Is EOG Resources Inc (EOG) overvalued?
On Equity Rank's model estimate, EOG trades close to its fair value (0% below it). EOG Resources Inc (EOG) last closed at $147.13; the multi-method model fair value is $147.29.
| Price | Model fair value | Price vs model |
|---|---|---|
| $147.13 | $147.29 | 0% below |
What the answer rests on
- 8 of 13 valuation methods put EOG's value above its price and 5 put it below, so the methods disagree.
- To justify today's price, EOG's free cash flow would need to grow about 0.0% a year for ten years (a reverse discounted cash flow). Over the last three years it actually grew -17.3% a year.
- EOG trades at 11.4 times its last year's earnings, against a median of 11.4 for 14 profitable energy_ep companies.
- Over the past year the price sat below the model fair value on 55% of trading days. The gap ranged from 14% below to 6% above the model fair value.
Read this before relying on it
The model fair value is an estimate from published financial statements. It is not a forecast of where the price goes, and it can be wrong. Within 10% either side we call it close to fair value: valuation models are not precise enough to read more into a smaller gap. Our own lists have no proven edge over the market yet; the live record shows every result, misses included.
Every valuation method behind EOG's fair value · What prices assume · Other companies