California Resources Corporation (CRC) Earnings Expected to Grow: Should You Buy?

Core Viewpoint - California Resources Corporation (CRC) is anticipated to report a year-over-year increase in earnings and revenues for the quarter ended March 2025, with the actual results being a significant factor influencing its near-term stock price [1][2]. Earnings Expectations - The consensus estimate for CRC's quarterly earnings is $0.83 per share, reflecting a year-over-year increase of +10.7% [3]. - Expected revenues for the quarter are $869.31 million, which represents a substantial increase of 91.5% compared to the same quarter last year [3]. Estimate Revisions - Over the last 30 days, the consensus EPS estimate has been revised down by 26.2%, indicating a reassessment by analysts regarding the company's earnings prospects [4]. - The Most Accurate Estimate for CRC is higher than the Zacks Consensus Estimate, resulting in an Earnings ESP of +2.36% [10][11]. Earnings Surprise Prediction - The Zacks Earnings ESP model suggests that a positive Earnings ESP reading is a strong predictor of an earnings beat, especially when combined with a favorable Zacks Rank [8]. - However, CRC currently holds a Zacks Rank of 5 (Strong Sell), complicating the prediction of an earnings beat despite the positive Earnings ESP [11]. Historical Performance - In the last reported quarter, CRC was expected to post earnings of $0.96 per share but delivered only $0.91, resulting in a surprise of -5.21% [12]. - Over the past four quarters, CRC has surpassed consensus EPS estimates two times [13]. Industry Context - In the broader industry context, Talos Energy (TALO) is expected to report a loss of $0.10 per share for the same quarter, with revenues projected at $499.97 million, reflecting a year-over-year increase of 16.3% [17]. - The consensus EPS estimate for Talos Energy has been revised down by 55% over the last 30 days, and it currently has an Earnings ESP of 0.00% combined with a Zacks Rank of 3 (Hold) [18].