EOG Resources (EOG)
A big US shale driller with a reputation for spending carefully and sending steady cash back to shareholders.
Is EOG Resources a good stock for a UK beginner?
The honest version: A big US shale driller with a reputation for spending carefully and sending steady cash back to shareholders.
Over about 2 years to 2026-07-31. This is the share price only - reinvesting the dividends would add to it. And it's the USD return - as a UK investor your actual £ return also moves with the exchange rate. Past performance is not a guide to the future, and it could just as easily have fallen.
Based on beta - how much the price swings versus the whole market. Bumpier isn't bad; it just means a rougher ride, which matters more the sooner you might need the money.
Prices move on results, news and the mood of the whole market - no single headline explains a day, and a quiet week is usually just noise, not a signal.
Energy prices remain structurally supported and the company keeps consolidating low-cost shale acreage.
A faster-than-expected shift away from fossil fuels or prolonged oversupply pressures long-run earnings.
What does EOG Resources do?
EOG hunts for and pumps crude oil and natural gas out of US shale rock, mainly the Permian and Eagle Ford basins, and funds itself largely from its own cash flow. It's a solid earner - a roughly 25% net margin: How much of each £1 of sales becomes profit after all costs. Higher = more profitable per sale. and 18% return on equity: How much profit the company makes for each £1 shareholders have put in. Higher usually means a more efficient business. - and screens well on value and quality (high 70s out of 100) with a middling momentum reading. Its shares carry a below-market P/E: Price-to-earnings: the share price divided by yearly profit per share. Lower can mean cheaper; higher often means investors expect fast growth. of 13.2 (about 9.1 on next year's forecasts), which fits a mature energy firm whose profits swing with commodity prices. The one thing worth watching -> oil and gas prices, since that's what drives the whole cyclical ride.
On our factor screen it looks strongest on momentum and quality, and weakest on income.
- ✓Pays a dividend - about 2.7% a year
- ✓Growing - revenue up about 16% over the year
- ✓Very profitable - turns about 23% of sales into profit
- ✓Low debt - a sturdier balance sheet
- ✓Strong return on shareholder money (ROE 18%)
- Value screens high (72/100)
- Quality screens high (73/100)
- Momentum screens high (84/100)
- Below-market P/E multiple on trailing earnings
- Healthy net margin and double-digit ROE
- Oil and natural gas price volatility directly affects profitability
- Regulatory and environmental policy shifts affecting shale drilling
- Long-term demand risk from the energy transition
What do EOG Resources's numbers mean?
How much money does EOG Resources make?
Revenue and profit by quarter, and how much of each sale turns into profit.
Does EOG Resources pay a dividend?
Yes - EOG Resources currently pays a dividend of about 2.7% a year (the yearly payout as a share of the price). A dividend is a slice of profit handed to shareholders; the yield moves as the price moves, and a company can cut or stop it.
When does EOG Resources report earnings, and how did recent quarters go?
EOG Resources is next scheduled to report on about 2026-08-04 - dates can move, and we don't predict results; this just tells you when to look.
Each quarter a company reports its results against what analysts expected. ‘Beating’ or ‘missing’ is about that expectation, not whether the business is doing well in absolute terms.
| Reported | Expected EPS: The earnings per share analysts expected for the quarter - the average of their forecasts. 'Beating' or 'missing' is measured against this number. | Actual EPS | vs expected |
|---|---|---|---|
| 2026-05-05 | $3.21 | $3.41 | Beat +6% |
| 2026-02-24 | $2.20 | $2.27 | Beat +3% |
| 2025-11-06 | $2.45 | $2.71 | Beat +11% |
| 2025-08-07 | $2.20 | $2.32 | Beat +5% |
| 2025-05-01 | $2.77 | $2.87 | Beat +4% |
| 2025-02-27 | $2.57 | $2.74 | Beat +7% |
Across the last 6 quarters here, EOG Resources came in ahead of what analysts expected 6 times. One quarter is noise, not a trend.
See who else reports over the next two weeks →
Reported vs expected earnings per share (EPS) from published results; the expectation is the analyst consensus, not our view. Report dates are estimates that can move.
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Kinder Morgan, Inc.What are the scenarios for EOG Resources?
An illustrative range for the year ahead, with the assumption behind each case — not a prediction or a price target.
What are the pros and cons of EOG Resources?
How many points the write-up makes each way — a balance check, not a score or verdict.
- Below-market P/E multiple on trailing earnings
- Healthy net margin and double-digit ROE
- 3.0% dividend yield provides a running income component
- History of capital discipline in the shale sector
- Earnings are highly sensitive to volatile commodity prices
- Revenue growth can reverse quickly if oil/gas prices fall
- Momentum score (M57) is only middling, showing no strong recent price trend either way
- Oil and natural gas price volatility directly affects profitability
- Regulatory and environmental policy shifts affecting shale drilling
- Long-term demand risk from the energy transition
- Geopolitical events affecting global energy supply
The write-up's own warning lights — if these start happening, the case above changes.
- A sustained drop in oil and gas prices without offsetting cost reductions would undercut the healthy-margin picture
- Rising production costs or well-productivity decline that shrinks margins materially
- A prolonged dividend cut would undercut the income characteristic
Built from public filings & market prices, checked for an education-only tone, and never a price target. How we make these →