NYSE · Energy

EOG Resources, Inc.

EOG · Oil & Gas E&P

$129.98

▼ -3.27 (-2.45%)

Cached · 10 min

Overall Grade

Defensive

Enterprising

Profitability

A⤢

Gross Profit Margin 65.8%

Operating Margin 36.9%

Net Income Margin 29.3%

Fin. Health

C⤢

Years to Pay Off Debt 4.2 yrs

Working Capital vs Long-Term Debt -$4.2B

Working Capital $3.7B

Valuation

F⤢

Margin of Safety 0.0%

Price-to-Book 2.24x

Cash Flow

C⤢

Free Cash Flow $1.3B

CapEx % of Net Income 83.0%

Owner Earnings $4.8B

Profitability

Gross Profit Margin 65.8%

Revenue minus cost of goods sold. Graham's ≥40% threshold identifies businesses with durable pricing power. Note: software and financial companies naturally exceed this; retailers and manufacturers rarely reach it due to their cost structures.

Operating Margin 36.9%

Profit after operating costs before interest and taxes. A consistent ≥15% operating margin signals a business with real competitive advantages. Capital-intensive industries (airlines, auto, commodities) rarely hit this threshold due to their structural cost base — compare within industry for context.

Net Income Margin 29.3%

Bottom-line profit as a percentage of revenue. The ≥20% target reflects Buffett's preference for highly profitable businesses. Financial engineering (buybacks, tax optimisation) can inflate this temporarily — look for consistency across multiple years rather than a single strong result.

Financial Health

Years to Pay Off Debt 4.2 yrs

Total Debt ÷ Net Income. Lower = stronger balance sheet. Important caveat: utilities, telecoms, REITs, and infrastructure companies carry large structural debt by design — their bond-like cash flows service it comfortably at ratios that would alarm Graham. Compare within sector.

Working Capital vs Long-Term Debt -$4.2B

Working Capital minus Long-Term Debt. Negative results are common and expected in capital-return-focused businesses like Apple, Domino's, and McDonald's — where aggressive buybacks and dividends intentionally reduce book equity. This does not indicate financial distress in high-FCF businesses.

Working Capital $3.7B

Current Assets minus Current Liabilities. Negative working capital can be a deliberate efficiency strategy in businesses that collect cash before paying suppliers (retailers, fast food franchises, subscription businesses). Assess alongside free cash flow generation for full context.

Cash Flow

Free Cash Flow $1.3B

Operating cash flow minus capital expenditures. Buffett's most important metric — cash a business actually generates for its owners after maintaining and growing its asset base. Consistently positive FCF is one of the strongest indicators of a durable, well-run business regardless of accounting profits.

CapEx % of Net Income 83.0%

Capital expenditure as a share of net income. Low CapEx signals a capital-light business that doesn't need heavy reinvestment to sustain earnings — Buffett's ideal. High CapEx is structurally necessary in manufacturing, airlines, telecoms, and semiconductors. For these industries, a high reading reflects the business model, not poor management.

Owner Earnings $4.8B

Net Income + Depreciation & Amortisation − Capital Expenditures. Buffett's preferred measure of a company's true annual earning power — what could theoretically be distributed to owners without impairing the business. More reliable than reported EPS because it accounts for the capital cost of maintaining the business.

Defensive — Graham's strict criteria (P/B, P/E, dividends, stability) · Enterprising — Profitability & cash flow focused, accepts higher valuations for quality

About EOG Resources, Inc.

EOG Resources, Inc., together with its subsidiaries, explores for, develops, produces, and markets crude oil, natural gas liquids, and natural gas in producing basins in the United States, the Republic of Trinidad and Tobago, and internationally. The company also offers crude oil and condensate, and gathering, processing and marketing. The company was formerly known as Enron Oil & Gas Company. EOG Resources, Inc. was incorporated in 1985 and is headquartered in Houston, Texas.

Market Data

Market Cap $69.2B

Enterprise Value $74.8B

P/E (TTM) 12.78

Dividend Yield 3.03%

Exchange NYSE

Key Margins

Gross Profit 65.8%

Operating Margin 36.9%

Net Margin 29.3%

Company Info

Sector Energy

Industry Oil & Gas E&P

Employees 3400

Country United States

Visit website

📖

Full Graham Analysis

Mr. Market is currently offering EOG Resources, Inc. at $129.98.

The business passes only 3 of 6 of Graham's defensive criteria — well below his required standard.

At $129.98, the stock trades at a 87% premium to its Graham Number of $69.50. Graham would consider this price speculative.

There is no margin of safety at the current price. Graham would advise patience and waiting for a better entry point.

Negative NCAV — liabilities exceed current assets. Common in capital-return businesses (buybacks, debt-funded dividends) and capital-intensive industries. Not automatically a warning sign..

Conclusion: By Graham's standards, this stock is speculative at its current price. The intelligent investor would look elsewhere or wait.

Showing Key Metrics

Income Highlights

Metric	Q1 2026	Q4 2025
Gross Profit %	65.8%▲	58.9%
Operating Margin %	36.9%▲	29.5%
Net Income %	29.3%▲	12.4%
Diluted EPS	3.70▲	1.30

Balance Sheet Highlights

Metric	Q1 2026	Q4 2025	Q4 2024
Total Assets	$53.4B	$51.8B	N/A
Total Debt	$8.3B▼	$8.4B•	N/A
Working Capital	$3.7B▲	$3.0B•	N/A
Years to Pay Debt	4.19	11.99	N/A

Cash Flow Highlights

Metric	Q1 2026	Q4 2025	Q4 2024
Free Cash Flow	$1.3B▲	$957M•	N/A
Owner Earnings	$4.8B	$3.6B	N/A
CapEx % of Net Income	83.0%	236.1%	N/A

Income Statement

	2026	2025
Tax Effect Of Unusual Items	24,150	-166,281
Tax Rate For Calcs	0	0
Normalized EBITDA	3,709,000	2,926,000
Total Unusual Items	105,000	-724,000
Total Unusual Items Excluding Goodwill	105,000	-724,000
Net Income From Continuing Operation Net Minority Interest	1,980,000	701,000
Reconciled Depreciation	1,193,000	1,226,000
Reconciled Cost Of Revenue	2,309,000	2,325,000
EBITDA	3,814,000	2,202,000
EBIT	2,621,000	976,000
Net Interest Income	-66,000	144,000
Interest Expense	66,000	66,000
Normalized Income	1,899,150	1,258,719
Net Income From Continuing And Discontinued Operation	1,980,000	701,000
Total Expenses	4,265,000	3,986,000
Total Operating Income As Reported	2,598,000	943,000
Diluted Average Shares	535,000	539,000
Basic Average Shares	532,000	537,000
Diluted EPS	0	0
Basic EPS	0	0
Diluted NI Availto Com Stockholders	1,980,000	701,000
Net Income Common Stockholders	1,980,000	701,000
Net Income	1,980,000	701,000
Net Income Including Noncontrolling Interests	1,980,000	701,000
Net Income Continuous Operations	1,980,000	701,000
Tax Provision	575,000	209,000
Pretax Income	2,555,000	910,000
Other Income Expense	128,000	-901,000
Other Non Operating Income Expenses	23,000	-177,000
Special Income Charges	-8,000	-705,000
Gain On Sale Of Ppe	31,000	-16,000
Write Off	20,000	2,000
Impairment Of Capital Assets	19,000	687,000
Gain On Sale Of Security	113,000	-19,000
Net Non Operating Interest Income Expense	-66,000	144,000
Interest Expense Non Operating	66,000	66,000
Operating Income	2,493,000	1,667,000
Operating Expense	1,956,000	1,661,000
Other Operating Expenses	49,000	34,000
Other Taxes	338,000	283,000
Selling General And Administration	1,569,000	1,344,000
Selling And Marketing Expense	1,384,000	1,120,000
General And Administrative Expense	185,000	224,000
Other Gand A	185,000	224,000
Gross Profit	4,449,000	3,328,000
Cost Of Revenue	2,309,000	2,325,000
Total Revenue	6,758,000	5,653,000
Operating Revenue	6,758,000	5,653,000

Balance Sheet

	2026	2025	2024
Treasury Shares Number	54,194	51,374
Ordinary Shares Number	534,851	537,670
Share Issued	589,044	589,044
Net Debt	4,082,000	4,423,000
Total Debt	8,306,000	8,408,000
Tangible Book Value	30,908,000	29,833,000
Invested Capital	38,839,000	37,652,000
Working Capital	3,739,000	2,965,000
Net Tangible Assets	30,908,000	29,833,000
Capital Lease Obligations	375,000	589,000
Common Stock Equity	30,908,000	29,833,000
Total Capitalization	38,812,000	37,652,000
Total Equity Gross Minority Interest	30,908,000	29,833,000
Stockholders Equity	30,908,000	29,833,000
Gains Losses Not Affecting Retained Earnings	-6,000	-7,000
Other Equity Adjustments	-6,000	-7,000
Treasury Stock	6,518,000	6,158,000
Retained Earnings	31,200,000	29,765,000
Additional Paid In Capital	6,026,000	6,027,000
Capital Stock	206,000	206,000
Common Stock	206,000	206,000
Total Liabilities Net Minority Interest	22,470,000	21,966,000
Total Non Current Liabilities Net Minority Interest	17,246,000	17,275,000
Other Non Current Liabilities	2,476,000	2,512,000
Non Current Deferred Liabilities	6,866,000	6,854,000
Non Current Deferred Taxes Liabilities	6,866,000	6,854,000
Long Term Debt And Capital Lease Obligation	7,904,000	7,909,000
Long Term Capital Lease Obligation		90,000	118,000
Long Term Debt	7,904,000	7,819,000
Current Liabilities	5,224,000	4,691,000
Other Current Liabilities	329,000	445,000
Current Debt And Capital Lease Obligation	402,000	499,000
Current Capital Lease Obligation	375,000	499,000
Current Debt	27,000		500,000
Other Current Borrowings	27,000		500,000
Payables And Accrued Expenses	4,493,000	3,747,000
Payables	4,493,000	3,747,000
Dividends Payable	541,000	544,000
Total Tax Payable	766,000	299,000
Accounts Payable	3,186,000	2,904,000
Total Assets	53,378,000	51,799,000
Total Non Current Assets	44,415,000	44,143,000
Other Non Current Assets	1,711,000	1,763,000
Non Current Deferred Assets	30,000	39,000
Non Current Deferred Taxes Assets	30,000	39,000
Net PPE	42,674,000	42,341,000
Accumulated Depreciation	-55,054,000	-54,348,000
Gross PPE	97,728,000	96,689,000
Other Properties	6,942,000	6,832,000
Current Assets	8,963,000	7,656,000
Other Current Assets	502,000	547,000
Hedging Assets Current	60,000	18,000	0
Inventory	955,000	1,014,000
Receivables	3,597,000	2,681,000
Taxes Receivable
Accounts Receivable	3,597,000	2,681,000
Cash Cash Equivalents And Short Term Investments	3,849,000	3,396,000
Cash And Cash Equivalents	3,849,000	3,396,000

Cash Flow

	2026	2025	2024
Free Cash Flow	1,322,000	957,000
Repurchase Of Capital Stock	-418,000	-677,000
Repayment Of Debt	-7,000
Issuance Of Debt		999,000
Capital Expenditure	-1,644,000	-1,655,000
Interest Paid Supplemental Data	82,000	61,000
Income Tax Paid Supplemental Data	4,000	243,000
End Cash Position	3,849,000	3,396,000
Beginning Cash Position	3,396,000	3,530,000
Effect Of Exchange Rate Changes		0	-1,000
Changes In Cash	453,000	-134,000
Financing Cash Flow	-968,000	-984,000
Cash Flow From Continuing Financing Activities	-968,000	-984,000
Net Other Financing Charges		-11,000
Proceeds From Stock Option Exercised	1,000	12,000
Cash Dividends Paid	-544,000	-550,000
Common Stock Dividend Paid	-544,000	-550,000
Net Common Stock Issuance	-418,000	-677,000
Common Stock Payments	-418,000	-677,000
Net Issuance Payments Of Debt	-7,000	242,000
Net Long Term Debt Issuance	-7,000	242,000
Long Term Debt Payments	-7,000	-757,000
Long Term Debt Issuance		999,000
Investing Cash Flow	-1,545,000	-1,762,000
Cash Flow From Continuing Investing Activities	-1,545,000	-1,762,000
Net Other Investing Changes	99,000	-120,000
Net Business Purchase And Sale		13,000
Purchase Of Business		13,000
Net PPE Purchase And Sale	-1,644,000	-1,655,000
Purchase Of PPE	-1,644,000	-1,655,000
Operating Cash Flow	2,966,000	2,612,000
Cash Flow From Continuing Operating Activities	2,966,000	2,612,000
Change In Working Capital	-163,000	0
Change In Other Working Capital	45,000	123,000
Change In Other Current Liabilities	-123,000	10,000
Change In Other Current Assets	55,000	97,000
Change In Payables And Accrued Expense	746,000	-143,000
Change In Payable	746,000	-143,000
Change In Account Payable	279,000	-40,000
Change In Tax Payable	467,000	-103,000
Change In Income Tax Payable	467,000	-103,000
Change In Inventory	21,000	-84,000
Change In Receivables	-907,000	-3,000
Changes In Account Receivables	-907,000	-3,000
Other Non Cash Items	-15,000	-15,000
Stock Based Compensation	58,000	60,000
Asset Impairment Charge	39,000	689,000
Deferred Tax	18,000	-84,000
Deferred Income Tax	18,000	-84,000
Depreciation Amortization Depletion	1,193,000	1,226,000
Operating Gains Losses	-144,000	35,000
Gain Loss On Investment Securities	-113,000	19,000
Gain Loss On Sale Of PPE		16,000	23,000
Net Income From Continuing Operations	1,980,000	701,000

📊 Quarterly mode — Graham Fair Value & 7 Criteria require annual data. Switch to Annual for full analysis.

Quarter vs Same Quarter Last Year

YoY strips seasonality

Revenue Growth (YoY)

Prior year: $5.8B ▲ $6.8B +15.7%

Revenue growth vs same quarter last year strips seasonality. Consistent double-digit growth is a Buffett hallmark.

Gross Margin

Prior year: 68.3% ▲ 65.8% -2.4pp

Buffett: consistent gross margin above 40% signals durable pricing power and competitive moat.

Operating Margin

Prior year: 42.7% ▲ 36.9% -5.8pp

Graham: operating margin reflects true business economics before financing. Trend matters as much as level.

Net Margin

Prior year: 25.0% ▲ 29.3% +4.3pp

Net margin can be distorted by one-time items, tax timing, or interest costs — compare to operating margin for signal quality.

Quarterly Health Checks

3 Graham/Buffett criteria that are valid and reliable on quarterly data

✅ Adequate Size

Graham required scale for resilience. Quarterly revenue × 4 gives an annualised proxy.

$6.8B/qtr (≈$27.0B ann.)

vs > $1.5B annualised revenue

❌ Financial Condition

Current assets vs current liabilities — a real-time liquidity snapshot. Valid and reliable on quarterly data.

1.72x current ratio

vs ≥ 2.0x

✅ Free Cash Flow

Buffett's most important single metric. A positive FCF quarter means the business generated real cash for owners after maintaining its asset base.

$1.3B

vs Positive

Operating Cash Flow

$3.0B

Latest quarter · Buffett's cash reality check

ROIC

4.1%

Based on latest annual operating income

Return on Invested Capital — Buffett's preferred measure for asset-light businesses. ROIC > 15% consistently signals a durable competitive advantage (moat). More meaningful than P/B for software, pharma, and consumer brand companies where most value is intangible and off-balance-sheet.

Market Cap / Net Assets

2.2x

Net Assets: $30.9B

Asset Context — Oil & Gas E&P

Asset-heavy businesses (energy, industrials, utilities, REITs) have physical assets with real replacement value — book value and Net Assets are more meaningful here than for technology or consumer brand companies. A low Market Cap / Net Assets ratio may indicate genuine undervaluation.

⚠️ Revenue grew vs prior year but operating margin contracted. Possible explanations: deliberate investment in growth (hiring, marketing, R&D), input cost inflation, or pricing pressure from competition. Buffett distinguishes between spending that builds moat vs. spending that doesn't.

Peers & Industry

No auto-detected peers for Oil & Gas E&P. You can manually compare EOG against any stock using the Compare tool.

"The management of a business is its most important single factor — more important than market position, patents, or financial structure."

— Benjamin Graham

Capital Allocation & Alignment

Insider Ownership

0.29%

Low — management has little skin in the game

Return on Equity (ROE)

6.4%

Weak — poor returns on equity

Return on Assets (ROA)

3.7%

Fair — average asset utilization

Share Buybacks (Latest Year)

$2.6B

Management is returning capital to shareholders via buybacks

Debt Trend YoY

-1.2% YoY

Debt is declining — management is deleveraging

Leadership Team

Ezra Yacob

CEO & Chairman

Age 48

Pay: $4,847,008

0.245% of net income

Ann Janssen

Executive VP & CFO

Age 60

Pay: $1,787,354

0.090% of net income

Jeffrey Leitzell

Executive VP & COO

Age 45

Pay: $1,962,005

0.099% of net income

Pearce Wheless Hammond Jr.,

Vice President of Investor Relations

Lori Geiger

Vice President of Marketing

Top Institutional Holders

Institution	% Owned	Shares
Capital World Investors	9.74%	51,890,964
Blackrock Inc.	8.31%	44,260,333
Vanguard Capital Management LLC	6.58%	35,054,131
State Street Corporation	6.37%	33,921,548
JPMORGAN CHASE & CO	5.98%	31,843,235
Capital Research Global Investors	4.89%	26,056,870
Charles Schwab Investment Management, Inc.	3.06%	16,279,433
Vanguard Portfolio Management LLC	2.51%	13,351,332

Risk Analysis

Beta (Market Risk)

0.26

Low volatility — more stable than the market

Short Interest

4.1% of float

Low short interest — market is not heavily bearish

Debt-to-Equity

0.27x

Conservative balance sheet — low financial risk

Current Ratio

1.72x

Adequate liquidity

52-Week Price Range

Low: $101.59 Current: $129.98 High: $151.87

Currently at 56% of 52-week range

EOG Resources, Inc.

Metric Explanations

Full Graham Analysis

Income Highlights

Balance Sheet Highlights

Cash Flow Highlights

Quarter vs Same Quarter Last Year

Quarterly Health Checks

Operating Cash Flow

ROIC

Market Cap / Net Assets

Peers & Industry

Capital Allocation & Alignment

Leadership Team

Top Institutional Holders

Risk Analysis