TacticScaleWhat Crescent Energy Does & How It Makes Money (CRGY)
Updated October 2026 · reflects Crescent Energy's latest reported financials
US oil and gas producer with mineral and royalty interests. It earns most of its revenue by selling the crude oil, natural gas, and NGLs it produces.
How Crescent Energy makes money
It earns most of its revenue by selling the crude oil, natural gas, and NGLs it produces. It also collects royalty income from its mineral and royalty interests when others produce on those lands.
What Crescent Energy does
Crescent Energy Company is a Houston-based independent oil and gas producer founded in 2011. It explores for and produces crude oil, natural gas, and natural gas liquids in the United States, focusing on the Eagle Ford, Permian, and Uinta Basins. Besides its operated production assets, Crescent owns mineral and royalty interests across US oil and gas basins, which pay it a share of production revenue. Its results depend mainly on production volumes and commodity prices for oil, gas, and NGLs.
Products & services
- Crude oil
- Natural gas
- Natural gas liquids (NGLs)
- Mineral and royalty interests
What is Crescent Energy worth?
On an owner-earnings DCF, Crescent Energy's most-likely value is about $23 versus a recent price near $13 (79% below fair value). But TacticScale only calls a stock undervalued when the price sits below its conservative no-growth floor (~$17) with a margin of safety — so the honest verdict here is “Deeply discounted.” Fair value earns its keep only at the extremes, not in the wide middle.
On the financials alone, $13 is below even the no-growth floor ($17); the market's discount — expectations and sentiment beyond the numbers — is pricing in ≈ -4.8%/yr. A bargain only if that pessimism is overdone.
⚠ High leverage — net debt is 6.1× annual cash flow. Net debt is subtracted from this fair value, but refinancing at higher rates, principal timing, and share dilution aren’t modeled — the equity can be worth far less if cash flow weakens.
Analysis, not advice. Fair value is a margin-of-safety estimate from a deterministic owner-earnings DCF, not a price target or recommendation. See the full breakdown →
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