42.34 USD
+0.35 (+0.83%)
At close: Jan 30, 2026
41.6 USD
-0.74 (-1.75%)
Pre-Market: 2/2/2026, 7:41:48 AM
VNOM gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 207 industry peers in the Oil, Gas & Consumable Fuels industry. VNOM has only an average score on both its financial health and profitability. VNOM is valued quite expensively, but it does show have an excellent growth rating.
1. Profitability
1.1 Basic Checks
- In the past year VNOM was profitable.
- In the past year VNOM had a positive cash flow from operations.
- VNOM had positive earnings in 4 of the past 5 years.
- VNOM had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
- VNOM has a Return On Assets (1.79%) which is comparable to the rest of the industry.
- With a Return On Equity value of 5.30%, VNOM perfoms like the industry average, outperforming 43.96% of the companies in the same industry.
- The Return On Invested Capital of VNOM (3.84%) is worse than 64.25% of its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital for VNOM is significantly below the industry average of 21.94%.
- The 3 year average ROIC (13.30%) for VNOM is well above the current ROIC(3.84%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.79% | ||
| ROE | 5.3% | ||
| ROIC | 3.84% |
ROA(3y)5.77%
ROA(5y)2.28%
ROE(3y)20.97%
ROE(5y)7.95%
ROIC(3y)13.3%
ROIC(5y)10.68%
1.3 Margins
- VNOM's Profit Margin of 20.59% is fine compared to the rest of the industry. VNOM outperforms 77.29% of its industry peers.
- In the last couple of years the Profit Margin of VNOM has grown nicely.
- Looking at the Operating Margin, with a value of 54.04%, VNOM belongs to the top of the industry, outperforming 93.24% of the companies in the same industry.
- In the last couple of years the Operating Margin of VNOM has remained more or less at the same level.
- VNOM has a Gross Margin of 93.17%. This is amongst the best in the industry. VNOM outperforms 97.10% of its industry peers.
- In the last couple of years the Gross Margin of VNOM has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 54.04% | ||
| PM (TTM) | 20.59% | ||
| GM | 93.17% |
OM growth 3Y-2.77%
OM growth 5Y0.3%
PM growth 3Y53.76%
PM growth 5Y21.85%
GM growth 3Y-0.23%
GM growth 5Y-0.14%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so VNOM is still creating some value.
- There is no outstanding debt for VNOM. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
- VNOM has an Altman-Z score of 1.28. This is a bad value and indicates that VNOM is not financially healthy and even has some risk of bankruptcy.
- VNOM has a Altman-Z score of 1.28. This is comparable to the rest of the industry: VNOM outperforms 48.79% of its industry peers.
- VNOM has a debt to FCF ratio of 22.66. This is a negative value and a sign of low solvency as VNOM would need 22.66 years to pay back of all of its debts.
- VNOM's Debt to FCF ratio of 22.66 is in line compared to the rest of the industry. VNOM outperforms 44.44% of its industry peers.
- VNOM has a Debt/Equity ratio of 0.49. This is a healthy value indicating a solid balance between debt and equity.
- VNOM has a Debt to Equity ratio of 0.49. This is comparable to the rest of the industry: VNOM outperforms 47.83% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.49 | ||
| Debt/FCF | 22.66 | ||
| Altman-Z | 1.28 |
ROIC/WACC0.44
WACC8.67%
2.3 Liquidity
- VNOM has a Current Ratio of 1.88. This is a normal value and indicates that VNOM is financially healthy and should not expect problems in meeting its short term obligations.
- Looking at the Current ratio, with a value of 1.88, VNOM is in the better half of the industry, outperforming 72.95% of the companies in the same industry.
- A Quick Ratio of 1.88 indicates that VNOM should not have too much problems paying its short term obligations.
- The Quick ratio of VNOM (1.88) is better than 77.29% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.88 | ||
| Quick Ratio | 1.88 |
3. Growth
3.1 Past
- VNOM shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -23.14%.
- VNOM shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 20.17% yearly.
- The Revenue has grown by 42.12% in the past year. This is a very strong growth!
- VNOM shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 23.60% yearly.
EPS 1Y (TTM)-23.14%
EPS 3Y51.83%
EPS 5Y20.17%
EPS Q2Q%-18.37%
Revenue 1Y (TTM)42.12%
Revenue growth 3Y19.44%
Revenue growth 5Y23.6%
Sales Q2Q%99.44%
3.2 Future
- The Earnings Per Share is expected to grow by 0.01% on average over the next years.
- The Revenue is expected to grow by 21.57% on average over the next years. This is a very strong growth
EPS Next Y-21.66%
EPS Next 2Y-13.81%
EPS Next 3Y0.01%
EPS Next 5YN/A
Revenue Next Year62.61%
Revenue Next 2Y40.93%
Revenue Next 3Y31.35%
Revenue Next 5Y21.57%
3.3 Evolution
- The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
- VNOM is valuated rather expensively with a Price/Earnings ratio of 24.06.
- VNOM's Price/Earnings is on the same level as the industry average.
- When comparing the Price/Earnings ratio of VNOM to the average of the S&P500 Index (28.32), we can say VNOM is valued inline with the index average.
- A Price/Forward Earnings ratio of 28.07 indicates a quite expensive valuation of VNOM.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of VNOM is on the same level as its industry peers.
- VNOM is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 25.57, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.06 | ||
| Fwd PE | 28.07 |
4.2 Price Multiples
- VNOM's Enterprise Value to EBITDA ratio is a bit more expensive when compared to the industry. VNOM is more expensive than 66.67% of the companies in the same industry.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of VNOM is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 131.6 | ||
| EV/EBITDA | 16.47 |
4.3 Compensation for Growth
- VNOM has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)1.19
EPS Next 2Y-13.81%
EPS Next 3Y0.01%
5. Dividend
5.1 Amount
- VNOM has a Yearly Dividend Yield of 5.55%, which is a nice return.
- Compared to an average industry Dividend Yield of 3.64, VNOM pays a bit more dividend than its industry peers.
- Compared to an average S&P500 Dividend Yield of 1.83, VNOM pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.55% |
5.2 History
- On average, the dividend of VNOM grows each year by 8.80%, which is quite nice.
- VNOM has been paying a dividend for at least 10 years, so it has a reliable track record.
- The dividend of VNOM decreased recently.
Dividend Growth(5Y)8.8%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
- VNOM pays out 250.14% of its income as dividend. This is not a sustainable payout ratio.
- VNOM's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP250.14%
EPS Next 2Y-13.81%
EPS Next 3Y0.01%
VIPER ENERGY INC-CL A / VNOM FAQ
What is the ChartMill fundamental rating of VIPER ENERGY INC-CL A (VNOM) stock?
ChartMill assigns a fundamental rating of 5 / 10 to VNOM.
What is the valuation status of VIPER ENERGY INC-CL A (VNOM) stock?
ChartMill assigns a valuation rating of 2 / 10 to VIPER ENERGY INC-CL A (VNOM). This can be considered as Overvalued.
What is the profitability of VNOM stock?
VIPER ENERGY INC-CL A (VNOM) has a profitability rating of 6 / 10.
Can you provide the PE and PB ratios for VNOM stock?
The Price/Earnings (PE) ratio for VIPER ENERGY INC-CL A (VNOM) is 24.06 and the Price/Book (PB) ratio is 3.29.
Can you provide the dividend sustainability for VNOM stock?
The dividend rating of VIPER ENERGY INC-CL A (VNOM) is 5 / 10 and the dividend payout ratio is 250.14%.