Vermilion Energy Inc.

NYSE:VET Stock Report

Market Cap: US$1.6b

Vermilion Energy Valuation

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

Valuation Score

4/6

Valuation Score 4/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

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

Below Fair Value: VET ($10.84) is trading below our estimate of fair value ($12.6)

Significantly Below Fair Value: VET is trading below fair value, but not by a significant amount.

Key Valuation Metric

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

Key metric: As VET is unprofitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for VET. This is calculated by dividing VET's market cap by their current revenue.
What is VET's PS Ratio?
PS Ratio1.3x
SalesCA$1.82b
Market CapCA$2.23b

Price to Sales Ratio vs Peers

How does VET's PS Ratio compare to its peers?

The above table shows the PS ratio for VET vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average3.9x
MNR Mach Natural Resources
2x5.9%US$1.7b
KOS Kosmos Energy
1.1x2.2%US$1.8b
BKV BKV
2.9x20.9%US$1.8b
DMLP Dorchester Minerals
9.5xn/aUS$1.6b
VET Vermilion Energy
1.3x0.4%US$2.2b

Price-To-Sales vs Peers: VET is good value based on its Price-To-Sales Ratio (1.3x) compared to the peer average (3.9x).

Price to Sales Ratio vs Industry

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

37 CompaniesPrice / SalesEstimated GrowthMarket Cap
PSX Phillips 66
0.4x-5.4%US$54.29b
MPC Marathon Petroleum
0.4x-3.6%US$51.22b
VLO Valero Energy
0.3x-2.7%US$44.70b
PAA Plains All American Pipeline
0.2x-2.1%US$12.36b
VET 1.3xIndustry Avg. 1.9xNo. of Companies37PS01.63.24.86.48+
37 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Sales vs Industry: VET is good value based on its Price-To-Sales Ratio (1.3x) compared to the US Oil and Gas industry average (1.9x).

Price to Sales Ratio vs Fair Ratio

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

VET PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio1.3x
Fair PS Ratio1.6x

Price-To-Sales vs Fair Ratio: VET is good value based on its Price-To-Sales Ratio (1.3x) compared to the estimated Fair Price-To-Sales Ratio (1.6x).

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 VET forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$10.84
US$12.74
+17.5%
12.8%US$17.01US$10.74n/a13
Nov ’25US$9.26
US$12.99
+40.3%
13.1%US$17.27US$10.91n/a13
Oct ’25US$10.04
US$14.24
+41.8%
13.8%US$17.60US$11.12n/a13
Sep ’25US$10.28
US$15.08
+46.7%
8.4%US$17.33US$13.13n/a13
Aug ’25US$9.98
US$15.12
+51.5%
7.3%US$17.12US$12.97n/a13
Jul ’25US$11.02
US$15.37
+39.5%
6.0%US$17.30US$13.84n/a13
Jun ’25US$12.38
US$15.35
+24.0%
7.1%US$17.40US$13.19n/a14
May ’25US$11.26
US$15.32
+36.1%
6.6%US$17.38US$13.90n/a13
Apr ’25US$12.46
US$15.19
+21.9%
7.3%US$17.50US$13.26n/a13
Mar ’25US$11.41
US$16.70
+46.4%
24.2%US$30.09US$13.37n/a13
Feb ’25US$10.58
US$17.06
+61.2%
22.8%US$30.23US$13.43n/a14
Jan ’25US$12.06
US$18.56
+53.9%
20.4%US$30.50US$14.31n/a14
Dec ’24US$12.50
US$18.54
+48.3%
17.4%US$29.48US$15.29n/a15
Nov ’24US$14.51
US$18.44
+27.1%
17.5%US$29.36US$15.22US$9.2615
Oct ’24US$14.62
US$18.85
+28.9%
18.6%US$30.02US$14.82US$10.0415
Sep ’24US$15.05
US$18.29
+21.5%
20.3%US$29.87US$14.01US$10.2815
Aug ’24US$13.72
US$18.88
+37.6%
22.0%US$30.75US$14.42US$9.9815
Jul ’24US$12.45
US$19.70
+58.2%
22.1%US$30.73US$14.04US$11.0214
Jun ’24US$11.11
US$19.39
+74.5%
20.3%US$29.79US$13.98US$12.3814
May ’24US$12.50
US$20.34
+62.7%
19.9%US$29.92US$15.51US$11.2614
Apr ’24US$12.97
US$21.46
+65.4%
19.2%US$29.85US$15.48US$12.4614
Mar ’24US$13.72
US$24.59
+79.2%
20.3%US$39.08US$18.79US$11.4114
Feb ’24US$14.88
US$24.59
+65.2%
20.3%US$39.08US$18.79US$10.5814
Jan ’24US$17.70
US$28.58
+61.5%
14.4%US$37.97US$23.37US$12.0614
Dec ’23US$19.22
US$29.59
+53.9%
13.9%US$39.02US$23.26US$12.5014
Nov ’23US$23.83
US$30.61
+28.5%
11.6%US$37.77US$25.43US$14.5114

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

Discover undervalued companies

Hafnia

NOK 31.5b

Owns and operates oil product tankers in Bermuda.

HAFN

NOK 5.49

7D

1.5%

1Y

-18.8%

Civitas Resources

US$5.0b

An exploration and production company, focuses on the acquisition, development, and production of oil and natural gas in the Rocky Mountain region, primarily in the Field of the Denver-Julesburg Basin of Colorado.

CIVI

US$52.28

7D

1.2%

1Y

-23.7%

Cenovus Energy

CA$41.3b

Develops, produces, refines, transports, and markets crude oil, natural gas, and refined petroleum products in Canada and internationally.

CVE

CA$16.20

7D

2.3%

1Y

-7.5%