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    Woodside Energy Group (ASX:WDS) Has The Market Watching Its Latest Update

    Simply Wall St·10/13/2026 20:23:48
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    Woodside Energy Group (ASX:WDS) has reshaped its Mexican leadership, with Trion Project Vice President Stephane Drouaud relocating to Mexico City and taking on the additional role of Managing Director as project execution concentrates on the ground.

    The reshuffle comes after a strong run in Woodside Energy Group shares, with the stock showing a 38.55% year to date share price return and a 54.48% total shareholder return over the past year, suggesting momentum has been building as projects like Trion move toward key milestones.

    Scan Woodside Energy Group's peers riding similar project and commodity momentum by checking out 4 high quality undervalued stocks with robust cash flows and balance sheets.

    After a 38.55% year to date rise and a 54.48% total return over 12 months, Woodside Energy Group now trades only modestly below the average analyst target, while one valuation model suggests a far wider gap. Which reference point matters more?

    Most Popular Narrative: 10.4% Undervalued

    Against a last close of A$32.78, the leading narrative on Woodside Energy Group points to a fair value of A$36.60. This frames the recent share price strength as only part of the story rather than the end of it.

    At A$36.602 per share, Woodside Energy Group (ASX: WDS) appears reasonably valued based on its existing operations and near-term production growth. Woodside reports in US dollars and recorded 2025 operating revenue of US$12.9 billion, underlying profit of US$2.65 billion and earnings of US$1.43 per share. Using an assumed exchange rate of US$0.70 per Australian dollar gives earnings of approximately A$2.04 per share and a P/E ratio of around 18 times.

    See why 20 investors see Woodside Energy Group as 10% undervalued.

    According to Jamesiskindacool, the narrative hinges on Woodside Energy Group generating A$2.04 in earnings per share and paying a fully franked dividend of about A$1.60, which equates to a 4.4% yield at the A$36.60 assessed price. That view also factors in record output of 198.8 million barrels of oil equivalent and A$ equivalent free cash flow of roughly US$1.9b during 2025. It also acknowledges that net debt of about US$9.3b and exposure to projects like Scarborough, Trion and Louisiana LNG keep execution and commodity risk firmly on the table.

    Result: Fair Value of A$36.60 (UNDERVALUED)

    Still, the Woodside Energy Group story can change quickly if project timelines slip or if higher debt and construction spending begin to squeeze flexibility.

    Find out about the key risks to this Woodside Energy Group narrative.

    Next Steps

    Mixed signals on Woodside Energy Group can be useful if you treat them as prompts rather than answers, then move quickly to stress test the 3 key rewards and 2 important warning signs.

    Looking for more Woodside Energy Group style ideas?

    If you stop with Woodside Energy Group, you risk missing other opportunities that match your thinking, your risk comfort, and your return goals.

    This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.