EOG Resources Inc (EOG) is undervalued and Occidental Petroleum Corp (OXY) is undervalued.
Against our estimates of intrinsic value, EOG trades at the wider discount: a margin of safety of +42%, against +27% for OXY.
Values as of the 22 Sept 2026 close.
Discounting its cash flows at 7.5% (average of 3 methods) values the shares at $241.48; the price of $139.52 is 42% below that value, and 81% of that value comes from beyond year five.
Leak Score 89/100 on 10 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 | EOG | OXY |
|---|---|---|
| Verdict | Undervalued | Undervalued |
| Price | $139.52 | $56.31 |
| Intrinsic value | $241.48 | $77.34 |
| Margin of safety | +42% | +27% |
| Leak Score | 89/100 (10/12) | 68/100 (9/12) |
| Market cap | $73.2B | $56.3B |
| Revenue growth, 5 years | 17.9% | 4.7% |
| Operating margin | 35.1% | 23.1% |
| Net margin | 25.8% | 14.0% |
| Return on equity | 22.5% | 10.9% |
| Debt to equity | 0.26 | 0.35 |
| P/E | 10.8x | 16.7x |
| Forward P/E | 9.5x | 14.0x |
| P/B | 2.3x | 1.7x |
| Dividend yield | 3.0% | 1.8% |