OMV OMV.VI
What does OMV do?
OMV is an integrated energy and chemicals group headquartered in Vienna. The company produces crude oil, natural gas liquids and natural gas, operates refineries as well as filling stations and gas storage facilities, and produces polyolefins and basic chemicals. The business also includes a gas-fired power plant, plastics recycling and the development of new fields such as geothermal energy and carbon capture.
Reporting is in three segments: Energy (exploration and production, gas business), Fuels & Feedstock (refining, marketing of fuels and feedstocks) and Chemicals (plastics and chemicals, via its stake in Borealis). Customers include end consumers at filling stations, industry, utilities and trading partners. In competitive terms, OMV is strongly established in Central and Eastern Europe and stands alongside other European integrated companies such as MOL or Eni. Integration along the value chain partly offsets fluctuations in individual stages, while its size and production volumes are smaller than those of the global oil majors.
Score profile
Rank vs. Energy (78 companies). 10 = top of the group, 5 = middle. Calculated from the metrics below, without AI.
Metrics compared with the industry
On profitability and quality, OMV ranks in the middle in the group Energy (4.6/10). On growth, the company ranks above average in the group Energy (7.2/10). On valuation (higher = cheaper), the stock ranks among the best in the group Energy (8.0/10). On financial strength, OMV ranks above average in the group Energy (6.8/10).
| Metric | Stock | Group median | Ranking |
|---|---|---|---|
| Forward P/E | 7.8x | 11.8x | better than 78 % |
| Trailing P/E | 11.0x | 13.6x | better than 60 % |
| PEG ratio | 0.7x | 1.1x | better than 89 % |
| EV/EBITDA | 4.4x | 6.8x | better than 79 % |
| Price/sales | 0.8x | 1.7x | better than 76 % |
| Price/book | 1.4x | 1.5x | better than 56 % |
| Revenue growth | 42.7% | 24.7% | better than 72 % |
| Earnings growth | 89.2% | 2.4% | better than 71 % |
| Gross margin | 32.4% | 41.8% | better than 40 % |
| Operating margin | 21.7% | 18.8% | better than 56 % |
| Net margin | 11.3% | 11.3% | better than 49 % |
| Return on equity | 11.4% | 13.9% | better than 40 % |
| Debt/equity | 35.9% | 46.7% | better than 69 % |
| Current ratio | 1.1x | 1.3x | better than 37 % |
| Free cash flow yield | 36.6% | 5.4% | better than 99 % |
| Dividend yield | 4.5% | 2.8% | – |
| Payout ratio | 49.3% | 32.6% | – |
| Beta | 0.20 | 0.69 | – |
Valuation: what is OMV worth?
Two valuation approaches – a discounted cash flow model and a valuation at the industry’s median multiples – give OMV a model range of 105.38 EUR to 120.44 EUR per share.
18 analysts, average rating “Hold”, average price target 68.65 EUR (−2.3%).
The full DCF matrix, the reverse DCF (what growth the price implies) and scenarios are part of the Pro analysis.
What the business depends on
- Results depend heavily on crude oil and natural gas prices, which largely determine production revenue.
- Refining and fuel margins as well as plant utilization shape earnings in the downstream business.
- Demand for polyolefins and chemicals and their spreads over raw material costs influence the chemicals business.
Risks
- Sharp commodity price swings and exchange rate movements can significantly weigh on earnings and cash flow in the short term.
- Stricter climate regulation, CO₂ costs and declining demand for fossil products threaten the core business in the long term.
- Political risks in producing countries as well as dependencies in gas supply and infrastructure can disrupt production and trading.
What to look for with OMV
Operating cash flow relative to capital expenditure shows how much room remains for dividends and debt reduction in a cyclical, capital-intensive business.