Is Occidental Petroleum Corp. overvalued or undervalued?

As of 17 October 2025, the valuation grade for Occidental Petroleum Corp. has moved from fair to very expensive. The company appears overvalued based on its current financial metrics. Key ratios include a P/E ratio of 10, an EV to EBITDA of 5.14, and a Price to Book Value of 1.39. In comparison, peers such as Diamondback Energy, Inc. and Devon Energy Corp. have P/E ratios of 9.24 and 7.47, respectively, indicating that Occidental is priced higher than its fair-value counterparts.
Recent stock performance shows that Occidental has underperformed relative to the S&P 500, with a year-to-date return of -17.22% compared to the S&P 500's 13.30%. This trend reinforces the notion that the stock is overvalued in the current market environment.