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1. Company Snapshot

1.a. Company Description

Crescent Energy Company, an energy company, explores for, develops, and produces crude oil, natural gas, and natural gas liquids (NGLs) reserves.The company holds a portfolio of oil and natural gas assets in key proven basins, including the Eagle Ford, Rockies, Barnett, Permian, Mid-Con, and other basins in the United States.As of December 31, 2021, it had 1,528 gross undrilled locations, including 567 gross operated drilling locations; and 531.6 net million barrels of oil equivalent of proved reserves.


The company was founded in 2020 and is based in Houston, Texas.

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1.b. Last Insights on CRGY

Here is a 90-word analysis of the negative drivers behind Crescent Energy Company's recent stock performance: Crescent Energy's recent struggles can be attributed to high selling pressure, leading to an oversold stock condition. Despite a strong Q4 earnings beat, with EPS of $0.56 vs. estimates of $0.26, the stock has failed to gain traction. The company's inability to capitalize on market gains and its flat trading sessions suggest investor skepticism. Furthermore, the lack of momentum in its stock price, even after a positive earnings surprise, implies that investors are waiting for more convincing signs of a turnaround before buying in.

1.c. Company Highlights

2. Crescent Energy Company's Q4 2025 Earnings: A Transformational Year

Crescent Energy Company reported a strong financial performance in Q4 2025, with adjusted EBITDA of $536 million and levered free cash flow of $239 million. The company's earnings per share (EPS) came in at $0.49, beating analyst estimates of $0.28. Revenue growth is expected to be 1.4% next year, according to analyst estimates. The company's financial performance was driven by its focused and scaled operations in three premier basins: the Eagle Ford, the Permian, and the Uinta. The company's base decline rate is in the high twenties, but they expect to get back to their corporate target of 25% or below over the next 12 to 18 months, as mentioned by Brandi Kendall, "we expect to get back to our corporate target of 25% or below over the next 12 to 18 months."

Publication Date: Mar -05

📋 Highlights

Operational Highlights

The company's operational performance was strong, with significant production and capital expenditure outperformance. The team executed nearly $5 billion in transactions, closing over $4 billion in acquisitions at less than 3x EBITDA and divesting nearly $1 billion in non-core assets at over 5x EBITDA. The company's entry into the Permian basin was a defining step in its evolution, and it now operates scaled positions across three premier basins, complemented by a substantial and world-class minerals portfolio.

Growth Prospects

Crescent Energy Company sees significant upside potential across its portfolio, particularly in the Permian basin, where it has made a phenomenal entry. The company is actively following resource expansion opportunities and is working to maximize opportunities. The company's minerals business is also expected to drive growth, with David Rockecharlie stating that "we see significant embedded value in the company, and we want to make sure that investors in Crescent Energy Company understand what they own."

Valuation

Using various valuation metrics, we can understand what's priced into Crescent Energy Company's stock. The company's P/E Ratio is 28.4, indicating that the stock may be slightly overvalued. However, the P/B Ratio is 0.73, suggesting that the stock may be undervalued relative to its book value. The EV/EBITDA ratio is 5.59, which is relatively low compared to its peers. The Dividend Yield is 4.17%, providing a relatively attractive return for income investors.

Outlook

Crescent Energy Company's focus on returns and free cash flow is expected to drive long-term per share value creation. The company's leverage is expected to be below 1.5x by year-end, and its long-term target remains at 1x. With a strong operational performance and a compelling value proposition, Crescent Energy Company is well-positioned for future growth. The company's ability to generate substantial and durable free cash flow, combined with its multiple pathways to drive long-term per share value creation, makes it an attractive investment opportunity.

3. NewsRoom

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Critical Comparison: Environmental Power (OTCMKTS:EPGRQ) versus Crescent Energy (NYSE:CRGY)

Mar -25

Source: defenseworld.net

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Crescent Energy (CRGY) Stock Dips While Market Gains: Key Facts

Mar -23

Source:

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Crescent Energy (NYSE:CRGY) Shares Gap Up on Analyst Upgrade

Mar -21

Source: defenseworld.net

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Crescent Energy (NYSE:CRGY) Sets New 12-Month High Following Analyst Upgrade

Mar -19

Source: defenseworld.net

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Crescent Energy (CRGY) Stock Falls Amid Market Uptick: What Investors Need to Know

Mar -16

Source: zacks.com

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Crescent Energy (CRGY) Sees a More Significant Dip Than Broader Market: Some Facts to Know

Mar -10

Source:

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Citigroup Inc. Has $2.24 Million Stock Holdings in Crescent Energy Company $CRGY

Mar -08

Source: defenseworld.net

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Crescent Energy Sees Unusually High Options Volume (NYSE:CRGY)

Mar -05

Source: defenseworld.net

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (4.90%)

6. Segments

Oil

Expected Growth: 5%

Crescent Energy Company's 5% growth in oil production is driven by increased drilling activities in the Permian Basin, improved operational efficiency, and strategic acquisitions. Additionally, rising global demand, OPEC's production cuts, and favorable crude oil prices contribute to the growth. Furthermore, the company's focus on cost reduction and capital discipline enables it to maintain a competitive edge in the market.

Natural Gas

Expected Growth: 4%

Crescent Energy Company's 4% growth in Natural Gas is driven by increasing demand from power generation and industrial sectors, coupled with rising LNG exports. Additionally, improved drilling efficiencies, cost reductions, and strategic acquisitions have enhanced the company's production capabilities, further supporting growth.

Natural Gas Liquids

Expected Growth: 5%

Crescent Energy Company's 5% growth in Natural Gas Liquids is driven by increasing demand for petrochemical feedstocks, growing exports to Asia, and strategic acquisitions in the Permian Basin. Additionally, improving operational efficiencies, enhanced well productivity, and a favorable pricing environment also contribute to this growth.

Midstream and Other

Expected Growth: 7%

Crescent Energy's Midstream and Other segment growth is driven by increasing crude oil production, expansion of gathering and processing infrastructure, and strategic acquisitions. Additionally, the company's focus on cost optimization, operational efficiencies, and strong relationships with producers contribute to its 7% growth rate.

7. Detailed Products

Crude Oil

Crescent Energy Company's crude oil is a type of petroleum product used as a raw material for various industries such as energy, petrochemicals, and manufacturing.

Natural Gas

Crescent Energy Company's natural gas is a fossil fuel used as a clean-burning energy source for power generation, industrial processes, and residential heating.

Natural Gas Liquids (NGLs)

Crescent Energy Company's NGLs are a group of hydrocarbons extracted from natural gas, used as a feedstock for petrochemicals, fuels, and other products.

Refined Products

Crescent Energy Company's refined products include gasoline, diesel, jet fuel, and other petroleum products used as fuels and feedstocks.

Petrochemicals

Crescent Energy Company's petrochemicals are used as building blocks for the production of plastics, fibers, and other chemical products.

8. Crescent Energy Company's Porter Forces

Forces Ranking

Threat Of Substitutes

Crescent Energy Company faces moderate threat from substitutes due to the availability of alternative energy sources such as solar and wind power.

Bargaining Power Of Customers

Crescent Energy Company has a diverse customer base, which reduces the bargaining power of individual customers.

Bargaining Power Of Suppliers

Crescent Energy Company relies on a few major suppliers for its operations, giving them moderate bargaining power.

Threat Of New Entrants

The energy industry is highly regulated, and new entrants face significant barriers to entry, but Crescent Energy Company still faces a high threat from new entrants.

Intensity Of Rivalry

The energy industry is highly competitive, and Crescent Energy Company faces intense rivalry from established players.

9. SWOT Analysis

Strength

Weaknesses

Opportunities

Threats

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

Value
Debt Weight 50.86%
Debt Cost 8.86%
Equity Weight 49.14%
Equity Cost 9.60%
WACC 9.22%
Leverage 103.50%

11. Quality Control: Crescent Energy Company passed 0 out of 9 key points

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

Stock-Card
Permian Resources

A-Score: 6.4/10

Value: 7.7

Growth: 7.8

Quality: 6.9

Yield: 6.0

Momentum: 4.5

Volatility: 5.3

1-Year Total Return ->

View Full Report
Stock-Card
Matador Resources

A-Score: 5.9/10

Value: 8.5

Growth: 8.8

Quality: 7.5

Yield: 4.0

Momentum: 2.0

Volatility: 4.7

1-Year Total Return ->

View Full Report
Stock-Card
SM Energy

A-Score: 5.2/10

Value: 9.6

Growth: 5.7

Quality: 6.6

Yield: 5.0

Momentum: 0.5

Volatility: 3.7

1-Year Total Return ->

View Full Report
Stock-Card
Crescent Energy

A-Score: 5.2/10

Value: 7.5

Growth: 4.2

Quality: 5.0

Yield: 9.0

Momentum: 1.5

Volatility: 3.7

1-Year Total Return ->

View Full Report
Stock-Card
Chesapeake Energy

A-Score: 5.0/10

Value: 5.1

Growth: 1.6

Quality: 6.1

Yield: 8.0

Momentum: 6.0

Volatility: 3.3

1-Year Total Return ->

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Stock-Card
Marathon Oil

A-Score: 4.6/10

Value: 4.7

Growth: 6.3

Quality: 6.5

Yield: 1.0

Momentum: 6.0

Volatility: 3.0

1-Year Total Return ->

View Full Report

Peers Metrics

12.e Scoring Insights

12.f DCF BETA

Parameters

Short Term Growth

Short term Time

Long-Term Growth

WACC

Target Price

13.48$

Current Price

13.48$

Potential

-0.00%

Expected Cash-Flows