Berry Corp.: Dividend Could Approach $2 Over The Next Year

Feb. 24, 2022 5:04 AM ETBerry Corporation (BRY) StockBRY53 Comments

Summary

  • Berry looks capable of generating over $3 per share in positive cash flow at $90 Brent in 2022, despite close to $1 per share in realized hedging losses.
  • This would allow it to pay fixed plus variable dividends of approximately $2 per share.
  • Berry is also maintaining flat production growth (adjusted for acquisitions and divestitures).
  • Looking for more investing ideas like this one? Get them exclusively at Distressed Value Investing. Learn More »
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Berry Corporation (NASDAQ:BRY) looks capable of paying out total dividends of approximately $2 per share and generating positive cash flow (before dividends) of over $3 per share at $90 Brent in 2022.

In a longer-term (after 2022) $70 Brent scenario, I believe that

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This article was written by

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Aaron Chow, aka Elephant Analytics has 15+ years of analytical experience and is a top rated analyst on TipRanks. Aaron previously co-founded a mobile gaming company (Absolute Games) that was acquired by PENN Entertainment. He used his analytical and modeling skills to design the in-game economic models for two mobile apps with over 30 million in combined installs. He is the author of the investing group Distressed Value Investing, which focuses on both value opportunities and distressed plays, with a significant focus on the energy sector. Learn more>>

Analyst’s Disclosure:I/we have no stock, option or similar derivative position in any of the companies mentioned, but may initiate a beneficial Long position through a purchase of the stock, or the purchase of call options or similar derivatives in BRY over the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

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