By examining key indicators for Exxon Mobil and BP PLC, you can assess how market fluctuations impact their stock prices and explore potential risk diversification by including both in your portfolio. A pair trading strategy might involve taking a long position in BP PLC while shorting Exxon. For more details, check out our [pair correlation module]( '/invest/pair-correlation/XOM/BP/Exxon-vs-BP-PLC').
Now, let's delve into asset analysis. The asset utilization ratio measures how much revenue a company generates per dollar of assets. Exxon Mobil's ratio stands at 88.94%, indicating it earns $0.89 for every dollar of assets. A rising asset utilization ratio suggests Exxon is becoming more efficient in using its assets for daily operations.
Main Takeaways
Exxon Mobil Corp's stock, currently priced around
109.4, has shown a modest price percent change of 0.83, suggesting a stable yet cautious growth trajectory. With a robust market capitalization of
481.6B and a dividend yield of 3.64%, Exxon Mobil offers a solid income stream, making it an attractive option for investors seeking both stability and potential growth.
Will Exxon (USA Stocks:XOM) shadow BP PLC price gain?
Out of tens of thousands of stocks, funds, and ETFs that trade on global exchanges each represent an individual company which you can analyze using comparative analysis. To determine which one of the two entities, such as Exxon or Shell is a better fit for your portfolio, analyzing a few basic fundamental indicators is a good first step.
understanding Exxon dividends
A dividend is the distribution of a portion of Exxon earnings, decided and managed by the company's board of directors and paid to a class of its shareholders. Note, announcements of dividend payouts are generally accompanied by a proportional increase or decrease in a company's stock price. Exxon dividend payments follow a chronological order of events, and the associated dates are important to determine the shareholders who qualify for receiving the dividend payment. Exxon one year expected dividend income is about USD2.51 per share.
As of the 5th of March 2025,
Dividend Payout Ratio is likely to grow to 0.55, while
Dividends Paid is likely to drop about 9.5
B.
Investing in dividend-paying stocks, such as Exxon Mobil Corp is one of the few strategies that are good for long-term investment. Ex-dividend dates are significant because investors in Exxon must own a stock before its ex-dividend date to receive its next dividend.
This type of analysis is very useful when you want to generate a past dividend schedule and payout information for Exxon. Then that information in the form of graph and calendar can be used to fully explain how Du Pont dividends can provide a real clue to its valuation.
How important is Exxon's Liquidity
Exxon
financial leverage refers to using borrowed capital as a funding source to finance Exxon Mobil Corp ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. Exxon financial leverage is typically calculated by taking the company's all interest-bearing debt and dividing it by total capital. So the higher the debt-to-capital ratio (i.e., financial leverage), the riskier the company. Financial leverage can amplify the potential profits to Exxon's owners, but it also increases the potential losses and risk of financial distress, including bankruptcy, if the firm cannot cover its debt costs. The degree of Exxon's financial leverage can be measured in several ways, including by ratios such as the debt-to-equity ratio (total debt / total equity), equity multiplier (total assets / total equity), or the debt ratio (total debt / total assets). Please check the
breakdown between Exxon's total debt and its cash.
Correlation Between Exxon and Shell PLC ADR
In general, Stock analysis is a method for investors and traders to make individual buying and selling decisions. Stock correlation analysis is also essential because it can help investors realize that they may not be as diversified as they think. Risk management strategies are usually required to make sure all portfolios are properly aligned against their risk tolerance level. You can consider holding Exxon together with similar or unrelated positions with a negative correlation. For example, you can also add Shell PLC to your portfolio. If Shell PLC is not perfectly correlated to Exxon it will diversify some of the market risks out of the positively correlated stocks in your portfolio. However, the disadvantage of this sort of hedging is that it can potentially affect your investment returns throughout market cycles. When Exxon, for example, performs excellent and delivers stable returns, the negatively correlated position you locked in as a hedge may drag your returns down.
Are you currently holding both Exxon and Shell PLC in your portfolio? Please note if you are using this as a pair-trade strategy between Exxon and Shell PLC, watch out for correlation discrepancy over time. Relying on the historical price correlations and assuming that it will not change may lead to short-term losses. Please check
pair correlation details between XOM and SHEL for more information.
A Deeper look at Exxon
Revenue is income that a firm generates from business activities such us rendering services or selling goods to customers. It is a crucial part of a business and an essential item when evaluating a company's financial statements. Revenues from a firm's primary business operations can be reported on the income statement as sales revenue, net sales, or simply sales, depending on the industry in which a given company operates.
Revenue is typically recorded when cash or cash equivalents are exchanged for services or goods and can include products or services discounts, promotions, as well as early payments on invoices or services rendered in advance.
Revenue Breakdown
Let me take a closer look at Exxon revenue. Based on the latest financial disclosure, Exxon Mobil Corp reported 334.7
B of revenue.
This is much higher than that of the Oil, Gas & Consumable Fuels sector and 148.73% higher than that of the
Energy industry. The revenue for all United States stocks is significantly lower than that of Exxon Mobil Corp. As for BP PLC we see revenue of 208.35
B, which is 54.84% higher than that of the Energy
| Exxon | 334.7 Billion |
| Sector | 9.43 Billion |
| BP PLC | 208.35 Billion |
Buy low, sell high is a time-tested mantra, and investors are keen to see if Exxon Mobil Corp (XOM) can replicate BP PLC's recent stock price surge. Exxon Mobil's robust financials, including a net income of 36.01 billion dollars and a strong cash flow of 31.6 billion dollars, provide a solid foundation for potential growth. However, with a quarterly revenue growth showing a slight loss of 1%, the company faces challenges in maintaining momentum. While the current price-to-earnings ratio of 13.65X suggests the stock is reasonably valued, the market's cautious sentiment is reflected in its beta of 0.88, indicating lower volatility compared to the broader market. Investors will be watching closely to see if Exxon Mobil can leverage its strengths to mirror BP's impressive performance..
Exxon may start a relapse in March
Exxon Mobil Corp's stock has recently shown increased volatility, with mean deviation swings over 0.82. While this might suggest positive momentum, such fluctuations often hint at a potential correction. Investors should be cautious, as these patterns can indicate the stock is overextended and might face a pullback. As March approaches, it's wise to monitor Exxon's performance closely, as current volatility could signal a downturn, presenting a strategic opportunity for portfolio adjustments. Despite recent volatility, Exxon typically exhibits low volatility, with a skewness of 0.28 and kurtosis of 0.71.
Understanding these trends helps investors time their market moves. In bear markets, heightened volatility can impact Exxon's stock price, prompting investors to rebalance their portfolios as prices drop.Considering the current dynamics surrounding Exxon Mobil Corp, it's clear that the stock presents a compelling opportunity for investors. With an analyst overall consensus rating of "Buy" and a strong backing of eight analysts recommending a "Strong Buy," the sentiment leans positively. The potential upside is further underscored by the analyst highest estimated target price of
144.02, suggesting room for growth beyond its current valuation. While market fluctuations are inevitable, the robust fundamentals and strategic positioning of Exxon Mobil make it a stock worth considering for those looking to capitalize on its potential. As always, it's crucial to weigh these insights against your personal investment strategy and risk tolerance..
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Raphi Shpitalnik is a Junior Member of Macroaxis Editorial Board. Raphael is a young entrepreneur who joined Macroaxis on a part-time basis at the beginning of the pandemic and eventually acquired a real taste for investing and fintech. He likes to analyze different equity instruments across a wide range of industries, focusing primarily on consumer products, sports, fintech, cannabis, and AI.
View Profile This story should be regarded as informational only and should not be considered a solicitation to sell or buy any financial products. Macroaxis does not express any opinion as to the present or future value of any investments referred to in this post. This post may not be reproduced without the consent of Macroaxis LLC. Macroaxis LLC and Raphi Shpitalnik do not own shares of Exxon Mobil Corp. Please refer to our
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