Update shared on 28 Nov 2025
Fair value Increased 3.85%The analyst price target for TotalEnergies has increased from $60.96 to $63.30. Analysts point to resilient cash flow generation, solid margins, and ongoing cost efficiencies despite mixed sector sentiment and revised growth forecasts.
Analyst Commentary
Recent Street research on TotalEnergies highlights a mix of optimism and caution, reflecting evolving sentiment within the sector. Analysts continue to refine their perspectives as company guidance and market indicators shift.
Bullish Takeaways- Bullish analysts credit TotalEnergies with resilient free cash flow generation and emphasize the company’s ability to maintain strong relative financial performance even in a subdued sector environment.
- Several price target increases reflect confidence in the company’s structural cost savings. These savings are gradually lowering breakeven points and enhancing margins.
- Headline growth is seen as relatively strong, with solid execution in core segments contributing to favorable longer-term positioning within the global energy market.
- Major banks have reiterated positive outlooks by raising price targets in response to the company’s robust quarterly results and proactive capital allocation.
- Bearish analysts remain cautious because of muted sentiment tied to the near-term outlook for crude oil, which could dampen investor enthusiasm for the stock.
- Revised analyst forecasts, while sometimes above consensus, have been described as “disappointing” compared to earlier industry expectations for margin expansion.
- Recent reductions in growth targets and capital expenditure, particularly in the power segment, indicate that management is preparing for a weaker macroeconomic environment.
- There has also been a shift in analyst ratings from Outperform to Neutral, reflecting uncertainty regarding the pace and sustainability of growth in the current market landscape.
What's in the News
- OPEC+ is pausing oil output increases for January through March 2026 after adding 137,000 barrels per day in December, due to seasonality. (Financial Times)
- TotalEnergies requires approval from Mozambique for a $4.5 billion cost increase on its LNG project, tied to extra costs during the project's closure. Construction restart depends on this approval after delays since 2021. (Bloomberg)
- OPEC has kept its oil demand forecasts unchanged, highlighting steady economic growth expectations while cautioning over persistent fiscal concerns and trade uncertainties. (Wall Street Journal)
- OPEC+ agreed to modest oil output increases for both October and November, each adding 137,000 barrels per day in response to supply and price concerns. (Wall Street Journal and New York Times)
Valuation Changes
- Consensus Analyst Price Target has increased from $60.96 to $63.30, representing a modest upward adjustment in perceived fair value.
- Discount Rate has edged down slightly, moving from 6.24% to 6.23%.
- Revenue Growth expectations have declined notably, from 4.32% to 2.92%.
- Net Profit Margin is projected to rise from 7.62% to 7.93%, indicating improved profitability assumptions.
- Future P/E ratio has increased from 10.0x to 11.1x, reflecting a greater premium for expected earnings.
Disclaimer
AnalystConsensusTarget is a tool utilizing a Large Language Model (LLM) that ingests data on consensus price targets, forecasted revenue and earnings figures, as well as the transcripts of earnings calls to produce qualitative analysis. The narratives produced by AnalystConsensusTarget are general in nature and are based solely on analyst data and publicly-available material published by the respective companies. These scenarios are not indicative of the company's future performance and are exploratory in nature. Simply Wall St has no position in the company(s) mentioned. Simply Wall St may provide the securities issuer or related entities with website advertising services for a fee, on an arm's length basis. These relationships have no impact on the way we conduct our business, the content we host, or how our content is served to users. The price targets and estimates used are consensus data, and do not constitute a recommendation to buy or sell any stock, and they do not take account of your objectives, or your financial situation. Note that AnalystConsensusTarget's analysis may not factor in the latest price-sensitive company announcements or qualitative material.