Berry Corporation, an independent upstream energy company, engages in the development and production of conventional oil reserves located in the western United States.
Price History & Performance
|Historical stock prices|
|Current Share Price||US$5.87|
|52 Week High||US$2.52|
|52 Week Low||US$7.25|
|1 Month Change||18.35%|
|3 Month Change||-13.42%|
|1 Year Change||71.64%|
|3 Year Change||-65.45%|
|5 Year Change||n/a|
|Change since IPO||586,900.00%|
Recent News & Updates
Berry Corporation: Increased Cash Flow In 2022 Could Be A Catalyst
Berry has weathered the last couple of years and structured its business to avoid the now outlawed steam fracks that regulators focus on. The company is working well with the state to secure drilling permits and expects to keep 3 rigs active for the rest of the year. The company's long cycle, low cost sandstone completion are very capital efficient, and drive down costs over time. We think Berry presents a reasonable investment case for investors with a high-risk tolerance for growth and increasing income.
Berry Corp.: Limited 2022 Hedges Should Lead To Excellent Results
Berry may be able to generate $125 million in positive cash flow (before hedges) at $65 Brent. Berry only has around 12% of its 2022 oil production hedged. New California regulations should not hamper Berry in the near term. Long-term goal in California is to phase out oil extraction by 2045. Berry's estimated value is $8.25 per share at long-term $65 Brent.
|BRY||US Oil and Gas||US Market|
Return vs Industry: BRY exceeded the US Oil and Gas industry which returned 52.7% over the past year.
Return vs Market: BRY exceeded the US Market which returned 33% over the past year.
Stable Share Price: BRY is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 8% a week.
Volatility Over Time: BRY's weekly volatility (8%) has been stable over the past year.
About the Company
Berry Corporation, an independent upstream energy company, engages in the development and production of conventional oil reserves located in the western United States. The company’s properties are located in the San Joaquin and Ventura basins, California; Uinta basin, Utah; and Piceance basin, Colorado. As of December 31, 2020, it had a total of 3,763 net producing wells.
Is Berry undervalued compared to its fair value and its price relative to the market?
Price to Book (PB) ratio
Share Price vs. Fair Value
Below Fair Value: BRY ($5.87) is trading above our estimate of fair value ($5.23)
Significantly Below Fair Value: BRY is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: BRY is unprofitable, so we can't compare its PE Ratio to the US Oil and Gas industry average.
PE vs Market: BRY is unprofitable, so we can't compare its PE Ratio to the US market.
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate BRY's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: BRY is good value based on its PB Ratio (0.7x) compared to the US Oil and Gas industry average (1.7x).
How is Berry forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: BRY is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (2%).
Earnings vs Market: BRY is forecast to become profitable over the next 3 years, which is considered above average market growth.
High Growth Earnings: BRY's is expected to become profitable in the next 3 years.
Revenue vs Market: BRY's revenue (18.1% per year) is forecast to grow faster than the US market (9.8% per year).
High Growth Revenue: BRY's revenue (18.1% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: BRY's Return on Equity is forecast to be low in 3 years time (16.8%).
How has Berry performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: BRY is currently unprofitable.
Growing Profit Margin: BRY is currently unprofitable.
Past Earnings Growth Analysis
Earnings Trend: BRY is unprofitable, but has reduced losses over the past 5 years at a rate of 62.9% per year.
Accelerating Growth: Unable to compare BRY's earnings growth over the past year to its 5-year average as it is currently unprofitable
Earnings vs Industry: BRY is unprofitable, making it difficult to compare its past year earnings growth to the Oil and Gas industry (-19.4%).
Return on Equity
High ROE: BRY has a negative Return on Equity (-17.22%), as it is currently unprofitable.
How is Berry's financial position?
Financial Position Analysis
Short Term Liabilities: BRY's short term assets ($177.1M) do not cover its short term liabilities ($222.1M).
Long Term Liabilities: BRY's short term assets ($177.1M) do not cover its long term liabilities ($543.8M).
Debt to Equity History and Analysis
Debt Level: BRY's debt to equity ratio (58.1%) is considered high.
Reducing Debt: BRY's debt to equity ratio has reduced from 256.2% to 58.1% over the past 5 years.
Cash Runway Analysis
For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.
Stable Cash Runway: Whilst unprofitable BRY has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.
Forecast Cash Runway: BRY is unprofitable but has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 10.7% per year.
What is Berry current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: BRY's dividend (4.09%) is higher than the bottom 25% of dividend payers in the US market (1.35%).
High Dividend: BRY's dividend (4.09%) is in the top 25% of dividend payers in the US market (3.65%)
Stability and Growth of Payments
Stable Dividend: BRY has been paying a dividend for less than 10 years and during this time payments have been volatile.
Growing Dividend: BRY has only been paying a dividend for 3 years, and since then payments have fallen.
Current Payout to Shareholders
Dividend Coverage: BRY is paying a dividend but the company is unprofitable.
Future Payout to Shareholders
Future Dividend Coverage: BRY's dividends in 3 years are forecast to be thoroughly covered by earnings (9.4% payout ratio).
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Trem Smith (65 yo)
Mr. Arthur T. Smith, also known as Trem, has been the President, Chief Executive Officer and Director at Berry Petroleum Company, LLC and Berry Corporation since March 2017. Mr. Smith serves as Chairman of...
CEO Compensation Analysis
Compensation vs Market: Trem's total compensation ($USD9.59M) is above average for companies of similar size in the US market ($USD1.68M).
Compensation vs Earnings: Trem's compensation has increased whilst the company is unprofitable.
Experienced Management: BRY's management team is considered experienced (3.8 years average tenure).
Experienced Board: BRY's board of directors are not considered experienced ( 2.6 years average tenure), which suggests a new board.
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Berry Corporation's employee growth, exchange listings and data sources
- Name: Berry Corporation
- Ticker: BRY
- Exchange: NasdaqGS
- Founded: 1909
- Industry: Oil and Gas Exploration and Production
- Sector: Energy
- Market Cap: US$472.365m
- Shares outstanding: 80.47m
- Website: https://www.bry.com
Number of Employees
- Berry Corporation
- 16000 North Dallas Parkway
- Suite 500
- United States
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/09/22 00:11|
|End of Day Share Price||2021/09/21 00:00|
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.