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CRC

California Resources NYSE:CRC Stock Report

Last Price

US$46.18

Market Cap

US$3.5b

7D

4.1%

1Y

56.3%

Updated

16 Aug, 2022

Data

Company Financials +
CRC fundamental analysis
Snowflake Score
Valuation5/6
Future Growth0/6
Past Performance2/6
Financial Health4/6
Dividends2/6

CRC Stock Overview

California Resources Corporation operates as an independent oil and natural gas company.

California Resources Competitors

Price History & Performance

Summary of all time highs, changes and price drops for California Resources
Historical stock prices
Current Share PriceUS$46.18
52 Week HighUS$50.44
52 Week LowUS$27.31
Beta0
1 Month Change12.61%
3 Month Change13.44%
1 Year Change56.33%
3 Year Changen/a
5 Year Changen/a
Change since IPO207.87%

Recent News & Updates

Aug 03

California Resources  GAAP EPS of $0.16, revenue of $220.6M

California Resources  press release (NYSE:CRC): Q2 GAAP EPS of €0.16. Revenue of €220.6M (+23.8% Y/Y).

Jun 14

California Resources: Hedging Strategy To Change

CRC was spun off from OXY in late 2014 and saddled with $6.4 billion of debt. Oil prices collapsed in 2015/16 and again in 2020, pushing CRC into bankruptcy because its oil hedges did not protect against very low prices. CRC emerged from Chapter 11 with oil hedges that limited CRC's potential upside. CRC amassed large hedge losses during the oil price spike this year. The company has indicated that its hedging strategy will change.

Shareholder Returns

CRCUS Oil and GasUS Market
7D4.1%4.8%3.6%
1Y56.3%58.5%-9.6%

Return vs Industry: CRC underperformed the US Oil and Gas industry which returned 58.5% over the past year.

Return vs Market: CRC exceeded the US Market which returned -9.6% over the past year.

Price Volatility

Is CRC's price volatile compared to industry and market?
CRC volatility
CRC Average Weekly Movement6.6%
Oil and Gas Industry Average Movement8.8%
Market Average Movement7.7%
10% most volatile stocks in US Market16.9%
10% least volatile stocks in US Market3.2%

Stable Share Price: CRC is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 7% a week.

Volatility Over Time: CRC's weekly volatility (7%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
2014970Mac McFarlandhttps://www.crc.com

California Resources Corporation operates as an independent oil and natural gas company. The company explores for, produces, gathers, processes, and markets crude oil, natural gas, and natural gas liquids for marketers, California refineries, and other purchasers that have access to transportation and storage facilities. As of December 31, 2021, it had interests in approximately 1.9 million net mineral acres with proved reserves totaled an estimated 480 million barrels of oil equivalent.

California Resources Fundamentals Summary

How do California Resources's earnings and revenue compare to its market cap?
CRC fundamental statistics
Market CapUS$3.48b
Earnings (TTM)US$832.00m
Revenue (TTM)US$2.98b

4.2x

P/E Ratio

1.2x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
CRC income statement (TTM)
RevenueUS$2.98b
Cost of RevenueUS$1.10b
Gross ProfitUS$1.88b
Other ExpensesUS$1.05b
EarningsUS$832.00m

Last Reported Earnings

Jun 30, 2022

Next Earnings Date

n/a

Earnings per share (EPS)11.04
Gross Margin63.18%
Net Profit Margin27.90%
Debt/Equity Ratio39.0%

How did CRC perform over the long term?

See historical performance and comparison

Dividends

1.5%

Current Dividend Yield

5%

Payout Ratio

Does CRC pay a reliable dividends?

See CRC dividend history and benchmarks
When do you need to buy CRC by to receive an upcoming dividend?
California Resources dividend dates
Ex Dividend DateAug 31 2022
Dividend Pay DateSep 16 2022
Days until Ex dividend14 days
Days until Dividend pay date30 days

Does CRC pay a reliable dividends?

See CRC dividend history and benchmarks
We’ve recently updated our valuation analysis.

Valuation

Is CRC undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

5/6

Valuation Score 5/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for CRC?

Other financial metrics that can be useful for relative valuation.

CRC key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue1.3x
Enterprise Value/EBITDA7.7x
PEG Ratio-3.4x

Price to Earnings Ratio vs Peers

How does CRC's PE Ratio compare to its peers?

CRC PE Ratio vs Peers
The above table shows the PE ratio for CRC vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average9.6x
BSM Black Stone Minerals
12.2x25.0%US$3.1b
DEN Denbury
11x9.3%US$3.9b
CRGY Crescent Energy
0.9x-13.4%US$2.7b
KOS Kosmos Energy
14.5x1.8%US$2.7b
CRC California Resources
4.2x-1.2%US$3.5b

Price-To-Earnings vs Peers: CRC is good value based on its Price-To-Earnings Ratio (4.2x) compared to the peer average (9.6x).


Price to Earnings Ratio vs Industry

How does CRC's PE Ratio compare vs other companies in the US Oil and Gas Industry?

Price-To-Earnings vs Industry: CRC is good value based on its Price-To-Earnings Ratio (4.2x) compared to the US Oil and Gas industry average (9.7x)


Price to Earnings Ratio vs Fair Ratio

What is CRC's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

CRC PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio4.2x
Fair PE Ratio14.2x

Price-To-Earnings vs Fair Ratio: CRC is good value based on its Price-To-Earnings Ratio (4.2x) compared to the estimated Fair Price-To-Earnings Ratio (14.2x).


Share Price vs Fair Value

What is the Fair Price of CRC when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: CRC ($46.18) is trading below our estimate of fair value ($175.05)

Significantly Below Fair Value: CRC is trading below fair value by more than 20%.


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Target price is more than 20% higher than the current share price, but analysts are not within a statistically confident range of agreement.


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Future Growth

How is California Resources forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?

Future Growth Score

0/6

Future Growth Score 0/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


-1.2%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CRC's earnings are forecast to decline over the next 3 years (-1.2% per year).

Earnings vs Market: CRC's earnings are forecast to decline over the next 3 years (-1.2% per year).

High Growth Earnings: CRC's earnings are forecast to decline over the next 3 years.

Revenue vs Market: CRC's revenue is expected to decline over the next 3 years (-4.9% per year).

High Growth Revenue: CRC's revenue is forecast to decline over the next 3 years (-4.9% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: CRC's Return on Equity is forecast to be low in 3 years time (12.1%).


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Past Performance

How has California Resources performed over the past 5 years?

Past Performance Score

2/6

Past Performance Score 2/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


36.9%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: CRC has a high level of non-cash earnings.

Growing Profit Margin: CRC's current net profit margins (27.9%) are lower than last year .


Past Earnings Growth Analysis

Earnings Trend: CRC has become profitable over the past 5 years, growing earnings by 36.9% per year.

Accelerating Growth: CRC's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: CRC had negative earnings growth (-77.1%) over the past year, making it difficult to compare to the Oil and Gas industry average (188.3%).


Return on Equity

High ROE: CRC's Return on Equity (55.1%) is considered outstanding.


Discover strong past performing companies

Financial Health

How is California Resources's financial position?

Financial Health Score

4/6

Financial Health Score 4/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: CRC's short term assets ($851.0M) do not cover its short term liabilities ($1.2B).

Long Term Liabilities: CRC's short term assets ($851.0M) do not cover its long term liabilities ($1.3B).


Debt to Equity History and Analysis

Debt Level: CRC's net debt to equity ratio (17.6%) is considered satisfactory.

Reducing Debt: CRC had negative shareholder equity 5 years ago, but is now positive and has therefore improved.

Debt Coverage: CRC's debt is well covered by operating cash flow (123%).

Interest Coverage: CRC's interest payments on its debt are well covered by EBIT (5.3x coverage).


Balance Sheet


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Dividend

What is California Resources's current dividend yield, its reliability and sustainability?

Dividend Score

2/6

Dividend Score 2/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Cash Flow Coverage


1.47%

Current Dividend Yield

Upcoming Dividend Payment

TodayAug 17 2022Ex Dividend DateAug 31 2022Dividend Pay DateSep 16 202216 days from Ex DividendBuy in the next 14 days to receive the upcoming dividend

Dividend Yield vs Market

Notable Dividend: CRC's dividend (1.47%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.47%).

High Dividend: CRC's dividend (1.47%) is low compared to the top 25% of dividend payers in the US market (3.96%).


Stability and Growth of Payments

Stable Dividend: Too early to tell whether CRC's dividend payments have been stable as they only just started paying a dividend.

Growing Dividend: Too early to tell if CRC's dividend payments are increasing as they only just started paying a dividend.


Earnings Payout to Shareholders

Earnings Coverage: With its low payout ratio (4.9%), CRC's dividend payments are thoroughly covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: With its low cash payout ratio (12.4%), CRC's dividend payments are thoroughly covered by cash flows.


Discover strong dividend paying companies

Management

How experienced are the management team and are they aligned to shareholders interests?

1.6yrs

Average management tenure


CEO

Mac McFarland (53 yo)

1.67yrs

Tenure

US$17,583,281

Compensation

Mr. Mark Allen McFarland, also known as Mac, served as Chairman of the Board at California Resources Corporation since October 27, 2020 until April 2021 and serves as its Chief Executive Officer and Presid...


CEO Compensation Analysis

Compensation vs Market: Mac's total compensation ($USD17.58M) is above average for companies of similar size in the US market ($USD6.57M).

Compensation vs Earnings: Mac's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.


Leadership Team

Experienced Management: CRC's management team is not considered experienced ( 1.6 years average tenure), which suggests a new team.


Board Members

Experienced Board: CRC's board of directors are not considered experienced ( 1.8 years average tenure), which suggests a new board.


Ownership

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.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

California Resources Corporation's employee growth, exchange listings and data sources


Key Information

  • Name: California Resources Corporation
  • Ticker: CRC
  • Exchange: NYSE
  • Founded: 2014
  • Industry: Oil and Gas Exploration and Production
  • Sector: Energy
  • Implied Market Cap: US$3.481b
  • Shares outstanding: 75.38m
  • Website: https://www.crc.com

Number of Employees


Location

  • California Resources Corporation
  • 27200 Tourney Road
  • Suite 200
  • Santa Clarita
  • California
  • 91355
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/08/16 00:00
End of Day Share Price2022/08/16 00:00
Earnings2022/06/30
Annual Earnings2021/12/31


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.