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    How Investors Are Reacting To California Resources Stock After Earnings Loss

    Simply Wall St·11/14/2026 01:29:49
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    • California Resources reported third quarter 2026 revenue of US$421 million and a net loss of US$315 million, while also signing a memorandum of understanding with Bloom Energy to evaluate over 1 gigawatt of fuel cell power paired with carbon capture in California.
    • The combination of a weaker income statement and a potential large scale carbon management partnership highlights the pressure on California Resources to use its oil and gas platform and Carbon TerraVault business to support new clean power projects and long term cash generation from carbon capture services.
    • The next focus will be on how California Resources' sharp earnings swing and new carbon capture partnership could reshape its investment narrative.

    Compare California Resources' sharp earnings swing and carbon capture ambitions with other potential value ideas by scanning hand-picked 20 high quality undiscovered gems that combine solid fundamentals with under-the-radar stories.

    California Resources Investment Narrative Recap

    To own California Resources, you need to be comfortable with a business that currently reports losses while leaning heavily on operational execution and carbon management as future pillars. Third quarter revenue of US$421 million and a net loss of US$315 million underline how sensitive results remain to costs, differentials and any disruption in marketing or takeaway capacity discussed in the analyst consensus Narrative on Simply Wall St.

    The near term swing factor stays simple. Can management keep production around current guided levels of 150 to 152 MBoe/d while preventing further margin erosion and managing debt and dividend commitments? The biggest risk is that inflation, integration costs or fresh logistics issues again outpace efficiency gains and keep earnings quality under pressure.

    The memorandum of understanding with Bloom Energy is the clearest piece of recent news that ties directly into catalysts. It links California Resources' Carbon TerraVault platform with a large potential pool of carbon dioxide volumes, up to 3 million metric tons per year, which speaks directly to the carbon management revenue opportunity highlighted in the analyst consensus Narrative on Simply Wall St.

    Execution risk is high. The agreement is non binding, depends on permits, definitive contracts and final investment decisions, and any delay would push out potential cash flows while the core oil and gas business carries the financial load. For you as a shareholder, progress milestones on these projects now sit alongside production delivery and cost control as key markers to watch.

    California Resources' narrative projects US$3.8b revenue and US$584.6 million earnings by 2029. This projection assumes revenue stays broadly flat over the next 3 years and requires an earnings swing of about US$706 million from current earnings, which are a US$121.0 million loss.

    Uncover why California Resources' fair value indicates a 58% potential upside to its current price before the market closes the gap.

    NYSE:CRC 1-Year Stock Price Chart
    NYSE:CRC 1-Year Stock Price Chart

    Exploring Other Perspectives

    One alternate view focuses less on California Resources’ CCS story and more on whether oil and gas economics can carry the load. The most cautious analysts were still modelling roughly US$3.8b of 2029 revenue and about US$608.6 million in earnings before this quarter’s loss, yet they paired that with a lower US$59.75 fair value. That more pessimistic narrative assumes tighter regulations and weaker differentials could drag on returns. The new carbon capture partnership and dividend decision may cause both the cautious and the optimistic camps to revisit those assumptions, so it makes sense for you to compare these contrasting forecasts yourself.

    Explore 3 other California Resources fair value estimates, including one that suggests as much as 9% downside from the current price.

    The Verdict Is Yours

    Don't just follow the ticker. Dig into the data and build a conviction that's truly your own.

    Looking for more investment ideas beyond California Resources?

    Once you have a view on California Resources, it can help to cross check that thesis against other companies with different risk and income profiles using the Simply Wall St Screener.