Earnings snapshot: Coterra Energy (CTRA) lays out its Q1 2026 numbers

Coterra Energy (CTRA) opened Q1 2026 with total revenue of about US$2.3 billion and basic EPS of US$0.61, backed by net income of US$466 million for the quarter. Over recent periods, the company has seen revenue move from US$1.39 billion in Q4 2024 to US$1.94 billion in Q1 2025, US$1.66 billion in Q2 2025, US$1.68 billion in Q3 2025 and US$1.71 billion in Q4 2025. Quarterly EPS shifted across US$0.40, US$0.68, US$0.67, US$0.42 and US$0.48 before landing at US$0.61 in Q1 2026, giving investors a detailed read on how headline profits and margins are tracking into the new year.

See our full analysis for Coterra Energy.

With the latest revenue and EPS run rate on the table, the next step is to see how these numbers line up against the key narratives investors have been following around Coterra’s growth, profitability and risk profile.

Net margin at 22.7% on US$7.4b of trailing revenue

• Over the last 12 months, Coterra generated about US$7.4b of revenue and US$1.7b of net income, which works out to a 22.7% net margin compared with 22.1% a year earlier.
• What stands out for the bullish view is that earnings grew 29.8% over the past year while margins held around the low 20% range, yet forecasts in the data only call for about 6.8% annual earnings growth and 5.8% revenue growth. That limits how aggressive a growth case those bulls can make.
  • This combination of double digit trailing earnings growth and a modest 0.6 percentage point margin change supports the idea of a solid profit base. It also suggests expectations in the data are already more measured going forward.
  • For you as an investor, that mix means the story is less about a sudden step change in profitability and more about whether that 22.7% margin and current earnings level prove resilient over time.

To see how other investors are joining the dots between these margins, growth rates, and valuation signals, check out the Curious how numbers become stories that shape markets? Explore Community Narratives.

Commodity prices and production underpin Q1 US$466m profit

• In Q1 2026, Coterra reported US$466 million of net income on US$2.3b of revenue, with total production of 69.4 MMboe and realized unhedged prices of US$4.30 for gas, US$70.79 for oil, and US$16.70 for NGLs alongside an average production cost of US$9.49 per BOE.
• Supporters who lean bullish often focus on this mix of production volume and realized pricing as a diversified earnings engine. However, the data points to quarterly production of 69.4 MMboe versus 72.2 MMboe in Q3 2025 and a higher Q1 2026 cost per BOE than the US$8.34 to US$8.84 range seen across 2025, which means the bullish story rests more on pricing than on clear unit cost or volume gains.
  • Those realized Q1 2026 prices for gas and oil sit above the hedged levels in the same quarter, highlighting that unhedged exposure can help in strong price periods but also adds sensitivity if prices move the other way.
  • For a beginner investor, the key tension is that while Q1 profit looks solid in absolute US$ terms, the production and cost data across recent quarters show a mixed pattern rather than a one way improvement.

P/E of 14.8x sits between industry and peers

• The stock trades on a P/E of 14.8x, which is above the US Oil & Gas industry average of 13.9x but below the cited peer average of 21.9x, and is paired with a DCF fair value of US$93.20 versus the current share price of US$32.56.
• Critics who take a more cautious, bearish stance point to the slightly higher P/E than the broader industry and an unstable dividend record. At the same time, the dataset highlights that earnings grew 29.8% over the last year and that the DCF fair value is materially above the current share price, so the bearish case has to weigh income and relative multiple concerns against that combination of trailing growth and the large DCF valuation gap.
  • The 29.8% earnings growth rate contrasts with revenue growth that is forecast at about 5.8% per year and flagged as below the US market, which adds nuance to whether a 14.8x P/E looks stretched or reasonable to you.
  • The unstable dividend history in the risk summary is a clear negative for income focused investors, even if the valuation discussion also highlights a stock price that sits well below the US$93.20 DCF fair value reference point.

Next Steps

Don't just look at this quarter; the real story is in the long-term trend. We've done an in-depth analysis on Coterra Energy's growth and its valuation to see if today's price is a bargain. Add the company to your watchlist or portfolio now so you don't miss the next big move.

Seeing both risks and rewards in the story so far, it makes sense to look through the numbers yourself and test how they line up with your own expectations. To get a quick, focused view of what the market is flagging on both sides, start with these 3 key rewards and 1 important warning sign.

See What Else Is Out There

Coterra’s slightly higher P/E than the industry, modest forecast revenue growth, and unstable dividend record may not fully match every income focused investor’s goals.

If you want income that looks more dependable, compare this profile with stocks in the 12 dividend fortresses to find yields that better suit your expectations.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.