Coterra Energy Inc. (CTRA)

FairStock Score: 70/100 — STEADY

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

As a value investor, I start with the business. Coterra explores for and produces oil, natural gas, and natural gas liquids in the Permian and Marcellus. That is a commodity business; it has no pricing power and therefore no wide moat. What it can control is cost, balance sheet, and capital allocation. The latest reported quarter, fiscal Q4 2025, showed $2.0 billion of revenue and $368.0 million of net income, an 18.79% margin. FairStock's data show trailing free cash flow of $1.6 billion, a 6.9% free-cash-flow yield, and debt-to-equity of 0.24. The Piotroski F-score is a perfect 9/9, and the dividend yield is 2.70%, though the Altman Z-score of 2.08 sits in the gray zone. At the 2026-05-07 close of $32.56, the stock carries a FairStock P/E of 15.00, P/B of 1.67, EV/EBITDA of 5.68, and PEG of 0.63. The Graham Number is $30.87, so the margin of safety is negative 5.47%—the price is modestly above that rough value estimate. Return on equity is 11.36%, and return on capital is 6.20%, which is not exceptional for a capital-intensive driller. The low beta of 0.30 may make the shares feel steadier than the energy sector, but commodity prices still drive results. Overall: a financially sound, cash-generative operator at a fair-to-slightly-full price, not a bargain-bin asset. I would want a wider discount before calling it clearly cheap.

In plain English: Coterra Energy is a U.S. oil and natural gas producer with properties in the Permian and Marcellus regions. In the fourth quarter of fiscal 2025, it earned $368.0 million on $2.0 billion of revenue, carries modest debt, and generates cash. At the 2026-05-07 close, the shares look roughly fair and perhaps a little above one simple fair-value estimate.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

Data as of 2026-05-07 close · note generated 2026-10-15 · model deepseek-flash

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer