California resources corp senior VP sells $530k in stock

California Resources Corp (NYSE:CRC ) has reported a significant transaction by one of its top executives. Noelle M. Repetti, the company's Senior Vice President and Controller, sold 10,000 shares of common stock at a price of $53.0 per share, totaling $530,000. The transaction took place on September 17, 2024, and was disclosed in a filing with the Securities and Exchange Commission.


The sale was executed automatically under a Rule 10b5-1 trading plan, which Repetti had adopted on July 13, 2024. These plans allow company insiders to set up a predetermined schedule for buying or selling shares at a future date, providing a defense against potential accusations of trading on non-public information.


Following the transaction, Repetti still holds 17,301 shares of California Resources Corp, indicating a continued investment in the company's future. Investors often monitor insider sales as they may offer insights into an executive's perspective on the company's valuation or financial health.


California Resources Corp, based in Long Beach, California, is a company specializing in crude petroleum and natural gas . The recent transaction is part of the routine disclosures that publicly traded companies are required to make regarding the trading activities of their executives and other major shareholders.



In other recent news, California Resources Corporation (CRC) has been making significant strides in the energy sector. Mizuho Securities maintained an outperform rating on CRC, highlighting its potential as a significant player in carbon management within California. The firm's confidence in CRC's strategic direction, including its commitment to operational efficiency in its oil and gas operations, is bolstered by key permits that elevate its status in the state's carbon management sector.


In financial developments, CRC reported strong second-quarter financials following its merger with Aera, with a focus on enhancing cash flow and accelerating decarbonization efforts. The company reported $139 million in adjusted EBITDAX and $63 million in free cash flow, returning $57 million to shareholders. CRC's projected adjusted EBITDAX for the second half of 2024 is around $1 billion.


The company also announced the consideration for its cash tender offer to purchase a portion of its outstanding 7.125% senior notes due 2026. The tender offer, managed by Jefferies LLC, Citigroup Global Markets Inc., and TD Securities (USA) LLC, aims to acquire up to $300 million of the $545,452,000 aggregate principal amount currently in circulation.


Lastly, CRC is managing its hedge book to support investments, debt servicing, and shareholder returns, with significant hedges in place for 2026. The company is also focusing on reducing net leverage and is considering refinancing or prepaying debt. These strategies underscore CRC's commitment to its stakeholders and the future of the company.
InvestingPro Insights


Following the recent insider transaction at California Resources Corp (NYSE:CRC), where Senior Vice President and Controller Noelle M. Repetti sold shares, investors may be seeking additional context to gauge the company's financial health and future prospects. According to InvestingPro data, CRC currently has a market capitalization of approximately $4.67 billion and is trading at a price-to-earnings (P/E) ratio of 22.19, reflecting investor expectations of the company's earnings potential.


InvestingPro Tips indicate that CRC has demonstrated a commitment to shareholder returns, with a notable increase in its dividend over the last three years. In addition, the company's liquid assets surpass its short-term obligations, suggesting a solid liquidity position. However, it's also important to note that analysts have revised their earnings expectations downwards for the upcoming period, which could be a point of consideration for potential investors.


Despite recent challenges reflected in a revenue decline of 29.36% over the last twelve months, CRC has seen a significant return over the last week, with a 1-week price total return of 8.22%. This recent performance may interest investors looking for short-term gains, and it aligns with the company's history of providing a strong return over the last five years. For those interested in a deeper analysis, InvestingPro offers additional insights and tips on CRC, which can be found at https://www.investing.com/pro/CRC.

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Source: Investing.com