Morgan Stanley Raises APA Price Target to $43
Morgan Stanley has reiterated its Underweight rating on APA Corporation, with a price target adjustment to $43, a 11.80% downside from the current price.
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Morgan Stanley raised its price target on APA Corporation ($APA) to $43 from $41 on October 15, 2026, and rates the stock "Underweight".
Since the rating, $APA is up 4.1% to date (from the $47.23 close on Oct 15, 2026).
APA
APA Corporation
Key Points
- Morgan Stanley has maintained its Underweight rating on APA Corporation with a new price target of $43, up from $41, as of October 15, 2026.
- Morgan Stanley's $43 price target implies 11.80% downside from APA Corporation's ($APA) current $48.76 share price.
- APA Corporation's stock closed at $48.76 on the NasdaqGS, after reaching a recent high of $47.44 and a low of $21.63 over the past year.
- The company has a market cap of about $15.35 billion and its recent revenue was approximately $8.57 billion, reflecting a revenue growth of 9.2%.
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Not investment advice. EarningsIQ is not a registered investment adviser, and this automated APA Corporation alert may contain errors. Disclosures
Morgan Stanley has reiterated its Underweight rating on APA Corporation (NASDAQ: APA) on October 15, 2026, adjusting the price target to $43, up from $41. This follows the company’s latest performance metrics and market conditions.
Morgan Stanley vs. the S&P 500
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Other Institutional Activity in APA Corporation
Several other institutional investors have also adjusted their positions in APA Corporation recently. Blackrock Inc. grew its holdings by 2,242,920 shares, ending with about 36.02 million shares valued at approximately $1.76 billion. State Street Corporation added 377,027 shares, bringing its total to about 25.18 million shares worth around $1.23 billion. Meanwhile, Hotchkis & Wiley Capital Management, LLC reduced its holdings by 320,155 shares, ending with around 31.70 million shares valued at approximately $1.55 billion.
APA Corporation Stock Up 8.7%
As of the article publication on a Friday, APA Corporation's shares were trading at $48.76. The stock has shown notable growth, recently trading near its 52-week high of $47.44. This price is significantly above its 50-day moving average of $40.19, indicating recent strength in the stock.
$APA price target
APA Corporation daily closes and this analyst's $43 target. Not advice.
Recent Earnings
APA Corporation reported revenue of about $8.57 billion, representing a 9.2% increase compared to the previous year. The next earnings report is due on November 4, 2026, which will provide further insights into the company's performance.
Earnings drift grade
Outlook vs expectations on the last report — not price action.
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Forward outlook
5 target raises vs 1 cuts.
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EPS & revenue
EPS beat estimates by 21.9%. Revenue beat estimates by 8.0%.
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Profit surprise
EBITDA beat by 18 percent. Operating income beat by 37 percent.
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Pre-earnings setup
Expectations were about average.
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Analyst signal
5 target raises, 1 target cut.
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Earnings quality
Gross margin up 58.5 points. Operating margin up 13.6 points. Positive free cash flow.
Earnings Call Summary
APA delivered a strong first quarter with $2.3 billion in revenue and $1.38 in earnings per share, beating consensus expectations. The Permian is running more efficiently with fewer rigs and lower costs while still producing more oil. Egypt benefited from gas development and improved operations, generating nearly $500 million in free cash flow. The company is focused on paying down debt toward a $3 billion target and returning cash to shareholders while advancing the Suriname project toward first oil in 2028.
Guidance The company expects about $2.2 billion in free cash flow for the full year and plans to keep capital spending at $2.1 billion. They raised their U.S. oil production goal to 122,000 barrels per day but lowered Egypt adjusted volumes because higher oil prices reduce the volumes they can count under their contract terms. They still expect about $1.1 billion from their gas trading business.
Clearly positive report. Results were better than expected, though the forward reset is not the strongest.
Analysts Set New Price Targets
On the same day, October 15, 2026, several firms weighed in on APA Corporation’s stock. Scotiabank initiated coverage with a Sector Perform rating and a target of $44. Mizuho maintained an Underperform rating with a new target of $44, up from $36. RBC Capital kept a Sector Perform rating, raising its target price to $49 from $47, while Wells Fargo maintained its Equal-Weight rating with a target of $51, slightly up from $50.
About APA Corporation
APA Corporation is an independent energy company based in Houston, Texas. It focuses on exploring, developing, and producing natural gas, crude oil, and natural gas liquids. The company operates mainly in the U.S., Egypt, and the North Sea, with additional exploration in Suriname and interests in projects in Uruguay and other locations.
Bottom Line
In the coming weeks, investors will be watching for the upcoming earnings report on November 4, 2026, which may provide more context on the company's performance and outlook. This 13F filing reflects holdings as of the reporting period and may not represent Morgan Stanley's current position.
Related Filing Alerts
Source: Morgan Stanley's rating change on $APA (Oct 15, 2026). Written by software, not financial advice. How we make alerts