Friday, 8 November 2013

Exxon Mobil Corporation (NYSE:XOM) – Why Haven’t ExxonMobil and Chevron Crashed?




The Dow Jones Industrials’ two energy stocks have done well even as crude prices plunged below the $100 level. Here’s why ExxonMobil and Chevron have survived oil’s drop.

Exxon Mobil Corporation (XOM), valued at $403.25B, started the session at $91.80. Shares have traded today between $91.47 and $92.66 per share and has traded between $84.70 and $95.49 over the past year. Exxon (XOM) shares are currently priced at 12.45x this year’s forecasted earnings, which makes them relatively expensive compared to the industry’s 9.01x earnings multiple for the same period. And for passive income investors, the company pays shareholders $2.52 per share annually in dividends, yielding 2.80%.

In a review of the consensus earnings estimate this quarter, 20 sell-side analysts are looking at $1.97 per share, which would be $0.23 worse than the year-ago quarter and a $0.02 sequential increase. Investors should also note that the full-year EPS estimate of $7.49 is a $0.58 setback when compared to the previous year’s annual results. The quarterly earnings estimate is based on a consensus revenue forecast of the current quarter of $110.79 Billion. If realized, that would be a 3.80% decrease over the year-ago quarter. Read more

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