Vital Energy Valuation
Is VTLE undervalued compared to its fair value, analyst forecasts and its price relative to the market?
Valuation Score
5/6Valuation Score 5/6
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 VTLE when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.
Below Fair Value: VTLE ($31.84) is trading below our estimate of fair value ($55.42)
Significantly Below Fair Value: VTLE is trading below fair value by more than 20%.
Key Valuation Metric
Which metric is best to use when looking at relative valuation for VTLE?
Key metric: As VTLE is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.
| What is VTLE's PE Ratio? | |
|---|---|
| PE Ratio | 2.5x |
| Earnings | US$466.20m |
| Market Cap | US$1.12b |
| Key Statistics | |
|---|---|
| Enterprise Value/Revenue | 2x |
| Enterprise Value/EBITDA | 2.5x |
| PEG Ratio | -0.2x |
Price to Earnings Ratio vs Peers
How does VTLE's PE Ratio compare to its peers?
| Company | Forward PE | Estimated Growth | Market Cap |
|---|---|---|---|
| Peer Average | 13.6x | ||
VTS Vitesse Energy | 17.4x | 2.4% | US$798.6m |
GRNT Granite Ridge Resources | 18.1x | 32.0% | US$836.8m |
KOS Kosmos Energy | 8.7x | 5.2% | US$1.8b |
SBR Sabine Royalty Trust | 10.1x | n/a | US$902.8m |
VTLE Vital Energy | 2.5x | -16.0% | US$1.1b |
Price-To-Earnings vs Peers: VTLE is good value based on its Price-To-Earnings Ratio (2.5x) compared to the peer average (13.6x).
Price to Earnings Ratio vs Industry
How does VTLE's PE Ratio compare vs other companies in the US Oil and Gas Industry?
Price-To-Earnings vs Industry: VTLE is good value based on its Price-To-Earnings Ratio (2.5x) compared to the US Oil and Gas industry average (11.3x).
Price to Earnings Ratio vs Fair Ratio
What is VTLE'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.
| Fair Ratio | |
|---|---|
| Current PE Ratio | 2.5x |
| Fair PE Ratio | 6.8x |
Price-To-Earnings vs Fair Ratio: VTLE is good value based on its Price-To-Earnings Ratio (2.5x) compared to the estimated Fair Price-To-Earnings Ratio (6.8x).
Analyst Price Targets
What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?
| Date | Share Price | Average 1Y Price Target | Dispersion | High | Low | 1Y Actual price | Analysts |
|---|---|---|---|---|---|---|---|
| Current | US$31.84 | US$39.59 +24.3% | 30.1% | US$65.00 | US$29.00 | n/a | 12 |
| Nov ’25 | US$26.03 | US$40.08 +54.0% | 27.0% | US$65.00 | US$29.00 | n/a | 12 |
| Oct ’25 | US$27.36 | US$45.58 +66.6% | 28.4% | US$71.00 | US$29.00 | n/a | 12 |
| Sep ’25 | US$35.89 | US$58.15 +62.0% | 33.6% | US$105.00 | US$38.00 | n/a | 13 |
| Aug ’25 | US$42.55 | US$63.07 +48.2% | 25.7% | US$105.00 | US$46.00 | n/a | 14 |
| Jul ’25 | US$45.12 | US$67.23 +49.0% | 26.5% | US$105.00 | US$46.00 | n/a | 13 |
| Jun ’25 | US$48.85 | US$69.00 +41.2% | 25.2% | US$105.00 | US$49.00 | n/a | 12 |
| May ’25 | US$50.94 | US$70.85 +39.1% | 21.9% | US$105.00 | US$51.00 | n/a | 13 |
| Apr ’25 | US$52.64 | US$63.93 +21.4% | 26.5% | US$105.00 | US$42.00 | n/a | 14 |
| Mar ’25 | US$50.81 | US$62.00 +22.0% | 27.9% | US$105.00 | US$42.00 | n/a | 14 |
| Feb ’25 | US$43.37 | US$62.36 +43.8% | 27.5% | US$105.00 | US$42.00 | n/a | 14 |
| Jan ’25 | US$45.49 | US$66.79 +46.8% | 23.6% | US$105.00 | US$46.00 | n/a | 14 |
| Dec ’24 | US$45.08 | US$70.75 +56.9% | 22.2% | US$105.00 | US$50.00 | n/a | 12 |
| Nov ’24 | US$49.15 | US$79.67 +62.1% | 22.6% | US$106.00 | US$63.00 | US$26.03 | 9 |
| Oct ’24 | US$55.42 | US$79.56 +43.6% | 26.8% | US$122.00 | US$60.00 | US$27.36 | 9 |
| Sep ’24 | US$62.02 | US$77.67 +25.2% | 29.1% | US$122.00 | US$54.00 | US$35.89 | 9 |
| Aug ’24 | US$52.81 | US$68.67 +30.0% | 37.3% | US$119.00 | US$39.00 | US$42.55 | 9 |
| Jul ’24 | US$45.15 | US$70.78 +56.8% | 32.5% | US$112.00 | US$49.00 | US$45.12 | 9 |
| Jun ’24 | US$42.28 | US$70.89 +67.7% | 32.7% | US$113.00 | US$49.00 | US$48.85 | 9 |
| May ’24 | US$46.16 | US$72.56 +57.2% | 26.9% | US$108.00 | US$53.00 | US$50.94 | 9 |
| Apr ’24 | US$45.54 | US$73.44 +61.3% | 35.5% | US$133.00 | US$49.00 | US$52.64 | 9 |
| Mar ’24 | US$52.56 | US$75.22 +43.1% | 33.6% | US$133.00 | US$54.00 | US$50.81 | 9 |
| Feb ’24 | US$54.47 | US$74.78 +37.3% | 32.6% | US$130.00 | US$54.00 | US$43.37 | 9 |
| Jan ’24 | US$51.42 | US$84.00 +63.4% | 28.4% | US$135.00 | US$60.00 | US$45.49 | 8 |
| Dec ’23 | US$61.11 | US$88.63 +45.0% | 23.2% | US$127.00 | US$70.00 | US$45.08 | 8 |
| Nov ’23 | US$65.89 | US$87.75 +33.2% | 20.3% | US$127.00 | US$71.00 | US$49.15 | 8 |
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.
Discover undervalued companies
ProPetro Holding
US$780.2m
Operates as an integrated oilfield services company.
PUMP
US$7.85
7D
-3.1%
1Y
-16.0%
Aker BP
NOK 142.8b
Explores for, develops, and produces oil and gas on the Norwegian Continental Shelf.
AKRB.F
NOK 20.53
7D
3.2%
1Y
-29.8%
Precision Drilling
CA$1.2b
A drilling company, provides onshore drilling, completion, and production services to exploration and production companies in the oil and natural gas and geothermal industries in North America and the Middle East.
PDS
CA$63.03
7D
-1.7%
1Y
7.2%