California Resources Corporation reports results for the quarter ended September 30 - Earnings Summary

What happened

California Resources Corporation reported adjusted earnings of $1.17 per share for the quarter ended September 30, down from $1.46 a year earlier. Revenue fell 50.8% to $421.00 million, and the company reported a quarterly loss of $315 million.

Confirmed

Global impact / market context

The company earned less per share than a year ago, and revenue came in far below the $965.31 million analysts expected. The reported loss of $315 million shows costs or one-time items outweighed revenue, which can pressure cash available for drilling, debt payments, or shareholder returns.

Analyst inference

Analysts had already cut their average earnings estimate by about 36.1% over three months, with nine negative revisions in the last 30 days. Despite the weak results, the average analyst rating remains buy, with a median 12-month price target of $76.00, about 30.9% above the last close of $52.54.

Analyst inference

What to watch

1. Watch whether the nine analysts who lowered earnings estimates in the last 30 days revise them again after revenue of $421.00 million missed the $965.31 million expectation. Confirmed
2. Watch for company guidance on capital spending and production, because lower revenue and a $315 million quarterly loss may force management to slow drilling or borrow money. Proposed
3. Watch whether the buy ratings and $76.00 median price target hold, since the gap between analyst optimism and weak results could prompt rating changes that affect investor positioning. Analyst inference

Evidence

• Original source link unavailable