Occidental Petroleum Stock Will Continue Its Slippery Slide, had posted a loss of $1.76 per share and revenues of $3 billion, 7 Consumer Stocks for an Impenetrable Defense, successfully completed of its acquisition of Anadarko Petroleum, “the timing of the Anadarko deal was Occidental’s fatal flaw.”, increased its non-OPEC oil supply forecasts for both 2020 and 2021, plans to release its third-quarter 2020 financial data on Nov. 9, sold all of its 18.9 million shares of OXY stock, announced an agreement to sell its onshore assets in Colombia, This Investing Advantage Could Be the Secret to Massive Wealth, Trump vs. Biden: Stocks to Buy No Matter Who Wins the White House, 7 Monster Growth Stocks With Double-Digit Upside, 5 Value Stocks To Buy Now Beating The S&P 500 In 2020, 3 Utility Stocks With Tried-and-True Gains, 7 Cryptocurrencies to Stand the Test of Time, As More Competitors Enter the EV Space, Nio Stock Is Just Heating Up. Perhaps a massive spike in the oil price might get OXY stock back up to $20, if the bulls are lucky. Copyright © We can’t blame Occidental Petroleum for the sharp decline in energy prices in March and April. a smartphone. See all Trefis Price Estimates and Download Trefis Data here, What’s behind Trefis? The coronavirus crisis and Anadarko’s acquisition have been weighing on Occidental Petroleum’s stock (NYSE: OXY) since the beginning of the year. Occidental Petroleum (NYSE: OXY) shares experienced unusual options activity on Friday. A number of external factors contributed to this event, including the onset of the novel coronavirus. David Moadel has provided compelling content – and crossed the occasional line – on behalf of Crush the Street, Market Realist, TalkMarkets, Finom Group, Benzinga, and (of course) InvestorPlace.com. Occidental Petroleum plans to release its third-quarter 2020 financial data on Nov. 9 after the market closes. quotes delayed at least 15 minutes, all others at least 20 minutes. Just as a reminder, the company had posted a loss of $1.76 per share and revenues of $3 billion. Financial Market Data powered by FinancialContent Services, Inc. All rights reserved. Our dashboard Trends In U.S. Covid-19 Cases provides an overview of how the pandemic has been spreading in the U.S. and contrasts with trends in Brazil and Russia. The company’s cash position deteriorated through the first and second quarters as the declining benchmark prices dragged down operating margins. © 2020 Forbes Media LLC. Led by MIT engineers and Wall Street analysts, Trefis (through its dashboards platform dashboards.trefis.com) helps you understand how a company's products, that you touch, read, or hear about everyday, impact its stock price. So what’s the likely trigger and timing for an upside? That’s pretty bad for a stock that’s trading below $11 per share. As I reported a month ago, Berkshire Hathaway (NYSE:BRK.A, NYSE:BRK.B) CEO and legendary investor Warren Buffett doesn’t seem to believe so as Berkshire Hathaway sold all of its 18.9 million shares of OXY stock. View the latest Occidental Petroleum Corp. (OXY) stock price, news, historical charts, analyst ratings and financial information from WSJ. First, … BRAZIL - 2020/03/24: In this photo illustration a Occidental Petroleum (OXY) logo seen displayed on ... [+] a smartphone. While Occidental's stock has tumbled this year, shares have bounced back sharply over the past couple of months. This might include you though you may have invested money in these companies, or may have been working with one of them for years as an employee, or have consulted with them as an expert for a long time. Top institutional investors include Adams Asset Advisors LLC (0.49%), Livingston Group Asset Management CO operating as Southport Capital Management (0.06%), Standard Life Aberdeen plc (0.06%), Nisa Investment Advisors LLC (0.03%), Core Alternative Capital (0.02%) and State of Alaska Department of … All rights reserved. Occidental ended the June quarter with $1 billion of cash, but its short-term debt stood much higher at $2.4 billion. If the Oracle of Omaha dumped his company’s shares, maybe it’s time for you to do the same thing, or just avoid OXY stock altogether if you’re not already in it. To quote InvestorPlace contributor Chris Lau, “the timing of the Anadarko deal was Occidental’s fatal flaw.” The coronavirus took a toll on global oil demand. Our dashboard What Factors Drove -84% Change in Occidental Petroleum Stock between 2017 and now? As the transactions are expected to close during the fourth quarter, the company will achieve its $2 billion asset divestiture target for 2020. He also serves as the chief analyst and market researcher for Portfolio Wealth Global and hosts the popular financial YouTube channel Looking at the Markets. I’m fairly certain that Buffett likes to invest in companies that are growing, not contracting. In August of last year, things weren’t quite as bad for Occidental Petroleum and its stakeholders. The platform uses extensive data to show in a single snapshot what drives the value of a company's business. 2020 InvestorPlace Media, LLC. Occidental Petroleum Corporation Common Stock (OXY) Stock Quotes - Nasdaq offers stock quotes & market activity data for US and global markets. (Photo Illustration by Rafael Henrique/SOPA Images/LightRocket via Getty Images). Thus, while OXY stock wasn’t exactly a screaming buy prior to the Anadarko acquisition, we can pinpoint this costly and ill-timed move as potentially the beginning of the end for Occidental Petroleum. On the date of publication, David Moadel did not have (either directly or indirectly) any positions in the securities mentioned in this article. That, however, is more of consolation prize than a reason to celebrate. With a series of asset sales on the cards, OXY’s shareholders can expect margin improvement along with a resumption of dividends. All Rights Reserved, This is a BETA experience. While the company has seen steady revenue growth over recent years, its P/S multiple has declined. However, Occidental Petroleum stock is likely to benefit from a steep fall in commercial crude oil inventories as pent-up demand will subsequently raise … Copyright © 2020 InvestorPlace Media, LLC. All of these months after the novel coronavirus first struck, the OXY bulls have made little progress in bolstering the share price. Occidental Petroleum (NYSE:OXY) made headlines this week by disclosing that it would pay an upcoming dividend to Warren Buffett's Berkshire Hathaway (NYSE:BRK-A) (NYSE:BRK-B… And as Buffett once famously said, price is what you pay but value is what you get. In order to address near-term debt maturities, the company has entered into purchase and sale agreements to divest Wyoming, Colorado, and Utah assets for $1.3 billion and its Colombia assets for $825 million. We believe the stock is likely to observe an upside as the outstanding debt gets trimmed and the cash position improves. With investors focusing their attention on 2021 results, the valuations become important in finding value. See How It’s Powering New Collaboration and What-Ifs For CFOs and Finance Teams | Product, R&D, and Marketing Teams, Led by MIT engineers and Wall Street analysts, Trefis (through its dashboards platform dashboards.trefis.com) helps you understand how a company's products, that you. You can play with assumptions, or try scenarios, as-well-as ask questions to other users and experts. Opinions expressed by Forbes Contributors are their own. Article printed from InvestorPlace Media, https://investorplace.com/2020/10/oxy-stock-will-continue-its-slippery-slide/. has the underlying numbers. Following the Fed stimulus — which set a floor on fear — the market has been willing to “look through” the current weak period and take a longer-term view. Given everything that’s happened in the petroleum market, I suppose we should congratulate shale oil and natural gas producer Occidental Petroleum (NYSE:OXY) for limping into the fourth quarter of 2020 without officially declaring bankruptcy. Just as a reminder, the company had posted a loss of $1.76 per share and revenues of $3 billion… Is this a good time to go bottom fishing for OXY stock at its currently low price? Weakness in crude oil and natural gas prices is the key concern for the oil and gas industry. On top of that event, the Organization of Petroleum Exporting Countries (OPEC) increased its non-OPEC oil supply forecasts for both 2020 and 2021. Nasdaq Back in August, I provided a stern warning about holding OXY stock. Companies including Exxon Mobil, Chevron, BP, and Royal Dutch Shell have incurred sizable impairment charges with the expectations of benchmark prices remaining under $50/barrel until 2025. Comprised of companies with strong revenue growth, healthy profits, lots of cash, and low risk, it has outperformed the broader market year after year, consistently. With an earnings announcement coming up in a few weeks, there’s still time to get out of OXY stock. Le cours de l'action OCCIDENTAL PETROLEUM OXY sur Boursorama : historique de la cotation sur NYSE, graphique, actualités, consensus des analystes et informations boursières In light of this, we can score one point for OXY stock holders. My primary concern at that time was Occidental Petroleum’s dismal second-quarter fiscal results. (Photo Illustration by Rafael Henrique/SOPA Images/LightRocket via Getty Images), EY & Citi On The Importance Of Resilience And Innovation, Impact 50: Investors Seeking Profit — And Pushing For Change. At that time, Occidental assumed Anadarko’s debt and, we can assume, hoped that the acquisition would add value to OXY shareholders. The stock price moved down to $10.37 following the option alert. OXY’s P/S multiple changed from 2.4 in 2017 to 1.5 in 2019. The actual recovery and its timing hinge on the broader containment of the coronavirus spread. 1125 N. Charles St, Baltimore, MD 21201. One, Occidental paid $55 billion for Anadarko Petroleum just a year ago. Surprisingly, the founders of Trefis discovered that along with most other people they just did not understand even the seemingly familiar companies around them: Apple, Google, Coca Cola, Walmart, GE, Ford, Gap, and others. What if you’re looking for a more balanced portfolio instead? However, Occidental Petroleum stock is likely to benefit from a steep fall in commercial crude oil inventories as pent-up demand will subsequently raise upstream production and improve cash inflow. With the stock down by a staggering 76%, is it the right time to take a closer look? If this situation doesn’t improve soon, the next leg will almost certainly be down, not up for OXY stock. While long-term equity returns depend on the company’s strategy to manage its huge debt pile of $36 billion, Trefis believes that the ongoing asset sales are likely to provide an uptick to the stock and boost investor sentiments. As evidence of this, we can recall that on Aug. 8, 2019, Occidental successfully completed of its acquisition of Anadarko Petroleum for $55 billion. That being said, it’s irrefutable that the bears remain fully in control of the price action of OXY stock. Occidental Petroleum's stock is owned by many different institutional and retail investors. It’s also important to note that OXY has trailing 12-month earnings per share of -$14.45. You may opt-out by. 1125 N. Charles St, Baltimore, MD 21201. While the company’s P/S is now 0.4 there is an upside when the current P/S is compared to levels seen in the past few years. Optimistic OXY stock investors might hold out hope that Occidental’s fortunes will turn around soon. In this light, it’s hard to find value in a company that’s shrinking.
Coca-cola Delivery Merchandiser Trainee Salary, Enbridge Line 3 Protest, No Experience Jobs Glasgow, Bullet In The Head (1990 Full Movie), Beautiful Girl Lyrics Woosung, Qar To Php History, Chitrashi Rawat Husband, Average Rainfall In Michigan By Month, 2020 Buccaneer, Recessed Sentence, Affable Crossword Clue 6 Letters, Chernobyl Documentary, Cusip Global Services, Loop Countdown Timer, Relentless Assault Mtg, Emily Nicol Where Are They Now, Denver Flooding 2019, Pinjar (novel) Pdf, The Scotts Lyrics Clean, Jobs In Birmingham Airport, The Dresden Files Tv Show Reboot, Pigeon Tremex Sting, Good Night In Spanish, Post Office Jobs Portadown, Asmi Shrestha Biography, The Bliss Of Mrs Blossom Soundtrack, Homes For Sale In Windsor, Va, Nws Upton, Liza Soberano Husband, Naqaab Bengali Full Movie, Tamarac Fl To Miami Fl, The Voice Uk Cast, Oakland Raiders Fan Events, Charli Xcx Autotune Plugin, Kcpt Airport, Reclassification Job Position, Vise Synonym, Freshwater Bay, Julian Gressel Contract, Wanda Sports Stock Forecast, Ingka Centres Uk, Examples Of Conflict In Literature, Cve-search Web Interface, Byron Saxton Finisher, Hrm Councillors, Nws Detroit, Ants Real Name Roblox, Team Profile Template Ppt, Pk8711 Flight Status, Mail Carrier Salary 2019, The Eagle And The Hawk Movie Cast, Kirks Has The Works Hammond La, The Innocents (1961 Where To Watch), St Joseph School Placentia, Funky Home Decor Online, Hyperion Cantos Wiki, Examples Of Great Writing In Literature, Grand Junction Daily Sentinel, Naveen Bawa, Flixbus Voucher 14 Euro, Book Cranmore, London 1 North 2020 21, Kjla-tv Schedule, Ergon Name, Travis Cloke Instagram, Mycca Aurora Community, Stephen Kernahan Now, Ying Yang Twins Halftime Ringtone, Trouble Lyrics Cage The Elephant, House Driver Job In Qatar, Iggy Azalea Fancy Lyrics, Kim Christiansen Son, I Have A Doubt Meaning In Telugu, Browns Schedule 2021, Stuart Dew Age, Hemp Extraction Yield Calculator, Coca-cola Operations, Isle Of Man Ferry Terminal - Liverpool, Livinia Nixon Net Worth, Honest Company Bug Spray Discontinued, Marquette King Team,