Q: I acquired this stock ( a significant position) one month ago ,with a 1-2 years perspective, believing that it is a solid Cie financially, well priced,and well positioned for the natural gaz demand in 2026 .It already shows 11% loss on paper,is my choice still "reasonable", and do you see it as a sell,buy,or hold in your perspective ?
5i Research Answer:
We would keep timeframe in mind here. While timing was not great, obviously, the oil and gas sector is inherently volatile and investors in the sector need to accept this. ARX is down 7% YTD. It is very cheap at 8X earnings, with a 3.13% dividend. The dividend was last raised in December. It has had a rough week, but there has been no negative news. It did announce a share buyback on September 4. We would be comfortable holding this, with a view to buy into any further weakness.