EOG Resources (EOG) AI Stock Analysis

• Market Cap: $67.12B
• Dividend Yield: 3.79%
• Average Volume (3M): 4.87M
• Price to Earnings (P/E): 12.2
• Beta (1Y): 0.54
• Revenue Growth: -5.15%
• EPS Growth: -19.06%
• Country: US
• Employees: 3,150
• Sector: Energy
• Sector Strength: 52
• Industry: Oil & Gas Exploration & Production
• EPS (TTM): 2.27
• Shares Outstanding: 542,598,450
• 10 Day Avg. Volume: 5,029,637
• 30 Day Avg. Volume: 4,872,003
• PEG Ratio: -0.61
• Price to Book (P/B): 1.91
• Price to Sales (P/S): 2.53
• P/FCF Ratio: 14.51
• Enterprise Value/Market Cap: 1.07
• Enterprise Value/Revenue: 3.19
• Enterprise Value/Gross Profit: 4.68
• Enterprise Value/Ebitda: 6.36
• 1Y Price Target: $132.16
• Price Target Upside: 6.84% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 19
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 79 Outperform
• Price Target: $142.00 ▲(14.79% Upside)
• Action: Reiterated Date: 02/25/26
• Date: Action: Reiterated 02/25/26

The score is driven primarily by strong financial quality (profitability, low leverage, and positive cash generation) and constructive earnings-call guidance emphasizing sizable free cash flow and high shareholder returns. Technicals add support via a clear uptrend, while valuation remains reasonable with a solid dividend. Key offsets are cyclical commodity sensitivity, variable free cash flow/capital intensity, and near-term price pressure risks highlighted on the call.

Positive Factors

Strong free cash flow and shareholder returns

Sustained multi-billion dollar free cash flow gives EOG durable capital-allocation flexibility: funds dividends, buybacks and selective growth while preserving balance sheet strength. Returning a high share of FCF signals disciplined priorities that should persist through 2–6 months and beyond.

Conservative balance sheet and liquidity

Ample cash, an undrawn revolver and manageable long-term debt provide resilience to commodity swings and fund capex or shareholder returns without forced asset sales. Conservative leverage targets improve financial flexibility and reduce refinancing and solvency risk over the medium term.

Material cost reductions and operational gains

Meaningful, sustainable reductions in well costs and productivity improvements lower break-evens and raise returns per well. Structural efficiency gains from integration and basin execution enhance competitive advantage and support free cash generation even if commodity prices soften.

Negative Factors

Commodity-driven revenue and earnings volatility

EOG’s cash flows and earnings remain highly correlated to oil and gas prices, creating structural variability in available free cash flow and capital plans. This cyclicality limits predictability of returns and can force trade-offs between growth and shareholder payouts during down cycles.

Exposure to service-price volatility; limited cost locks

With more than half of 2026 well costs still unhedged, rising service or equipment costs could materially erode projected margins and free cash flow. This structural exposure raises execution risk on the capital plan and makes multi-quarter cash forecasts less certain.

Per-well productivity mix shift in Delaware

A structural shift into lower-productivity landing zones increases capital intensity per barrel and can depress long-term per-well returns. If the development mix remains skewed, sustaining production growth without higher costs becomes harder and pressures long-run free cash generation.

EOG Resources Business Overview & Revenue Model

Company Description

EOG Resources, Inc., together with its subsidiaries, explores for, develops, produces, and markets crude oil, and natural gas and natural gas liquids. Its principal producing areas are in New Mexico and Texas in the United States; and the Republic of Trinidad and Tobago. As of December 31, 2021, it had total estimated net proved reserves of 3,747 million barrels of oil equivalent, including 1,548 million barrels (MMBbl) of crude oil and condensate reserves; 829 MMBbl of natural gas liquid reserves; and 8,222 billion cubic feet of natural gas reserves. The company was formerly known as Enron Oil & Gas Company. EOG Resources, Inc. was incorporated in 1985 and is headquartered in Houston, Texas.

How the Company Makes Money

EOG Resources generates revenue primarily through the sale of crude oil, natural gas, and natural gas liquids. The company employs a revenue model based on the production and sale of hydrocarbons, with a significant portion of its income coming from oil sales given the higher price point compared to natural gas. EOG strategically invests in exploration and development projects in key oil-rich regions, allowing it to enhance its production capabilities. Additionally, EOG benefits from its operational efficiency and cost management strategies, which contribute to its profitability. The company also engages in hedging activities to mitigate risks associated with price fluctuations in the commodities market. Key partnerships with service companies and joint ventures in certain plays further bolster EOG's ability to maximize its production and revenue potential.

EOG Resources Financial Statement Overview

Summary

Above-average fundamentals for an E&P: strong profitability through the cycle, conservative leverage with equity growth, and consistently positive operating/free cash flow. Main offsets are commodity-driven revenue/earnings volatility, variability in free cash flow (including a 2025 decline vs. 2024 in dollars), and higher total debt in 2025 versus 2023–2024.

Income Statement

Profitability is strong across the cycle, with solid net profit margins in 2021–2025 (roughly low-20%s to low-30%s) and a clear recovery from the 2020 loss. Revenue has been volatile (sharp growth in 2021–2022, contraction in 2023, then modest growth in 2024–2025), which is typical for the industry and reduces predictability. Margins remain healthy, but the earnings step-down from the 2022–2023 peak suggests sensitivity to commodity pricing.

Balance Sheet

Leverage looks conservative, with debt-to-equity staying relatively low (about 0.15–0.33) and equity building over time. Returns on equity are strong in profitable years (roughly mid-teens to low-30%s), indicating good capital efficiency, though 2020 highlights downside risk in weaker markets. A notable watch item is higher total debt in 2025 versus 2023–2024, even though leverage remains manageable due to the large equity base.

Cash Flow

Cash generation is consistently positive, with operating cash flow covering reported earnings by roughly 1.4x–2.8x across the period, supporting earnings quality. Free cash flow is positive every year provided and improved sharply in 2025 versus 2024 on a growth basis, but free cash flow as a share of net income is only moderate (about 0.39–0.56) and free cash flow dollars declined in 2025 vs. 2024, pointing to ongoing capital intensity and variability. Overall, cash flow strength is good, but not as steady as top-tier, low-volatility profiles.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	22.57B	23.38B	23.18B	29.49B	19.67B
Gross Profit	15.37B	17.70B	18.24B	24.62B	14.32B
EBITDA	12.85B	12.46B	13.33B	13.62B	9.76B
Net Income	4.98B	6.40B	7.59B	7.76B	4.66B
Balance Sheet
Total Assets	51.80B	47.19B	43.86B	41.37B	38.24B
Cash, Cash Equivalents and Short-Term Investments	3.40B	7.09B	5.28B	5.97B	5.21B
Total Debt	8.41B	5.07B	4.16B	5.96B	5.91B
Total Liabilities	21.97B	17.84B	15.77B	16.59B	16.06B
Stockholders Equity	29.83B	29.35B	28.09B	24.78B	22.18B
Cash Flow
Free Cash Flow	3.93B	5.77B	5.16B	6.09B	4.94B
Operating Cash Flow	10.04B	12.14B	11.34B	11.09B	8.79B
Investing Cash Flow	-10.94B	-5.97B	-6.34B	-5.06B	-3.42B
Financing Cash Flow	-2.80B	-4.36B	-5.69B	-5.27B	-3.49B

EOG Resources Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 123.70
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For EOG, the sentiment is Positive. The current price of 123.7 is above the 20-day moving average (MA) of 116.09, above the 50-day MA of 109.36, and above the 200-day MA of 111.78, indicating a bullish trend. The MACD of 4.13 indicates Negative momentum. The RSI at 69.06 is Neutral, neither overbought nor oversold. The STOCH value of 76.56 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for EOG.

EOG Resources Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
FANG	80 Outperform	$49.43B	30.34	4.42%	2.70%	60.29%	-17.62%
EOG	79 Outperform	$67.12B	12.18	18.48%	3.79%	-5.15%	-19.06%
COP	77 Outperform	$135.18B	17.30	12.32%	3.43%	8.41%	-16.12%
DVN	77 Outperform	$26.83B	10.46	17.60%	2.64%	11.14%	-21.32%
EQT	76 Outperform	$36.46B	17.82	9.20%	1.17%	64.84%	219.47%
OXY	72 Outperform	$51.24B	32.53	6.86%	2.39%	-2.48%	-65.26%
Sector *	65 Neutral	$15.17B	7.61	4.09%	5.20%	3.87%	-62.32%

EOG Resources Corporate Events

EOG Resources Issues Q4 2025 Results and 2026 Outlook

EOG Resources released detailed supplemental financial and operating data for the fourth quarter and full year 2025, including income statements, cash flow statements, balance sheets and non‑GAAP metrics such as adjusted net income and free cash flow. The materials also provide first quarter and full year 2026 forecasts and benchmark commodity pricing assumptions, offering investors a comprehensive view of recent performance trends and the company’s near‑term operating and pricing framework, though the forecast information is provided as reference material rather than as a formal securities filing.

The most recent analyst rating on (EOG) stock is a Buy with a $150.00 price target. To see the full list of analyst forecasts on EOG Resources stock, see the EOG Stock Forecast page.

EOG Resources Appoints John D. Chandler to Board

On December 10, 2025, EOG Resources appointed John D. Chandler to its Board of Directors and the Audit Committee. Chandler, who has over 30 years of experience in the energy industry, brings significant financial leadership and business development expertise, having previously served as CFO for The Williams Companies and Magellan Midstream Partners. His appointment is expected to enhance EOG’s strategic capabilities in the oil and gas sector.

The most recent analyst rating on (EOG) stock is a Buy with a $127.00 price target. To see the full list of analyst forecasts on EOG Resources stock, see the EOG Stock Forecast page.

EOG Resources Secures New $3 Billion Credit Agreement

On December 3, 2025, EOG Resources, Inc. entered into a new $3.0 billion senior unsecured Revolving Credit Agreement with JPMorgan Chase Bank, replacing its previous $1.9 billion agreement from June 2023. This strategic move enhances EOG’s financial flexibility, as the previous facility was terminated without penalty and had no outstanding borrowings, positioning the company for improved operational leverage and potential growth opportunities.

The most recent analyst rating on (EOG) stock is a Hold with a $121.00 price target. To see the full list of analyst forecasts on EOG Resources stock, see the EOG Stock Forecast page.