Coterra Energy shares dropped 3% on Tuesday despite the oil and natural gas producer delivering better-than-expected fourth-quarter earnings late Monday. Capital efficiency was a highlight with output levels above management’s outlook range and capital expenditures near the low end of guidance. Revenue in the three months ended Dec. 31 declined 13% versus the year-ago period at $1.395 billion, slightly missing the $1.4 billion consensus forecast, according to analyst estimates compiled by LSEG. Adjusted diluted earnings per share fell 6% versus the year-ago period to 49 cents and beat expectations of 43 cents, LSEG data showed. Why we own it Formed by the merger of Cabot Oil & Gas and Cimarex, Coterra Energy is an exploration-and-production company with a high-quality, diversified asset portfolio. The company practices capital discipline and is a low-cost operator. Our lone energy stock, Coterra also acts as a hedge on inflation and geopolitical risk. Competitors: EQT Corp ., Devon Energy Last buy: Oct. 1, 2024 Initiation: April 14, 2022 Bottom Line Coterra Energy ended the year on a good note thanks to strong production on a lower-than-expected capital expenditure base. This is what we mean when we say Coterra is a disciplined, capital-efficient operator. It is able to get more out of the ground while keeping spending in check. There was some nitpicking around the company’s first-quarter outlook, which featured a lower-than-consensus production outlook and higher capital expenditures. However, the 2025 outlook was pretty much in line with what management provided in November when the company announced the acquisition of two assets in the Permian basin, a resource-rich area in western Texas and southeastern New Mexico. But there were two noteworthy updates to the full-year projections: (1) Coterra is lowering its planned Permian spending this year by $70 million, driven by cost and service deflation and acquisition synergies. (2) It’s taking part of those cost savings and raising its investment in the natural gas-rich Marcellus Shale by $50 million to increase drilling activity that will impact next winter’s volumes. The Marcellus encompasses parts of New York, Pennsylvania, Ohio, West Virginia, Maryland, Tennessee, Virginia and Kentucky. If macro conditions present an opportunity, management said it could increase Marcellus capital by an incremental $50 million in the second half of 2025 to deliver higher volumes by early 2026. This flexibility between basins and commodities is what has always attracted us to Coterra. If oil has a stronger outlook versus natural gas, Coterra can shift some of its investment activity toward more oily regions, like the Permian. If nat gas has the better fundamental outlook, it can flex some of that spending towards Marcellus to capitalize on the opportunity. “Although our 2025 plan includes significant oil investments, we also have flexibility if oil markets were to wobble. Rest assured, if we need to adjust our capital plan during the year, we will do so thoughtfully and explain it thoroughly. Flexibility is the coin of the realm,” CEO Tom Jorden said on Tuesday’s post-earnings conference call, which always held the morning after the results are released. Powering energy-intensive data centers that run artificial intelligence workloads is also an opportunity for Coterra as nat gas is the most immediate answer given many of the recent nuclear power deals with tech companies will take time to have an impact. Jorden, who will be on “Mad Money” on Tuesday evening said on the earnings call that the company is in discussions with “everything from good old fashioned combined cycle plants to, behind the meter type power solutions for data centers.” He added, “I think everyone’s still trying to figure out exactly what the end state looks like. But we have so many molecules and so many places that, we’re really well positioned to take advantage of some of this. And I’m hopeful we’ll have some good announcements coming before too long on this.” As for cash returns, Coterra paid out $218 million to shareholders in the quarter — split between $168 million in dividends and $50 million coming from share repurchases. The buyback was a step down from the $111 million spent in the third quarter but that was due to the company funding its Permian acquisitions and prioritizing debt repayment. Slower buybacks may continue this year despite $1.1 billion remaining on a $2 billion share repurchase program. As for the dividend, the company is hiking its quarterly payment by 5% to 22 cents per share, which brings the annual dividend yield on the stock up to around 3.2% based on a $27.25 stock price. That’s roughly where shares were trading Tuesday. We booked profits in Coterra in late January when the stock neared $30 per share. With the stock down about 5% since the trim, we are warming up to the idea of buying those shares back. However, we’re looking for a little bit more of a pullback to pull the trigger. So, while reiterating our 2 rating, we’re nudging up our price target to $30 per share from $28. CTRA 1Y mountain Coterra Energy 1 year 2025 guidance Following its announced Permian Basin acquisitions, Coterra provided pro forma 2025 capital expenditure, total production, and oil production outlook. The company tweaked the total production and oil production ranges but left them unchanged at the midpoint. The capital expenditure budget was also unchanged. Estimated discretionary cash flow of $5 billion based on recent strip prices. That’s higher than the consensus estimate of $4.64 billion. Estimated capital expenditure budget of $2.1 billion to $2.4 billion. The $2.25 billion midpoint is in line with the consensus of $2.23 billion. Free cash flow is estimated to be $2.7 billion based on recent strip prices. That’s higher than the consensus estimate of $2.375 billion. The company expects 2025 total equivalent production of 710 to 770 Mboe/d. The 740 midpoint of the range is slightly below the consensus forecast of 747 Mboe/d, which stands for total oil equivalent of a thousand barrels per day. Oil production is expected to be in the range of 152 to 168 Mbo/d and inline with consensus of estimate of 160 Mbo/d, which stands for a thousand of barrels of oil per day. Natural gas production is now expected to be in the range of 2,675 to 2,875 MMcf/d. The 2,775 midpoint is below the consensus of 2,808 MMcf/d, which stands for a million standard cubic feet per day. (Jim Cramer’s Charitable Trust is long 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.
In this photo illustration, a Coterra Energy Inc. logo is seen on a smartphone screen.
Coterra Energy shares dropped 3% on Tuesday despite the oil and natural gas producer delivering better-than-expected fourth-quarter earnings late Monday. Capital efficiency was a highlight with output levels above management’s outlook range and capital expenditures near the low end of guidance.
British Columbia got its first 400 kW DC fast charger last week at Canadian C-store chain On The Run, but that’s not the good part. As part of a limited time offer, these chargers are FREE!
The Canadian convenience store chain just took the wraps off its new, ABB-developed, 400 kW chargers earlier this month, but they’re already planning to bring the ultra-fast 400 kW dispensers to at least four more locations in BC this spring, and have them online just in time for the summer road trip season – something On The Run hopes its customers will appreciate.
“The A400 charger delivers an enhanced customer experience, with reliability and performance from a 32-inch screen to higher power charging sessions and power sharing,” reads the company’s official announcement, via LinkedIn. “Download the Journie Rewards app to start the charge – free for a limited time.”
On The Run’s new 400 kW ABB DC fast chargers are compatible with CCS and CHAdeMO plugs, and can accommodate Tesla and other NACS-equipped vehicles with an adapter. That said, the company seems to imply that Tesla drivers in particular will have a maximum charging speed of “just” 50 kW, which feel hilarious (given the current state of affairs between Tesla and the Canadian government), but probably isn’t.
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In addition to the ABB A400 400 kW units shown here, On The Run locations also employ the ABB Terra 184 dispensers rated at 180 kW. On The Run plans similar deployments at the four BC locations mentioned above, as well as two more each in Quebec and Ontario slated to go live towards the end of this year.
Electrek’s Take
Tesla’s controversial CEO Elon Musk once mocked 350 kW charging speed as being “for a child’s toy,” despite the fact that, nearly nine years later, his own cars and Superchargers can barely make it to 325 kW while others have sailed right on past. I made fun of that fact on the Quick Charge episode shown, above – and, while I do think it’s funny and relevant, the much more relevant piece of news here is that companies like BP Pulse, Revel, and Wallbox are actively deploying 400 kW solutions, today (while others hit the same mark as far back as 2017).
Terawatt Infrastructure‘s first medium- and heavy-duty electric charging truck stop in California is now online, in Rancho Dominguez.
Located 12 miles north of the ports of Long Beach and Los Angeles, the private Rancho Dominguez site, which is shared among multiple fleets, will support electric trucking fleet operations in and out of the largest container ports in the US.
First customers include Dreaded Trucking, Hight Logistics, PepsiCo, Quick Container Drayage, Southern Counties Express, Tradelink Transport, and WestCoast Trucking & Warehousing.
Terawatt’s electric charging truck stop features 20 pull-through and bobtail DC fast charging stalls with a capacity of 7 megawatts (MW), enabling charging for up to 125 trucks per day using a simple reservations system. Terawatt’s site features a proprietary charge management system, in-house technicians, 24/7 customer service, and onsite parts management.
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“This launch underscores growing collaboration between enterprises, shippers, carriers, and charging infrastructure providers to advance sustainable technologies across logistics and transportation operations, especially in the medium and heavy-duty sectors,” said Neha Palmer, CEO and cofounder of Terawatt. Palmer added that the company will bring another charging site online in Rialto, California, in June.
Terawatt joined some of the world’s largest shippers and carriers in September 2024 to launch the I-10 Consortium heavy-duty EV operations pilot, the “first-ever US over-the-road electrified corridor.” Terawatt is providing charging infrastructure, including software, operations, and maintenance support at six of its owned charging hubs along the I-10 corridor.
If you live in an area that has frequent natural disaster events, and are interested in making your home more resilient to power outages, consider going solar and adding a battery storage system. 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. They have 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.
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In its most aggressive attack against offshore wind yet, the Trump administration halted the $5 billion Empire Wind 1, already under construction off New York’s coast.
Norwegian developer Equinor announced yesterday that it received notice from the Bureau of Ocean Energy Management (BOEM) ordering Empire Wind 1 to halt all activities on the outer continental shelf until BOEM has completed its review. Interior Secretary Doug Burgum posted this tweet yesterday:
.@Interior, in consultation with @HowardLutnick, is directing @BOEM to immediately halt all construction activities on the Empire Wind Project until further review of information that suggests the Biden administration rushed through its approval without sufficient analysis.
— Secretary Doug Burgum (@SecretaryBurgum) April 16, 2025
Burgum gave no indication of what insufficiencies there were in the approval process for the fully permitted offshore wind project, despite Trump’s recent declaration of a national energy emergency that speeds up permitting processes.
The commercial lease for the 810-megawatt (MW) Empire Wind 1’s federal offshore wind area was signed in March 2017 during the first Trump administration. It was approved by the Biden administration in November 2023 and began construction in 2024.
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The project is being developed under contract with the New York State Energy Research and Development Authority (NYSERDA). Empire Wind 1, which was due to come online in 2027, has the potential to power 500,000 New York homes.
“Halting construction of fully permitted energy projects is the literal opposite of an energy abundance agenda,” said American Clean Power Association CEO Jason Grumet in a statement. “We encourage the administration to quickly address perceived inadequacies in the prior permit approvals so that this project can complete construction and bring much-needed power to the grid.”
As Electrekreported, Equinor secured $3 billion to finance Empire Wind 1 in January. The total amount drawn under the project finance term loan facility as of March 31 was around $1.5 billion.
As of March 31, Empire Wind has a gross book value of around $2.5 billion, including South Brooklyn Marine Terminal (pictured above), which was expected to become the US’s largest dedicated port facility for offshore wind.
In response to BOEM’s stop work order, New York Governor Kathy Hochul issued the following statement:
Every single day, I’m working to make energy more affordable, reliable and abundant in New York and the federal government should be supporting those efforts rather than undermining them. Empire Wind 1 is already employing hundreds of New Yorkers, including 1,000 good-paying union jobs as part of a growing sector that has already spurred significant economic development and private investment throughout the state and beyond.
As Governor, I will not allow this federal overreach to stand. I will fight this every step of the way to protect union jobs, affordable energy and New York’s economic future.
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