Is Coterra Energy Stock Underperforming the S&P 500?

Coterra Energy Inc. (CTRA) is an independent oil and natural gas exploration and production company headquartered in Houston. Formed through the merger of Cabot Oil & Gas and Cimarex Energy, the company focuses on developing high-quality assets across key U.S. basins, including the Permian Basin and the Marcellus Shale. Coterra specializes in the production of crude oil, natural gas, and natural gas liquids, leveraging a disciplined capital allocation strategy and low-cost operations to drive shareholder returns. The company has a market cap of approximately $25 billion.

Companies valued at over $10 billion are typically classified as “large-cap stocks,” and Coterra Energy Inc. fits the label perfectly. The energy giant emphasizes innovation, operational efficiency, and sustainable development as core pillars of its strategy, positioning the company to deliver consistent production and long-term shareholder value.

CTRA is currently hovering near its 52-week high of $32.99, reached on Mar. 17. Shares of this oil and gas company have gained 26.7% over the past three months, outpacing the broader S&P 500 Index’s ($SPX) marginal returns during the same time frame.

CTRA has surged 16.7% over the past 52 weeks, slightly underperforming SPX’s 18.5% returns. However, shares are up 24.7% on a YTD basis, massively outperforming SPX’s 1.8% decline over the same time frame.

To confirm its bullish price trend, CTRA has been trading above the 50-day and 200-day moving averages since mid-January.

n 2026, Coterra Energy stock is rising primarily due to its definitive merger agreement with Devon Energy Corporation (DVN), an all-stock transaction announced in February that is expected to close in the second quarter. Investors are reacting positively to the combined entity's potential for meaningfully enhanced free cash flow and a more robust shareholder return program, including a strong share buyback initiative. Furthermore, the stock has been bolstered by rising crude oil prices driven by geopolitical tensions in the Middle East.

In comparison, rival Expand Energy Corporation (EXE) has underperformed CTRA stock. EXE stock has soared 1.3%  over the past 52 weeks and decline 3.1% on a YTD basis.

Analysts remain optimistic about CTRA’s prospects. The stock has a consensus rating of “Moderate Buy” from the 24 analysts covering it, and the mean price target of $34.48 suggests a notable 6.5% premium to its current levels.