Asset Sales Support Civitas Debt Reduction Amid Mixed Resources Earnings

Civitas Resources, Inc. (NYSE:CIVI) is one of the 11 Best Dividend Stocks with a Consistent 3-Year Payout History.

Mixed Q2 earnings results elicit mixed opinions among the analysts.

Asset Sales Support Civitas Debt Reduction Amid Mixed Resources Earnings

A close up of a tanker truck transporting crude oil, natural gas liquids, and natural gas.

Colorado-based company, Civitas Resources, Inc. (NYSE:CIVI) is an independent exploration and production company. The company focuses on oil and liquids-rich natural gas operations in the DJ Basin of Colorado and the Permian Basin of Texas and New Mexico. It takes pride in being Colorado’s first carbon-neutral oil and gas producer.

Civitas Resources, Inc. (NYSE:CIVI) saw mixed results in its Q2 2025 earnings. The company’s total revenues of $1.1 billion fell short of estimates and dropped 19.5% year-over-year, primarily because of lower oil price realizations and a decline in sales volume. Despite these operational headwinds, the company demonstrated proactive financial management by exceeding its full-year 2025 asset sale target. It also signed agreements to sell non-core DJ Basin assets for $435 million. The proceeds from the sale are set for debt reduction.

Analysts’ opinions are also mixed, with CNN recording 9 out of 18 analysts assigning a Buy rating to the stock while the rest are sticking to a Hold rating. Upside potential stands at 38.64%.

The significantly high dividend yield of 6.33% enhances Civitas Resources, Inc. (NYSE:CIVI)’s appeal to high-yield seeking investors. Insider Monkey database noted 41 hedge funds holding stakes in the company, reflecting strong institutional confidence.

While we acknowledge the risk and potential of CIVI as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than CIVI and that has 10,000% upside potential, check out our report about this cheapest AI stock.

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