Canadian Natural Resources Ltd (CNQ) is undervalued and Occidental Petroleum Corp (OXY) is undervalued.
Against our estimates of intrinsic value, CNQ trades at the wider discount: a margin of safety of +40%, against +27% for OXY.
Values as of the 22 Sept 2026 close.
Discounting its cash flows at 8.0% (average of 3 methods) values the shares at $79.80; the price of $47.77 is 40% below that value, and 80% of that value comes from beyond year five.
Leak Score 100/100 on 3 of 12 signals
Discounting its cash flows at 7.7% (average of 3 methods) values the shares at $77.34; the price of $56.31 is 27% below that value, and 79% of that value comes from beyond year five.
Leak Score 68/100 on 9 of 12 signals
| Metric | CNQ | OXY |
|---|---|---|
| Verdict | Undervalued | Undervalued |
| Price | $47.77 | $56.31 |
| Intrinsic value | $79.80 | $77.34 |
| Margin of safety | +40% | +27% |
| Leak Score | 100/100 (3/12) | 68/100 (9/12) |
| Market cap | $98.5B | $56.3B |
| Revenue growth, 5 years | 17.1% | 4.7% |
| Operating margin | 26.6% | 23.1% |
| Net margin | 26.2% | 14.0% |
| Return on equity | 26.8% | 10.9% |
| Debt to equity | 0.43 | 0.35 |
| P/E | 11.8x | 16.7x |
| Forward P/E | 12.9x | 14.0x |
| P/B | 3.0x | 1.7x |
| Dividend yield | 3.7% | 1.8% |