Pioneer Natural Resources (PXD) posted solid first-quarter results after the bell Wednesday, thanks to higher-than-expected energy production. Free cash flow, however, was a slight miss. It was also a bittersweet evening as CEO Scott Sheffield said he will retire at the end of the year after more than two decades collectively at the helm. Pioneer’s oil and gas revenue fell 19% year-over-year, to $3.17 billion, missing analysts’ forecasts of $3.7 billion, according to Refinitiv. But this may not be an accurate comparison as we think the analyst estimates include oil and gas plus other income items. Pioneer’s adjusted diluted earnings per share (EPS) declined 32.7% on an annual basis to $5.21, topping expectations of $4.91. Unlike most companies that hold their earnings conference calls with analysts and investors the day they report, Pioneer hosts its quarterly calls the next day — so Thursday at 10 a.m. ET. Bottom line Overall the quarter looks fine to us with production coming in at the high end of guidance. But, the big news was Sheffield’s retirement announcement and that Rich Dealy, the company’s President and COO, will become the new CEO on Jan. 1, 2024. After his exit, Sheffield is expected to remain on Pioneer’s board. This change in leadership is significant because it comes at a time when buyout rumors are swirling around the company. Is the company more likely to sell to Exxon Mobil (XOM) with Sheffield no longer running the show? Or does the appointment of Dealy, who brings more than 30 years of experience at Pioneer and its predecessor, mean the company is not for sale? The quick appointment of a new leader suggests no deal is coming soon. As a result, it’s not surprising to see Pioneer trading down roughly 2.5% at around $217.50 per share in after-hours trading. PXD YTD mountain Pioneer Natural Resources YTD Capital allocation Another reason for the selling pressure on the stock could be from income-oriented investors. Pioneer set its second-quarter base plus variable dividend at $3.34 a share – factoring in a base dividend of $1.25, which was raised 14% from $1.10, and a variable dividend of $2.09. On an annualized basis, the new yield moves down to 6% based on Wednesday’s closing price. A far cry from the 10% dividend yield we’ve come to know and love from Pioneer, but there’s a reason behind it. Management wants more flexibility to repurchase shares instead of paying a huge variable dividend. Buybacks are actually more valuable nowadays if you think oil prices are going higher in the future. Pioneer announced it’s refining its peer-leading capital return framework. The company continues to expect to return at least 75% of quarterly free cash flow to shareholders, but after paying the (now raised) base dividend, management will allocate what remains within the 75% to variable dividends and opportunistic share repurchases. This means that Pioneer will likely shift what previously went to the variable dividend into share buybacks. This isn’t the same explicit prioritization of buybacks over variable dividends that we saw from fellow exploration and production (E & P) company Coterra Energy (CTRA), which tilts more natural gas . But, it’s a notable change at Pioneer. Some investors may not like to lose out on the yield, but buying back stock when times are leaner instead of paying an unsustainable dividend is a more shareholder-friendly way to run the company in this tougher commodity environment. Under this new framework, Pioneer management can more easily opportunistically purchase stock when it believes there is a valuation disconnect in the market. And, it looks like Pioneer jumped on the opportunity to buy back its stock on the cheap in the first quarter. repurchasing $500 million of stock, up from $400 million in the fourth quarter, at an average price of $206 per share. That’s a nice trade with the stock closing at $222.48 on Wednesday. Pioneer also said the board authorized a new $4 billion share repurchase program. Given the $1.9 billion on its existing authorization, the news suggests Pioneer wants to more actively utilize buybacks as a tool to return capital. Management will surely be asked about the revised framework on Pioneer’s conference call and discuss what other trends they are seeing. Check your email inboxes for any significant updates. Pioneer’s total Q1 production of 680,000 barrels of oil equivalent per day (MBoe/d) and oil production of 361,000 barrels per day beat estimates, topped the year-ago period and came in at the high end of management’s original guidance. That’s a positive outcome given the company’s is oil-weighted and crude offers a much higher profit margin than natural gas. Notably, Pioneer doesn’t hedge its oil production, making its realized pricing closer to that of the underlying commodity. Second-quarter guidance provided by Pioneer looked solid from our vantage point and relative to analyst estimates of FactSet. Total Q2 production is estimated between 674,000 and 702,000 barrels of oil equivalent per day, which at the midpoint exceeds forecasts of nearly 681,000. Oil production is forecast between 357,000 to 372,000 barrels per day, which at the midpoint tops estimates of 364,000. Pioneer made no changes to its full-year 2023 production or capital budget outlook. (Jim Cramer’s Charitable Trust is long PXD, CTRA. See here for a full list of the stocks.) As a subscriber to the CNBC Investing Club with Jim Cramer, you will receive a trade alert before Jim makes a trade. Jim waits 45 minutes after sending a trade alert before buying or selling a stock in his charitable trust’s portfolio. If Jim has talked about a stock on CNBC TV, he waits 72 hours after issuing the trade alert before executing the trade. THE ABOVE INVESTING CLUB INFORMATION IS SUBJECT TO OUR TERMS AND CONDITIONS AND PRIVACY POLICY , TOGETHER WITH OUR DISCLAIMER . NO FIDUCIARY OBLIGATION OR DUTY EXISTS, OR IS CREATED, BY VIRTUE OF YOUR RECEIPT OF ANY INFORMATION PROVIDED IN CONNECTION WITH THE INVESTING CLUB. NO SPECIFIC OUTCOME OR PROFIT IS GUARANTEED.
Scott Sheffield, CEO of Pioneer Natural Resources.
Adam Jeffery | CNBC
Pioneer Natural Resources (PXD) posted solid first-quarter results after the bell Wednesday, thanks to higher-than-expected energy production. Free cash flow, however, was a slight miss. It was also a bittersweet evening as CEO Scott Sheffield said he will retire at the end of the year after more than two decades collectively at the helm.
Georgia BRIGHT, a statewide initiative to deliver affordable solar, kicked off its “No-Cost Solar Plan” in Atlanta yesterday, giving qualified homeowners a shot at roughly 400 fully prepaid rooftop-solar systems with zero upfront or maintenance costs. However, Georgia Bright’s No-Cost Solar Plan may lose its $156 million in grant money if the EPA steals back the Solar for All program’s entire $7 billion, which funded it.
On Earth Day (April 22) 2024, the Georgia BRIGHT Communities Coalition, including lead applicant Capital Good Fund, along with coalition member cities, Atlanta, Savannah, and Decatur, and dozens of other Georgia stakeholders, was allocated $156 million from Solar for All to bring solar to thousands of households statewide between now and mid-2029.
Families that earn 80% or less of their county’s Area Median Income can enter a drawing for the No-Cost Solar Plan now; a second drawing for another 400 systems is set for spring 2026.
“As the cost of living increases across our most vulnerable communities, this program will deliver significant savings to the households that need it most,” said Alicia Brown, director of Georgia BRIGHT.
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Those savings are already showing up. Pilot participant Christine Difeliciantonio saw her power bill plunge on her Columbus home from $224 in June 2024 to $50 in June 2025 after her panels came online, and she says the added resilience eases her mind during storms.
Nonprofits are benefiting, too. Trees Atlanta had 140 panels installed on their headquarters last November in the pilot program; the rooftop array went live in March and is on track to save about $3,000 a year, the carbon equivalent of planting 28,000 trees over 25 years.
What’s next for Georgia BRIGHT …
Georgia BRIGHT’s other programs in the works include its Residential Solar Savings Plan, offering custom rooftop installs with no upfront cost and guaranteeing households at least 20% savings on day one after factoring in the modest monthly payments. Georgia BRIGHT is also developing Community Benefit Solar, which lets businesses, houses of worship, and apartment buildings go solar so long as they share part of the financial benefits – think grocery gift cards, help with utility bills, discounted daycare, or rent relief – with eligible neighbors for five years. Finally, a Utility-Led Community Solar initiative will send grants to local utilities so they can run shared-solar programs designed specifically for low-income customers.
These programs really make a difference in a state like Georgia, which doesn’t offer any other solar incentives.
… if the EPA doesn’t steal its money
The New York Timesreported today that the Trump-led EPA is drafting letters to claw back the entire $7 billion Solar for All pot from 49 states, plus 11 nonprofit groups and Native American tribes. The grant money was awarded under President Biden’s 2022 Inflation Reduction Act. According to the Times‘ sources, the EPA plans to send termination notices this week, effectively erasing solar savings for nearly a million low-income families before the panels ever land on their roofs.
Legal groups are already gearing up for the fight. “If leaders in the Trump administration move forward with this unlawful attempt to strip critical funding from communities across the United States, we will see them in court,” Kym Meyer of the Southern Environmental Law Center told the Times.
If the EPA pulls the trigger on this cruel, senseless plan to steal solar from lower-income communities, it wouldn’t just kneecap Georgia’s new program – it would pull the rug out from under low-income solar projects nationwide. The fight over Solar for All is officially on. How about that energy emergency that Trump declared, eh?
The 30% federal solar tax credit is ending this year. If you’ve ever considered going solar, now’s the time to act. To make sure you find a trusted, reliable solar installer near you that offers competitive pricing, check out EnergySage, a free service that makes it easy for you to go solar. It has hundreds of pre-vetted solar installers competing for your business, ensuring you get high-quality solutions and save 20-30% compared to going it alone. Plus, it’s free to use, and you won’t get sales calls until you select an installer and share your phone number with them.
Your personalized solar quotes are easy to compare online and you’ll get access to unbiased Energy Advisors to help you every step of the way. Get started here.
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Tesla is in trouble, facing down hundreds of millions in fines on a single Autopilot wrongful death claim, accusations of covering up evidence, and plummeting sales in Europe, China, and the US. But, hey – that’s no reason to NOT give Elon a $29 billion bonus, right? Find out more on today’s troubling episode of Quick Charge!
We’re also helping Costco celebrate the first half-birthday of its EV marketplace, where you can get a great deal on a new Chevy Silverado EV capable of going more than one thousand miles on a single charge [insert 400 pages of fine print and disclaimers here–Ed.].
Today’s episode is brought to you by Retrospec, the makers of sleek, powerful e-bikes and outdoor gear built for everyday adventure. Quick Charge listeners can get an extra 10% off their next ride until August 14 with the exclusive code ELECTREK10, only at retrospec.com.
New episodes of Quick Charge are recorded, usually, Monday through Thursday (most weeks, anyway). We’ll be posting bonus audio content from time to time as well, so be sure to follow and subscribe so you don’t miss a minute of Electrek’s high-voltage daily news.
Got news? Let us know! Drop us a line at tips@electrek.co. You can also rate us on Apple Podcasts and Spotify, or recommend us in Overcast to help more people discover the show.
BLUETTI portable power stations offer enough capacity to run power tools, appliances, or even serve as a full-home backup during outages. For extended outages, BLUETTI offers modular systems can keep your fridge, lights, or Wi-Fi going for days. And, if you’re traveling light, the new Handsfree line of backpack power stations offer plug-and-play energy on the go — perfect for remote work, camping, or emergencies.
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Lucid Group (LCID) lowered its production goal for 2025, citing a changing market environment. Despite missing second-quarter expectations, the EV maker still has ambitious growth plans.
Why is Lucid lowering its 2025 production guidance?
After reporting Q2 earnings on Tuesday, Lucid said it now expects to produce around 18,000 to 20,000 vehicles, down from the previous 20,000 it had previously maintained.
The company said the updated production target reflects “the potential impact of continuously changing market environment and external factors.”
Despite reporting record revenue of $259.4 million, it missed Wall Street’s expectations of around $280 million. Lucid posted a net loss of $790 million, or 0.34 per share. With an adjusted loss per share of 0.24, the company also missed bottom-line estimates of a 0.21 loss per share.
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Lucid ended the quarter with $4.86 billion in total liquidity, including $3.63 billion in cash, cash equivalents, and investments.
Lucid Air (left) and Gravity (right) Source: Lucid
The reserve provides “ample flexibility,” according to Lucid, to fund operations, scale Gravity production, and invest in future platforms.
Lucid confirmed that it believes the liquidity is sufficient to fund it through the second half of 2026, when it will begin production of its midsize platform. The platform will have at least three “top hats,” including an expected midsize SUV and sedan. With prices starting at around $50,000, Lucid’s midsize models are expected to compete with the Tesla Model Y and Model 3.
Lucid Gravity SUV fitted with Nuro’s self-driving tech (Source: Lucid)
Last month, Lucid announced a partnership with Uber and Nuro to deploy 20,000 electric robotaxis over the next six years. Uber will invest $300 million in Lucid as part of the collaboration.
It’s also expanding awareness with the addition of a new brand ambassador, Timothée Chalamet. The multi-year partnership will launch with a new advertising campaign this fall.
Lucid delivery and production (Source: Lucid Group)
Despite lowering its full-year production goal, Lucid achieved its sixth consecutive quarter of record deliveries. Lucid delivered 3,309 vehicles in Q2 and produced 3,863 at its Casa Grande, Arizona, plant.
Despite the lower forecast, Lucid said it’s still “on track to significantly increase production” in the second half of 2025.
Like most auto brands, Lucid is preparing for a shakeup under the Trump Administration. However, Lucid already builds most components in the US, including the battery and powertrain. It’s also expanding its supply chain with new partnerships for domestic EV resources such as Graphite.
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