Crescent Energy (NYSE:CRGY) Stock Falls 5.8% – Here’s What Happened

Shares of Crescent Energy Company (NYSE:CRGY) were down 5.8% during trading on Thursday. The company traded as low as $12.82 and last traded at $12.6910. Approximately 1,581,296 shares traded hands during trading, a decline of 77% from the average daily volume of 6,868,702 shares. The stock had previously closed at $13.47.

Crescent Energy News Summary

Here are the key news stories impacting Crescent Energy this week:

• Positive Sentiment: Crescent agreed to acquire Devon Energy’s Eagle Ford assets for an estimated net purchase price of approximately $3.85 billion, expanding its position in the basin with adjacent, Tier 1 inventory. The assets are expected to add roughly 68,000 barrels of oil equivalent per day and could generate about $140 million in annual synergies. Crescent Energy to Acquire Eagle Ford Assets from Devon Energy
• Positive Sentiment: The transaction significantly increases Crescent’s operating scale and could improve drilling efficiencies, infrastructure utilization and long-term production growth by concentrating operations in its core Eagle Ford footprint. Crescent Energy’s Devon Deal Strengthens Its Eagle Ford Dominance
• Neutral Sentiment: Crescent launched a $1 billion public offering to help fund the Devon acquisition and subsequently priced 80 million Class A shares at $12.50 each. The offering provides transaction funding but materially increases the company’s share count. Crescent Energy Announces Pricing of Public Offering
• Negative Sentiment: The equity issuance is dilutive to existing shareholders and was priced below recent trading levels, creating near-term selling pressure. Investors must also assess the substantial capital commitment, integration risks and potential balance-sheet strain associated with the acquisition. Crescent Energy Prices 80M Share Offering

Wall Street Analysts Forecast Growth

Several research analysts recently issued reports on the stock. UBS Group reiterated a “buy” rating and issued a $19.00 price target on shares of Crescent Energy in a research note on Monday, September 14th. Wall Street Zen raised shares of Crescent Energy from a “buy” rating to a “strong-buy” rating in a research note on Saturday, September 19th. Truist Financial assumed coverage on shares of Crescent Energy in a report on Thursday, September 17th. They issued a “buy” rating and a $19.00 price objective on the stock. Raymond James Financial reaffirmed a “strong-buy” rating on shares of Crescent Energy in a research note on Thursday, September 10th. Finally, BMO Capital Markets reiterated a “market perform” rating and set a $16.00 target price on shares of Crescent Energy in a report on Friday, September 18th. Two analysts have rated the stock with a Strong Buy rating, ten have given a Buy rating, four have issued a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average target price of $17.08.

Crescent Energy Stock Performance

The company has a debt-to-equity ratio of 1.00, a current ratio of 0.94 and a quick ratio of 0.94. The business has a 50 day moving average price of $13.27 and a 200 day moving average price of $12.32. The stock has a market capitalization of $4.19 billion, a PE ratio of -253.63 and a beta of 1.60.

Crescent Energy (NYSE:CRGY) last posted its quarterly earnings results on Monday, August 3rd. The company reported $0.69 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.59 by $0.10. The firm had revenue of $1.39 billion during the quarter, compared to analyst estimates of $1.26 billion. Crescent Energy had a return on equity of 10.52% and a net margin of 1.27%. The company’s quarterly revenue was up 55.3% on a year-over-year basis. As a group, equities research analysts expect that Crescent Energy Company will post 2.56 earnings per share for the current year.

Crescent Energy Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Monday, August 31st. Shareholders of record on Monday, August 17th were issued a $0.12 dividend. The ex-dividend date of this dividend was Monday, August 17th. This represents a $0.48 annualized dividend and a yield of 3.8%. Crescent Energy’s payout ratio is -960.00%.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently made changes to their positions in the company. Bank of America Corp DE lifted its holdings in shares of Crescent Energy by 308.2% during the first quarter. Bank of America Corp DE now owns 3,056,820 shares of the company’s stock valued at $41,267,000 after purchasing an additional 2,307,971 shares in the last quarter. Pickering Energy Partners LP raised its position in Crescent Energy by 5,373.0% in the 4th quarter. Pickering Energy Partners LP now owns 2,189,194 shares of the company’s stock worth $18,367,000 after buying an additional 2,149,194 shares during the last quarter. Assenagon Asset Management S.A. purchased a new position in Crescent Energy in the 2nd quarter worth about $19,415,000. Kohlberg Kravis Roberts & Co. L.P. raised its position in Crescent Energy by 7.1% in the 1st quarter. Kohlberg Kravis Roberts & Co. L.P. now owns 28,655,357 shares of the company’s stock worth $386,847,000 after buying an additional 1,897,230 shares during the last quarter. Finally, Jennison Associates LLC lifted its stake in Crescent Energy by 74.1% during the 1st quarter. Jennison Associates LLC now owns 4,254,407 shares of the company’s stock valued at $57,435,000 after acquiring an additional 1,810,225 shares during the period. Institutional investors own 52.11% of the company’s stock.

Crescent Energy Company Profile

Crescent Energy Company is an independent, U.S.-based energy company engaged in the acquisition, development, and operation of oil and natural gas properties. Its production portfolio includes crude oil, natural gas, and natural gas liquids, with an emphasis on established assets that offer ongoing development opportunities.

The company’s operations are concentrated in several major U.S. onshore producing regions, including the Eagle Ford, the Uinta Basin, and other assets across the Rocky Mountain and central United States.