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CVXChevron Corporation
$205.52$409.3B
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  3. CVX
  4. Financial Ratios

Chevron Corporation (CVX) Financial Ratios

Latest Ratios: P/E Ratio 31.0x · EV/EBITDA 12.1x · ROE 7.1%. (1996–2025 historical series)

Income StatementBalance SheetCash FlowRatios
AnnualQuarterly

CVX Valuation Multiples

Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Market Cap$409.3B$282.9B$263.1B$280.5B$348.3B$225.3B$157.9B$228.4B$208.2B$237.6B$220.4B
Enterprise Value$449.6B$323.1B$280.9B$293.1B$353.9B$251.1B$196.6B$249.7B$233.4B$271.5B$259.6B
P/E Ratio →31.0022.9914.9013.139.8214.42—78.2514.0625.81—
P/S Ratio2.221.531.361.421.481.451.671.631.311.762.00
P/B Ratio1.981.471.721.732.171.611.191.571.341.591.50
P/FCF24.6717.0517.4914.189.2610.6994.1717.3012.3933.41—
P/OCF12.068.338.367.887.027.7214.938.376.8111.5817.16

P/E links to full P/E history page with 30-year chart

CVX EV Ratios

Enterprise-value multiples — capital-structure-neutral measures of total business value

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
EV / Revenue—1.751.451.491.501.612.081.791.472.022.36
EV / EBITDA12.118.706.005.696.247.5819.1813.827.0412.9424.63
EV / EBIT26.9615.4210.009.757.0511.23—39.4210.9428.50—
EV / FCF—19.4818.6714.829.4111.91117.2618.9113.8938.18—

CVX Profitability

Margins and return-on-capital ratios measuring operating efficiency

Margins

Full margin charts and quarterly trend are on the Earnings History page

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Gross Margin30.4%30.4%29.4%30.7%27.8%29.2%24.2%21.8%28.3%29.4%28.5%
Operating Margin9.0%9.0%15.0%17.2%16.9%10.3%-7.3%0.1%9.1%2.3%-5.0%
Net Profit Margin6.7%6.7%9.1%10.9%15.0%10.0%-5.9%2.1%9.3%6.8%-0.5%

Return on Capital

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
ROE7.1%7.1%11.2%13.3%23.6%11.5%-4.0%1.9%9.7%6.2%-0.3%
ROA4.2%4.2%6.8%8.2%14.3%6.5%-2.3%1.2%5.8%3.6%-0.2%
ROIC6.2%6.2%12.6%14.9%18.1%7.2%-3.1%0.0%6.0%1.3%-2.2%
ROCE6.6%6.6%13.0%14.9%18.3%7.5%-3.2%0.0%6.4%1.4%-2.3%

CVX Leverage & Debt

Solvency and debt-coverage ratios — lower is generally safer

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Debt / Equity0.240.240.160.130.150.220.330.190.220.260.31
Debt / EBITDA1.261.260.520.400.410.954.321.491.041.854.38
Net Debt / Equity—0.210.120.080.040.180.290.150.160.230.27
Net Debt / EBITDA1.081.080.380.250.100.783.781.180.761.623.71
Debt / FCF—2.431.180.640.151.2223.091.611.504.77—
Interest Coverage17.2217.2247.3164.0897.2731.39-9.697.9428.5131.04-9.75

CVX Liquidity & Efficiency

Short-term solvency ratios and asset-utilisation metrics

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Current Ratio1.151.151.061.271.471.261.181.071.251.030.93
Quick Ratio0.860.860.831.011.231.010.920.851.040.830.76
Cash Ratio0.190.190.180.250.520.210.250.220.380.170.22
Asset Turnover—0.570.750.750.910.650.390.590.630.530.42
Inventory Turnover13.2213.2215.0415.8520.6316.2112.6218.7019.9917.0314.54
Days Sales Outstanding—35.7739.0336.9331.6843.2044.3234.7734.5741.6146.67

CVX Shareholder Yields

Earnings, FCF, buyback, and dividend yields — total returns to shareholders

Dividends

Full dividend history and growth charts are on the Dividend History page

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Dividend Yield3.3%4.5%4.5%4.0%3.1%4.5%6.1%3.9%4.1%3.4%3.6%
Payout Ratio103.7%103.7%66.8%53.0%30.9%65.1%—306.4%57.4%88.4%—

Total Shareholder Return Metrics

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Earnings Yield3.2%4.4%6.7%7.6%10.2%6.9%—1.3%7.1%3.9%—
FCF Yield4.1%5.9%5.7%7.1%10.8%9.4%1.1%5.8%8.1%3.0%—
Buyback Yield2.9%4.2%5.9%5.3%3.2%0.6%1.1%1.8%0.8%0.5%0.0%
Total Shareholder Yield6.2%8.7%10.3%9.4%6.4%5.1%7.2%5.7%4.9%3.9%3.6%
Shares Outstanding—$1.9B$1.8B$1.9B$1.9B$1.9B$1.9B$1.9B$1.9B$1.9B$1.9B

Key Metrics

Growth RegimeMixed
ProfitabilityStrong
Balance SheetFortress
Cash FlowRobust
Top Statement Risk

Revenue contraction despite earnings beat

Verified Source

Metrics are mathematically derived from official filings.

SEC 10-K (2026Q2)

Margin Expansion Masks Revenue Weakness

Chevron's gross margin surged to 45.5% in Q2 2026 from 29.7% a year earlier, a 1,580 basis point jump, according to the latest quarterly data. This expansion appears driven by record upstream production and refinery throughput, not top-line growth.

The dramatic margin improvement in Q2 2026, with operating margin at 32.0% and net margin at 18.0%, suggests significant operational leverage from record U.S. upstream volumes and refinery runs. However, revenue contracted 4.6% year-over-year, indicating that margin gains are offsetting weaker price realizations. The sustainability of these margins is questionable if commodity prices soften, as the prior quarter's gross margin of 9.6% demonstrates extreme volatility. Investors should monitor whether the Q2 margin level represents a new baseline or a cyclical peak.

ROIC Spikes but Trend Remains Volatile

ROIC jumped to 7.1% in Q2 2026 from 1.1% in Q1 2026, yet the trailing ten-quarter average is only 2.3%, based on reported figures. This volatility reflects commodity price swings and the impact of the Hess acquisition on the capital base.

The sharp quarterly swings in ROIC, from 1.0% in Q4 2024 to 7.1% in Q2 2026, highlight the cyclicality of Chevron's returns on invested capital. The recent surge is driven by record production and margin expansion, but the capital base has grown significantly due to the Hess acquisition, which may dilute returns if integration costs or arbitration outcomes are unfavorable. Compared to peers like XOM (ROIC 8.6%) and COP (10.4%), Chevron's average ROIC appears lower, suggesting that the company is not yet generating superior returns on its expanded asset base. The trend warrants monitoring to see if the Q2 2026 level can be sustained.

Working Capital Efficiency Improves Sharply

Chevron's cash conversion cycle compressed to 3 days in Q2 2026 from 18 days in Q1 2026, driven by a DSO drop to 34 days and DPO of 58 days, as per the latest quarterly data. This suggests improved working capital management.

The improvement in CCC is notable, with DSO falling from 41 to 34 days quarter-over-quarter, while DPO remained elevated at 58 days, indicating Chevron is collecting receivables faster and stretching payables. This efficiency gain contributed to the robust free cash flow margin of 26.9% in Q2 2026. However, the volatility in working capital components, as seen in the prior quarter's negative FCF margin, suggests that these improvements may not be permanent. Asset turnover remains low at 0.20, reflecting the capital-intensive nature of the business, but the efficiency gains in working capital are a positive sign.

Leverage Remains Conservative Despite Acquisition

Chevron's debt-to-equity ratio rose to 0.19 in Q2 2026 from 0.14 a year earlier, yet interest coverage improved to 48.4x, according to the balance sheet data. This indicates a fortress balance sheet with ample debt service capacity.

The increase in leverage is modest and appears tied to the Hess acquisition, but the absolute level remains far below peers like BP (D/E 1.14) and Shell (0.60). Interest coverage of 48.4x in Q2 2026 is exceptionally strong, up from 12.4x in Q1 2026, reflecting both higher operating income and low debt levels. The D/EBITDA ratio of 1.35 is also conservative, suggesting that Chevron has significant headroom to increase debt if needed for future acquisitions or buybacks. This balance sheet strength provides a buffer against commodity price volatility and supports the company's ability to maintain dividends through downturns.

Liquidity Buffer Strengthens with Cash Build

Chevron's current ratio improved to 1.36 in Q2 2026 from 1.00 a year earlier, with cash and equivalents doubling to $8.5B, based on the latest balance sheet. This suggests a stronger ability to weather short-term commodity price shocks.

The improvement in the current ratio, driven by higher cash balances and a quick ratio of 1.07, indicates that Chevron has ample short-term liquidity to cover its obligations. The cash build, partly from strong operating cash flow, provides a cushion against the volatility inherent in the energy sector. However, the current ratio remains modest compared to non-cyclical industries, and the reliance on commodity prices means liquidity could deteriorate quickly if prices fall. The fortress balance sheet, with low leverage and high interest coverage, further supports liquidity, but investors should monitor the sustainability of cash generation given the revenue contraction.

P/E Misleads on Cyclical Earnings

Chevron's trailing P/E of 30.96 appears expensive, but the forward P/E of 13.95 reflects expected earnings normalization, based on current valuation multiples. This discrepancy highlights the danger of using trailing earnings for cyclical companies.

The trailing P/E is distorted by the trough earnings in Q1 2026, which depressed the trailing twelve-month EPS. The forward P/E of 13.95 is more indicative of the market's expectation of normalized earnings, but it still embeds assumptions about commodity prices and production growth. For integrated oil companies, EV/EBITDA is often a more reliable metric, and Chevron's forward EV/EBITDA of 8.16 is in line with peers like XOM (11.97) and COP (7.82). Investors should focus on cash flow-based metrics, such as P/FCF (24.64), which may be elevated due to the recent FCF surge. The most common misapplication is using trailing P/E without adjusting for the cyclicality of earnings, which can lead to incorrect valuation conclusions.

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CVX — Frequently Asked Questions

Quick answers to the most common questions about buying CVX stock.

What is Chevron Corporation's P/E ratio?

Chevron Corporation's current P/E ratio is 31.0x. The historical average is 20.6x. This places it at the 82th percentile of its historical range.

What is Chevron Corporation's EV/EBITDA?

Chevron Corporation's current EV/EBITDA is 12.1x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 7.4x.

What is Chevron Corporation's ROE?

Chevron Corporation's return on equity (ROE) is 7.1%. The historical average is 14.7%.

Is CVX stock overvalued?

Based on historical data, Chevron Corporation is trading at a P/E of 31.0x. This is at the 82th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.

What is Chevron Corporation's dividend yield?

Chevron Corporation's current dividend yield is 3.34% with a payout ratio of 103.7%.

What are Chevron Corporation's profit margins?

Chevron Corporation has 30.4% gross margin and 9.0% operating margin.

How much debt does Chevron Corporation have?

Chevron Corporation's Debt/EBITDA ratio is 1.3x, indicating moderate leverage. A ratio below 2x is generally considered financially healthy.