With a market cap of $59.2 billion, EOG Resources, Inc. (EOG) is a prominent American energy company specializing in the exploration, development, production, and marketing of crude oil, natural gas liquids, and natural gas. Headquartered in Houston, Texas, EOG operates primarily in the United States, with additional activities in Trinidad and Tobago.

Shares of EOG have struggled to keep up with the broader market over the past 52 weeks. EOG stock has declined 16.7% over this time frame, while the broader S&P 500 Index ($SPX) has rallied 8.2%. Shares of EOG are down 11.3% on a YTD basis, compared to $SPX's 4.7% drop.

Looking closer, the energy company has also underperformed the Energy Select Sector SPDR Fund's (XLE) 13.7% return over the past 52 weeks and 6% dip this year. 

On May 1, EOG Resources reported a solid Q1 2025, with adjusted net income of $1.6 billion ($2.87 per share), beating expectations, despite revenue coming in slightly below forecast at $5.7 billion. Production rose 4.8% year-over-year, supported by a 63% surge in natural gas prices and higher crude output. 

The company generated $1.3 billion in free cash flow and returned the same amount to shareholders through dividends and buybacks, including a 7% dividend increase. EOG also trimmed its 2025 capital expenditure plan by $200 million to maintain capital efficiency amid global uncertainties, while committing to steady oil production and 5% total production growth for the year. EOG shares climbed 1.2% after the announcement. 

For fiscal 2025, which ends in December, analysts expect EOG's EPS to dip nearly 15.2% year-over-year to $9.85. However, the company's earnings surprise history is solid. It beat the consensus estimates in each of the last four quarters.

Among the 28 analysts covering the stock, the consensus rating is a “Moderate Buy.” That’s based on 14 “Strong Buy” ratings, one “Moderate Buy,” and 13 “Holds.”

This configuration is more bullish than a month ago, when 13 analysts gave it a “Strong Buy” rating. 

On May 2, Barclays plc (BCS) lowered its price target for EOG Resources from $140 to $137 but maintained an “Equal Weight” rating. The adjustment follows EOG’s Q1 results and its strategic decision to slightly reduce capital expenditures in an effort to stabilize oil production without disrupting broader portfolio development, highlighting the company's balanced approach to operational and financial management.

Its mean price target of $137.85 indicates a premium of 26.8% from the current market prices. The Street-high price target of $156 implies a potential upside of 43.5%.