How Investors Are Reacting To Coterra Energy (CTRA) Expanding Stock Buybacks After Completing Prior Program

• Between July and September 2025, Coterra Energy did not repurchase any shares, but has now completed its buyback program announced in February 2023, totaling 35,580,209 shares for US$911.19 million or 4.72% of its stock.
• Following continued operational performance and management's new plan to significantly expand stock buybacks, the company aims to address its own concerns about share valuation and increase capital returns to shareholders.
• We will now examine how Coterra Energy’s expanded buyback initiative could influence its long-term investment outlook and returns focus.

Find companies with promising cash flow potential yet trading below their fair value.

Coterra Energy Investment Narrative Recap

For anyone considering Coterra Energy as a long-term holding, the central belief hinges on the company’s ability to maintain stable operational execution and strong capital returns, especially as management focuses on buybacks to address perceived undervaluation. The recent completion and planned expansion of the buyback program may support near-term share price stability, but does not directly offset the key risk of ongoing natural gas price volatility, which remains the biggest driver for both the stock and business outlook.

Among recent announcements, Coterra’s reaffirmation of its quarterly dividend at US$0.22 per share is particularly relevant, highlighting management’s intent to maintain consistent shareholder returns even as the company faces changing commodity markets. This complements the newly expanded buyback initiative and reinforces Coterra’s commitment to capital return as a central piece of its near-term catalyst story.

Yet, in contrast to the optimism on capital returns, investors should be aware that persistent weakness or extended volatility in natural gas prices could still limit…

Read the full narrative on Coterra Energy (it's free!)

Coterra Energy's narrative projects $9.6 billion in revenue and $1.9 billion in earnings by 2028. This requires 15.5% annual revenue growth and a $0.3 billion increase in earnings from the current $1.6 billion.

Uncover how Coterra Energy's forecasts yield a $31.96 fair value, a 23% upside to its current price.

Exploring Other Perspectives

Six private investors in the Simply Wall St Community estimate Coterra Energy’s fair value from US$25.55 to US$73.08 per share. Coupled with Coterra’s increased buyback plans aiming to close valuation gaps, this wide range signals that investor expectations for future performance can vary sharply. See how your outlook compares with others.

Explore 6 other fair value estimates on Coterra Energy - why the stock might be worth over 2x more than the current price!

Build Your Own Coterra Energy Narrative

Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• A great starting point for your Coterra Energy research is our analysis highlighting 5 key rewards and 1 important warning sign that could impact your investment decision.
• Our free Coterra Energy research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Coterra Energy's overall financial health at a glance.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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