Berry Corporation (BRY, Financial) has announced adjustments to its hedge strategy, aiming to fortify its financial resilience amidst fluctuating commodity prices. The company has increased the average hedged oil price by $6 per barrel for 2026 and 2027 on 2.3 MBbls/d. This decision impacts Berry's oil volumes, which are 73% hedged for the remainder of 2025 and 63% hedged for 2026, based on their full-year oil production guidance for 2025.
In terms of specific pricing, Berry has converted 2.3 MBbls/d of collars and puts into swaps for 2026 and 2027, thereby raising the floor price by $6 per barrel. As a result, for the balance of 2025, Berry has hedged 17.3 MBbls/d of oil at an average price of $74.69 per barrel Brent. For 2026-2027, the company has 12.5 MBbls/d hedged at an average price of $69.45 per barrel Brent, factoring in swaps and floor prices.
The company also updated its mark-to-market as of April 21, 2025, which is valued at $105 million. Furthermore, Berry has strengthened its liquidity since the end of the fiscal year. As of March 31, Berry reported $120 million in liquidity, composed of $39 million in cash and cash equivalents, $49 million available under its revolving credit facility, and $32 million for delayed draw borrowings under its term loan facility. By April 22, Berry's liquidity stood at $119 million, including $14 million of letters of credit, with no borrowings outstanding under its credit facility.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 6 analysts, the average target price for Berry Corp (bry) (BRY, Financial) is $5.33 with a high estimate of $8.00 and a low estimate of $2.50. The average target implies an upside of 117.69% from the current price of $2.45. More detailed estimate data can be found on the Berry Corp (bry) (BRY) Forecast page.
Based on the consensus recommendation from 6 brokerage firms, Berry Corp (bry)'s (BRY, Financial) average brokerage recommendation is currently 2.5, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for Berry Corp (bry) (BRY, Financial) in one year is $5.91, suggesting a upside of 141.22% from the current price of $2.45. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the Berry Corp (bry) (BRY) Summary page.
