Vermilion Energy Inc. (VET)
Market price: $13.48
2 valuation methods
- EV / Revenue: $5.58 to $10.44 (midpoint $7.58)
- P / B: $11.77 to $22.37 (midpoint $15.51)
How each method works
EV / Revenue: $5.58 to $10.44 (midpoint $7.58)
Values the whole business at a peer multiple of sales — used when earnings are thin, volatile, or not yet meaningful, so revenue is the most reliable yardstick.
- How it’s calculated
- We multiply the company's last-twelve-month revenue by the range of EV/Revenue multiples its peer group trades at, subtract net debt and any minority interests or preferred stock ranking ahead of common shareholders, and divide by shares outstanding for a per-share range.
- Why it fits this industry
- When profits are thin, volatile, or still to come, revenue is the most dependable figure a company reports — this method values the business on the scale of what it actually sells.
- Reading this bar
- The bar is the per-share value range this method implies: a conservative low, a central estimate, and an optimistic high. If the current price sits below the bar, the market is pricing the shares below what this method's inputs suggest; if it sits above, the market is pricing them higher. No single bar is a verdict — methods disagree for good reasons, so read the whole field together. A pound of revenue is worth more at a high margin than a low one, so the peer group here is narrowed to companies earning a similar margin wherever enough of them exist. Where too few do, the bar falls back to the wider group and is the bluntest of the multiples — weigh it alongside the earnings-based bars.
EV / Revenue = (1.42/1.66/2.01)× revenue 1,262,975,122.09 ≈ 1,790,542,393.79/2,096,141,758.69/2,533,287,193.69 (enterprise_value); enterprise_value -> per share: equity (853,598,211.79/1,159,197,576.69/1,596,343,011.69) / 152,949,630 shares [EV bridge: minus net debt 936,944,182.00]
P / B: $11.77 to $22.37 (midpoint $15.51)
Values the stock at a peer multiple of its book (net asset) value — most meaningful for asset-heavy and financial companies whose balance sheet drives value.
- How it’s calculated
- We take book value per share (total assets minus total liabilities, from the latest balance sheet, divided by shares outstanding) and multiply it by the range of price-to-book multiples the peer group trades at.
- Why it fits this industry
- Where the balance sheet is the business — lenders, insurers, asset-heavy operators — the price the market pays for a dollar of net assets is a natural yardstick.
- Reading this bar
- The bar is the per-share value range this method implies: a conservative low, a central estimate, and an optimistic high. If the current price sits below the bar, the market is pricing the shares below what this method's inputs suggest; if it sits above, the market is pricing them higher. No single bar is a verdict — methods disagree for good reasons, so read the whole field together. Asset-light companies (brands, software) legitimately trade far above book value, so for them a P/B bar well below the price is usually structure, not signal.
P / B = (1.11/1.46/2.11)× book_value_per_share 10.61 ≈ 11.77/15.51/22.37 (per_share)
5 methods not shown
- EV / EBITDA: the market prices this company far outside its sector's EV / EBITDA range (its own multiple is 26.06 vs a sector band of 4.55–8.39) — a sector-average bar would be misleading here, so it is withheld
- EV / Gross Profit: gross_profit unavailable — cannot form EV / Gross Profit
- P / E: diluted EPS is non-positive — P/E is not meaningful for a loss-making period
- DCF (FCFF): DCF input(s) unavailable (capex) — cannot build FCFF
- EV / EBITDAX: this company reports no oil and gas exploration activity (a refiner, pipeline or services business), so EBITDAX — which exists to compare explorers — does not apply
Limited data — fewer than three valuation methods could be formed for this company; showing every method we can stand behind.