Exxon Price To Book vs. Current Valuation
| XOM Stock | MXN 2,405 24.00 0.99% |
For Exxon profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Exxon to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Exxon Mobil utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Exxon's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Exxon Mobil over time as well as its relative position and ranking within its peers.
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Exxon Mobil Current Valuation vs. Price To Book Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Exxon's current stock value. Our valuation model uses many indicators to compare Exxon value to that of its competitors to determine the firm's financial worth. Exxon Mobil is rated first in price to book category among its peers. It is rated first in current valuation category among its peers reporting about 3,789,391,011,913 of Current Valuation per Price To Book. Comparative valuation analysis is a catch-all model that can be used if you cannot value Exxon by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Exxon's Stock. Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued.Exxon Current Valuation vs. Price To Book
Price to Book (P/B) ratio is used to relate a company book value to its current market price. A high P/B ratio indicates that investors expect executives to generate more returns on their investments from a given set of assets. Book value is the accounting value of assets minus liabilities.
Exxon |
| = | 2.27 X |
Price to Book ratio is mostly used in financial services industries where assets and liabilities are typically represented by dollars. Although low Price to Book ratio generally implies that the firm is undervalued, it is often a good indicator that the company may be in financial or managerial distress and should be investigated more carefully.
Enterprise Value is a firm valuation proxy that approximates the current market value of a company. It is typically used to determine the takeover or merger price of a firm. Unlike Market Cap, this measure takes into account the entire liquid asset, outstanding debt, and exotic equity instruments that the company has on its balance sheet. When a takeover occurs, the parent company will have to assume the target company's liabilities but will take possession of all cash and cash equivalents.
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| = | 8.59 T |
Enterprise Value can be a useful tool to compare companies with different capital structures. Long term liability and current cash or cash equivalents can have a huge impact on market valuation of a given company.
Exxon Current Valuation vs Competition
Exxon Mobil is rated first in current valuation category among its peers. After adjusting for long-term liabilities, total market size of Oil & Gas Integrated industry is at this time estimated at about 19.18 Trillion. Exxon totals roughly 8.59 Trillion in current valuation claiming about 45% of all equities under Oil & Gas Integrated industry.
Exxon Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Exxon, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Exxon will eventually generate negative long term returns. The profitability progress is the general direction of Exxon's change in net profit over the period of time. It can combine multiple indicators of Exxon, where stable trends show no significant progress. An accelerating trend is seen as positive, while a decreasing one is unfavorable. A rising trend means that profits are rising, and operational efficiency may be rising as well. A decreasing trend is a sign of poor performance and may indicate upcoming losses.
Exxon Mobil Corporation explores for and produces crude oil and natural gas in the United States and internationally. The company was founded in 1870 and is headquartered in Irving, Texas. Exxon operates under Oil Gas Integrated classification in Mexico and is traded on Mexico Stock Exchange. It employs 63000 people.
Exxon Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Exxon. Investors often realize that things won't turn out the way they predict. There are maybe way too many unforeseen events and contingencies during the holding period of Exxon position where the market behavior may be hard to predict, tax policy changes, gold or oil price hikes, calamities change, and many others. The question is, are you prepared for these unexpected events? Although some of these situations are obviously beyond your control, you can still follow the important profit indicators to know where you should focus on when things like this occur. Below are some of the Exxon's important profitability drivers and their relationship over time.
Use Exxon in pair-trading
One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Exxon position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Exxon will appreciate offsetting losses from the drop in the long position's value.Exxon Pair Trading
Exxon Mobil Pair Trading Analysis
The ability to find closely correlated positions to Exxon could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Exxon when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Exxon - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Exxon Mobil to buy it.
The correlation of Exxon is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Exxon moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Exxon Mobil moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Exxon can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.Use Investing Themes to Complement your Exxon position
In addition to having Exxon in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.Did You Try This Idea?
Run Buywrite ETFs Thematic Idea Now
Buywrite ETFs
ETF themes focus on helping investors to gain exposure to a broad range of assets, diversify, and lower overall costs. The Buywrite ETFs theme has 25 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Buywrite ETFs Theme or any other thematic opportunities.
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Additional Tools for Exxon Stock Analysis
When running Exxon's price analysis, check to measure Exxon's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Exxon is operating at the current time. Most of Exxon's value examination focuses on studying past and present price action to predict the probability of Exxon's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Exxon's price. Additionally, you may evaluate how the addition of Exxon to your portfolios can decrease your overall portfolio volatility.