Workflow
ExxonMobil(XOM)
icon
Search documents
ExxonMobil Could Produce $165 Billion in Surplus Cash After Paying Dividends Through 2030
The Motley Fool· 2024-12-17 09:27
Core Viewpoint - ExxonMobil has established itself as a leading cash-generating entity in the oil industry, with plans to significantly increase its cash flow and shareholder returns by 2030 [1][11]. Group 1: Financial Performance and Projections - ExxonMobil reported an industry-leading cash flow from operations of $17.6 billion in the third quarter [1]. - The company aims to achieve an additional $20 billion in annual earnings and $30 billion in cash flow by 2030, indicating compound annual growth rates of 10% for earnings and 8% for cash flow [2]. - Annual cash flow from operations is projected to grow from approximately $50 billion this year to around $80 billion by 2030, assuming an average oil price of $65 per barrel [4]. Group 2: Capital Expenditure and Investment Strategy - ExxonMobil plans to invest between $27 billion and $29 billion in capital spending next year, increasing to a range of $28 billion to $33 billion annually from 2026 to 2030, with a total of $140 billion allocated to major capital projects and Permian Basin development [3]. - The company expects these investments to yield returns exceeding 30% and aims to reduce structural costs by an additional $7 billion over the coming years [3]. Group 3: Shareholder Returns - ExxonMobil is one of the largest dividend payers globally, having paid $4.3 billion in dividends in the second quarter, totaling $12.3 billion for the first nine months of the year [6]. - The company has increased its dividend for 42 consecutive years, a feat achieved by less than 4% of S&P 500 companies, and anticipates producing $165 billion in surplus cash flow above its current dividend level by 2030 [7][5]. - ExxonMobil plans to repurchase approximately $20 billion in shares next year and another $20 billion in 2026, with potential increases in share repurchase rates in 2027 and beyond if market conditions are favorable [8]. Group 4: Financial Stability and Flexibility - ExxonMobil maintains a strong balance sheet with an AA credit rating and the lowest leverage ratio in the sector, ending the third quarter with a 5% net-debt-to-capital ratio [9]. - The company has the financial flexibility to repay debt, build cash reserves, and potentially fund future acquisitions, either through stock or cash [10].
ExxonMobil Hits 1,000-Well Milestone in New Mexico Delaware Basin
ZACKS· 2024-12-16 13:31
Exxon Mobil Corporation (XOM) has reached a milestone by completing 1,000 horizontal wells in the New Mexico Delaware Basin since 2017. This achievement highlights the company's dedication to safe, efficient and innovative energy production, enhanced by its advanced technology and expertise in the Permian Basin.ExxonMobil’s Completion of 1,000 WellsSince commencing operations in the New Mexico Delaware Basin, ExxonMobil’s team has demonstrated exceptional commitment and collaboration. The accomplishment hig ...
Exxon Mobil: Total Shareholder Yield Now Exceeds 7%
Seeking Alpha· 2024-12-14 14:31
I last analyzed Exxon Mobil stock (NYSE: XOM ) with a BUY rating on October, 30, 2024. The analysis was published under a title of “Exxon Mobil Is Both Cheaper And Better As you can tell, our core style is to provide actionable and unambiguous ideas from our independent research. If your share this investment style, check out Envision Early Retirement. It provides at least 1x in-depth articles per week on such ideas.We have helped our members not only to beat S&P 500 but also avoid heavy drawdowns despite t ...
ExxonMobil's Bold Plan Positions It to Produce Another $30 Billion in Annual Cash Flow by 2030
The Motley Fool· 2024-12-14 11:32
ExxonMobil's Leadership and Performance - ExxonMobil is the undisputed leader among international oil companies, delivering industry-leading earnings, cash flow, and shareholder returns in Q3 [1] - The company's leadership is attributed to its advantaged resource portfolio, featuring world-class assets with high margins [1] ExxonMobil's 2030 Corporate Plan - ExxonMobil unveiled a new corporate plan to 2030, aiming for significant incremental earnings and cash flow growth [2] - The company expects to deliver an incremental $20 billion in earnings and $30 billion in cash flow by 2030, with earnings growing at a 10% annual rate and cash flow at an 8% compound annual pace [3] ExxonMobil's Growth Strategy - ExxonMobil's growth strategy does not rely on higher oil and gas prices, with Brent oil expected at $65/barrel and natural gas at $3/MMBtu in the U.S. and $6.50/MMBtu globally by 2030 [4] - The company plans to invest in advantaged assets, operational excellence, and disciplined cost and capital management to drive growth [4] Capital Spending and Investment Plans - ExxonMobil expects capital spending to be $27-29 billion in 2025, rising to $28-33 billion annually from 2026 to 2030 [5] - The company plans to deploy $140 billion into major capital projects and Permian Basin development by 2030, with expected returns exceeding 30% [6] Upstream Business Expansion - ExxonMobil will heavily invest in Guyana and LNG projects, aiming to add 40 million tons of annual LNG production and grow Guyana's gross production to 1.3 million barrels per day by 2030 [7] - The company expects its upstream business to produce 5.4 million BOE per day by 2030, with over 60% coming from high-margin advantaged assets [8] Product-Solutions and Low-Carbon Investments - ExxonMobil plans to grow its product-solutions earnings by $8 billion by 2030 through investments in high-value products like thermoset resin and renewable diesel [9] - The company will invest up to $30 billion in low-emissions opportunities from 2025 to 2030, focusing on carbon capture, hydrogen, and lithium [10] Cost Reduction and Synergies - ExxonMobil expects to capture over $3 billion in annual synergies from its Pioneer Natural Resources acquisition, a 50% increase from initial expectations [11] - The company plans to achieve an additional $7 billion in structural cost savings through business process simplification, supply chain optimization, and technology modernization [11] Shareholder Value Growth - ExxonMobil's strategy aims to grow earnings by 10% annually and add $30 billion to annual cash flows, enabling increased shareholder returns via dividends and share repurchases [12]
Exxon Mobil May Offer Some Protection In Stock Market Crash Scenario
Seeking Alpha· 2024-12-14 11:10
Nationally ranked stock picker for 30 years. Victory Formation and Bottom Fishing Club quant-sort pioneer.....Paul Franke is a private investor and speculator with 38 years of trading experience. Mr. Franke was Editor and Publisher of the Maverick Investor® newsletter during the 1990s, widely quoted by CNBC®, Barron’s®, the Washington Post® and Investor’s Business Daily®. Paul was consistently ranked among top investment advisors nationally for stock market and commodity macro views by Timer Digest® during ...
Chevron' Stock Up 10%, What's Next?
Forbes· 2024-12-13 16:00
LOS ANGELES, CALIFORNIA - OCTOBER 28: The Chevron logo is displayed at a Chevron gas station on ... [+] October 28, 2022 in Los Angeles, California. (Photo by Mario Tama/Getty Images)Getty ImagesUp 10% in the last year, at the current price of around $156 per share (as of Dec 11), we believe Chevron Corporation (NYSE: CVX), a company manufacturing and selling a range of refined petroleum products, including gasoline, diesel, marine, and aviation fuels, premium base oil, finished lubricants, and fuel oil add ...
Exxon Mobil: As 2025 Dawns, The Results Of The Long-Term Plan Appear
Seeking Alpha· 2024-12-13 05:18
I analyze oil and gas companies like Exxon Mobil and related companies in my service, Oil & Gas Value Research, where I look for undervalued names in the oil and gas space. I break down everything you need to know about these companies—the balance sheet, competitive position and development prospects. This article is an example of what I do. But for Oil & Gas Value Research members, they get it first, and they get analysis on some companies that is not published on the free site. Interested? Sign up here fo ...
Exxon Has A Differentiated Permian Position Post-Pioneer Deal: Goldman Sachs Analyst
Benzinga· 2024-12-12 17:37
Goldman Sachs analyst Neil Mehta rated Exxon Mobil Corporation XOM Neutral and a price target of $125.Yesterday, the company unveiled its Corporate Plan to 2030, targeting an additional $20 billion in earnings and $30 billion in cash flow over the next six years.The 2030 goals include increasing Pioneer acquisition synergies by 50% to over $3 billion annually, growing new business earnings to $3 billion.ExxonMobil is targeting up to $30 billion in lower-emissions investments and will allocate $27 billion – ...
ExxonMobil Unveils Earnings Growth Strategy Worth $20B Till 2030
ZACKS· 2024-12-12 16:16
Core Insights - Exxon Mobil Corporation (XOM) has launched a comprehensive Corporate Plan aimed at achieving sustainable growth and enhancing shareholder value by 2030, targeting $20 billion in incremental earnings and $30 billion in cash flow while addressing global energy challenges [1] Group 1: Operational Efficiency and Cost Savings - ExxonMobil plans to significantly enhance operational efficiency, increasing average annual synergies from its Pioneer acquisition by over 50% to exceed $3 billion [2] - The company aims to achieve an additional $7 billion in structural cost savings compared to Q3 2024 through process simplification, supply chain optimization, and advanced IT systems [2] Group 2: Upstream Production Expansion - By 2030, ExxonMobil targets an upstream production increase to 5.4 million oil-equivalent barrels per day, with over 60% from advantaged assets like the Permian Basin, Guyana, and LNG projects [3] - The Permian Basin assets are expected to double production to 2.3 million barrels per day by 2030, while Guyana's production capacity will reach 1.3 million barrels per day through eight operational developments [4] - LNG ventures are projected to exceed 40 million metric tons annually by 2030, supported by projects in the United States, Qatar, Papua New Guinea, and Mozambique [4] Group 3: Product Solutions and Market Adaptation - ExxonMobil plans to expand high-value product sales by 80% compared to 2024, contributing over 40% of its earnings potential by 2030, with $8 billion in additional earnings expected from innovative projects [5] - The company is entering the battery anode market with advanced graphite materials to enhance electric vehicle performance, reflecting a proactive approach to evolving market needs [6] Group 4: Sustainability Initiatives - ExxonMobil has committed up to $30 billion in lower-emission opportunities from 2025 to 2030, including the development of the world's largest carbon capture and storage system and a hydrogen facility in Baytown with a capacity of 1 billion cubic feet of carbon-free hydrogen [7] Group 5: Capital Allocation and Financial Projections - The company plans to allocate $140 billion to major projects through 2030, targeting over 30% returns on these investments, with a projected decline in reinvestment rate from 50% to 40% [8] - Cash flow and earnings growth are expected to generate $165 billion in surplus cash during the plan period, allowing for increased dividends and share repurchases, reinforcing the company's commitment to shareholder value [9] Group 6: Strategic Positioning - ExxonMobil's 2030 Corporate Plan emphasizes a balanced approach to profitability and sustainability, positioning the company to navigate the energy transition and address global energy and environmental challenges through disciplined execution and innovative solutions [10]
XOM Crosses Critical Technical Indicator
Forbes· 2024-12-11 17:19
In trading on Wednesday, shares of Exxon Mobil entered into oversold territory, changing hands as low as $111.42 per share. We define oversold territory using the Relative Strength Index, or RSI, which is a technical analysis indicator used to measure momentum on a scale of zero to 100. A stock is considered to be oversold if the RSI reading falls below 30.Start slideshow: 10 Oversold Energy Stocks »In the case of Exxon Mobil, the RSI reading has hit 29.5 — by comparison, the universe of energy stocks cover ...