Core Viewpoint - Rising oil prices are negatively impacting the refining business due to increased input costs, while a slowdown in oil production growth is expected to reduce profits from upstream operations. The growing demand for renewable energy adds uncertainty to the future of the Zacks Oil & Gas US Integrated industry [1] Industry Overview - The Zacks Oil & Gas US Integrated industry includes companies involved in upstream and midstream energy businesses, focusing on oil and natural gas exploration and production, as well as transportation and storage [2] Trends Shaping the Industry - **Refining Business Cost Pressures**: With oil prices around $70 per barrel, integrated energy companies face significant pressure on refining operations due to higher crude oil costs, which challenge profitability [3] - **Slowdown in Production Growth**: A slowdown in oil production growth is driven by shareholder demands for capital returns rather than production expansion, leading to decreased output and revenues for upstream operations [4] - **Growing Demand for Renewables**: Increased emphasis on renewable energy is expected to reduce demand for fossil fuel products, negatively impacting integrated energy firms focused on oil and gas [5] Industry Performance and Valuation - **Zacks Industry Rank**: The Zacks Oil & Gas US Integrated industry ranks 209, placing it in the bottom 16% of over 250 Zacks industries, indicating dull near-term prospects [6] - **Market Performance**: The industry has underperformed the broader Zacks Oil - Energy sector and the S&P 500, declining 9.2% over the past year compared to the sector's growth of 6.6% and the S&P 500's increase of 39.2% [6] - **Current Valuation**: The industry is trading at an EV/EBITDA ratio of 4.61X, lower than the S&P 500's 19.51X but higher than the sector's 3.37X [7] Companies to Watch - **Berry Corporation (BRY)**: Engaged in exploration and production with operations in low-decline oil and gas reserves, BRY has a strong liquidity position and a solid balance sheet [9] - **Cactus Inc. (WHD)**: Benefits from high crude prices as it sells or rents products for drilling and completing onshore unconventional wells, while focusing on minimizing environmental impact [10] - **Epsilon Energy Ltd. (EPSN)**: Focused on oil and natural gas exploration and production, with a strong presence in prolific U.S. resources like the Permian and Marcellus shale plays [11]

EVANSVILLE, Ind. and CHARLOTTE, N.C., Oct. 22, 2024 (GLOBE NEWSWIRE) -- Berry Global Group, Inc. (NYSE: BERY) (“Berry”) and Glatfelter Corporation (NYSE: GLT) (“Glatfelter”) announced today that Berry has set a record date of the close of business on November 1, 2024 for the proposed spin-off of its Health, Hygiene and Specialties Global Nonwovens and Films business (“HHNF Business”). The spin-off and merger of Berry’s HHNF Business with Glatfelter are expected to be completed on November 4, 2024, subject t ...

DALLAS, Oct. 17, 2024 (GLOBE NEWSWIRE) -- Berry Corporation (NASDAQ: BRY) ("Berry" or the "Company") today announced it will report third quarter 2024 results on Thursday, November 7, 2024, before the open of U.S. financial markets and will host a conference call and webcast that morning to discuss these results; details and links are provided below. Earnings Call Information Call Date: Thursday, November 7, 2024 Call Time: 11:00 am a.m. Eastern Time / 10:00 a.m. Central Time / 8:00 a.m. Pacific Time Join t ...

EVANSVILLE, Ind. and CHARLOTTE, N.C., Oct. 10, 2024 (GLOBE NEWSWIRE) -- Berry Global Group, Inc. (NYSE:BERY) ("Berry") and Glatfelter Corporation (NYSE:GLT) ("Glatfelter") announced today that Treasure Escrow Corporation (the "Issuer"), currently an indirect, wholly owned subsidiary of Berry, priced and upsized its previously announced offering to $800 million aggregate principle amount of its senior secured notes due 2031 (the "Notes"). The Notes are being offered by the Issuer in connection with the previ ...

. . . Bri-Chem Closes Extension on Its Senior Banking Facility October 09, 2024 6:00 PM EDT | Source: Bri-Chem Corp. Edmonton, Alberta--(Newsfile Corp. - October 9, 2024) - Bri-Chem Corp. (TSX: BRY) (OTCQB: BRYFF) ("Bri-Chem" or "Company"), a leading North American oilfield chemical distribution and blending company, is pleased to announce that it has entered into an agreement with the Canadian Imperial Bank of Commerce ("CIBC") to renew its senior credit facilities ("ABL Facility") with a borrowing base of ...

Core Viewpoint - Berry Global Group, Inc. and Glatfelter Corporation are proceeding with a Reverse Morris Trust transaction, combining their nonwovens and films businesses, with Berry's subsidiary planning to issue $500 million in senior secured notes to facilitate this transaction [1][2]. Group 1: Transaction Details - The proceeds from the $500 million note issuance will be used to fund a cash distribution to Berry Global, repay Glatfelter's existing debt, and cover certain fees and expenses related to the transaction [2][3]. - Upon completion of the transaction, the combined entity will be renamed Magnera Corporation [2]. - The notes will be placed in a segregated escrow account until the transaction is finalized, ensuring that funds are available for the noteholders [3]. Group 2: Company Profiles - Berry Global Group, Inc. focuses on innovative packaging solutions and sustainability, employing over 40,000 people across more than 250 locations globally [6]. - Glatfelter Corporation is a leading supplier of engineered materials, with a 2023 revenue of $1.4 billion and approximately 2,980 employees, specializing in customizable nonwovens solutions [7].

Group 1 - Berry Corp. is an independent upstream energy company focused on conventional, long-lived oil reserves primarily in the San Joaquin basin of California [1][2] - The company has a Zacks Rank of 5 (Strong Sell) due to missing the Zacks Consensus Estimate for four consecutive quarters, with the latest earnings reported at $0.18 against a consensus of $0.20 [1][4] - Recent earnings estimates for Berry have been revised downward, with the current fiscal year consensus dropping from $0.84 to $0.63 and the next year's estimate falling from $0.87 to $0.59 over the last 60 days [5] Group 2 - Berry operates through two segments: Exploration and Production (E&P), which focuses on the development and production of low geologic risk, long-lived conventional oil and gas reserves, and Well Servicing and Abandonment, which provides wellsite services [2] - The company has experienced negative earnings estimate revisions, which is a common trend among stocks in the Zacks universe, contributing to its low ranking [6]

We are currently offering a free two-week trial to Distressed Value Investing . Join our community to receive exclusive research about various companies and other opportunities along with full access to my portfolio of historic research that now includes over 1,000 reports on over 100 companies. Berry Corporation (NASDAQ: BRY ) has seen its stock drop by over 30% since I looked at it in May . Berry's Q2 2024 operational results were solid and its hedges (with close to 70% of its 2H 2024 Aaron Chow, aka Elep ...

Berry Global Group, Inc. (BERY) recently collaborated with Lassonde Industries Inc. to use 25% recycled plastic in the latter's private-label lemon and lime juice bottles. Headquartered in Canada, Lassonde specializes in producing fruit and vegetable juices and a variety of food products. The company serves a diverse range of customers, including grocery retailers, food service operators and distributors. Inside the Headlines The new 15-ounce lemon and lime juice bottle is lightweight and easy to recycle. T ...

Berry Global Group, Inc. (BERY) recently unveiled the Chameleon bottle designed specifically for personal care, homecare and healthcare markets. BERY's Chameleon bottle is made from polyethylene or polypropylene material, which is recyclable. It features a unique textured base section that is offered in 10 standard versions. Customers can design the bottle with custom finishes with an easy quick-change tooling process. The neck of the bottle can be adapted for various closures, sprays or pumps, thereby enha ...