We’ve recently updated our valuation analysis.

Denbury Valuation

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

Valuation Score

2/6

Valuation Score 2/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

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

Other financial metrics that can be useful for relative valuation.

DEN 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/Revenue2.8x
Enterprise Value/EBITDA5.4x
PEG Ratio-0.4x

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for DEN vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average6.4x
MUR Murphy Oil
4.4x-10.8%US$5.6b
MGY Magnolia Oil & Gas
4.5x-6.3%US$4.1b
BSM Black Stone Minerals
5.5x-17.7%US$3.3b
VNOM Viper Energy Partners
11.1x7.4%US$4.2b
DEN Denbury
8x-21.9%US$4.5b

Price-To-Earnings vs Peers: DEN is expensive based on its Price-To-Earnings Ratio (8x) compared to the peer average (6.4x).


Price to Earnings Ratio vs Industry

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

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a-5.5%
n/an/an/a
No. of CompaniesPE048121620

Fetching data

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a-5.5%
n/an/an/a
No more companies

Price-To-Earnings vs Industry: DEN is expensive based on its Price-To-Earnings Ratio (8x) compared to the US Oil and Gas industry average (5.3x)


Price to Earnings Ratio vs Fair Ratio

What is DEN'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.

DEN PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio8x
Fair PE Ratio4.7x

Price-To-Earnings vs Fair Ratio: DEN is expensive based on its Price-To-Earnings Ratio (8x) compared to the estimated Fair Price-To-Earnings Ratio (4.7x).


Share Price vs Fair Value

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

Below Fair Value: DEN ($90.85) is trading below our estimate of fair value ($199.29)

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


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 DEN forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$90.85
US$109.64
+20.7%
15.1%US$140.00US$73.00n/a11
May ’24US$93.22
US$109.82
+17.8%
14.7%US$140.00US$73.00n/a11
Apr ’24US$87.63
US$109.36
+24.8%
14.7%US$138.00US$73.00n/a11
Mar ’24US$84.21
US$112.45
+33.5%
17.9%US$156.00US$73.00n/a11
Feb ’24US$84.60
US$113.27
+33.9%
18.0%US$156.00US$73.00n/a11
Jan ’24US$87.02
US$113.08
+30.0%
17.3%US$155.00US$73.00n/a12
Dec ’23US$88.26
US$110.82
+25.6%
14.7%US$144.00US$81.00n/a11
Nov ’23US$91.85
US$109.18
+18.9%
15.7%US$146.00US$81.00n/a11
Oct ’23US$86.26
US$100.88
+16.9%
16.8%US$125.00US$71.00n/a10
Sep ’23US$86.70
US$102.18
+17.8%
22.1%US$144.00US$71.00n/a10
Aug ’23US$69.38
US$95.07
+37.0%
18.9%US$126.00US$71.00n/a11
Jul ’23US$61.32
US$105.08
+71.4%
15.3%US$129.00US$81.00n/a10
Jun ’23US$73.63
US$107.31
+45.7%
15.2%US$129.00US$83.00US$90.859
May ’23US$63.98
US$108.42
+69.5%
12.9%US$127.00US$87.75US$93.229
Apr ’23US$80.93
US$107.08
+32.3%
11.6%US$124.00US$87.75US$87.639
Mar ’23US$73.51
US$100.58
+36.8%
12.3%US$117.00US$80.00US$84.2110
Feb ’23US$77.16
US$97.88
+26.8%
13.8%US$117.00US$78.75US$84.6010
Jan ’23US$76.59
US$94.84
+23.8%
15.6%US$117.00US$72.00US$87.028
Dec ’22US$75.85
US$91.68
+20.9%
14.2%US$115.00US$72.00US$88.267
Nov ’22US$86.99
US$89.96
+3.4%
12.2%US$105.00US$72.00US$91.857
Oct ’22US$73.93
US$87.82
+18.8%
10.4%US$100.00US$72.00US$86.267
Sep ’22US$70.22
US$86.29
+22.9%
10.5%US$100.00US$72.00US$86.706
Aug ’22US$65.71
US$86.96
+32.3%
11.1%US$100.00US$72.00US$69.386
Jul ’22US$78.18
US$82.33
+5.3%
17.2%US$100.00US$57.00US$61.326
Jun ’22US$70.02
US$67.50
-3.6%
17.7%US$86.00US$57.00US$73.634

Analyst Forecast: Target price is more than 20% higher than the current share price, but analysts are not within a statistically confident range of agreement.


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