|Bid||0.00 x 0|
|Ask||0.00 x 0|
|Day's Range||48.31 - 48.79|
|52 Week Range||44.78 - 56.82|
|Beta (3Y Monthly)||0.97|
|PE Ratio (TTM)||11.04|
|Earnings Date||Jul 25, 2019|
|Forward Dividend & Yield||2.64 (5.48%)|
|1y Target Est||68.27|
(Bloomberg) -- If you’re offered the job of running one of the world’s largest companies, you don’t usually have just an hour to decide if you want it. But that was the challenge Patrick Pouyanne faced when the chief executive officer of oil giant Total SA died suddenly in a plane crash almost five years ago.The jarring transition, amplified by sharp contrasts between the personal and professional styles of the two men, set the tone for Pouyanne’s leadership of the French company. It’s been marked by bold deal-making in the face of external turmoil, but also criticisms about a hard-charging style that’s ruffled some feathers.The 56-year-old engineer couldn’t have become CEO in more challenging circumstances. His predecessor Christophe de Margerie -- known for his easy charm and a well-groomed mustache -- had been enjoying three years of crude above $100 a barrel. Within months of taking over, Pouyanne was confronted with a global oil slump that eventually took prices below $30.“It’s hard to completely realize what it means to go from the top five of the company to becoming the boss,” Pouyanne told Bloomberg News in an interview in his office on the 44th floor of the company’s headquarters near Paris. In the worst industry downturn in a generation, Total’s 100,000 employees were suddenly his responsibility. “The way people look at you changes deeply, both within and outside the company.”Pouyanne rose to the challenge. Since the start of 2015, his first full year as CEO, Total’s oil and gas output has jumped 30% following a string of acquisitions. The company’s total return to shareholders over the period was 45%, outshining European rivals Royal Dutch Shell Plc and Eni SpA, though short of BP Plc’s 49% return, according to data compiled by Bloomberg.“He’s proven to be a very strong leader,” said Jason Gammel, an analyst at Jefferies LLC. “After a great tragedy, he’s been able hit the ground running and really made the impression on the company.”For all that success, Pouyanne’s management style has left a less favorable impression on some people.In the past year, he mocked a French junior environment minister who had called Total’s major gas discovery in South African waters bad news for the environment. He labeled a proposal for France to fully switch to renewable gas by 2050 as “not very serious,” in front of Engie SA CEO Isabelle Kocher -- the plan’s main proponent. He sparred on Twitter with the boss of Electricite de France SA about the future of energy.Unlike most Western executives, he refused to boycott a business conference in Saudi Arabia in the wake of the murder of journalist Jamal Khashoggi, saying he’d rather continue to work openly with long-standing partner Aramco than do business behind the scenes.‘Eruptive Temper’“A lot of people fear him” and working with Pouyanne can be stressful, said Thierry Defresne, the representative of the CGT union in Total’s refining division.He recalled the CEO -- who has an imposing physical presence -- storming out of a workers’ committee meeting because he didn’t want to sit through hours of presentations that had already been given as printouts.“His eruptive temper is just the tip of the iceberg,” Philippe Sauquet, Total’s head of gas, renewables and power, said in an interview. “What’s important is the rest, his deep thinking and his absolute commitment to the company. People who know him get over it.”Pouyanne himself attributes this reputation more to his job title than his own nature. “Regardless of your personality -– Christophe probably had a different one –- people who enter a CEO’s office are always bit nervous,” he said. “You just have to be aware of it, and make sure that people speak their mind.”The other criticism of Pouyanne is a tendency to micro manage. During the downturn, he deprived site directors of their ability to make their own hiring decisions, said Defresne. After a series of accidents, the CEO personally decided that everyone working at any height above 1.5 meters (5 feet) should wear a safety harness, he said.“He’s struggling to trust people to implement his decisions,” Defresne said.The Deal-MakerPouyanne is a “strategist and a perfectionist” who wants to be involved in everything that matters for the company, said Sauquet. It’s a management style that, despite the criticism, has some notable successes.After securing a new 40-year oil concession agreement in Abu Dhabi three months into his tenure, the CEO followed with the $7.5 billion acquisition of Maersk Oil in 2017, making Total the second biggest operator in the North Sea. A few months later, he made a bold move into Libya, spending $450 million to acquire Marathon Oil Corp.’s assets in the war torn country.Most recently, he jumped into the middle of the takeover battle for Anadarko Petroleum Corp., agreeing to buy the explorer’s African assets for $8.8 billion from Occidental Petroleum Corp., which had just prevailed over Chevron Corp. in a bidding war. Through all this activity, the Total CEO has kept an unusually tight rein over his deals, mostly relying on in-house experts to assess potential targets and sometimes making the first approach himself.“You have to be quick and to be discrete,” said Pouyanne. He already knew Anadarko’s assets fit well with Total’s portfolio, so he put together a team of about 10 people including Total’s Chief Financial Officer Patrick de La Chevardiere and the Head of Legal Affairs Aurelien Hamelle to handle the deal.“Several bankers had approached Vicki Hollub for other companies,” but Pouyanne said he contacted the Occidental CEO directly. “The fact that I personally wrote the email, she took that as a commitment.”Acquisitions haven’t just focused on oil. In 2016, he surprised investors by spending almost 1 billion euros ($1.1 billion) to buy Saft Groupe SA, a French battery maker. He further diversified into power in 2018 with the 2-billion euro acquisition of Direct Energie SA, France’s third-largest utility. That’s another deal where Pouyanne made the first approach directly, said Jacques Veyrat, a French entrepreneur who sold his 33% stake in the utility to Total.Pouyanne is a good deal-maker because he “thinks quicker than most people,” and is “a lot more straightforward than other French bosses,” said Anne-Marie Idrac, a former trade minister who’s been on Total’s board since 2012.Career ChangePouyanne and his wife, also an engineer by training, have four grown-up kids with a scientific education. The executive, who likes tennis and skiing, says he spends his time “trying to understand” what competitors are doing, and adds that remaining “agile” is key for the company.His penchant for moving fast and making bold decisions shows in his early career choices. He started in government, holding various administrative positions through the 1990s in departments including the Ministry of Industry and the office of the prime minister. In 1997, he joined Elf Aquitaine -- an oil company soon to be acquired by Total -- because in the private sector “you can take actions, you are judged on results.”He was posted first to Angola, then Qatar. Climbing the corporate ladder has taken him all over the world -- he was president of global refining and chemicals before becoming CEO -- visiting 130 or 140 nations so far. He plans to spend some time in Rwanda this summer to “see gorillas,” and has the ambition of visiting every country on the planet.“I take advantage of my holidays to discover the world, which allows me to step back from the frenzy that we live in,” he says, having recently traveled to Botswana, following the announcement of the Anadarko deal.Allies and critics alike say Pouyanne’s leadership style has evolved. He’s learned to listen more and “doesn’t mind if people open their mouth” and challenge him, said Defresne. He tests his ideas -- sometimes through texts in the middle of the night -- and can change his mind to improve a business plan or a deal, Sauquet said.“Of course I changed since I became CEO, everybody evolves with time,” Pouyanne said. “The future isn’t simple, we have plenty of challenges like climate change or geopolitical instability, but we also have the ability to be resilient, to innovate and be creative.”(Updates with personal details on Pouyanne in 23rd and 26th paragraphs.)To contact the reporter on this story: Francois de Beaupuy in Paris at firstname.lastname@example.orgTo contact the editors responsible for this story: James Herron at email@example.com, Christopher SellFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
President Vladimir Putin handed Russian citizenship to gas producer Novatek's veteran finance chief Mark Gyetvay on Monday, a move that could potentially help the U.S. national bypass some sanctions restrictions. U.S. sanctions imposed on Russia in 2014 ban U.S. nationals and companies from helping organise long-term funding for some major Russian firms, including Novatek. When the U.S. and the EU imposed sanctions on Russia, executives with foreign passports at companies affected including Novatek - the country's largest non-state natural gas producer - and state bank VTB handed over responsibility for organising new debt or equity issuance to colleagues without EU or U.S. passports.
As oil prices get volatile, it's imperative to know integrated energy stocks' outlook. Analysts’ mean price targets for Chevron (CVX), Royal Dutch Shell (RDS.A), ExxonMobil (XOM), BP (BP), Total (TOT), and Suncor Energy (SU) suggest that SU has the highest upside potential of 36%. TOT and RDS.A follow with 32% and 29% upside potential. This […]
A Wall Street downgrade sent the LNG exporter's stock down today, but there's a bigger picture to consider.
Total SA (TOT) is scheduled to announce its second-quarter results on July 25. Analysts expect the company to post 2% lower earnings YoY in the second quarter.
Carbon prices have soared to a record high as polluters and speculative investors scramble for credits amid an environmental crackdown from the EU. The price of one carbon credit allocated under the EU’s Emissions Trading Scheme — a 14-year-old project to cut greenhouse gas emissions across the region — has risen almost one-fifth this year and hit a record €29.27 this week, double the level of January last year. Prices have been pushed up by structural reforms to the market, whereby the European Commission has been incrementally reducing the volume of credits on offer at near-daily auctions, said Mark Lewis, head of sustainability research at BNP Paribas Asset Management in Paris.
The UK management consulting sector expanded at its second fastest rate in a decade last year, as companies and government departments sought help with their Brexit planning. Total fees across the UK consulting industry rose 7 per cent to £10.6bn in 2018, according to the Management Consultancies Association (MCA) annual report. UK consulting also received a boost from helping clients with the move to digital services — work that accounted for 28 per cent of the market.
U.S. liquefied natural gas (LNG) developer Tellurian Inc said on Wednesday that units of French oil major Total SA have agreed to buy LNG from the U.S. company's proposed $30 billion Driftwood export project in Louisiana. Total will buy one million tonnes per annum (mtpa) of LNG from Driftwood and invest $500 million in Driftwood Holdings LP, it said in a statement. Total will also buy an additional 1.5 mtpa of LNG from Tellurian's offtake volumes from Driftwood.
BP (BP) plans to post its second-quarter earnings results on July 30. Let's see how its performance is expected to turn out.
TOTAL S.A. (EPA:FP) is a company with exceptional fundamental characteristics. Upon building up an investment case for...
Papua New Guinea's new treasurer on Wednesday put Total SA, Exxon Mobil Corp , Newcrest Mining and their partners on notice that the country wants to extract more benefits from their gas and mining projects. Treasurer Sam Basil said the country also needs better forecasts from Exxon and Total on the expected income flow from a $13 billion plan to double the country's liquefied natural gas (LNG) exports. Basil was appointed earlier this month by Prime Minister James Marape, who led a revolt against former prime minister Peter O'Neill in May.
How do we determine whether TOTAL S.A. (NYSE:TOT) makes for a good investment at the moment? We analyze the sentiment of a select group of the very best investors in the world, who spend immense amounts of time and resources studying companies. They may not always be right (no one is), but data shows that […]
BP’s (BP) has the highest percentage of debt in its capital structure. In the first quarter, BP’s total debt-to-capital ratio stood at 43%, the highest among its peers. ExxonMobil (XOM) and Chevron (CVX) had lower ratios of 17% and 18%, respectively.
Russia's ambitious Northern Sea Route (NSR) requires 735 billion roubles ($11.7 billion) in investments, with the state budget to provide a third and the rest to come from companies and banks, the head of state nuclear firm Rosatom, Alexey Likhachyov, said. Rosatom, the world's top nuclear company in terms of foreign orders, was selected by the Russian government to operate the NSR - the Arctic route Moscow wants to turn into a new Suez - coordinating development of the project among its users.
Total (TOT) has the second-highest percentage of debt in its capital structure after BP (BP). In the first quarter, Total’s total debt-to-capital ratio stood at 33%, whereas BP’s ratio stood at 43%.