Coterra Energy Declares $0.22 Quarterly Dividend, 2.9% Annualized Yield
Coterra Energy Inc., an independent oil and gas producer, declared a quarterly cash dividend of $0.22 per share, approved by the Board of Directors on February 26, 2026. The dividend equates to a 2.9% annualized yield based on the company's closing price of $29.90 on February 25, 2026.
Coterra Energy Inc. (NYSE: CTRA), an independent oil and gas producer, declared a quarterly cash dividend of $0.22 per share, approved by the Board of Directors on February 26, 2026. The dividend equates to a 2.9% annualized yield based on the company's closing price of $29.90 on February 25, 2026. Read more dividend announcements.
Shareholders of record as of March 11, 2026 will receive payment on March 25, 2026.
| Dividend Details | Date |
|---|---|
| Dividend Amount | $0.22 per share |
| Record Date | March 11, 2026 |
| Payment Date | March 25, 2026 |
| Annualized Yield | 2.9% |
Fourth Quarter Shareholder Returns
During the fourth quarter of 2025, Coterra returned $263 million to shareholders through $170 million of declared dividends and $93 million of share repurchases. The company repurchased 4 million shares at a weighted-average price of $24.37 per share during the quarter.
For the full year 2025, the company returned $820 million to shareholders, consisting of $680 million in declared dividends and $140 million in share repurchases. The company repurchased 6 million shares for the year at a weighted-average price of $24.92 per share.
Debt Reduction and Cash Flow
Coterra repaid $100 million of its term loan during the fourth quarter, leaving $300 million outstanding at year-end. The remaining balance was fully repaid in February 2026. The term loan was issued in connection with the company's Delaware Basin acquisitions in 2025.
The company generated $970 million of cash flow from operating activities and $507 million of free cash flow during the fourth quarter. Total shareholder returns during the quarter, including declared dividends, share repurchases, and debt redemption, represented 72% of free cash flow.
For full-year 2025, Coterra generated $4.0 billion of cash flow from operating activities and $2.0 billion of free cash flow, increases of 44% and 67%, respectively, from 2024 levels. The annual reinvestment rate was 54%.
Pending Merger
The dividend announcement comes as Coterra prepares for its pending merger with Devon Energy, expected to close in the second quarter of 2026. Under the merger agreement, Coterra shareholders will receive 0.70 share of Devon common stock for each share of Coterra common stock. Upon completion, Devon shareholders will own approximately 54% of the combined company and Coterra shareholders will own approximately 46% on a fully diluted basis.
The combined company is targeting pre-tax synergy capture of $1 billion per year on a run-rate basis by year-end 2027. The transaction has been unanimously approved by the boards of directors of both companies and is subject to shareholder approvals and customary closing conditions.