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Relative valuation derived from Energy sector median benchmarks. Model weights: EV/EBITDA (40%), P/B (35%), P/S (25%). Multiples adjusted for extreme outliers and non-recurring volatility.
Auditing capital efficiency...
Quality Profile Audit
Score: 36.2GRADE D
Composite assessment of profitability, capital efficiency, and financial strength. Top-tier entities demonstrate sustainable cash flow generation.
Return on Equity
Profit generated per dollar of shareholder equity
—
Sector: 6.7%
Dividend Analysis audit
No Dividend
This company does not currently pay a dividend.
Analyst Projections
Analyst Consensus
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Based on our 6-factor quantitative model, TotalEnergies SE (TTE) receives a "Buy" rating with a composite score of 57.1/100, ranked #22 out of 4446 stocks. Key factor scores: Quality 36/100, Value 90/100, Momentum 62/100. This is quantitative analysis only — not investment advice.
TotalEnergies SE (TTE) Stock Analysis — April 2026 Rating, Price, and Forecast
Company Overview — What Does TotalEnergies SE Do?
TotalEnergies SE operates as an integrated oil and gas company worldwide. The company operates through four segments: Integrated Gas, Renewables & Power; Exploration & Production; Refining & Chemicals; and Marketing & Services. The Integrated Gas, Renewables & Power segment engages in the liquefied natural gas production, shipping, trading, and regasification activities; trading of liquefied petroleum gas (LPG), petcoke and sulfur, natural gas, and electricity; transportation of natural gas; electricity production from natural gas, wind, solar, hydroelectric, and biogas sources; energy storage activities; and development and operation of biomethane production units, as well as provides energy efficiency services. The Exploration & Production segment is involved in the oil and natural gas exploration and production activities. The Refining & Chemicals segment engages in refining petrochemicals, including olefins and aromatics; and polymer derivatives, such as polyethylene, polypropylene, polystyrene, and hydrocarbon resins, as well as biomass conversion and elastomer processing. This segment is also involved in trading and shipping crude oil and petroleum products. The Marketing & Services segment produces and sells lubricants; supplies and markets petroleum products, including bulk fuel, aviation and marine fuel, special fluids, compressed natural gas, LPG, and bitumen; and provides fuel payment solutions. It operates approximately 16,000 service stations and 25,000 EV charge points. As of December 31, 2021, the company had 12,062 Mboe of combined proved reserves of oil and gas. TotalEnergies SE has strategic partnerships with PureCycle Technologies, Plastic Energy, Freepoint Eco-Systems, and Plastic Omnium for various development projects. The company was formerly known as TOTAL SE and changed its name to TotalEnergies SE in June 2021. TotalEnergies SE was incorporated in 1924 and is headquartered in Courbevoie, France. TotalEnergies SE (TTE) is classified as a large-cap stock in the Energy sector, specifically within the Petroleum And Natural Gas industry. The company is led by CEO Patrick Pouyanné and employs approximately 101,300 people. With a market capitalization of $191.9B, TTE is one of the prominent companies in the Energy sector.
TotalEnergies SE (TTE) Stock Rating — Buy (April 2026)
As of April 2026, TotalEnergies SE receives a Buy rating with a composite score of 57.1/100 and 4 out of 5 stars from the Blank Capital Research quantitative model.TTE ranks #22 out of 4,446 stocks in our coverage universe. Within the Energy sector, TotalEnergies SE ranks #2 of 128 stocks, placing it in the top 10% of its Energy peers. The rating is generated by a multi-factor model that weighs quality (30%), momentum (25%), value (15%), investment (10%), stability (10%), and short interest (10%).
TTE Stock Price and 52-Week Range
TotalEnergies SE (TTE) currently trades at $92.39. The 52-week high for TTE is $87.42, which means the stock is currently trading 5.7% from its annual peak. The 52-week low is $52.78, putting the stock 75.0% above its annual trough. Recent trading volume was 0 shares, suggesting relatively thin trading activity.
Is TTE Overvalued or Undervalued? — Valuation Analysis
TotalEnergies SE (TTE) carries a value factor score of 90/100 in the Blank Capital model, suggesting the stock trades at a meaningful discount to its fundamental earning power. The trailing price-to-earnings ratio is 14.83x, compared to the Energy sector average of 20.66x — a discount of 28%. The price-to-sales ratio is 0.25x, compared to 0.49x for the average Energy stock. On an enterprise value basis, TTE trades at 1.42x EV/EBITDA, versus 3.73x for the sector.
Based on these multiples, TotalEnergies SE appears attractively valued relative to both its sector peers and the broader market. Value-oriented investors may find the current entry point compelling, particularly if the company's fundamental quality metrics also score well.
TotalEnergies SE Profitability — ROE, Margins, and Quality Score
TotalEnergies SE (TTE) earns a quality factor score of 36/100, signaling below-average profitability metrics relative to the broader market. Return on assets (ROA) comes in at 22.5% versus the sector average of 3.7%.
On a margin basis, TotalEnergies SE reports gross margins of 34.7%, compared to 52.7% for the sector. The operating margin is 12.8% (sector: 10.7%). Net profit margin stands at 8.2%, versus 6.4% for the average Energy stock. Profitability is below benchmark levels, which may reflect industry headwinds, elevated reinvestment, or structural challenges.
TTE Debt, Balance Sheet, and Financial Health
Balance sheet data for TTE is evaluated through our stability factor. The current ratio is 1.00x, which may signal near-term liquidity tightness. Total debt on the balance sheet is $53.56B. Cash and equivalents stand at $25.84B.
TTE has a beta of 0.29, meaning it is less volatile than the S&P 500, making it a relatively defensive holding. The stability factor score for TotalEnergies SE is 86/100, indicating low-volatility characteristics and consistent price behavior that appeals to risk-averse investors.
TotalEnergies SE Revenue and Earnings History — Quarterly Trend
In TTM 2026, TotalEnergies SE reported revenue of $195.61B and earnings per share (EPS) of $6.23. Net income for the quarter was $16.03B. Gross margin was 34.7%. Operating income came in at $25.06B.
In FY 2024, TotalEnergies SE reported revenue of $195.61B and earnings per share (EPS) of $6.23. Net income for the quarter was $16.03B. Gross margin was 34.7%. Revenue grew -10.7% year-over-year compared to FY 2023. Operating income came in at $25.06B.
In FY 2023, TotalEnergies SE reported revenue of $218.94B and earnings per share (EPS) of $8.06. Net income for the quarter was $21.51B. Gross margin was 34.7%. Revenue grew -16.8% year-over-year compared to FY 2022. Operating income came in at $32.15B.
In FY 2022, TotalEnergies SE reported revenue of $263.31B and earnings per share (EPS) of $7.51. Net income for the quarter was $21.04B. Gross margin was 35.6%. Revenue grew 42.6% year-over-year compared to FY 2021. Operating income came in at $50.55B.
Over the past 8 quarters, TotalEnergies SE has demonstrated a growth trajectory, with revenue expanding from $184.11B to $195.61B. Investors analyzing TTE stock should weigh these quarterly trends alongside the valuation and quality metrics discussed above.
TTE Dividend Yield and Income Analysis
TotalEnergies SE (TTE) does not currently pay a dividend. This is common among growth-oriented companies in the Petroleum And Natural Gas industry that prefer to reinvest cash flows into business expansion rather than returning capital to shareholders. Income-focused investors looking for Energy dividend stocks may want to explore other Energy stocks or use the stock screener to filter by dividend yield.
TTE Momentum and Technical Analysis Profile
TotalEnergies SE (TTE) has a momentum factor score of 62/100, reflecting neutral trend characteristics. The stock is neither significantly outperforming nor underperforming the broader market on a momentum basis. The investment factor score is 52/100, which measures capital allocation efficiency and asset growth patterns. The short interest score of 35/100 signals elevated short interest, which can indicate bearish sentiment among institutional investors.
TTE vs Competitors — Energy Sector Ranking and Peer Comparison
Comparing TTE against the S&P 500 benchmark is also instructive for understanding relative performance. Investors can view the full TTE vs S&P 500 (SPY) comparison to assess how TotalEnergies SE stacks up against the broader market across all factor dimensions.
TTE Next Earnings Date
No upcoming earnings date has been announced for TotalEnergies SE (TTE) at this time. Check the earnings calendar for the latest scheduling updates across all stocks in our coverage universe.
Should You Buy TTE? — Investment Thesis Summary
The bull case for TotalEnergies SE rests on several quantitative strengths. The quality score of 36/100 flags below-average profitability. The value score of 90/100 suggests attractive pricing relative to fundamentals. Price momentum is positive at 62/100, suggesting the trend favors buyers. Low volatility (stability score 86/100) reduces downside risk.
In summary, TotalEnergies SE (TTE) earns a Buy rating with a composite score of 57.1/100 as of April 2026. The rating is derived from the Blank Capital Research methodology, which combines six factor dimensions into a single quantitative ranking. Investors should consider these quantitative signals alongside their own fundamental research, risk tolerance, and investment time horizon before making buy or sell decisions on TTE stock.
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Institutional Research Dossier
TotalEnergies SE (TTE) Deep Dive Analysis
Published on March 24, 2026
Action RatingBuy
Sections
Executive Summary
TotalEnergies SE (TTE) receives a Buy rating based on its compelling valuation, diversified business model, and commitment to renewable energy transition. While the company faces inherent risks associated with the volatile energy market and the transition to cleaner energy sources, its strong financial performance, strategic investments, and discounted valuation relative to peers make it an attractive investment opportunity. The most critical takeaway is TotalEnergies' ability to generate substantial free cash flow, which supports its dividend payouts, debt reduction, and investments in future growth areas, particularly in renewables.
Despite the inherent cyclicality of the oil and gas industry, TotalEnergies has demonstrated resilience and adaptability, positioning itself as a key player in the evolving energy landscape. The company's integrated business model, spanning exploration and production, refining and chemicals, and renewables and power, provides a buffer against fluctuations in commodity prices and allows it to capitalize on emerging opportunities in the clean energy sector. The current valuation does not fully reflect the company's long-term growth potential and its commitment to shareholder returns, making it an attractive entry point for investors.
Business Strategy & Overview
TotalEnergies operates as an integrated energy company with a presence across the entire energy value chain, from upstream exploration and production to downstream refining and marketing, as well as a growing portfolio of renewable energy assets. The company's strategic focus is on providing affordable, reliable, and clean energy to meet the world's growing energy demand. This involves optimizing its existing oil and gas operations while simultaneously investing in renewable energy sources such as solar, wind, and biofuels.
The company's Integrated Gas, Renewables & Power segment is a key growth driver, focusing on LNG production, trading, and regasification, as well as electricity generation from renewable sources. TotalEnergies is actively developing and operating renewable energy projects worldwide, including wind farms, solar power plants, and biomethane production units. This segment also provides energy efficiency services, contributing to the company's commitment to sustainability.
The Exploration & Production segment remains a significant contributor to TotalEnergies' revenue and cash flow, focusing on discovering and developing new oil and gas reserves. The company prioritizes projects with low production costs and high returns, ensuring the long-term profitability of this segment. TotalEnergies also invests in technologies to reduce the environmental impact of its oil and gas operations, such as carbon capture and storage.
The Refining & Chemicals segment processes crude oil and other feedstocks into a range of petroleum products and petrochemicals. TotalEnergies is focused on improving the efficiency and profitability of its refining operations while also investing in the development of sustainable chemicals and polymers. The company is actively involved in recycling and waste management initiatives, contributing to the circular economy.
The Marketing & Services segment distributes and sells TotalEnergies' products and services to customers worldwide. The company operates a network of service stations and EV charging points, providing convenient access to fuel and electricity for consumers. TotalEnergies also offers fuel payment solutions and other value-added services to its customers.
Execution Benchmarks audit
Gross Margin
Core pricing power
34.7%
Sector: 52.7%
-34% VS SCTR
Economic Moat Analysis
TotalEnergies possesses a narrow economic moat, primarily derived from its integrated business model and its scale in the energy industry. While not insurmountable, this moat provides some degree of competitive advantage. The integrated nature of its operations, spanning from upstream exploration and production to downstream refining and marketing, allows TotalEnergies to capture value at multiple stages of the energy value chain, providing a buffer against commodity price fluctuations.
The company's significant scale and global presence also contribute to its moat. TotalEnergies' extensive infrastructure, including pipelines, refineries, and distribution networks, creates barriers to entry for smaller competitors. The company's established relationships with governments and other stakeholders further strengthen its competitive position.
However, the energy industry is highly competitive, and TotalEnergies faces intense competition from other large integrated oil and gas companies, as well as from renewable energy providers. The company's moat is not as wide as those of companies with strong brand recognition or proprietary technology, making it vulnerable to disruptions and changes in the energy landscape.
The transition to renewable energy poses a significant challenge to TotalEnergies' moat. As demand for fossil fuels declines, the company's traditional oil and gas assets may become less valuable. To maintain its competitive advantage, TotalEnergies must successfully transition to renewable energy sources and develop new business models that are sustainable in the long term.
While TotalEnergies is investing heavily in renewable energy, it faces competition from established renewable energy companies and new entrants with innovative technologies. The company's ability to adapt to the changing energy landscape and maintain its profitability will be crucial to preserving its narrow economic moat.
Financial Health & Profitability
TotalEnergies exhibits a strong financial profile, characterized by robust revenue generation, healthy profitability, and solid cash flow generation. The company's revenue has fluctuated significantly over the past decade, reflecting the volatility of oil and gas prices. However, TotalEnergies has consistently generated substantial profits, particularly in recent years, driven by higher energy prices and improved operational efficiency.
The company's gross margin has remained relatively stable over the past decade, ranging from 31.7% to 56.7%, with the higher margin in 2016 being an outlier. The operating margin has shown more variability, reflecting the impact of commodity price fluctuations and operational factors. In FY2024, the company reported a gross margin of 34.7% and an operating margin of 12.8%.
TotalEnergies' free cash flow generation has been particularly impressive in recent years, reaching $20.03B in FY2024. This strong cash flow allows the company to invest in growth opportunities, reduce debt, and return capital to shareholders through dividends and share repurchases. The company's total cash balance of $25.84B provides a significant financial cushion.
The company's debt levels are manageable, with total debt of $53.56B. While a debt-to-equity ratio is not provided, the company's strong cash flow generation and solid balance sheet provide ample capacity to service its debt obligations. The company's beta of 0.29 indicates that its stock price is relatively less volatile than the overall market.
Compared to the energy sector, TotalEnergies' P/E ratio of 14.3x is lower than the sector average of 19.5x, suggesting that the company's stock is undervalued relative to its earnings. Similarly, its EV/EBITDA ratio of 1.4x is significantly lower than the sector average of 3.5x, further supporting the undervaluation thesis. While ROE data is not available, the company's net margin of 8.2% is higher than the sector average of 6.3%, indicating superior profitability.
Valuation Assessment
TotalEnergies' valuation appears compelling based on several key metrics. The company's P/E ratio of 14.3x is significantly lower than the energy sector average of 19.5x, suggesting that the stock is undervalued relative to its earnings. This discount may reflect investor concerns about the long-term outlook for oil and gas companies, but it also presents an opportunity for value investors.
The company's EV/EBITDA ratio of 1.4x is also significantly lower than the sector average of 3.5x, further supporting the undervaluation thesis. This metric compares the company's enterprise value (market capitalization plus debt minus cash) to its earnings before interest, taxes, depreciation, and amortization, providing a more comprehensive measure of valuation than P/E ratio.
TotalEnergies' strong free cash flow generation also supports its attractive valuation. With free cash flow of $20.03B in FY2024 and a market capitalization of $189.62B, the company has a free cash flow yield of approximately 10.6%. This high yield suggests that the company is generating significant cash flow relative to its market value, which could support higher dividend payouts or share repurchases.
Compared to its historical valuation, TotalEnergies' current P/E ratio is below its average P/E ratio over the past decade. This suggests that the stock is currently trading at a discount to its historical valuation, potentially reflecting investor concerns about the energy transition and the long-term outlook for oil and gas companies.
However, TotalEnergies' commitment to renewable energy and its diversified business model should mitigate some of these concerns. The company's investments in renewable energy are expected to drive future growth and reduce its reliance on fossil fuels. The current valuation does not fully reflect the potential upside from these investments.
Risk & Uncertainty
TotalEnergies faces several risks and uncertainties that could impact its financial performance and stock price. The most significant risk is the volatility of oil and gas prices. Fluctuations in commodity prices can significantly impact the company's revenue and profitability, particularly in its Exploration & Production segment. Geopolitical events, supply disruptions, and changes in global demand can all contribute to price volatility.
The transition to renewable energy also poses a significant risk to TotalEnergies. As demand for fossil fuels declines, the company's traditional oil and gas assets may become less valuable. The company's ability to successfully transition to renewable energy sources and develop new business models will be crucial to its long-term success. However, this transition is not without its challenges, including technological risks, regulatory uncertainties, and competition from established renewable energy companies.
Regulatory risks are also a concern for TotalEnergies. The company operates in a highly regulated industry, and changes in environmental regulations, tax policies, and other government regulations can impact its operations and profitability. For example, stricter environmental regulations could increase the cost of oil and gas production, while changes in tax policies could reduce the company's after-tax profits.
Competition is another significant risk for TotalEnergies. The company faces intense competition from other large integrated oil and gas companies, as well as from renewable energy providers. This competition can put pressure on prices and margins, and it can also make it more difficult for TotalEnergies to win new projects and contracts.
Bulls Say / Bears Say
The Bull Case
BULL VIEWTotalEnergies' commitment to renewable energy and its diversified business model will drive long-term growth and reduce its reliance on fossil fuels, leading to a higher valuation.
BULL VIEWThe company's strong free cash flow generation and attractive dividend yield make it an appealing investment for income-seeking investors, supporting a higher stock price.
BULL VIEWThe current valuation does not fully reflect the company's long-term growth potential and its commitment to shareholder returns, presenting an attractive entry point for investors.
The Bear Case
BEAR VIEWThe volatility of oil and gas prices poses a significant risk to TotalEnergies' financial performance, potentially leading to lower revenue and profitability.
BEAR VIEWThe transition to renewable energy could negatively impact the value of TotalEnergies' traditional oil and gas assets, resulting in a lower valuation.
BEAR VIEWIncreased regulatory scrutiny and stricter environmental regulations could increase the company's operating costs and reduce its profitability, negatively impacting its stock price.
About the Author
Marques Blank
Founder & Chief Investment Officer, Blank Capital
Marques brings 15 years of institutional finance and investing experience, having overseen financial planning for a $1.6B defense business unit. He developed the proprietary 6-factor quantitative model used to score TTE and 4,400+ other equities.
TotalEnergies SE exhibits a 46% valuation discount relative to institutional benchmarks. This represents a constructive entry window based on current multiples.
Return on Assets
Efficiency of asset utilization
22.5%
Sector: 3.7%
Gross Margin
Pricing power and cost efficiency
34.7%
Sector: 52.7%
Operating Margin
Core business profitability
12.8%
Sector: 10.7%
Net Margin
Bottom-line profitability
8.2%
Sector: 6.4%
Factor Methodology
The Quality factor evaluates the persistence and magnitude of cash flows. Companies with scores >70 exhibit superior competitive moats and financial resilience through economic cycles.
