|Bid||69.21 x 1400|
|Ask||69.29 x 1400|
|Day's Range||69.12 - 70.54|
|52 Week Range||64.65 - 83.49|
|Beta (5Y Monthly)||1.00|
|PE Ratio (TTM)||20.17|
|Earnings Date||Jan 30, 2020 - Feb 3, 2020|
|Forward Dividend & Yield||3.48 (4.95%)|
|1y Target Est||78.36|
Saudi Aramco briefly soared above a $2 trillion valuation Thursday, achieving a milestone predicted by Crown Prince Mohammad bin Salman in 2016. Investors should be skeptical about the stock’s ascent.
(Bloomberg) -- Oil traders are packing their bags for a trip to the world’s newest petrostate -- a place they know remarkably little about.At least half a dozen traders from Houston, Geneva and London are set to alight in tropical Guyana this weekend to bid on some of the first oil cargoes produced by the tiny South American nation. Ahead of the journey, the traders wondered aloud if they’re heading to an island (they’re not) and what language is spoken there (English).Their lack of familiarity with the former European colony is a testament to Guyana’s unlikely emergence as an oil state. Long dependent on sugar plantations and bauxite mining, the country was the site of a major crude discovery by Exxon Mobil Corp. in 2015. Now it’s poised to produce more oil than neighboring Venezuela, a founding OPEC member.READ ALSO: The World’s Newest Petrostate Isn’t Ready for a Tsunami of CashGuyana has no experience in trading oil -- and it’s looking to learn the basics from its very first buyer. The government last week sent a letter to refiners around the globe inviting them to bid for 3 million barrels of Liza Blend crude, the light-sweet oil it will start exporting next year. The catch is that the buyer must take the unusual role of handling “all operating and back office responsibilities” related to exporting the crude, according to a document seen by Bloomberg.On top of that, the bids must be offered “face to face” -- in the country’s capital of Georgetown -- starting Monday. Such a voyage is rare for traders, who do most of their business on instant-message platforms and by phone.Oil D’œuvreThe oil world is happy to play along. The three cargoes being offered are an appetizer for a bigger prize. After this sale, part of an “incubation and launching” phase, Guyana plans to sell its crude via long-term contracts. The government will load its first cargo in February, but the first oil will be exported in January by Exxon Mobil, which operates the Liza oil field, according to people with knowledge of the situation. Exxon declined to comment on the shipment of the first oil to reach markets.The Liza field is scheduled to start production this month and will reach 120,000 barrels a day next year. By 2025, it’s expected to ramp up to 750,000 barrels daily. The country, a third of the size of Texas, is poised to produce as much oil as Venezuela in five years. Oil exploration takes place off the coast, in the blue waters of the Atlantic ocean, in ships turned into oil platforms.Guyana’s output boom comes at a trying time for global oil markets. The U.S., Brazil and Norway are all growing production even as the Organization of the Petroleum Exporting Countries and its allies cut their own output in a bid to curb a global supply surplus. Guyana’s Liza blend has similar characteristics to grades produced by Nigeria and Angola and is also seen as an alternative to U.S. oil.To contact the reporter on this story: Lucia Kassai in Houston at firstname.lastname@example.orgTo contact the editors responsible for this story: David Marino at email@example.com, Catherine Traywick, Mike JeffersFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
The initial exploration work by Equinor (EQNR), which hits a well holding water, is intended to test the discovery in the primary exploration target and decide the ratio between oil and gas.
(Bloomberg) -- Pakistan’s Energas plans to start the nation’s largest liquefied natural gas import terminal in 2021 to help meet soaring demand once it gets the green light to build the project.Energas, a consortium of large domestic users, aims to begin construction of the $140 million to $160 million facility next year, Chief Executive Officer Anser Ahmed Khan said in an interview. The project is being supported by Exxon Mobil Corp.Energas and Exxon first proposed the terminal to Pakistan’s previous government in 2017, at that time aiming to complete it by this year. The venture is one of two that submitted bids in October for regulators’ permission to build terminals and tap demand that is expected to outgrow import capacity.“There is a lot of demand in Pakistan and it will just grow,” said Khan, who was vice president for LNG at EDF Energy Ltd. in London before taking up his current role in 2017. “The market is price sensitive so we need to play that card right.”The Energas proposal still faces several hurdles, including obtaining regulatory approval. It also hasn’t signed off-take deals for much of its capacity and hasn’t made a final investment decision. It has received bids for a floating storage and regasification unit that will be connected to Port Qasim terminal in Karachi, and will award the contract by March, Khan said Wednesday.Tabeer Energy, the Mitsubishi Corp. unit that also applied to build an LNG terminal, couldn’t be reached for comment.The two ventures are vying to tap into what’s expected to be one of the world’s bright spots for LNG imports, with purchases set to quadruple by 2040 amid stagnating domestic production and robust demand, BloombergNEF forecast last week in a report.Chronic CyclePakistan is trying to chart a way out of a recurring economic boom-and-bust cycle. Many factories used to remain shut for months at a time as there was little gas to spare in winters when domestic heating consumption peaked, a crisis that started to ease after the nation started LNG imports four years ago.The consortium includes the Yunus Brothers Group conglomerate and Sapphire Group, and the group alone can consume about a quarter of the terminal’s capacity of 1 billion cubic feet of gas a year, Khan said.It will compete with Tabeer and existing import plants for customers, including textile mills, power plants and compressed natural gas fuel stations, to make the terminal viable, Khan said, adding Energas plans to offer rates 25% lower than existing terminals in order to do so. Exxon has agreed to support securing supply for the terminal.“When we look at the Pakistani sector, we see demand only going up,” Khan said. “That’s why we feel there is enough slack for us to flow our gas into the system.\--With assistance from Dan Murtaugh and Stephen Stapczynski.To contact the reporter on this story: Faseeh Mangi in Karachi at firstname.lastname@example.orgTo contact the editors responsible for this story: Ramsey Al-Rikabi at email@example.com, Rob Verdonck, Jasmine NgFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
In retirement, investors must figure out how to generate enough income without a job while also ensuring that they don't outlive their income stream. The best retirement stocks to buy in 2020 (or any other year), then, assuredly must be dividend-paying ones.Receiving regular dividends reduces an investor's dependence on the market's fickle price swings to make ends meet. Whether or not the market rises or falls in 2020, a portfolio of quality businesses can continue delivering predictable, growing dividend income.Compared to many fixed-income investments, dividend stocks also can generate higher current income in today's low-interest-rate environment, growing their payouts each year to help preserve one's purchasing power. Dividend stocks, like other equities, provide meaningful long-term price appreciation potential as well.Research firm Simply Safe Dividends published an in-depth guide about living on dividends in retirement here. However, a key component to this strategy is finding the best retirement stocks that can deliver safe dividends and grow in value over time.On that note, these are the 20 best retirement stocks to buy in 2020. The 20 stocks on this list appear to have safe dividends, yield between 3.5% and 6.9%, and have solid potential to continue growing their payouts in the long term. SEE ALSO: Kiplinger's 20 Best Stocks for 2020
Saudi Aramco stock rose 4.6% on Thursday, with its valuation climbing above $2 trillion—the first time any company has hit that mark.
BARRON'S TAKE Don’t expect Saudi Aramco to be a big position in your exchange-traded fund soon. (2222) (ticker: 2222.SA) hit $2 trillion in market capitalization Thursday on the heels of its initial public offering, making it more valuable than (MSFT) (ticker: MSFT), (AAPL) (AAPL), and (AMZN) (AMZN).
Dividend investors usually focus on companies that have a long track record of increasing their dividends year after year. The companies with at least 25 years of consecutive dividend increases are especially favored by income oriented investors. This is actually not a bad idea as long as these companies continue to increase dividends. However, when […]
Reportedly, ExxonMobil (XOM) plans for shipment of two cargoes, each with a capacity to carry 1 million barrels of oil from deepwater Liza field in January.
EIA's Weekly Petroleum Status Report revealed that crude inventories rose by 822,000 barrels, compared to the 1.8 million barrels decrease that energy analysts had expected.
Is Exxon Mobil Corporation (NYSE:XOM) a good dividend stock? How can we tell? Dividend paying companies with growing...
Energy stocks haven't merely lagged the market indexes this year, but they've lagged for several years. From a long-term perspective, the gap is astonishing, notes Eddy Elfenbein, editor of Investors Alley's Growth Stock Advisor.
Oil and gas producers could wipe billions of dollars off the value of U.S. natural gas assets in the months ahead, analysts said on Wednesday, after Chevron Corp became the fourth oil major to slash its estimates for sector values. A long, steady increase in U.S. gas production – much of it a byproduct of the shale oil boom – has pushed prices for the fuel toward a 25-year low. Nearly half of U.S. gas production is a by-product of oil drilling, and therefore does not change in response to weak prices, analysts said.
While the ruling was a victory for the oil giant, it raises questions about how environmental groups and institutional shareholders will handle environmental issues with the company going forward.
(Bloomberg Opinion) -- Along with never invading Russia or getting into a Twitter argument, we can add another golden rule — this one specifically for U.S. oil majors: Never buy a shale-gas business.Chevron Corp.’s $10-11 billion impairment, announced late Tuesday, relates mostly to the Appalachian gas assets it picked up in 2011’s $4.9 billion acquisition of Atlas Energy Inc. Back then, the Permian basin was not a regular topic on the business channels, nor was it a central pillar of Chevron’s spending plans. But now it is, and simultaneously plowing billions into a Permian oil business that spits out gas essentially for free while running a dry-gas business in the Marcellus shale is like flooring it with the parking brake on.Chevron joins the ranks of Exxon Mobil Corp. — which paid $35 billion for XTO Energy Inc. less than a year before the Atlas deal and has been haunted by it ever since — and ConocoPhillips, which bought Rockies gas producer Burlington Resources Inc. way back in 2006 for $36 billion and then wrote most of that off in 2008.But there is far more to this than just mistimed forays into the graveyard of optimism that is the U.S. natural gas market — and not just for Chevron.Big Oil just had a forgettable earnings season. Chevron announced cost overruns on the giant Tengiz expansion project in Kazakhstan. Exxon continued borrowing to cover its dividend. Across the pond, BP Plc and Royal Dutch Shell Plc flubbed resetting expectations on dividends and buybacks. What ties all of these together are weak returns on capital. Chevron’s problems in Kazakhstan are echoed in its impairment of another asset, the Big Foot field in the Gulf of Mexico. This is another mega-project that went awry and, in an era when producers can no longer count on an oil upswing to save the economics, is found wanting. Chevron is also ditching the Kitimat LNG project in Canada that it bought into in 2013.All this is a particularly sore spot for Chevron given its problems with Australian liquefied natural gas mega-projects earlier this decade. CEO Mike Wirth’s decision to clear the decks seems intended in part to signal that, unlike the experience of his predecessor with Australian LNG development, he will drop big assets that don’t make the cut financially.Discovering, financing and developing mega-projects is why the supermajors were created at the end of the 1990s. Today, when investors are interested at all, they’re leery of capital outlays, aware the outlook for oil and gas markets is challenged in fundamental ways. So tying up money in big, risky, multi-year ventures is a good way to crush your stock price.Wirth isn’t abandoning conventional development; Big Foot aside, the Gulf Of Mexico has several new projects in the pipeline, for example. But to offset the drag on returns from the extra spending at Tengiz, he must streamline the rest of the portfolio. This is the story of the sector writ large. “Too much capital is chasing too few opportunities,” as Doug Terreson of Evercore ISI puts it. Conoco, which remade itself radically after the Burlington debacle, set the tone with its recent analyst day, emphasizing the need to get the industry’s long-standing spending habits under control and focus on returns to win back investors who are free to put their money into other sectors. Chevron’s write-offs and shareholder payouts (38% of cash from operations over the past 12 months) are of a piece with this. While the company has laid out guidance for production to grow by 3% to 4% a year, that is very much subject to the returns on offer. Capital intensity — as in, shrinking it — is what counts.Chevron’s move throws the spotlight especially on big rival Exxon. While Exxon has taken some impairment against its U.S. gas assets, that represented a small fraction of the XTO purchase. Exxon also sticks out right now for its giant capex budget (bigger than Chevron’s by more than half), leaving no room for buybacks or even to fully cover its dividend.In the first decade of the supermajors, when peak oil supply was a thing, big projects with big budgets to match were something to boast about. As the second decade draws to an end, only the leanest operators will survive. Chevron won’t be the last oil major to rip off the band-aid, just as we haven’t yet seen the full extent of the inevitable restructurings and consolidation among the smaller E&P companies. On this front, there’s another golden rule: Better to get it done sooner rather than later. To contact the author of this story: Liam Denning at firstname.lastname@example.orgTo contact the editor responsible for this story: Mark Gongloff at email@example.comThis column does not necessarily reflect the opinion of the editorial board or Bloomberg LP and its owners.Liam Denning is a Bloomberg Opinion columnist covering energy, mining and commodities. He previously was editor of the Wall Street Journal's Heard on the Street column and wrote for the Financial Times' Lex column. He was also an investment banker.For more articles like this, please visit us at bloomberg.com/opinion©2019 Bloomberg L.P.
RIYADH/DUBAI, Dec 11 (Reuters) - Saudi Aramco shares surged the maximum permitted 10% above their IPO price on their Riyadh stock market debut on Wednesday, in a move hailed by the government as a vindication of its towering $2 trillion valuation of the state oil company.
The Saudi royal family celebrated, but it is hard for investors to assess the listing. Political incentives and the stock’s small float make it hard to argue this is a natural price.
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STOCKSTOWATCHTODAY BLOG Three numbers to start your day: Goldman Sachs’ Target Price for an Ounce of Gold is $1,600 The precious metal currently trades for about 8% lower than that. The price of gold rose in the first nine months of the year—it was pushed higher by rising trade war tensions and worries about a global economic slowdown.
Few stocks have been as frustrating as Exxon Mobil (XOM). Just when you think the stock is embarking on a sustained upward move, investors turn thumbs down on the energy group, driving these shares lower, notes Chuck Carlson, dividend reinvestment specialist and editor of DRIP Investor.