| Factor | Score | Distribution | Value | Avg | Rank |
|---|---|---|---|---|---|
Valuation | 89 | 11.8x | 17.3x | Top tier | |
Growth | 41 | 9.0% | 7.1% | Around median | |
Quality | 57 | 8.9% | 4.5% | Around median | |
Safety | 78 | 0.6x | 2.6x | Top tier | |
Capital Return | 95 | 2.67% | 0.06% | Top tier | |
Momentum | 97 | 28.3% | -1.6% | Top tier | |
Sentiment | 87 | 8 | 3 | Top tier |
The floor: what the company is worth if growth stopped today
22% of today's price is what a buyer pays for growth that has not happened yet.
10-year US Treasury yield 4.96% as of 2026-10-22. Estimates computed from company data and analyst targets, 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.
Shell plc operates in oil and gas production, liquefied natural gas, refining, chemicals, and marketing, linking these activities through trading and the optimization of supply and product flows. It generates returns by extracting, processing, and selling resources, and by selecting feedstock sources, shipping destinations, and the highest-value product mix; at the Norco refinery, the company links operating decisions to trading to determine how production is allocated among jet fuel, diesel, and gasoline. This integration allows it to offset some asset disruptions with supplies from other locations and purchases from third parties.
In quarter 2 of fiscal year 2026, ended 2026-06-30, revenue according to EL7 data was approximately 94.7 billion dollars, net income was 10.8 billion dollars, and diluted earnings per share were 3.88 dollars, while the operating margin calculated by EL7 was 16.0%. Operating cash flow according to EL7 data was approximately 21.4 billion dollars for the same period. Integrated Gas led performance through trading and supply optimization, while refining benefited from refinery utilization of 102% and a shift in production toward middle distillates, and the Pennsylvania petrochemicals complex recorded its best operating performance.
Strong cash generation is evident in the last 12 months through 2026-06-30: revenue was 296.6 billion dollars, net income was 26.0 billion dollars, and operating cash flow according to EL7 data was approximately 49.1 billion dollars, equivalent to 189% of net income. Free cash flow calculated by EL7 (operating cash flow minus capital expenditure) for the last 12 months through 2026-06-30 was approximately 31.5 billion dollars, and share repurchases were 13.2 billion dollars. These resources provide a foundation for funding the portfolio and shareholder returns, while production remains exposed to disruptions in Qatar and the Gulf of Mexico.
Q2 FY2026
Last 12 months to 2026-06-30
When: 2026-10-29
Integrated Gas production for quarter 3 of fiscal year 2026 relative to the range of 740,000–780,000 barrels of oil equivalent per day in the expected earnings announcement
Operating cash flow for quarter 3 of fiscal year 2026 relative to the level of 21.4 billion dollars in the expected earnings announcement
The discounted cash flow model gives a value of 169 dollars, within a range of 134–228 dollars and at a discount rate of 8.7%, and measures the cash expected to be generated while following analysts' earnings estimates. The industry-multiple value is 129 dollars, within a range of 108–204 dollars, and values Shell like its peers using earnings for the last 12 months through 2026-06-30 and a median multiple of 14.1 across 11 companies. The median analyst target is 102 dollars, within a range of 90–122 dollars, a low-confidence indicative estimate based on one analyst that reflects growth expectations, with analyst targets inherently tending toward optimism and the cash flow model inherently tending toward conservatism. The no-growth value is 82 dollars at a discount rate of 8.7%, and measures what remains if after-tax operating profit stays constant forever. The cash flow and industry-multiple ranges overlap, as does the industry range with the analyst-target range, but the difference in central values among 169, 129, and 102 dollars, compared with 82 dollars without growth, highlights the different pricing of future cash, peer earnings, expected growth, and the assumption that growth stops.
Figures in the text are as of 2026-10-19; the live price is shown at the top of the page.
Shell links liquefied natural gas production to trading and optimizes the allocation of cargoes among customers and markets. In quarter 2 of fiscal year 2026, ended 2026-06-30, supplies from Nigeria, Trinidad, and Canada and purchases from third parties helped offset some of the lost supply from Qatar, while LNG Canada shipments exceeded 100 cargoes. Shell's net income in the same period was 10.8 billion dollars, but the Pearl GTL restart reported in news on 2026-10-08 was partial, so disruption risk persists.
Operating cash flow according to EL7 data was approximately 49.1 billion dollars compared with net income of 26.0 billion dollars in the last 12 months through 2026-06-30, representing a conversion rate of 189%. Free cash flow calculated by EL7 (operating cash flow minus capital expenditure) for the last 12 months through 2026-06-30 was approximately 31.5 billion dollars, and share repurchases were 13.2 billion dollars. On the 2026-07-30 call, management reaffirmed its commitment to distributions of 40%–50% through the cycle, with the mix between cash dividends and repurchases determined quarterly, so this commitment does not represent a fixed repurchase amount for each quarter.
Automated analysis for informational purposes only — not investment advice.
When: Fiscal year 2026
Cash capital expenditure for fiscal year 2026 relative to the guided ceiling of 26 billion dollars
The first phase of LNG Canada reached full capacity in quarter 2 of fiscal year 2026, ended 2026-06-30, and its shipments exceeded 100 cargoes. News on 2026-09-29 reported that the partners approved the second-phase expansion to double the facility's capacity to 28 million metric tons annually. On the 2026-07-30 call, management explained that the ARC Resources acquisition provides gas resources that could support the second phase, and that the acquisition's underlying economics did not depend on its execution, but the transaction was still awaiting final regulatory approval.
Shell benefited from refinery utilization of 102% in quarter 2 of fiscal year 2026, ended 2026-06-30, and from directing production toward products such as jet fuel. However, management noted on the 2026-07-30 call that maintenance would increase in quarter 3 of fiscal year 2026 and that chemical spreads were beginning to weaken. The shortage of Pearl GTL supplies also pressures the availability of some inputs for the lubricants business, linking sustained performance to feedstock availability and operating efficiency as well as margins.
The designated earnings announcement date is 2026-10-29, which is estimated, and the main operating test is Integrated Gas production for quarter 3 of fiscal year 2026. The 2026-10-07 update raised the production range to 740,000–780,000 barrels of oil equivalent per day, compared with 570,000–630,000 barrels of oil equivalent per day previously. Operating cash flow also warrants attention after reaching approximately 21.4 billion dollars according to EL7 data in quarter 2 of fiscal year 2026, ended 2026-06-30, alongside an examination of the effects of maintenance and asset disruptions on cash generation.