EOG Resources Stock Analysis, Valuation (NYSE:EOG)

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$122.18 $0.56 (0.46%) EOG stock closing price Oct 12, 2018 (Closing)

Investors can watch the Amigobulls EOG Resources stock analysis video here. This is our analyst opinion covering the buy and sell arguments for EOG stock.

Note: Amigobulls stock rating is our opinion based on the historical performance of the company's fundamentals. It is not indicative of the future performance of the stock.

EOG Resources Inc Stock Rating 3.2/5

Amigobulls EOG stock analysis takes into account various financial ratios like relative valuation, EOG Resources revenue, growth and return on equity based on latest quarter 2018 Q2 financial statements. We also check EOG Resources dividend performance. EOG Resources valuation analysis is based on relative valuation multiples like PE ratio and price to sales ratio. Our EOG Resources stock rating is based on company's fundamentals like balance sheet risk and cash flow position.

Should you buy EOG stock?

  • EOG Resources's revenue growth came in at 41% in 2018-03.
  • The company saw a significant growth in revenue with a 5 year CAGR of 0.1.
  • EOG Resources's average operating margin of 13.79 was exceptional.
  • The operating cash flow looks good at 2.4307 times the net income.
  • EOG Resources generates a high return on invested capital of 5.1.
  • Return On Equity (ROE) which is a measure of the company's profitability, looks great for EOG Resources at 21.3.

Should you sell EOG stock?

  • Trading at a PE ratio of 35.5, EOG stock is overvalued in comparison to sector average multiple of 21.9.
  • The company is trading at a price to sales multiple of 5.1, which is overvalued in comparison to the Oils-Energy sector average multiple of 1.7.

Comments on this video and EOG Resources stock

Amigobulls EOG Resources stock analysis helps investors in understanding how the company's fundamentals have performed in the last few quarters. Fundamental analysis of a company is the most often used approach to find the intrinsic value of a stock.

While doing a study of the company financials, EOG Resources revenue growth and profit or net income are two main metrics which help in identifying whether EOG stock is overvalued or undervalued. One can also combine technical analysis and fundamental analysis to get a holistic picture about EOG stock.