|Bid||73.37 x 900|
|Ask||74.47 x 3000|
|Day's Range||72.86 - 73.54|
|52 Week Range||40.40 - 76.23|
|Beta (3Y Monthly)||1.57|
|PE Ratio (TTM)||77.24|
|Earnings Date||Jul 29, 2019 - Aug 2, 2019|
|Forward Dividend & Yield||1.20 (1.64%)|
|1y Target Est||71.66|
(Bloomberg) -- Billionaire Carl Icahn formally asked Occidental Petroleum Corp. investors to help him replace four of the company’s 10 directors and potentially push for a sale. The shares climbed more than 2%.Icahn and Occidental Chief Executive Officer Vicki Hollub spoke three times in the last six weeks both by phone and in person to discuss his ideas about corporate governance reforms after the company’s $38 billion deal to buy Anadarko Petroleum Corp. earlier this year, he said in a proxy filing Thursday.Buying Anadarko was a “high-risk strategy” that may not have passed muster with shareholders had they been allowed to vote, Icahn said. “The board has acted and continues to act with a complete disregard with respect to stockholder demands and good governance,” he said in the filing.Occidental “is reviewing the latest materials filed by Mr. Icahn and will respond in due course,” the company said in a statement. The stock rose 1.8% to $51.92 at 12:08 p.m. in New York after earlier rising as much as 2.1%.The proxy battle could be a vehicle for investors to express discontent with a management team that outbid Chevron Corp. for Anadarko to expand in the Permian Basin, the world’s biggest shale oil field. The high price Occidental paid and expensive funding from Warren Buffett sparked concern among some shareholders at a time when rival oil explorers are becoming more fiscally prudent.Icahn, who said in May he built a $1.6 billion stake in Occidental, wants Chairman Eugene Batchelder to step down along with board members Spencer Abraham, Margaret Foran and Avedick Poladian. The billionaire’s hand-picked replacements would be John Hofmeister, a retired Royal Dutch Shell Plc executive, former Jarden Corp. CFO Alan LeFevre, and Nicholas Graziano and Andrew Langham of Icahn Enterprises.(Adds Occidental comment in fourth paragraph.)To contact the reporter on this story: Kevin Crowley in Houston at email@example.comTo contact the editors responsible for this story: Simon Casey at firstname.lastname@example.org, Christine BuurmaFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
Icahn and his affiliates launched the proxy battle in response to Occidental's multibillion-dollar deal to acquire Anadarko.
Activist investor Carl Icahn formally launched on Thursday a proxy fight against Occidental Petroleum to win control of four board seats, a regulatory filing showed, after talks with the oil company's CEO failed to reach an agreement. Icahn, who owns 4.4% of Occidental shares, said last month he planned to launch a proxy fight to oust and replace four Occidental directors. Icahn has blasted the Houston-based oil and gas producer for failing to give owners a say on its proposed $38 billion acquisition of Anadarko Petroleum, which he has called "misguided and hugely overpriced".
Activist investor Carl Icahn on Thursday formally launched a proxy fight against Occidental Petroleum to win control of four board seats, according to a regulatory filing, after talks with the oil company's chief executive failed to reach an agreement. Icahn, who owns 4.4% of Occidental shares, last month said he planned to launch a proxy fight to oust and replace four Occidental directors. "Occidental refused to craft a compromise and so we'll happily take our case to stockholders which the company should have done with this bet-the-company transaction," Icahn told Reuters on Thursday.
Anadarko Petroleum Corp NYSE:APCView full report here! Summary * Perception of the company's creditworthiness is positive * ETFs holding this stock are seeing positive inflows * Bearish sentiment is low * Economic output in this company's sector is contracting Bearish sentimentShort interest | PositiveShort interest is extremely low for APC with fewer than 1% of shares on loan. This could indicate that investors who seek to profit from falling equity prices are not currently targeting APC. Money flowETF/Index ownership | PositiveETF activity is positive. Over the last month, ETFs holding APC are favorable, with net inflows of $8.14 billion. Additionally, the rate of inflows is increasing. Economic sentimentPMI by IHS MarkitThere is no PMI sector data available for this security. Credit worthinessCredit default swap | PositiveThe current level displays a positive indicator. APC credit default swap spreads are near the lowest level of the last three years and indicate the market's continued positive perception of the company's credit worthiness.Please send all inquiries related to the report to email@example.com.Charts and report PDFs will only be available for 30 days after publishing.This document has been produced for information purposes only and is not to be relied upon or as construed as investment advice. To the fullest extent permitted by law, IHS Markit disclaims any responsibility or liability, whether in contract, tort (including, without limitation, negligence), equity or otherwise, for any loss or damage arising from any reliance on or the use of this material in any way. Please view the full legal disclaimer and methodology information on pages 2-3 of the full report.
The latest Permian Basin play is a ‘merger of equals’ between Callon Petroleum and Carrizo Oil & Gas, the first after Chevron Corp. lost out in the battle for Anadarko Petroleum Corp.
We will hypothesize on knowledge we believe is well known and overpriced and on what isn’t well known or well believed and could be underpriced Continue reading...
ExxonMobil (NYSE:XOM) stock has so far enjoyed a good 2019. Coming off the stock market selloff of last fall, Exxon stock has risen by about 15% since the first of the year.Source: Shutterstock However, the stock has remained on a long-term downtrend since oil prices peaked more than five years ago. Although oil trades much higher than its 2016 lows, sectors such as natural gas, refining, and chemicals continue to hold ExxonMobil down.Until more of its segments see better pricing, XOM stock will struggle to rally far beyond current levels.InvestorPlace - Stock Market News, Stock Advice & Trading Tips Exxon Stock Keeps Moving SidewaysBy segments, I do not necessarily mean oil. Yes, XOM has experienced some disruption from Tropical Strom Barry in the Gulf of Mexico. The temporary shutdown in offshore drilling could have an impact on earnings and perhaps create a buying opportunity in the stock. * 10 Best Dividend Stocks to Buy for the Rest of 2019 and Beyond However, that does not necessarily mean traders will want to take advantage. Admittedly, I liked Exxon when I covered it back in early January. It then traded at around $72 per share and had begun to recover from the stock slump that hit the market just before Christmas. Since that time, it has had ups and downs but now trades at $78 per share.Still, what concerns me most about XOM stock is the fact that it never recovered from the mid-decade slump in oil prices. In the spring of 2014, the XOM stock price had topped $100 per share. Granted, at that time, oil prices had often topped $100 per barrel. Since oil prices had fallen below $30 per barrel by 2016, one can understand the subsequent drop in ExxonMobil stock.However, oil prices have recovered to about $60 per barrel today. XOM stock remains at about the same high-$70s per share range where it traded in early 2016. In that same time, its closest peer, Chevron (NYSE:CVX) has risen by more than 50%. Chevron and Exxon StockXOM stock is clearly not a terrible investment. It remains a diversified business that can earn profits and increase dividends regardless of oil prices. The company generated just over $36 billion in free cash flow in 2018. Moreover, its 4.5% dividend yield and 36-year track record of payout hikes remain a testament to its stability.Furthermore, ExxonMobil leads the world in refining and polyethylene production. It also remains the leading natural gas producer in the country. With natural gas, Chevron lags much smaller players such as Chesapeake Energy (NYSE:CHK), Anadarko Petroleum (NYSE:APC), and Devon Energy (NYSE:DVN).However, except on dividend yield and production levels, it finds itself continuously outmatched by Chevron. Moreover, according to Barron's, ExxonMobil will have to spend 75% more to increase its oil-equivalent production. It also faces weak margins in refining and chemicals in addition to low natural gas prices.Furthermore, both Exxon stock and Chevron trade at about the same price-to-earnings (PE) ratio. ExxonMobil's PE ratio stands at about 17.9 compared with 17.3. Both will see shrinking profits this year.However, analysts forecast a 21.3% decline for XOM. They predict a drop of 4.4% for Chevron. Chevron also looks poised for higher growth when earnings begin to increase for both companies. Although holders of XOM stock may earn more dividend income, Chevron stock will probably benefit more from its comparatively higher growth. Final Thoughts on Exxon StockDespite a surge in recent months, underperformance continues to define XOM stock. ExxonMobil has risen this year. However, the equity remains in a long-term downtrend.Although a storm in the Gulf may have only temporary effects on drilling, XOM investors will probably have to worry about low price levels in segments such as natural gas and refining for a longer period. Moreover, its archrival Chevron continues to grow faster and outperform ExxonMobil on most financial metrics.At current levels, XOM can offer relative stability and a generous dividend payout, but little else.As of this writing, Will Healy is long CHK stock. You can follow Will on Twitter at @HealyWriting. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Stocks to Buy for Less Than Book * 7 Marijuana Stocks With Critical Levels to Watch * The 10 Best Dividend Stocks to Buy for the Rest of 2019 and Beyond The post Despite Moving Higher, Exxon Stock Still Underperforms appeared first on InvestorPlace.
Tropical Storm Barry is expected to bring heavy rain and cause dangerous flooding across southeastern Louisiana.
NEW YORK, NY / ACCESSWIRE / July 12, 2019 / Halper Sadeh LLP, a global investor rights law firm, continues to investigate Tower International, Inc. (NYSE: TOWR), Milacron Holdings Corp. (NYSE: MCRN), and ...
InvestorPlace's Brett Kenwell recently suggested that AT&T (NYSE:T) was a good buy at $32. Although Brett views the 6% yield on T stock as very attractive, he believes investors interested in buying the company's stock can get a better entry point in the low $30s. Source: Shutterstock InvestorPlace - Stock Market News, Stock Advice & Trading TipsI'm not a fan of T stock primarily because of its debt. However, any time you can buy a stock for less, I think you should try to do so.Kenwell argues that despite having $167 billion in debt -- most of which was added to buy Time Warner -- the cash flow the content creator delivered to AT&T more than makes up for the additional leverage. And let's not forget once more that juicy 6% yield -- a dividend payment that has been increased for 35 straight years -- makes America's largest wireless carrier an income investor's dream stock. * 10 Best Dividend Stocks to Buy for the Rest of 2019 and Beyond I'm here to say that investors should never buy AT&T stock for its 6% yield. Here's why. Can You Do Better?Of the 505 S&P 500 stocks (that includes dual classes), AT&T has the 10th highest dividend yield according to Finviz.com. Currently, AT&T's debt represents 68% of its market cap.I would argue that if any of the nine S&P 500 stocks with a higher yield than T stock have less debt as a percentage of their market cap, you ought to at least consider those stocks if you are focused on income rather than capital appreciation. After looking at each of the nine stocks possessing higher dividend yields, none of the stocks are in any better shape from a debt perspective than AT&T. Occidental Petroleum (NYSE:OXY) would have been if not for its pending $57 billion acquisition of Anadarko Petroleum (NYSE:APC) adding $30 billion in debt. Its debt post-acquisition will account for more than 100% of its market cap, although it does plan to sell some non-core assets to bring down leverage. So, at least from a higher yield perspective, you can't get an S&P 500 stock that delivers a better yield without sacrificing the quality of cash flow, etc.However, if you include all stocks with a market cap of $2 billion or higher, I'm confident you could find a stock with a stronger balance sheet. According to Finviz, 195 stocks have a dividend yield of 5% or higher. I found a couple of examples that fit the bill. Example 1: BCEBeing from Canada, I just had to pick a Canadian stock. BCE (NYSE:BCE), one of Canada's largest media companies, currently yields 5.1%. At the end of March, it had $21 billion in short and long-term debt, which represents 50% of its current market cap of $41.5 billion. It is very similar to the new AT&T in that it also has a media division that owns TV and radio stations, cable networks, and Pay TV channels. It's one of Canada's most successful content creators. Although it can't hold a candle to Time Warner in terms of both the amount of content and the revenue generation, it does provide its wireless and landline businesses with excellent opportunities for cross-promotion.Is it worth giving up 90 basis points of yield for significantly less debt? If you're an income investor, I think it is. Example 2: Kohl'sThis second example, if you're a current AT&T shareholder, will probably make you laugh, but that's okay. I'm not here to evaluate the merits of which sector is a better investment. I'm merely pointing out stocks with better debt profiles that have a high dividend yield. I'm speaking about Kohl's (NYSE:KSS), the value-priced department store with more than 1,100 locations in 49 states. Sure, retail's still got a lot of weakness, but overall, I think the future remains positive despite the brick-and-mortar store closures over the past two years. As I write this, Kohl's dividend yield is 5.6%, 40 basis points less than AT&T. However, its $1.9 billion in debt is only 24% of its current market cap of $7.8 billion. Its yield is higher than usual due to a 21% decline in its stock price year to date through July 10 (a 27% drop including dividends). While Kohl's can't hold a candle to AT&T's cash flow, it generated $1.9 billion over the trailing 12 months through May 4, despite a 3.4% decline in its same-store sales in the first quarter and a 2.9% decrease in overall revenues. Despite the unusually slow start to its fiscal year, Kohl's expects earnings per share of at least $5.80 in fiscal 2019, a forward P/E of just 8.3.From where I sit, Kohl's provides an attractive dividend yield with better upside potential than AT&T. The Bottom Line on T StockAs I said in the beginning, I'm not a fan of AT&T because of its debt. However, if you own it merely for the dividend yield, you might want to reconsider your reasoning. Owning a stock for its yield alone is never a good idea. At the time of this writing Will Ashworth did not hold a position in any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Stocks to Buy for Less Than Book * 7 Marijuana Stocks With Critical Levels to Watch * The 10 Best Dividend Stocks to Buy for the Rest of 2019 and Beyond The post AT&T Is Not Worth Buying Just for Its 6% Yield appeared first on InvestorPlace.
Other named executives will also take home tens of millions of dollars after Occidental's acquisition of Anadarko closes.
Had Chevron's Anadarko deal closed, the acquired North American assets would have come under Green’s care. But even without them, he’s still the head of a massive portfolio of upstream oil and gas assets.
Anadarko Petroleum Corp shareholders will vote Aug. 8 on the oil and gas producer's planned $38 billion sale to Occidental Petroleum Corp - the biggest oil and gas deal of the year. Occidental avoided its own shareholder vote on the deal by securing a controversial $10 billion financing agreement with Warren Buffett's Berkshire Hathaway, which allowed it to raise the cash portion of its offer. While an Anadarko holders' vote for the proposed deal is very likely, the price has angered several Occidental investors, including billionaire activist Carl Icahn, who has called for a special meeting to replace four Occidental directors.
The federal government's EIA report revealed that crude inventories plunged by 9.5 million barrels for the week ending Jul 5, more than 4.5 times what energy analysts had expected.
Energy stocks traded broadly higher Wednesday, on the back of a surge in oil prices after upbeat government supply data and amid concerns over a storm brewing in the Gulf of Mexico. The SPDR Energy Select Sector ETF climbed 1.1%, and was the biggest gainer among the ETFs tracking the 11 S&P 500 sectors, as 28 of the energy ETF's (XLE) 29 equity components gained ground. The biggest gainer was Noble Energy Inc.'s stock , which rose 3.5%. Among other more active components, shares of Halliburton Co. edged up 0.3%, Kinder Morgan Inc. gained 0.3%, Apache Corp. advanced 1.5% and Exxon Mobil Corp. hiked up 1.3%. The lone decliner was Anadarko Petroleum Corp.'s stock , which slipped 0.1%. Elsewhere, Chesapeake Energy Corp.'s stock surged 3.0%. Meanwhile, crude oil futures ran up 4.1% toward a 5th-straight gain, and a 7-week high. The XLE has now lost 4.9% over the past three months, while crude oil futures have declined 6.9% and the S&P 500 has gained 3.8%.
Oil is settling in for a weekly gain. This comes on new data from the U.S. Interior Department, which is reporting that oil production from the Gulf of Mexico has been cut by 59% due to tropical storm Barry. Yahoo Finance's Seana Smith is joined by Mark Sebastian, founder of Option Pit, to discuss.