Shell's Valuation Update: Shell's fair value has slightly decreased to approximately $31.43 per share, with revenue growth expectations rising marginally to 1.53%, while the discount rate remains unchanged at 7.07%.
Analyst Price Targets: Several analysts, including Piper Sandler and Scotiabank, have raised their price targets for Shell, reflecting confidence in its strong Q3 performance and cash generation, while others like UBS have downgraded their ratings due to concerns over valuation and growth sustainability.
Legal and Operational Developments: Shell is involved in legal disputes regarding LNG contracts, including an arbitration case with Venture Global, and has restarted the sale process for its stake in Indian renewable power producer Sprng Energy.
Future Outlook: Analysts emphasize the importance of monitoring Shell's operational performance, capital allocation strategies, and external factors like legal and macroeconomic developments, which could impact its valuation and growth prospects.
Wall Street analysts forecast SHEL stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for SHEL is 74.27 USD with a low forecast of 41.75 USD and a high forecast of 91.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
10 Analyst Rating
Wall Street analysts forecast SHEL stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for SHEL is 74.27 USD with a low forecast of 41.75 USD and a high forecast of 91.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
5 Buy
5 Hold
0 Sell
Moderate Buy
Current: 72.420
Low
41.75
Averages
74.27
High
91.00
Current: 72.420
Low
41.75
Averages
74.27
High
91.00
Piper Sandler
Overweight
maintain
$90 -> $92
2026-01-08
Reason
Piper Sandler
Price Target
$90 -> $92
AI Analysis
2026-01-08
maintain
Overweight
Reason
Piper Sandler raised the firm's price target on Shell to $92 from $90 and keeps an Overweight rating on the shares. The firm says that entering 2026, while the chairs have shuffled around a bit, the song remains similar to twelve months ago - a bearish crude outlook that is likely to make it difficult for the sector to outperform the broader market. On the flip side, Piper sees the refining market as even better than 2025, driven by what it expects to be incrementally tighter S/D and crude differential tailwinds.
Jefferies
Buy
maintain
2026-01-07
Reason
Jefferies
Price Target
2026-01-07
maintain
Buy
Reason
Jefferies raised the firm's price target on Shell to 3,400 GBp from 3,200 GBp and keeps a Buy rating on the shares. The firm noted that Wael Sawan started as Shell CEO on January 1, 2023, and in the three years since, two clear capital allocation trends stand out: lower costs and higher shareholder returns. Shell's global LNG demand growth expectations have also increased, underpinning higher 2030 growth targets for an LNG business seen as a key differentiator, the analyst tells investors in a research note.
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Morgan Stanley
Overweight
downgrade
2026-01-06
Reason
Morgan Stanley
Price Target
2026-01-06
downgrade
Overweight
Reason
Morgan Stanley lowered the firm's price target on Shell to 2,811 GBp from 3,007 GBp and keeps an Overweight rating on the shares.
JPMorgan
NULL -> Overweight
maintain
2025-12-05
Reason
JPMorgan
Price Target
2025-12-05
maintain
NULL -> Overweight
Reason
JPMorgan raised the firm's price target on Shell to 3,200 GBp from 3,100 GBp and keeps an Overweight rating on the shares. The firm also removed Shell from its Analyst Focus List. The stock remains a top pick for JPMorgan in European oils.
About SHEL
Shell plc is an international energy company engaged in the principal aspects of the energy and petrochemical industries. The Company's segments include Integrated Gas, Upstream, Marketing, Chemicals and Products, Renewables and Energy Solutions, and Corporate. The Integrated Gas segment includes liquefied natural gas (LNG), conversion of natural gas into gas-to-liquids (GTL) fuels and other products. It includes natural gas and liquids exploration and extraction, and the operation of the upstream and midstream infrastructure. The Upstream segment includes exploration and extraction of crude oil, natural gas and natural gas liquids. It also markets and transports oil and gas and operates the infrastructure necessary to deliver them to the market. The Marketing segment comprises the Mobility, Lubricants, and Sectors & Decarbonization businesses. The Chemicals and Products segment includes chemicals manufacturing plants with their own marketing network, and refineries.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
