Crescent Energy CRGY

NYSE CRGY

$13.77 +1.26 (+10.11%)

As of: Oct 16, 2026 · 3:59 PM EDT

Crescent Energy (CRGY) stock price is $13.77, up 10.11% on the day, as of Oct 16, 2026. It has a market cap of $4.53Bn and a P/E ratio of 82.71, and is classified in the Oil and Gas Exploration and Production industry (Energy sector).

Key Stats

Market Cap4.53 Bn

P/E82.71

P/S1.05

Div. Yield0.03

Total Debt (Qtr)5.17 Bn

Revenue Growth (1y) (Qtr)55.34

Add ratio to table…

About

Crescent Energy Company is a differentiated energy company focused on the acquisition and development of onshore oil and natural gas assets in the United States. The company operates primarily in the Eagle Ford, Permian, and Uinta Basins, with activities centered on working interest assets, mineral and royalty interests, and midstream infrastructure investments. Crescent generates revenue through the production and sale of crude oil, natural gas, and natural gas liquids from…

Crescent Energy Company generates revenue primarily from the sale of hydrocarbons produced from its working interest assets in key U. S. basins, including oil, natural gas, and natural gas liquids. Additional revenue streams come from mineral and royalty interests, which provide cost-free production revenue from acreage leased to third-party operators, and midstream assets such as its 12.0% interest in the Springfield Gathering System, which offers gathering services to upstream operations and other customers. The company markets its production through industry-standard negotiated contracts with purchasers, using index-based pricing adjusted for quality, location, and transportation costs, without reliance on regulated sales or transportation rates for its core operations.

Crescent Energy Company operates through the following segments: Working Interest Assets, Mineral and Royalty Interests, and Midstream Infrastructure.

Working Interest Assets: This segment encompasses Crescent’s operated and non-operated working interests in oil and natural gas properties across the Eagle Ford, Permian, and Uinta Basins, where the company bears a share of capital and operating expenses and is entitled to revenues based on its net revenue interest. As of December 31, 2025, the segment included 1.0 million net acres, with 960,000 net acres designated as operator, and produced 92,383 MBoe annually. The segment’s proved reserves totaled 950 MMBoe, with an estimated PV-10 value of $7.244 billion, reflecting a 61% liquids mix and a stable, lower-decline production profile.
Mineral and Royalty Interests: This segment consists of non-operated mineral and royalty interests in premier U. S. oil and natural gas basins, primarily in the Eagle Ford, where Crescent retains a royalty interest on production without bearing future capital or operating costs. As of December 31, 2025, the company owned mineral and royalty interests in 1.2 million gross acres, of which approximately 76% were leased, generating royalty revenue from production by large, well-capitalized operators. The segment contributed 26 MMBoe of proved reserves and $273 million in net PD PV-10 as of year-end 2025, representing about 3% of total proved reserves.
Midstream Infrastructure: This segment includes Crescent’s ownership interests in midstream assets that serve its upstream operations and third-party customers, most notably a 12.0% interest in the Springfield Gathering System in the Eagle Ford Shale, operated by Western Midstream Partners, LP. The system provides oil and natural gas gathering services in Dimmit, La Salle, and Webb Counties of southeast Texas, enhancing operational efficiency and cash flow margins for Crescent’s upstream assets. While specific financial metrics for this interest are not detailed in the filing, the asset is described as providing operational advantages and contributing to enhanced cash flow through fee-based gathering and transportation services.

Crescent Energy Company holds a competitive position in the U. S. onshore oil and natural gas sector through its free cash flow-focused strategy, lower decline rate production base, and disciplined reinvestment approach, which distinguishes it from peers that pursue higher capital intensity growth. The company benefits from scale and operational efficiency in the Eagle Ford Basin, its core focus area, and leverages its relationship with the KKR Group for access to capital, strategic acquisition opportunities, and operational improvement resources such as KKR Capstone. Its balanced portfolio of long-life reserves, stable production, and high-quality development inventory provides resilience against commodity price volatility compared to more leveraged or growth-at-all-costs peers.

Crescent Energy Company serves a diverse customer base consisting primarily of major energy traders, integrated oil companies, and midstream purchasers that buy its oil, natural gas, and NGL production under market-linked contracts. During the year ended December 31, 2025, the company’s top purchasers included Shell Trading US Company, which accounted for 21.4% of total revenues, ConocoPhillips at 13.5%, and Enterprise Products Partners L. P. at 11.7%. These customers reflect the company’s reliance on established, creditworthy counterparties in its producing regions for the sale of its hydrocarbon output.

Investment Thesis

▲ Bull case

The company reported record total production of 341 thousand barrels of oil equivalent per day including 140 thousand barrels per day of oil which demonstrates strong operational execution and the ability to outpace guidance. This outperformance was driven by faster cycle times in the Permian and base production improvements across the legacy asset base indicating that the underlying producing portfolio is healthier than previously expected. The ability to increase production without materially increasing capital intensity suggests that incremental margins are being captured on existing assets which should support free cash flow generation even if commodity prices moderate. The production beat also provides a buffer against any near‑term decline in activity levels as the company can rely on its strong base to maintain cash flow.
Management highlighted that Permian integration synergies have already exceeded the initial target with 120 million dollars captured to date and further upside identified. This early synergy capture reflects successful rebidding of service contracts deployment of dynamic gas blending fleets and facility design improvements that have reduced well costs by over 500 thousand dollars per well relative to the prior operator. The ongoing identification of additional cost saving opportunities indicates that the integration process is still in its early stages and that further efficiency gains are likely to accrue over the next twelve to eighteen months. These synergies directly enhance the margin profile of the Permian assets and contribute to the company’s ability to generate robust free cash flow.
The liquids oriented drilling flexibility is a key growth driver with more than 90% of the 2026 drilling program already allocated to oily assets. This focus allows the company to pivot capital toward the highest return opportunities across the Eagle Ford Permian and other basins as market conditions evolve. The ability to reallocate capital quickly means that Crescent Energy can capture incremental upside from improving oil prices without being locked into a rigid gas weighted development plan. Such flexibility supports sustained production growth and protects the company from downside risk in gas markets while maintaining exposure to the more profitable oil segment.
The minerals and royalties business is expected to generate approximately 200 million dollars of EBITDA for the year representing a meaningful increase over original guidance and providing a high margin cash flow stream that is largely insensitive to operating costs. This segment benefits from a world class resource base and operates with a leverage target of 1.5 times or below by year end which suggests a strong balance sheet profile for the royalty assets. The cash flow from minerals can be used to deleverage the overall company fund accretive M&A or return capital to shareholders thereby enhancing per share value. The royalty stream also offers a hedge against operational volatility in the exploration and production business.
Liquidity remains strong with approximately two billion dollars of available liquidity and no near term debt maturities which gives the company ample runway to execute its capital allocation policy of debt reduction accretive M&A and opportunistic share repurchases. Management’s refinancing actions have already lowered interest expense extended debt maturities and improved the cost of capital which directly supports future free cash flow generation. The combination of high liquidity a disciplined capital framework and a clear pathway to lower absolute leverage reduces financial risk and positions Crescent Energy to take advantage of market dislocations or attractive acquisition opportunities should they arise.

The company reported record total production of 341 thousand barrels of oil equivalent per day including 140 thousand barrels per day of oil which demonstrates strong operational execution and the ability to outpace guidance. This outperformance was driven by faster cycle times in the Permian and base production improvements across the legacy asset base indicating that the underlying producing portfolio is healthier than previously expected. The ability to increase production without materially increasing capital intensity suggests that incremental margins are being captured on existing assets which should support free cash flow generation even if commodity prices moderate. The production beat also provides a buffer against any near‑term decline in activity levels as the company can rely on its strong base to maintain cash flow.
Management highlighted that Permian integration synergies have already exceeded the initial target with 120 million dollars captured to date and further upside identified. This early synergy capture reflects successful rebidding of service contracts deployment of dynamic gas blending fleets and facility design improvements that have reduced well costs by over 500 thousand dollars per well relative to the prior operator. The ongoing identification of additional cost saving opportunities indicates that the integration process is still in its early stages and that further efficiency gains are likely to accrue over the next twelve to eighteen months. These synergies directly enhance the margin profile of the Permian assets and contribute to the company’s ability to generate robust free cash flow.
The liquids oriented drilling flexibility is a key growth driver with more than 90% of the 2026 drilling program already allocated to oily assets. This focus allows the company to pivot capital toward the highest return opportunities across the Eagle Ford Permian and other basins as market conditions evolve. The ability to reallocate capital quickly means that Crescent Energy can capture incremental upside from improving oil prices without being locked into a rigid gas weighted development plan. Such flexibility supports sustained production growth and protects the company from downside risk in gas markets while maintaining exposure to the more profitable oil segment.
The minerals and royalties business is expected to generate approximately 200 million dollars of EBITDA for the year representing a meaningful increase over original guidance and providing a high margin cash flow stream that is largely insensitive to operating costs. This segment benefits from a world class resource base and operates with a leverage target of 1.5 times or below by year end which suggests a strong balance sheet profile for the royalty assets. The cash flow from minerals can be used to deleverage the overall company fund accretive M&A or return capital to shareholders thereby enhancing per share value. The royalty stream also offers a hedge against operational volatility in the exploration and production business.
Liquidity remains strong with approximately two billion dollars of available liquidity and no near term debt maturities which gives the company ample runway to execute its capital allocation policy of debt reduction accretive M&A and opportunistic share repurchases. Management’s refinancing actions have already lowered interest expense extended debt maturities and improved the cost of capital which directly supports future free cash flow generation. The combination of high liquidity a disciplined capital framework and a clear pathway to lower absolute leverage reduces financial risk and positions Crescent Energy to take advantage of market dislocations or attractive acquisition opportunities should they arise.

▼ Bear case

The company’s oil realizations are heavily tied to the MEH linked pricing mechanism with roughly 70 to 75% of crude volumes priced off MEH which currently trades at a premium to WTI due to geopolitical factors. If the Middle East situation stabilizes the MEH premium could dissipate causing realized prices to fall below WTI and reducing the 99% of WTI realization reported in the quarter. This exposure creates a potential headwind to revenue and free cash flow that is not fully offset by the current hedging program which primarily addresses Waha natural gas basis risk. A reversal of the MEH premium would directly impact the top line and could erode the margin benefits seen in the first quarter.
Although management reported being well hedged on Waha gas prices in the mid $2s for the next 24 months the hedge does not eliminate all basis risk and any unexpected widening of the Waha differential beyond the hedged range could affect the economics of gas weighted assets. The Permian asset base still contains a non trivial amount of gas exposure and any sustained period of negative or low Waha prices could pressure cash flow from those assets despite the hedge. The company’s reliance on hedges to manage commodity price volatility introduces counterparty and execution risk that may not be fully captured in the current guidance.
The working capital draw of 140 million dollars observed in the quarter was attributed to recent acquisitions and divestitures activity and while management expects a reversal in the next quarter the timing of that reversal is uncertain. If the working capital draw persists longer than anticipated it could constrain short term liquidity and limit the company’s ability to pursue opportunistic capital allocation such as share repurchases or accretive M&A. A prolonged working capital outflow would also increase reliance on the existing cash buffer and could affect the company’s financial flexibility during periods of market stress.
Tax assets are expected to offset 2026 taxable income but the company would become a cash taxpayer only if WTI exceeds 80 dollars for a sustained period. Should oil prices remain above that threshold for an extended period the tax shield would diminish leading to higher cash tax payments and reduced free cash flow. The current outlook assumes a certain price environment and any upside in commodity prices beyond the assumed level could therefore translate into a smaller than expected free cash flow conversion. This creates a risk to the 1 billion dollar levered free cash flow forecast for the full year if oil prices stay elevated.
The company’s capital allocation framework emphasizes debt reduction accretive M&A and share repurchases but does not provide a clear priority ranking among these uses of free cash flow. In a scenario where free cash flow generation falls short of expectations due to operational setbacks or commodity price weakness management may be forced to cut share repurchases or delay M&A to maintain deleveraging targets. This could disappoint investors who are counting on consistent shareholder returns and could weigh on the stock price. The lack of a explicit dividend growth commitment also leaves the income component of total return somewhat uncertain compared to peers with more established dividend policies.

The company’s oil realizations are heavily tied to the MEH linked pricing mechanism with roughly 70 to 75% of crude volumes priced off MEH which currently trades at a premium to WTI due to geopolitical factors. If the Middle East situation stabilizes the MEH premium could dissipate causing realized prices to fall below WTI and reducing the 99% of WTI realization reported in the quarter. This exposure creates a potential headwind to revenue and free cash flow that is not fully offset by the current hedging program which primarily addresses Waha natural gas basis risk. A reversal of the MEH premium would directly impact the top line and could erode the margin benefits seen in the first quarter.
Although management reported being well hedged on Waha gas prices in the mid $2s for the next 24 months the hedge does not eliminate all basis risk and any unexpected widening of the Waha differential beyond the hedged range could affect the economics of gas weighted assets. The Permian asset base still contains a non trivial amount of gas exposure and any sustained period of negative or low Waha prices could pressure cash flow from those assets despite the hedge. The company’s reliance on hedges to manage commodity price volatility introduces counterparty and execution risk that may not be fully captured in the current guidance.
The working capital draw of 140 million dollars observed in the quarter was attributed to recent acquisitions and divestitures activity and while management expects a reversal in the next quarter the timing of that reversal is uncertain. If the working capital draw persists longer than anticipated it could constrain short term liquidity and limit the company’s ability to pursue opportunistic capital allocation such as share repurchases or accretive M&A. A prolonged working capital outflow would also increase reliance on the existing cash buffer and could affect the company’s financial flexibility during periods of market stress.
Tax assets are expected to offset 2026 taxable income but the company would become a cash taxpayer only if WTI exceeds 80 dollars for a sustained period. Should oil prices remain above that threshold for an extended period the tax shield would diminish leading to higher cash tax payments and reduced free cash flow. The current outlook assumes a certain price environment and any upside in commodity prices beyond the assumed level could therefore translate into a smaller than expected free cash flow conversion. This creates a risk to the 1 billion dollar levered free cash flow forecast for the full year if oil prices stay elevated.
The company’s capital allocation framework emphasizes debt reduction accretive M&A and share repurchases but does not provide a clear priority ranking among these uses of free cash flow. In a scenario where free cash flow generation falls short of expectations due to operational setbacks or commodity price weakness management may be forced to cut share repurchases or delay M&A to maintain deleveraging targets. This could disappoint investors who are counting on consistent shareholder returns and could weigh on the stock price. The lack of a explicit dividend growth commitment also leaves the income component of total return somewhat uncertain compared to peers with more established dividend policies.

Product and Service Breakdown of Revenue (2025)

History

Segments Breakdown of Revenue (2025)

History

Peer percentiles

How Crescent Energy ranks

Ranked against the 103 companies in Oil and Gas Upstream58 metrics · as of Oct 16, 2026

Valuation

12 metrics · Lower multiples rank higher; a negative multiple ranks last

P/E 75.5xMedian 12.3x 45^th
P/FCF 7.59xMedian 10.7x 82^nd
P/Operating cash flow 2.11xMedian 5.22x 95^th
P/S 0.96xMedian 1.91x 85^th
P/B 0.80xMedian 1.39x 84^th
P/Tangible book 0.80xMedian 1.41x 87^th
EV/EBITDA 4.11xMedian 5.56x 77^th
EV/EBIT 10.2xMedian 11.0x 70^th
EV/Revenue 2.10xMedian 2.46x 67^th
EV/FCF 16.6xMedian 13.0x 59^th
EV/Operating cash flow 4.61xMedian 6.57x 77^th
PEG (3Y EPS CAGR)EPS is not growing −1.36Median 2.18 Not meaningful —

Growth

14 metrics · Year-on-year growth and three-year compound annual growth

Revenue growth (1Y) 24.3%Median 8.8% 75^th
Revenue CAGR (3Y) 17.9%Median −2.2% 88^th
Gross profit growth (1Y) —Median 5.5% No data —
Gross profit CAGR (3Y) —Median −3.3% No data —
Operating income growth (1Y) 308%Median 8.1% 92^nd
Operating income CAGR (3Y) 6.4%Median −18.0% 81^st
Net income growth (1Y) 732%Median 10.0% 94^th
Net income CAGR (3Y) −57.1%Median −16.9% 13^th
EPS growth (1Y) 60.0%Median 8.7% 74^th
EPS CAGR (3Y) −55.5%Median −19.7% 11^th
Operating cash flow growth (1Y) 23.4%Median 7.9% 73^rd
Operating cash flow CAGR (3Y) 23.6%Median −4.0% 94^th
Free cash flow growth (1Y) 177%Median 4.9% 87^th
Free cash flow CAGR (3Y) 23.7%Median −3.9% 77^th

Profitability

14 metrics · Margins, returns on capital and the quality of earnings

Gross margin —Median 74.2% No data —
EBITDA margin 51.1%Median 39.4% 66^th
Operating margin 20.6%Median 13.5% 57^th
Pretax margin 3.5%Median 8.0% 43^rd
Net margin 1.3%Median 8.0% 43^rd
FCF margin 12.6%Median 9.7% 57^th
Operating cash flow margin 45.5%Median 38.5% 64^th
Return on equity 1.5%Median 8.4% 40^th
Return on assets 0.6%Median 3.5% 43^rd
Return on invested capital 4.2%Median 8.8% 36^th
Return on capital employed 8.2%Median 6.0% 57^th
Asset turnover 0.36xMedian 0.35x 53^rd
Cash conversion (OCF / net income) 27.0xMedian 2.09x 99^th
Stock comp / revenue 4.0%Median 1.6% 22^nd

Financial Health

11 metrics · Leverage, liquidity and solvency; less debt ranks higher

Debt / assets 43.0%Median 19.0% 13^th
Debt / equity 1.00xMedian 0.36x 12^th
Net debt / EBITDA 2.23xMedian 0.96x 18^th
Debt / FCF 9.48xMedian 2.53x 12^th
Liabilities / assets 57.0%Median 48.2% 34^th
Equity / assets 43.0%Median 52.0% 33^rd
Interest coverage 2.50xMedian 2.14x 55^th
Current ratio 0.94xMedian 1.04x 41^st
Quick ratio 0.80xMedian 0.88x 45^th
Cash ratio 0.23xMedian 0.32x 43^rd
Altman Z-score 0.96Median 1.49 37^th

Peer group

Peer Comparison

Companies in the Oil and Gas Exploration and Production

View all peers

S.No.	Ticker	Company	Market Cap	P/E	P/S	Total Debt (Qtr)
1	XOM	ExxonMobil Holdings Corp	746.42 Bn	22.79	2.02	42.37 Bn
2	CVX	Chevron Corp	442.96 Bn	21.51	2.06	37.08 Bn
3	SHEL	Shell plc	313.69 Bn	12.90	1.86	73.08 Bn
4	TTE	TotalEnergies SE	200.00 Bn	17.78	1.73	62.92 Bn
5	COP	Conocophillips	177.72 Bn	19.15	2.72	23.29 Bn
6	EQNR	Equinor Asa	121.70 Bn	15.17	1.06	24.43 Bn
7	PSX	Phillips 66	117.59 Bn	16.58	0.75	20.57 Bn
8	CRGY	Crescent Energy Co	4.53 Bn	82.71	1.05	5.17 Bn