| Factor | Score | Distribution | Value | Avg | Rank |
|---|---|---|---|---|---|
Valuation | 70 | 20.5x | 17.8x | Top tier | |
Growth | 49 | 10.2% | 7.1% | Around median | |
Quality | 76 | 11.3% | 4.5% | Top tier | |
Safety | 84 | 0.6x | 2.6x | Top tier | |
Capital Return | 53 | 3.26% | 2.12% | Around median | |
Momentum | 90 | 21.4% | 2.9% | Top tier | |
Sentiment | 74 | 14 | 3 | Top tier |
Estimates — analyst targets and a simplified DCF, not investment advice.
Ten ratios that matter, each compared against its sector median and average — so you can see whether a number is rich or cheap relative to peers in the same sector.
Chevron Corporation is an integrated energy company that generates income from the production of oil, natural gas, and liquefied natural gas, followed by crude refining and petroleum product marketing, alongside petrochemicals operations through CPChem. Its portfolio includes key assets in Permian, Bakken, Guyana, TCO, Australia, and West Africa, and it is also expanding its model toward power generation for data centers through Project Kilby and a long-term power purchase agreement with Microsoft.
In fiscal Q2 2026, Chevron reported revenue of $70.1 billion and gross profit of $33.4 billion, equivalent to a calculated gross margin of approximately 47.6%. Net income was $12.1 billion, or $6.11 per share, equivalent to a calculated net margin of approximately 17.3%, while adjusted earnings were $12 billion, or $6.06 per share. The sequential improvement came from upstream operations due to higher realized prices, volumes sold, and timing effects, and from downstream operations due to higher refining margins and timing effects.
Operating cash flow excluding working capital was $19.7 billion, and adjusted free cash flow was $15.4 billion, while the company reduced its debt by more than $8 billion and its net debt-to-operating cash flow ratio reached 0.6 times. Global upstream production increased by more than 5% sequentially and by more than 200 thousand barrels of oil equivalent per day, with record U.S. production of approximately 2.1 million barrels of oil equivalent per day and international production of approximately 2 million barrels of oil equivalent per day, in addition to Permian production exceeding 1 million barrels per day for the fifth consecutive quarter.
The average analyst price target is $211.27, within a wide range of $174 to $224, with a consensus rating of “Buy.” The average is near the upper end of the 52-week range of $146.49–$214.71, while the highest target exceeds the peak of that range; therefore, the consensus assumes continued earnings and cash flow strength, but the wide dispersion in targets reflects meaningful differences in assessments of commodity, geopolitical, and project execution risks.
Figures in the text are as of 2026-08-26; the live price is shown at the top of the page.
Chevron reported revenue of $70.1 billion and net income of $12.1 billion, or $6.11 per share, in fiscal Q2 2026. Adjusted earnings were $12 billion, while operating cash flow excluding working capital reached $19.7 billion and adjusted free cash flow reached $15.4 billion. Upstream operations benefited from higher realized prices, volumes sold, and timing effects, while downstream operations benefited from higher refining margins and timing effects.
Management stated on the fiscal Q2 2026 call that the transaction had reached its first anniversary and that Chevron achieved annual synergies of $1.5 billion six months ahead of schedule. These synergies exceeded the initial target by 50%, and the company also said that Hess assets generated free cash flow equal to approximately twice the incremental dividends associated with the transaction. The transaction added Guyana assets with high-margin oil growth into the 2030s, alongside Bakken, where the company maintained similar production using one fewer drilling rig.
Chevron signed a binding 20-year power purchase agreement with Microsoft to provide 2.67 gigawatts of firm behind-the-meter capacity for a co-located data center campus within Project Kilby. The company expects the project to generate mid-teens returns and long-term contracted cash flows independent of commodity price cycles. Permitting, engineering, procurement, and construction work was progressing toward a final investment decision later in 2026, with advanced discussions regarding other opportunities for existing and prospective customers.
Automated analysis for informational purposes only — not investment advice.
Chevron is targeting annual production growth of between 2% and 3% through 2030 and average annual adjusted free cash flow growth exceeding 10%. It is also targeting an improvement of more than 3% in return on capital employed, assuming commodity prices remain constant at levels below those referenced on the call. In 2026, the company expects to end the year at the low end of its $18–$19 billion capital spending range, after achieving annual structural cost savings of $3 billion six months ahead of schedule.
The CPC pipeline is the primary export route for TCO production, so management said an extended shutdown would create problems for the company and other shippers. The two operating offshore mooring points were in service during the July 31, 2026 call, with the third expected to return following refurbishment work during fiscal Q3 2026. Mitigation measures include shipping via the Caspian Sea, rail, and the use of storage, but the company did not specify the amount of alternative capacity, while the impact of the Middle East conflict in fiscal Q2 2026 was limited to the Partitioned Zone, which represents approximately 1% of total production.
Permian maintained production exceeding 1 million barrels per day for five consecutive quarters, and Chevron expects to spend less than $3.5 billion on it in 2026. The company expects capital spending per barrel of oil equivalent to decline by 25% in 2026 compared with 2025, supported by improvements in drilling, completions, reliability, and artificial lift optimization. In Bakken, Chevron drilled horizontal wells that were 28% longer on average and maintained similar production using one fewer drilling rig after integrating operating practices across the shale portfolio.
