Still Time to Buy.](https://longbridge.com/en/news/287006210.md) - [Buckle (BKE) Valuation Check After Updated Sales And Ongoing Net Sales Momentum](https://longbridge.com/en/news/286843012.md) - [‘Chicken wine’ ad banned for implying alcohol is therapeutic](https://longbridge.com/en/news/287029011.md)