Veren Inc.

NYSE:VRN Stock Report

Market Cap: US$3.3b

Veren Valuation

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

Valuation Score

6/6

Valuation Score 6/6

  • 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 VRN when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: VRN ($5.34) is trading below our estimate of fair value ($13.19)

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

Key Valuation Metric

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

Key metric: As VRN is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for VRN. This is calculated by dividing VRN's market cap by their current earnings.
What is VRN's PE Ratio?
PE Ratio10.6x
EarningsCA$441.80m
Market CapCA$4.67b

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for VRN vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average22x
CRGY Crescent Energy
40.9x65.9%US$2.5b
BSM Black Stone Minerals
9.4x-7.2%US$3.3b
MUR Murphy Oil
10.1x12.9%US$4.9b
TALO Talos Energy
27.5x-82.6%US$2.1b
VRN Veren
10.6x11.0%US$4.7b

Price-To-Earnings vs Peers: VRN is good value based on its Price-To-Earnings Ratio (10.6x) compared to the peer average (22x).

Price to Earnings Ratio vs Industry

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

4 CompaniesPrice / EarningsEstimated GrowthMarket Cap
AXAS Abraxas Petroleum
0.09xn/aUS$10.27m
BYRO.F Byron Energy
0.03x-10.3%US$312.17k
EVVA.Q Enviva
n/an/aUS$74.00
USOP.Y U.S. Oil and Gas
n/an/aUS$6.00
No more companies available in this PE range
VRN 10.6xIndustry Avg. 11.6xNo. of Companies18PE0816243240+
4 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: VRN is good value based on its Price-To-Earnings Ratio (10.6x) compared to the US Oil and Gas industry average (11.6x).

Price to Earnings Ratio vs Fair Ratio

What is VRN'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.

VRN PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio10.6x
Fair PE Ratio11.7x

Price-To-Earnings vs Fair Ratio: VRN is good value based on its Price-To-Earnings Ratio (10.6x) compared to the estimated Fair Price-To-Earnings Ratio (11.7x).

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 VRN forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$5.34
US$8.32
+55.9%
10.8%US$10.07US$7.19n/a14
Nov ’25US$4.97
US$8.52
+71.5%
11.3%US$10.03US$7.17n/a14
Oct ’25US$6.43
US$10.23
+59.2%
10.7%US$11.47US$8.14n/a12
Sep ’25US$7.23
US$10.60
+46.7%
10.4%US$13.82US$9.46n/a13
Aug ’25US$7.37
US$10.59
+43.8%
10.1%US$13.74US$9.40n/a13
Jul ’25US$7.86
US$10.81
+37.5%
10.2%US$13.87US$9.49n/a13
Jun ’25US$8.71
US$10.82
+24.2%
9.9%US$13.90US$9.51n/a14
May ’25US$8.50
US$10.61
+24.8%
10.5%US$13.80US$9.44n/a14
Apr ’25US$8.17
US$9.67
+18.4%
7.4%US$11.04US$8.83n/a14
Mar ’25US$7.49
US$9.45
+26.2%
6.6%US$10.35US$8.87n/a14
Feb ’25US$6.42
US$9.70
+51.0%
8.1%US$11.53US$8.93n/a14
Jan ’25US$6.93
US$10.72
+54.7%
12.7%US$14.33US$9.05n/a14
Dec ’24US$7.09
US$10.78
+52.1%
11.8%US$13.87US$9.49n/a11
Nov ’24US$8.08
US$10.48
+29.7%
11.2%US$13.70US$9.37US$4.9714
Oct ’24US$8.30
US$10.44
+25.8%
8.4%US$11.86US$9.64US$6.4314
Sep ’24US$8.42
US$10.12
+20.2%
7.6%US$11.76US$9.56US$7.2314
Aug ’24US$8.13
US$10.50
+29.1%
11.1%US$13.63US$8.71US$7.3714
Jul ’24US$6.73
US$10.39
+54.4%
13.1%US$13.66US$8.35US$7.8613
Jun ’24US$6.47
US$10.16
+57.0%
12.0%US$13.24US$8.83US$8.7113
May ’24US$7.28
US$10.52
+44.6%
11.8%US$13.44US$9.33US$8.5013
Apr ’24US$7.06
US$10.16
+44.0%
9.7%US$11.79US$9.21US$8.1713
Mar ’24US$7.08
US$10.48
+48.0%
13.5%US$13.90US$8.64US$7.4913
Feb ’24US$7.23
US$10.48
+44.9%
13.5%US$13.90US$8.64US$6.4213
Jan ’24US$7.15
US$10.78
+50.8%
12.9%US$13.65US$8.85US$6.9313
Dec ’23US$7.60
US$10.84
+42.6%
13.3%US$13.65US$8.85US$7.0913
Nov ’23US$7.99
US$10.84
+35.6%
13.3%US$13.65US$8.85US$8.0813

Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.

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