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 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.
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:
Custom grazing is especially attractive in regions with abundant grass, strong fencing infrastructure, and rising interest in regenerative grazing systems.
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:
Factor
Custom Grazing
Owning Stocker Cattle
Capital Required
Low
High
Market Risk
Minimal
High
Cash Flow
Stable & predictable
Variable
Profit Ceiling
Capped
Higher upside
Labor & Management
Moderate
High
Exposure to Loss
Low
High
Which Option Is More Profitable?
Profitability depends on risk tolerance, capital availability, and land goals.
Many successful operators use a hybrid model, combining custom grazing contracts for baseline income with a smaller stocker herd to capture upside gains.
Choose custom grazing cattle for others if you want:
Choose owning stocker cattle if you want:
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
Have questions or feedback? Feel free to reach out via:
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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.
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/