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Energy

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All research on Energy
Modeled fair value
USO · US Crude Oil
-1.9Expensive
406080100120140160180200FAIRMARKET
P10–P90P25–P75Median fair valueToday's market price = 100

Today’s price sits at the 81.8th percentile of modeled fair value 18% of modeled scenarios put fair value above the market.

Axis widened to 40200 to show the full modeled range; the published renderer axis of 50200 would clip this distribution’s tails.

Median fair value
84.0
index, market = 100
Upside to median
-16.0%
Last close
$161.86
2026-09-15
Confidence
moderate-high
72/100
Modeled returns

Return distributions, not point forecasts

Percentiles describe the spread of scenario outcomes under the stated method. The width of the range carries as much information as the midpoint.

One year

modeled
P90
+28.0%
P75
+12.0%
Median
-6.0%
P25
-21.0%
P10
-38.0%

40% of modeled scenarios end positive.

Scenario total return for a front-month crude vehicle, combining the modeled spot price path toward the published 2027 forecast, a roll-yield term reflecting the curve shape implied by falling inventories, and collateral interest earned on the fund's cash at short Treasury rates.

Three years, annualised

modeled
P90
+14.0%
P75
+7.0%
Median
-1.5%
P25
-9.0%
P10
-18.0%

Three-year path in which spot crude converges toward the marginal full-cycle production cost after the 2027 inventory rebuild, with roll yield and collateral interest accumulated along the way.

Against the Treasury hurdle

1y Treasury
4.39%
Expected excess
-10.4%
Basis
proxy

Modeled one-year median return of -6.0% against the 4.39% one-year Treasury par yield, a modeled shortfall of 10.4 points and the widest negative edge in this report. This reflects an official forecast that global supply recovers and inventories rebuild through 2027, not a view about recent price direction.

Instruments

5 in this asset class

SymbolValuationFair valueLast close1y modeled
USO
US Crude Oil
-1.9Expensive84.0$161.86-6.0%
BNO
Brent Crude Oil
-1.9Expensive84.0$63.56-6.0%
UNG
Natural Gas
Unavailable$10.54
XLE
US Energy Sector
Unavailable$65.93
XOP
Oil and Gas Producers
Unavailable$199.70