Chevron Valuation

Is CVX undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

3/6

Valuation Score 3/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of CVX when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: CVX ($158.04) is trading below our estimate of fair value ($254.51)

Significantly Below Fair Value: CVX is trading below fair value by more than 20%.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for CVX?

Other financial metrics that can be useful for relative valuation.

CVX key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue1.6x
Enterprise Value/EBITDA7.4x
PEG Ratio3.8x

Price to Earnings Ratio vs Peers

How does CVX's PE Ratio compare to its peers?

The above table shows the PE ratio for CVX vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average13.4x
XOM Exxon Mobil
13.8x4.2%US$446.6b
OXY Occidental Petroleum
16.6x21.0%US$54.3b
COP ConocoPhillips
12.7x1.6%US$132.3b
EOG EOG Resources
10.4x-2.4%US$74.1b
CVX Chevron
14.4x3.7%US$286.7b

Price-To-Earnings vs Peers: CVX is expensive based on its Price-To-Earnings Ratio (14.4x) compared to the peer average (13.4x).


Price to Earnings Ratio vs Industry

How does CVX's PE Ratio compare vs other companies in the US Oil and Gas Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a5.7%
n/an/an/a
No. of CompaniesPE048121620

Fetching data

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a5.7%
n/an/an/a
No more companies

Price-To-Earnings vs Industry: CVX is expensive based on its Price-To-Earnings Ratio (14.4x) compared to the US Oil and Gas industry average (11.1x).


Price to Earnings Ratio vs Fair Ratio

What is CVX's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

CVX PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio14.4x
Fair PE Ratio15.5x

Price-To-Earnings vs Fair Ratio: CVX is good value based on its Price-To-Earnings Ratio (14.4x) compared to the estimated Fair Price-To-Earnings Ratio (15.5x).


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst CVX forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$158.04
US$183.04
+15.8%
8.0%US$206.00US$155.00n/a22
Jul ’25US$156.52
US$183.84
+17.5%
8.0%US$206.00US$155.00n/a22
Jun ’25US$162.30
US$184.20
+13.5%
8.0%US$206.00US$155.00n/a23
May ’25US$159.63
US$182.49
+14.3%
8.3%US$206.00US$148.00n/a24
Apr ’25US$159.08
US$177.03
+11.3%
6.8%US$200.00US$148.00n/a23
Mar ’25US$152.81
US$178.05
+16.5%
7.0%US$196.00US$148.00n/a25
Feb ’25US$147.89
US$176.78
+19.5%
6.8%US$194.00US$148.00n/a24
Jan ’25US$149.16
US$178.65
+19.8%
6.8%US$200.00US$148.00n/a24
Dec ’24US$144.81
US$181.19
+25.1%
6.1%US$200.00US$160.00n/a24
Nov ’24US$143.98
US$183.09
+27.2%
6.5%US$215.00US$166.00n/a24
Oct ’24US$168.62
US$186.05
+10.3%
7.5%US$215.00US$165.00n/a26
Sep ’24US$164.30
US$185.46
+12.9%
7.3%US$209.00US$165.00n/a26
Aug ’24US$162.30
US$183.50
+13.1%
7.2%US$207.00US$161.00n/a26
Jul ’24US$157.35
US$185.88
+18.1%
7.3%US$208.00US$161.00US$156.5225
Jun ’24US$152.16
US$186.48
+22.6%
7.5%US$212.00US$161.00US$162.3025
May ’24US$167.24
US$190.67
+14.0%
9.2%US$236.00US$161.00US$159.6327
Apr ’24US$163.16
US$190.71
+16.9%
9.3%US$236.00US$161.00US$159.0828
Mar ’24US$162.05
US$191.46
+18.2%
9.5%US$236.00US$149.00US$152.8128
Feb ’24US$171.36
US$192.39
+12.3%
9.2%US$236.00US$149.00US$147.8928
Jan ’24US$179.49
US$189.32
+5.5%
9.5%US$236.00US$149.00US$149.1628
Dec ’23US$182.49
US$189.57
+3.9%
9.8%US$236.00US$143.00US$144.8128
Nov ’23US$182.22
US$185.75
+1.9%
10.5%US$236.00US$143.00US$143.9828
Oct ’23US$143.67
US$177.27
+23.4%
8.6%US$202.00US$145.00US$168.6228
Sep ’23US$155.54
US$177.34
+14.0%
7.8%US$202.00US$149.00US$164.3028
Aug ’23US$160.51
US$175.71
+9.5%
8.3%US$202.00US$142.00US$162.3028
Jul ’23US$146.51
US$179.89
+22.8%
9.8%US$213.00US$142.00US$157.3527

Analyst Forecast: Target price is less than 20% higher than the current share price.


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