Crescent Energy Company Class A (CRGY) AI Stock Analysis

• Market Cap: $2.16B
• Dividend Yield: 5.01%
• Average Volume (3M): 5.09M
• Price to Earnings (P/E): 23.3
• Beta (1Y): 1.36
• Revenue Growth: 32.84%
• EPS Growth: -755.17%
• Country: US
• Employees: 987
• Sector: Energy
• Sector Strength: 52
• Industry: Oil & Gas Exploration & Production
• EPS (TTM): 0.43
• Shares Outstanding: 254,615,170
• 10 Day Avg. Volume: 5,501,976
• 30 Day Avg. Volume: 5,088,172
• PEG Ratio: 0.09
• Price to Book (P/B): 0.61
• Price to Sales (P/S): 0.65
• P/FCF Ratio: -90.09
• Enterprise Value/Market Cap: 2.58
• Enterprise Value/Revenue: 1.61
• Enterprise Value/Gross Profit: 2.32
• Enterprise Value/Ebitda: 4.39
• 1Y Price Target: $13.89
• Price Target Upside: 44.99% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 10

• Rating: 67 Neutral
• Price Target: $10.00 ▲(4.38% Upside)

Crescent Energy's overall score is driven by strong earnings call results and financial performance, showcasing robust cash flow and strategic initiatives. However, technical analysis and valuation concerns, such as negative profitability and bearish trends, moderate the score.

Positive Factors

Revenue Growth

Consistent revenue growth indicates effective market strategies and product demand, supporting long-term business expansion and stability.

Operational Efficiency

Enhanced operational efficiency through cost reductions strengthens competitive positioning and improves profitability over time.

Strong Cash Flow

Robust cash flow generation provides financial flexibility for strategic investments, debt reduction, and shareholder returns, ensuring long-term viability.

Negative Factors

Low Net Profit Margins

Persistently low net profit margins can limit reinvestment capacity and shareholder returns, posing a challenge to sustainable growth.

Negative EBIT Margin

A negative EBIT margin indicates operational challenges that could hinder profitability and require strategic adjustments to improve efficiency.

Market Volatility Impact

Market volatility affecting asset sales can disrupt strategic plans and financial forecasts, impacting long-term growth and stability.

Crescent Energy Company Class A Business Overview & Revenue Model

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.

How the Company Makes Money

Crescent Energy generates revenue primarily through the sale of crude oil, natural gas, and natural gas liquids produced from its wells. The company’s revenue model is largely driven by the volume of production and prevailing market prices for these commodities. Key revenue streams include direct sales to energy companies, refiners, and marketers, as well as contracts for pipeline transportation and processing of hydrocarbons. Additionally, Crescent Energy may engage in hedging activities to mitigate price volatility and secure more predictable cash flows. Strategic partnerships with other energy firms and service providers also contribute to operational efficiency and cost management, enhancing overall profitability.

Crescent Energy Company Class A Financial Statement Overview

Summary

Crescent Energy shows positive revenue growth and strong cash flow generation, but faces challenges with low net profit margins and negative EBIT margins. The balance sheet indicates improved leverage management, yet profitability metrics require attention.

Income Statement

Crescent Energy shows a mixed performance in its income statement. The TTM (Trailing-Twelve-Months) data reveals a modest revenue growth rate of 7.59%, indicating a positive trajectory. However, the gross profit margin has decreased significantly from 81.96% in 2024 to 48.15% in TTM, suggesting increased cost pressures. The net profit margin improved to 1.05% in TTM from a negative margin in 2024, but remains low, reflecting challenges in profitability. The EBIT margin turned negative in TTM, highlighting operational inefficiencies, while the EBITDA margin decreased to 29.69% from 34.02% in 2024.

Balance Sheet

The balance sheet indicates a stable financial position with a debt-to-equity ratio of 0.75 in TTM, showing a reduction from 0.99 in 2024, which suggests improved leverage management. The return on equity (ROE) improved to 1.06% in TTM from a negative ROE in 2024, indicating better utilization of equity. However, the equity ratio remains moderate, reflecting a balanced asset structure.

Cash Flow

Crescent Energy's cash flow statement shows strong performance with a significant free cash flow growth rate of 23.31% in TTM, indicating improved cash generation. The operating cash flow to net income ratio of 1.87 in TTM suggests robust cash flow relative to net income. The free cash flow to net income ratio improved to 0.41, reflecting better cash flow management. Overall, the company demonstrates strong cash flow generation capabilities.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	3.47B	2.93B	2.38B	3.06B	1.48B	754.22M
Gross Profit	2.41B	2.40B	1.30B	2.62B	1.23B	552.04M
EBITDA	1.27B	996.99M	1.17B	1.15B	-69.01M	194.30M
Net Income	36.37M	-114.61M	67.61M	480.60M	-432.23M	-216.12M
Balance Sheet
Total Assets	9.86B	9.16B	6.80B	6.02B	5.16B	3.91B
Cash, Cash Equivalents and Short-Term Investments	3.05M	132.82M	2.97M	-10.75M	128.58M	36.86M
Total Debt	3.48B	3.13B	1.76B	1.26B	1.09B	774.79M
Total Liabilities	5.36B	4.79B	3.17B	2.72B	2.14B	1.01B
Stockholders Equity	4.49B	3.14B	1.70B	848.11M	682.21M	2.72B
Cash Flow
Free Cash Flow	355.73M	-21.20M	-494.83M	-206.96M	-37.54M	284.86M
Operating Cash Flow	1.59B	1.22B	935.77M	1.01B	233.15M	411.03M
Investing Cash Flow	-2.18B	-1.20B	-1.40B	-1.12B	-244.59M	-124.94M
Financing Cash Flow	-173.69M	207.39M	456.46M	-7.84M	105.14M	-272.09M

Crescent Energy Company Class A Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 9.58
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CRGY, the sentiment is Positive. The current price of 9.58 is above the 20-day moving average (MA) of 8.94, above the 50-day MA of 9.03, and below the 200-day MA of 10.57, indicating a neutral trend. The MACD of -0.06 indicates Negative momentum. The RSI at 58.90 is Neutral, neither overbought nor oversold. The STOCH value of 67.19 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for CRGY.

Crescent Energy Company Class A Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MNR	77 Outperform	1.57B	6.74	24.04%	17.11%	11.56%	―
NOG	76 Outperform	2.63B	4.37	25.23%	6.46%	2.98%	7.94%
TALO	74 Outperform	1.75B	-10.28	-2.77%	―	10.59%	-3044.85%
BSM	70 Outperform	2.82B	11.44	―	10.71%	-8.06%	-22.61%
CRGY	67 Neutral	$2.16B	23.27	0.70%	5.01%	32.84%	-755.17%
BKV	61 Neutral	1.94B	-101.41	-1.17%	―	13.20%	55.44%
Sector *	65 Neutral	$15.17B	7.61	4.09%	5.20%	3.87%	-62.32%

Crescent Energy Company Class A Corporate Events

Crescent Energy Announces Merger with Vital Energy

On August 24, 2025, Crescent Energy Company announced a merger agreement with Vital Energy, Inc., involving an all-equity transaction. The merger will result in Crescent’s shareholders owning approximately 77% of the combined entity, while Vital’s shareholders will own about 23%. The merger aims to enhance Crescent’s market position and operational capabilities, with the board of directors expanding to include two directors from Vital. The completion of the merger is subject to customary conditions, including shareholder approvals and regulatory clearances.

Crescent Energy Announces Merger with Vital Energy

On August 25, 2025, Crescent Energy Company announced an all-equity merger agreement to acquire Vital Energy, Inc., valued at approximately $3.1 billion, including Vital’s net debt. This merger is set to establish Crescent as a top 10 independent energy company with a strategy focused on free cash flow and returns. The transaction, which offers significant value and accretion across key financial metrics, is expected to close by the end of 2025, subject to customary approvals. The merger will result in Crescent shareholders owning 77% of the combined company, while Vital shareholders will hold 23%. The combined entity will benefit from enhanced capital allocation flexibility and operational efficiencies, with a focus on long-term growth and value creation.

Crescent Energy Reports Strong Q2 2025 Results

Crescent Energy Company reported strong financial and operational results for the second quarter of 2025, with record production and significant free cash flow. The company enhanced its 2025 guidance and executed strategic acquisitions and divestitures, including a $72 million minerals acquisition and $110 million in non-core asset sales, to optimize its portfolio and reduce debt. Crescent also simplified its corporate structure and continued its share repurchase program, reflecting its commitment to delivering value to investors.

Crescent Energy Issues $600M Senior Notes Due 2034

On July 8, 2025, Crescent Energy Finance LLC, a subsidiary of Crescent Energy Company, issued $600 million in 8.375% Senior Notes due 2034. These notes are senior unsecured obligations guaranteed by the issuer’s existing subsidiaries but not by Crescent Energy Company itself. Additionally, Crescent Energy announced the early results of its tender offer to purchase up to $500 million of its 9.250% Senior Notes due 2028, with $306.125 million of these notes validly tendered by July 7, 2025. The tender offer is set to expire on July 22, 2025, unless extended or terminated.

Crescent Energy Announces Pricing of $600M Senior Notes

On June 23, 2025, Crescent Energy Finance LLC, an indirect subsidiary of Crescent Energy Company, announced the pricing of $600 million in 8.375% Senior Notes due 2034. The proceeds from this offering, along with additional borrowings and cash on hand, are intended to fund a tender offer for a portion of the company’s outstanding 9.250% Senior Notes due 2028 and other corporate purposes. This strategic financial move is expected to enhance Crescent Energy’s capital structure and provide flexibility in managing its debt obligations.

Crescent Energy Announces $500M Senior Notes Offering

On June 23, 2025, Crescent Energy Finance LLC announced its intention to offer $500 million in Senior Notes due 2034 through a private placement, subject to market conditions. The proceeds from this offering are intended to fund a cash tender offer to purchase up to $500 million of its outstanding 9.250% Senior Notes due 2028. This financial maneuver aims to optimize the company’s debt structure and potentially improve its financial flexibility, impacting its stakeholders by possibly enhancing its market positioning and operational efficiency.