SuperworthChevron CVX
- Market cap
- $460.8B
- PE
- 22.4×
- 9y median 17.2×
- Forward PE
- 12.3×
- 10y median 16.1×
- Price to sales
- 2.2×
- EV/EBIT
- 14.2×
- Revenue, 12 months
- $208.7B
- +11% on a year ago
- Net margin
- 9.9%
- Free cash flow yield
- 5.9%
A Superworth story
A wartime windfall, priced as if some of it stays
Pricey on last year's earnings, ordinary on next year's, and the Strait of Hormuz decides which year counts
Up almost half in a year, at the top of its range
Chevron closed at about 222, its highest of the year and up almost half from a year ago. In late February war with Iran shut the Strait of Hormuz, the main route for Gulf oil. The stock spiked, gave it all back by early July, then climbed through the summer.
One war quarter changed the year, refining most of all
For two years revenue drifted sideways. Then the second quarter of 2026 brought in 67.20 billion dollars. The biggest swing was refining and fuel sales, from a first-quarter loss to a 4.87 billion profit, a bigger jump than in oil production. The first quarter was also held down by an accounting timing effect on hedges, so the jump overstates the change.
On the past year's earnings, it costs more than usual
At about 21 times trailing earnings, Chevron costs more than on nearly two in three days of the past decade, against a ten-year median near 17. That trailing figure still carries three quarters from before the windfall. In oil the PE runs backwards: it sat near its lows in 2023, when profits peaked, and topped this July just before the windfall quarter was reported.
Hess made Chevron bigger, and it paid in shares
Mike Wirth, a Chevron lifer and CEO since 2018, staked the next decade on buying Hess, mainly for its share of Guyana's giant offshore field. He paid in stock, lifting the share count about 15% and more than undoing the buybacks since 2021. The payoff so far: second-quarter production was up 20% on a year earlier.
The windfall turned into cash and less debt
Trailing free cash flow almost doubled in one quarter, to 27.01 billion dollars. Chevron used it to cut debt by a record 8.4 billion in the second quarter, so the balance sheet keeps part of the windfall whatever oil does next.
Cheap on next year, even with a fade built in
At today's price, consensus adjusted earnings put Chevron at about 13 times the next twelve months, near its peers and below its ten-year forward median of 16. Analysts see quarterly profit sliding by almost a third from this year's end to mid 2028, yet still almost twice its 2025 pace. That is the part of the windfall the price assumes stays. Forward PE before late September is rebuilt with hindsight.
The margin is the whole argument
Chevron kept 32 cents of operating profit per dollar of sales last quarter, after about 9 cents a quarter through 2025. If Hormuz reopens for good and oil falls, that margin heads back toward its 2025 level. If not, a bigger, leaner Chevron keeps more of it, with Venezuela output set to double within five years. The first test is the third-quarter report on October 30.
What has happened lately
- CNBC, Chevron to expand in Venezuela operations, doubling production through $7 billion investmentMore than $7 billion over five years through its joint ventures, to take Venezuelan output from about 280,000 to about 600,000 barrels a day. Growth that does not depend on the Gulf.
- SEC (8-K), Chevron reports second quarter 2026 resultsEarnings of $12.1 billion, or $6.11 a share, with production up 20%. Total debt was cut by a record $8.4 billion, refining swung from a loss to a $4.9 billion profit, and the $3 billion cost-savings target came six months early.
- SEC (8-K), Chevron reports first quarter 2026 resultsEarnings fell to $1.11 a share. About $2.9 billion of timing effects from derivatives and inventory accounting hit the quarter, and output in Israel and the Saudi-Kuwait Partitioned Zone was curtailed.
- CNBC, A timeline of how the Iran war shook oil prices, and what comes nextThe war began with U.S. and Israeli strikes on Iran on February 28. Iran attacked ships and Gulf energy sites, shutting the Strait of Hormuz, which carried about 20 million barrels a day of oil and products before the war.
Headlines link to the original source.
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Why a stock is priced where it is, one chart at a time.
Charts
Financials
| Income statement | Q3 FY23 | Q4 FY23 | Q1 FY24 | Q2 FY24 | Q3 FY24 | Q4 FY24 | Q1 FY25 | Q2 FY25 | Q3 FY25 | Q4 FY25 | Q1 FY26 | Q2 FY26 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| $51.9B−18% | $48.9B−10% | $46.6B−5% | $49.6B+5% | $48.9B−6% | $48.3B−1% | $46.1B−1% | $44.4B−11% | $48.2B−2% | $45.8B−5% | $47.6B+3% | $67.2B+51% | |
| Cost of revenue | $32.3B−17% | $28.5B−13% | $27.7B−6% | $30.9B+7% | $30.4B−6% | $30.1B+6% | $28.6B+3% | $26.9B−13% | $27.4B−10% | $25.3B−16% | $28.3B−1% | $36.6B+36% |
| Gross profit | $19.6B−21% | $20.5B−7% | $18.8B−3% | $18.7B+3% | $18.5B−6% | $18.2B−11% | $17.5B−7% | $17.5B−6% | $20.8B+12% | $20.4B+12% | $19.3B+10% | $30.6B+75% |
| SG&A | $1.2B+13% | $969M−33% | $1B+15% | $1B−7% | $1.2B+2% | $1.6B+64% | $1.2B+21% | $889M−15% | $1.5B+28% | $1.5B−6% | $1.1B−13% | $1.3B+48% |
| $6.8B−44% | $5.4B−33% | $6B−23% | $5.6B−12% | $5B−27% | $2.4B−55% | $4.3B−28% | $4.1B−27% | $4.3B−13% | $4B+67% | $3.2B−25% | $14.3B+252% | |
| Interest expense | $114M−11% | $120M−2% | $118M+3% | $113M−6% | $164M+44% | $199M+66% | $212M+80% | $274M+143% | $370M+126% | $361M+81% | $345M+63% | $352M+29% |
| Pre-tax income | $8.7B−41% | $3.5B−64% | $7.9B−17% | $7B−10% | $6.5B−26% | $6.1B+74% | $5.6B−30% | $4.1B−41% | $5.4B−17% | $4.6B−24% | $3.9B−29% | $16.7B+302% |
| $2.2B−39% | $1.2B−64% | $2.4B−19% | $2.6B+42% | $2B−9% | $2.8B+125% | $2.1B−13% | $1.6B−37% | $1.8B−10% | $1.8B−37% | $1.7B−20% | $4.5B+174% | |
| Net income | $6.5B−42% | $2.3B−64% | $5.5B−16% | $4.4B−26% | $4.5B−31% | $3.2B+43% | $3.5B−36% | $2.5B−44% | $3.5B−21% | $2.8B−15% | $2.2B−37% | $12.1B+385% |
| $3.48−40% | $1.22−63% | $2.97−14% | $2.43−24% | $2.48−29% | $1.84+51% | $2.00−33% | $1.45−40% | $1.82−27% | $1.39−25% | $1.11−45% | $6.11+321% | |
| 1.9B−3% | 1.9B−3% | 1.8B−3% | 1.8B−2% | 1.8B−4% | 1.8B−5% | 1.8B−5% | 1.7B−6% | 1.9B+8% | 2B+12% | 2B+13% | 2B+15% |
Gross profit: 34 periods, Q1 FY18 to Q2 FY26: not printed by the filing, worked out from its own lines.
Operating income: 74 periods, Q1 FY08 to Q2 FY26: not printed by the filing, worked out from its own lines.
Net income: 17 periods, Q4 FY09 to Q4 FY25: printed in the fourth-quarter results release.
EPS, diluted: Q4 FY08: quarter's net income to common over its shares, to the cent, the shares from counts implied by EPS, near the year's EPS less the nine months'. 17 periods, Q4 FY09 to Q4 FY25: printed in the fourth-quarter results release.
Diluted shares: 17 periods, Q4 FY09 to Q4 FY25: printed in the fourth-quarter results release.
From each company's 10-Q and 10-K filings, the newest version of each figure. Quarters are as filed (a fourth quarter is the year less its first nine months), fiscal years as the 10-K prints them, restated where a later 10-K restated them, and balance sheet lines as of the period's end. A quarter whose 10-Q isn't filed yet is from the company's results release. Growth is on the same period a year earlier. A dash is a period with no figure for the line: the filing doesn't print it, or it hasn't been read yet.
Estimates
Next earnings report: .
| Quarter | Revenue | Range | EPS | Range | Analysts |
|---|---|---|---|---|---|
| Q3 FY26 | $61.3B | $48.2B to $67.4B | $4.86 | $4.08 to $5.27 | 14 |
| Q4 FY26 | $62.5B | $46.5B to $73.6B | $5.47 | $3.54 to $6.80 | 12 |
| Q1 FY27 | $58.3B | $46.1B to $68.4B | $4.43 | $3.23 to $5.43 | 5 |
| Q2 FY27 | $56.5B | $44.7B to $66.3B | $4.23 | $3.08 to $5.18 | 5 |
| Q3 FY27 | $56.5B | $44.7B to $66.2B | $4.06 | $2.95 to $4.97 | 5 |
| Q4 FY27 | $55B | $43.5B to $64.4B | $3.56 | $2.59 to $4.36 | 5 |
| Q1 FY28 | $53.4B | $42.2B to $62.6B | $3.20 | $2.33 to $3.92 | 6 |
| Q2 FY28 | $53.5B | $42.3B to $62.7B | $3.15 | $2.30 to $3.86 | 6 |
Peers
Companies in Energy nearest Chevron's size, closest first.
| Company | Market cap | PE | Its 10y median PE | Fwd PE | P/S | Revenue growth | Net margin |
|---|---|---|---|---|---|---|---|
| CVXChevron | $460.8B | 22.4× | 17.2× | 12.3× | 2.2× | +11% | 9.9% |
| XOMExxon Mobil | $753.3B | 23.6× | 16.3× | 12.4× | 2.1× | +10% | 9.1% |
| COPConocoPhillips | $181.2B | 19.9× | 12.4× | 12.7× | 2.9× | +10% | 14.7% |
| MPCMarathon Petroleum | $128.4B | 15.7× | 11.3× | 6.0× | 0.8× | +15% | 5.6% |
| VLOValero Energy | $120.7B | 17.4× | 13.0× | 6.7× | 0.9× | +13% | 5.2% |
| PSXPhillips 66 | $113B | 16.2× | 14.2× | 7.3× | 0.7× | +14% | 4.7% |
| WMBWilliams Companies | $87.7B | 28.6× | 28.4× | 29.5× | 7.2× | +9% | 25.2% |
| EOGEOG Resources | $85.5B | 12.7× | 11.7× | 9.4× | 3.2× | +19% | 25.4% |
| EPDEnterprise Products Partners | $80.1B | 12.9× | 12.4× | 12.2× | 1.4× | +7% | 10.8% |
| SLBSlb | $78.7B | 25.6× | 21.4× | 19.0× | 2.2× | +3% | 8.5% |
| KMIKinder Morgan | $76.7B | 22.1× | 22.8× | 23.3× | 4.3× | +12% | 19.3% |
| Peer median | $100.3B | 18.7× | 13.6× | 12.3× | 2.1× | +11% | 9.9% |
Investors who own it
Investors we follow who held Chevron at the end of Jun 30, 2026, from their 13F filings.
- Warren BuffettBerkshire Hathaway4.7% of portfolio
- Chris BloomstranSemper Augustus0.1% of portfolio
- Tom RussoGardner Russo & Quinn0.0% of portfolio
- Bill NygrenHarris Associates (Oakmark)0.0% of portfolio
More on Chevron
Each number over time
- PE ratio
- Forward PE
- Price to sales ratio
- EV/EBIT
- Price to free cash flow
- Price to book ratio
- Dividend yield
- Market cap
- Revenue
- EPS
- Free cash flow
- Profit margin
- Shares outstanding
Where it ranks
- #7of 28Energy stocks with the highest dividend yields
- #6of 22Energy stocks with the lowest PEG ratio
- #10of 28Energy stocks with the fastest expected revenue growth
Its groups
About
- Chief executive
- Mike Wirth, since 2018Joined 1982, CEO since 2018, board waived his retirement age. Source
- Industry
- Oil & Gas Integrated
- Sector
- Energy
Valuation data, not investment advice. Prices as of .