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Berry Petroleum Corp (BRY)
NASDAQ:BRY
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Berry Petroleum
(NASDAQ:BRY)
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Rating:66Neutral
Price Target:
$4.50
▲(12.22% Upside)
Berry Petroleum's overall stock score reflects a stable financial position and strong cash flow management, which are the most significant factors. The earnings call provided positive insights into operational efficiencies and debt reduction. However, the high P/E ratio and overbought technical indicators suggest caution. The company's ability to navigate regulatory challenges and manage capital expenditures will be crucial for future performance.
Berry Petroleum (BRY) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$311.18M
Dividend Yield2.99%
Average Volume (3M)2.04M
Price to Earnings (P/E)62.3
Beta (1Y)0.68
Revenue Growth-16.08%
EPS GrowthN/A
CountryUS
Employees1,070
SectorEnergy
Sector Strength52
IndustryOil & Gas Exploration & Production
Share Statistics
EPS (TTM)0.00
Shares Outstanding77,601,845
10 Day Avg. Volume4,042,694
30 Day Avg. Volume2,044,970
Financial Highlights & Ratios
PEG Ratio-0.34
Price to Book (P/B)0.43
Price to Sales (P/S)0.41
P/FCF Ratio2.95
Enterprise Value/Market Cap1.95
Enterprise Value/Revenue0.79
Enterprise Value/Gross Profit1.46
Enterprise Value/Ebitda4.09
Forecast
1Y Price Target
$4.63Price Target Upside15.46% Upside
Rating ConsensusHold
Number of Analyst Covering4
Berry Petroleum Business Overview & Revenue Model
Company DescriptionBerry Corporation, an independent upstream energy company, engages in the development and production of conventional oil reserves located in the western United States. It operates in two segments, Development and Production, and Well Servicing and Abandonment. The company's properties are located in the San Joaquin and Ventura basins, California; and Uinta basin, Utah. As of December 31, 2021, it had a total of 3,417 net productive wells. The company was formerly known as Berry Petroleum Corporation and changed its name to Berry Corporation in February 2020. Berry Corporation was founded in 1909 and is headquartered in Dallas, Texas.
How the Company Makes MoneyBerry Petroleum generates revenue primarily through the sale of crude oil, natural gas, and natural gas liquids (NGLs). The company’s revenue model is largely dependent on the pricing of these commodities, which can fluctuate based on market conditions. Key revenue streams include direct sales of produced hydrocarbons to refiners and marketers, as well as potential hedging activities to mitigate price volatility. Additionally, Berry Petroleum may engage in joint ventures and partnerships with other companies to enhance its operational capabilities and expand its asset base, which can further contribute to its earnings. The company’s focus on efficient production techniques and cost management also plays a vital role in maintaining profitability in a competitive market.
Berry Petroleum Earnings Call Summary
Earnings Call Date:Aug 06, 2025
(Q2-2025)
| % Change Since: |
Next Earnings Date:Oct 29, 2025
Earnings Call Sentiment Positive
Berry Corporation reported strong financial performance with a solid hedge position, significant debt reduction, and operational cost savings. Positive regulatory movements in California could provide additional opportunities, although there is some dependency on the outcomes. Despite higher capital expenditures in Utah, the company's ability to generate free cash flow and maintain a strong safety record are notable positives.Q2-2025 Updates
Positive Updates
Strong Hedge Position and Free Cash Flow Generation
Berry has 71% of its expected oil production hedged for 2025 at approximately $75 per barrel of Brent, providing visibility and protection for their production outlook. They are on track to generate meaningful free cash flow for the year.
Debt Reduction and Financial Strength
The company paid down $11 million of debt during the quarter, bringing the year-to-date debt reduction to $23 million. They are on track to pay down at least $45 million for the year.
Cost Savings in Utah Operations
Berry achieved meaningful cost savings of approximately $500,000 per well in Utah, supported by fuel cost advantages and the use of dual fuel fleets in drilling and fracking activities.
Positive Regulatory Developments in California
The Kern County Board of Supervisors approved a new oil and gas ordinance and certified a revised environmental impact review, with a court decision expected by year-end which could streamline future development projects.
Operational Safety Record
Berry reported another quarter of zero recordable incidents and zero lost time incidents in their E&P operations, highlighting their commitment to HSE excellence.
Negative Updates
High Capital Expenditures
Capital expenditures were $54 million for the quarter, which was elevated compared to the prior quarter due to accelerated drilling and completion activity in Utah.
Dependency on Regulatory Outcomes
While Berry is optimistic about the regulatory developments in California, the outcome is still pending court approval, which could impact future development projects.
Company Guidance
During the second quarter 2025 earnings call, Berry Corporation reaffirmed its 2025 guidance, highlighting stability amidst macro volatility. The company aims to maintain balance sheet strength, focusing on high-return projects and operational efficiencies. Berry has hedged 71% of its expected oil production at $75 per barrel of Brent for the remainder of the year, with 63% hedged at $70 per barrel for 2026. In California, 16 wells were drilled in Q2, and production is expected to increase in the second half of the year. In Utah, cost savings of approximately $500,000 per well were achieved, with current costs at $680 per lateral foot, 20% lower than previous wells. The company reduced debt by $11 million in Q2 and expects a total reduction of $45 million for the year, while declaring a dividend yield of 4% annually. Berry's strategy continues to focus on generating free cash flow, reducing debt, and capitalizing on a deep inventory of high-return projects.Berry Petroleum Financial Statement Overview
Summary
Berry Petroleum demonstrates a stable financial position with strong cash flow management. While revenue growth is promising, profitability remains a concern, as reflected in declining margins and ROE. The balance sheet is solid, with manageable leverage. The company should focus on enhancing operational efficiency to improve profitability.Income Statement
Berry Petroleum's income statement shows a mixed performance. The TTM (Trailing-Twelve-Months) gross profit margin is strong at 54.18%, indicating efficient cost management. However, the net profit margin is low at 0.66%, reflecting challenges in converting revenue into profit. Revenue growth is positive at 84.6% TTM, but historical volatility is evident with previous declines. EBIT and EBITDA margins have decreased significantly in the TTM, suggesting operational inefficiencies.65
Positive
Balance Sheet
The balance sheet is relatively stable, with a debt-to-equity ratio of 0.55 TTM, indicating moderate leverage. The equity ratio is healthy, suggesting a solid asset base. However, return on equity has decreased to 0.73% TTM, reflecting lower profitability on shareholder investments. Overall, the company maintains a balanced financial structure but faces profitability challenges.70
Positive
Cash Flow
Cash flow analysis reveals a robust operating cash flow to net income ratio of 0.98 TTM, indicating strong cash generation relative to earnings. Free cash flow growth is positive at 6% TTM, showing improvement. The free cash flow to net income ratio is 0.65 TTM, suggesting effective cash utilization. Despite past fluctuations, current cash flow metrics are favorable.75
Positive
| Breakdown | TTM | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 | Dec 2020 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 765.12M | 783.84M | 863.45M | 1.06B | 701.35M | 406.05M |
| Gross Profit | 414.52M | 444.77M | 237.34M | 431.62M | 269.32M | 63.92M |
| EBITDA | 148.30M | 239.12M | 251.38M | 401.10M | 163.58M | -96.64M |
| Net Income | 5.03M | 19.25M | 37.40M | 250.17M | -15.54M | -262.89M |
Balance Sheet | ||||||
| Total Assets | 1.33B | 1.52B | 1.59B | 1.63B | 1.46B | 1.42B |
| Cash, Cash Equivalents and Short-Term Investments | 19.73M | 15.34M | 4.83M | 46.25M | 15.28M | 80.56M |
| Total Debt | 364.60M | 435.18M | 436.06M | 397.40M | 394.57M | 393.48M |
| Total Liabilities | 669.18M | 787.05M | 836.18M | 830.54M | 763.83M | 705.77M |
| Stockholders Equity | 664.94M | 730.64M | 757.98M | 800.49M | 692.65M | 714.04M |
Cash Flow | ||||||
| Free Cash Flow | 120.93M | 107.87M | 117.59M | 222.31M | -10.63M | 102.73M |
| Operating Cash Flow | 186.57M | 210.22M | 198.66M | 360.94M | 122.49M | 196.53M |
| Investing Cash Flow | -98.34M | -105.56M | -175.27M | -164.55M | -168.79M | -93.62M |
| Financing Cash Flow | -74.94M | -79.46M | -64.80M | -165.42M | -18.98M | -22.35M |
Berry Petroleum Technical Analysis
Positive
4.01
Price Trends
3.24
Positive
3.03
Positive
3.32
Positive
Market Momentum
0.25
Negative
70.32
Negative
65.89
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For BRY, the sentiment is Positive. The current price of 4.01 is above the 20-day moving average (MA) of 3.62, above the 50-day MA of 3.24, and above the 200-day MA of 3.32, indicating a bullish trend. The MACD of 0.25 indicates Negative momentum. The RSI at 70.32 is Negative, neither overbought nor oversold. The STOCH value of 65.89 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for BRY.
Berry Petroleum Peers Comparison
UnderperformOutperform
Sector (65)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
71 Outperform | $284.35M | 11.59 | 17.89% | ― | 22.97% | -19.37% | |
66 Neutral | $311.18M | 62.27 | 0.75% | 2.99% | -16.08% | ― | |
61 Neutral | $278.72M | -1,708.57 | ― | ― | -99.72% | -101.28% | |
53 Neutral | $305.58M | -2.72 | 108.78% | 1.94% | -11.53% | -342.58% | |
46 Neutral | $162.75M | -9.34 | -31.39% | ― | -10.49% | 17.74% | |
39 Underperform | $246.67M | -8.41 | ― | ― | ― | ― | |
65 Neutral | $15.17B | 7.61 | 4.09% | 5.20% | 3.87% | -62.32% |
* Energy Sector Average
BRY
Berry Petroleum
4.01
-0.94
-18.99%
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Berry Petroleum Corporate Events
Business Operations and StrategyM&A Transactions
Berry Petroleum Announces Merger with California Resources
Positive
Sep 15, 2025
On September 14, 2025, Berry Corporation announced a merger agreement with California Resources Corporation, creating a stronger entity in the California energy market. The all-stock transaction values Berry at approximately $717 million, with CRC shareholders expected to own 94% of the combined company. The merger is anticipated to enhance financial metrics, achieve significant synergies, and maintain a strong balance sheet, positioning the company for long-term growth and operational efficiency.
The most recent analyst rating on (BRY) stock is a Buy with a $7.50 price target. To see the full list of analyst forecasts on Berry Petroleum stock, see the BRY Stock Forecast page.
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.