It’s The Ranch It Up Radio Show! Join Jeff Tigger Erhardt, Rebecca Wanner AKA BEC and their crew as they hear how to create income potential by custom grazing versus grazing your own yearlings. Plus, detailed market recaps, news you need to hear, and lots more all wrapped into this brand new episode of The Ranch It Up Radio Show. Be sure to subscribe on your favorite podcasting app or on the Ranch It Up Radio Show YouTube Channel.
Custom Grazing Cattle vs. Owning Stocker Cattle: Which Is The Better Ranching Strategy?
Custom grazing cattle for others and owning stocker cattle are two popular beef production models, each offering distinct financial, operational, and risk profiles. Understanding the differences helps ranchers, landowners, and regenerative agriculture operators choose the most profitable and sustainable system for their operation.
What Is Custom Grazing Cattle?
Custom grazing (also called contract grazing) is when a landowner or operator is paid a per-head or per-pound daily rate to manage cattle owned by someone else. The grazier provides pasture, water, fencing, and animal care—while the cattle owner retains market risk.
Key benefits of custom grazing cattle:
Low financial risk: No capital tied up in livestock ownership
Predictable cash flow: Guaranteed grazing income regardless of cattle markets
Reduced market exposure: No price volatility or sale timing risk
Ideal for landowners: Monetize forage without purchasing cattle
Scalable & flexible: Adjust stocking rates annuallyCustom grazing is especially attractive in regions with abundant grass, strong fencing infrastructure, and rising interest in regenerative grazing systems.
What Are Stocker Cattle?
Stocker cattle are owned livestock purchased after weaning and grown on forage before being sold to feedlots or backgrounding operations. Profit depends on weight gain, purchase price, sale price, and overall market conditions.
Advantages of owning stocker cattle:
Higher profit potential: Capture upside when cattle markets rise
Asset ownership: Cattle can be leveraged or retained
Operational control: Full decision-making authority
Value-added opportunities: Genetics, health programs, and marketingHowever, owning stocker cattle also introduces significant financial and operational risk.
Custom Grazing vs. Stocker Cattle: Key Differences
Which Option Is More Profitable?
Profitability depends on risk tolerance, capital availability, and land goals.
Custom grazing is often more profitable on a risk-adjusted basis, especially during volatile cattle markets or drought cycles.
Stocker ownership can outperform in strong markets but carries downside risk during price declines or poor forage years.Many successful operators use a hybrid model, combining custom grazing contracts for baseline income with a smaller stocker herd to capture upside gains.
Best Choice for Your Operation
Choose custom grazing cattle for others if you want:
Stable income
Low financial exposure
Forage-focused land management
Regenerative or conservation grazing goalsChoose owning stocker cattle if you want:
Higher earning potential
Willingness to manage market risk
Access to operating capital
Active livestock trading strategyFeatured Experts in the Cattle Industry
Jayce Doan – Black Leg Ranch
https://www.blacklegranch.com/
Follow on Facebook: @BlackLegRanch
Kirk Donsbach – Financial Analyst at StoneX
https://www.stonex.com/
Follow on Facebook: @StoneXGroupInc
Shaye Wanner – Host of Casual Cattle Conversation
https://www.casualcattleconversations.com/
Follow on Facebook: @cattleconvos
Contact Us with Questions or Concerns
Have questions or feedback? Feel free to reach out via:
Call/Text: 707-RANCH20 or 707-726-2420Email: [email protected]Follow us: Facebook/Instagram: @RanchItUpShowYouTube: Subscribe to Ranch It Up Channel: https://www.youtube.com/c/RanchItUpCatch all episodes of the Ranch It Up Podcast available on all major podcasting platforms.
Discover the Heart of Rural America with Tigger & BEC
Ranching, farming, and the Western lifestyle are at the heart of everything we do. Tigger & BEC bring you exclusive insights from the world of working ranches, cattle farming, and sustainable beef production.
Learn more about Jeff 'Tigger' Erhardt & Rebecca Wanner (BEC) and their mission to promote the Western way of life at Tigger and BEC.
https://tiggerandbec.com/
Industry References, Partners and Resources
For additional information on industry trends, products, and services, check out these trusted resources:
Allied Genetic Resources: https://alliedgeneticresources.com/
American Gelbvieh Association: https://gelbvieh.org/
Axiota Animal Health: https://axiota.com/multimin-campaign-landing-page/
Imogene Ingredients: https://www.imogeneingredients.com/
Jorgensen Land & Cattle: https://jorgensenfarms.com/#/?ranchchannel=view
Medora Boot: https://medoraboot.com/
RFD-TV: https://www.rfdtv.com/
Rural Radio Network: https://www.ruralradio147.com/
Superior Livestock Auctions: https://superiorlivestock.com/
Transova Genetics: https://transova.com/
Westway Feed Products: https://westwayfeed.com/
Wrangler: https://www.wrangler.com/
Wulf Cattle: https://www.wulfcattle.com/