Berry Corporation (BRY)

Berry Corporation (BRY) Energy Operations & Outlook

Berry Corporation (BRY) is an independent energy company focused on the development and production of conventional oil reserves in California and Utah. With a history dating back to 1909, Berry operates in the upstream energy sector, balancing production with well servicing and abandonment operations.

What Is the Investment Thesis for BRY?

Berry Corporation presents a focused investment opportunity within the conventional oil production sector. With a market capitalization of $253.00M and a dividend yield of 3.68%, BRY offers potential income for investors. The company's operations are concentrated in specific regions of California and Utah, which allows for targeted capital allocation and operational efficiencies. Key value drivers include optimizing production from its 3,417 net productive wells and managing well servicing and abandonment costs effectively. Upcoming catalysts include potential increases in oil prices, which could significantly improve profitability, and ongoing operational improvements aimed at reducing production costs. Potential risks include fluctuating commodity prices and regulatory changes in California that could impact operational costs and production volumes.

Based on FMP financials and quantitative analysis

BRY Key Highlights

• Market Cap of $253.00M reflects its position as a smaller player in the oil and gas sector.
• Gross Margin of 31.0% indicates moderate profitability in its core operations.
• Dividend Yield of 3.68% provides an income stream for investors.
• Beta of 0.83 suggests lower volatility compared to the broader market.
• Operates 3,417 net productive wells as of December 31, 2021, highlighting its established production infrastructure.

Who Are BRY's Competitors?

BRY is benchmarked below against 8 industry peers on price, market cap, and our AI MoonshotScore.

AI Score by Stock Expert AI · Price data: FMP / Yahoo Finance

What Are BRY's Key Strengths?

• Established operations in California and Utah.
• Significant number of productive wells.
• Expertise in well servicing and abandonment.
• Dividend yield provides investor returns.

What Are BRY's Weaknesses?

• Relatively small market capitalization.
• Negative profit margin.
• Concentrated geographic focus.
• Exposure to fluctuating commodity prices.

What Could Drive BRY Stock Higher?

• Potential increase in oil prices could improve profitability.
• Operational improvements aimed at reducing production costs.
• Expansion of well servicing and abandonment services to third-party operators.
• Strategic acquisitions of smaller oil and gas assets in core operating regions.

What Are the Key Risks for BRY?

• Financial-distress signal — its Altman Z-Score of 0.47 sits in the distress zone (elevated bankruptcy risk).
• Negative return on equity (-13.6%) — the business is not currently generating profit on shareholder capital.
• Fluctuations in commodity prices impacting revenue and profitability.
• Stringent environmental regulations in California increasing operational costs.
• Operational disruptions due to equipment failures or natural disasters.
• Changes in government policies affecting oil and gas production.

What Are the Growth Opportunities for BRY?

• Enhanced Oil Recovery (EOR) Techniques: Berry Corporation can leverage advanced EOR techniques to increase production from its existing wells. The market for EOR technologies is projected to grow as companies seek to maximize output from mature fields. Implementing EOR could significantly boost Berry's production volumes over the next 3-5 years, providing a competitive advantage through increased efficiency and resource utilization.
• Strategic Acquisitions: Berry Corporation could pursue strategic acquisitions of smaller oil and gas assets in its core operating regions. Consolidating assets can lead to economies of scale and increased market share. The timeline for acquisitions depends on market conditions and available opportunities, but successful integration could enhance Berry's production capacity and profitability within 2-3 years.
• Well Servicing and Abandonment Services Expansion: Berry Corporation can expand its well servicing and abandonment services to third-party operators in California and Utah. This diversification could generate additional revenue streams and reduce reliance on its own production activities. The market for well servicing is substantial, driven by the need to maintain and decommission aging oil wells. This expansion could contribute to revenue growth within the next year.
• Technological Innovation: Investing in new technologies, such as advanced drilling techniques and data analytics, can improve operational efficiency and reduce costs. These technologies can optimize production, minimize environmental impact, and enhance decision-making. The implementation of these technologies could yield significant improvements in operational performance over the next 2-4 years.
• Renewable Energy Integration: Berry Corporation can explore opportunities to integrate renewable energy sources into its operations, such as solar or wind power, to reduce its carbon footprint and lower energy costs. This could also position the company more favorably with regulators and investors focused on environmental sustainability. The timeline for integrating renewable energy projects could range from 1-3 years, depending on project scale and regulatory approvals.

What Opportunities Does BRY Have?

• Enhanced oil recovery techniques.
• Strategic acquisitions of smaller assets.
• Expansion of well servicing to third parties.
• Integration of renewable energy sources.

What Threats Does BRY Face?

• Stringent environmental regulations in California.
• Fluctuations in oil prices.
• Competition from larger oil and gas companies.
• Potential for operational disruptions.

What Are BRY's Competitive Advantages?

• Established presence in specific geographic regions (California and Utah).
• Extensive network of 3,417 net productive wells.
• Expertise in conventional oil production techniques.
• Integrated operations including well servicing and abandonment.

What Does BRY Do?

Berry Corporation, established in 1909 and headquartered in Dallas, Texas, is an independent upstream energy company specializing in the development and production of conventional oil reserves. Originally known as Berry Petroleum Corporation, the company rebranded to Berry Corporation in February 2020. The company's operations are primarily concentrated in the western United States, specifically within the San Joaquin and Ventura basins in California, and the Uinta basin in Utah. Berry Corporation operates through two principal segments: Development and Production, which focuses on extracting oil from its reserves, and Well Servicing and Abandonment, which involves maintaining existing wells and decommissioning unproductive ones. As of December 31, 2021, Berry Corporation managed a total of 3,417 net productive wells. The company's strategic focus on conventional oil reserves positions it within a mature, yet still vital, segment of the energy market, emphasizing operational efficiency and responsible resource management. Berry Corporation's long-standing presence in the industry reflects its ability to adapt to changing market conditions and regulatory environments, while maintaining a commitment to sustainable practices in its operations.

What Products and Services Does BRY Offer?

• Develop and produce conventional oil reserves.
• Operate in the San Joaquin and Ventura basins, California.
• Operate in the Uinta basin, Utah.
• Manage 3,417 net productive wells.
• Provide well servicing and abandonment services.
• Focus on upstream energy activities.

How Does BRY Make Money?

• Generate revenue through the sale of crude oil.
• Operate two segments: Development and Production, and Well Servicing and Abandonment.
• Focus on conventional oil reserves in specific geographic regions.
• Manage and optimize existing well infrastructure.

What Industry Does BRY Operate In?

Berry Corporation operates within the oil and gas exploration and production industry, a sector characterized by cyclical commodity prices and evolving regulatory landscapes. The industry is currently navigating a transition towards cleaner energy sources, with increasing pressure to reduce carbon emissions. Berry Corporation's focus on conventional oil reserves in California and Utah places it in a region with stringent environmental regulations. Competitors range from large integrated oil companies to smaller independent producers. The market is influenced by global oil demand, geopolitical factors, and technological advancements in extraction and production methods.

Who Are BRY's Key Customers?

• Refineries that process crude oil.
• Wholesale oil distributors.
• End-users of petroleum products.

Berry Corporation Financial Trajectory

Berry Corporation (BRY) reported $155.8M in revenue for Q3 2025, reflecting 1.4% growth compared to the prior quarter. The company recorded a net loss of $26.0M, with diluted EPS of $-0.34. Quarter-over-quarter revenue has been mixed, typical for a micro-cap company operating in Energy. Across the four most recent quarters, BRY averaged $-0.30 in diluted EPS.

Company Profile

Berry Corporation operates in the Oil & Gas Exploration & Production industry within the Energy sector. It is headquartered in Dallas, US. The company is led by CEO Fernando Araujo. BRY has traded publicly since 2018.

How Berry Corporation Is Valued

Berry Corporation carries a market capitalization of $253.00M, placing it in the micro-cap category. Relative to its peer group, BRY's quantitative score of 41/100 is below the peer average of 78/100.

ROE -14%Key Financial Metrics

Return on equity for Berry Corporation stands at -13.6%, a gauge of how efficiently it converts shareholder capital into profit. Return on assets is -6.6%, showing how much profit it generates from its asset base. Its free cash flow yield is 10.4%, a gauge of the cash the business throws off relative to its market value. A current ratio of 0.81 means current liabilities exceed short-term assets, a liquidity point worth watching. Its earnings yield is -35.9%, the inverse of the P/E and a quick read on earnings relative to price.

F-Score 4/9Financial Health

Berry Corporation's Piotroski F-Score is 4/9, a 9-point checklist of profitability, leverage and efficiency — a middling fundamental profile. Its Altman Z-Score of 0.47 places it in the distress zone, a signal of elevated financial risk.

FY2026 estForward Outlook

Wall Street analysts project Berry Corporation revenue of about $629.0M for fiscal 2026, with EPS near $-0.02.

BRY Financials

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BRY Analyst Consensus

BRY MoonshotScore

Berry Corporation Energy Stock: Key Questions Answered

Disclaimer: This content is for informational purposes only and does not constitute investment advice. Always do your own research and consult a financial advisor.

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