Money and Finance
As mentioned in my previous post, I'm going to try and have 1 stock analysis report for some popular dividend growth stocks come out prior to their latest earnings release this week. I was originally going to post about International Paper (IP) since it isn't as well known as the likes of ExxonMobil, however after beginning to compile my data I quickly decided against it because much more research into their recent acquisition of Temple-Inland would be required before I would feel comfortable investing. Today we'll look at Exxon Mobil Corporation (XOM). Exxon closed on Monday 7/23/12 at $85.21.
Company Background:
Exxon Mobil Corporation engages in the exploration and production of crude oil and natural gas, and manufacture of petroleum products, as well as transportation and sale of crude oil, natural gas, and petroleum products. The company manufactures and markets commodity petrochemicals, including olefins, aromatics, polyethylene and polypropylene plastics, and other specialty products. It also has interests in electric power generation facilities. As of December 31, 2011, the company operated 37,692 gross and 31,683 net operated wells. Exxon Mobil Corporation has a strategic agreement with the Rosneft Oil Company for investment into oil and gas fields in the Russia Federation. The company has operations in the United States, Canada/South America, Europe, Africa, Asia, and Australia/Oceania.
DCF Valuation:
Analysts expect Exxon to grow earnings 8.95% per year for the next five years and I've assumed they can continue to grow at 3.50% per year thereafter. Running these numbers through a DCF analysis with a 10% discount rate yields a fair value price of $142.21. This means that at $85.21 the shares are undervalued by 40.1%.
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- Chevron (cvx) Dividend Stock Analysis
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As mentioned in my previous post, I'm going to try and have 1 stock analysis report for some popular dividend growth stocks come out prior to their latest earnings release this week. Today we'll look at Caterpillar Inc. (CAT). Caterpillar was...
- Air Products & Chemicals Stock Analysis
As mentioned in my previous post, I'm going to try and have 1 stock analysis report for some popular dividend growth stocks come out prior to their latest earnings release this week. Today we'll look at Air Products & Chemicals (APD). Air...
- Emerson Stock Analysis
Last week was a slow week for the blog because work was really busy, so I figured I'd give y'all another stock analysis. This time I decided to take a look at Emerson Electric Company (EMR). Emerson closed on Friday 5/25/12 at $47.28. Company...
- Recent Buy - Exxon (xom)
Wow another purchase, that makes two this month after my Unilever buy. I had a standing order to purchase shares of XOM and it triggered my limit order the other day as the markets were tanking. I've had my eye on some energy stocks for some time...
Money and Finance
ExxonMobil Stock Analysis
As mentioned in my previous post, I'm going to try and have 1 stock analysis report for some popular dividend growth stocks come out prior to their latest earnings release this week. I was originally going to post about International Paper (IP) since it isn't as well known as the likes of ExxonMobil, however after beginning to compile my data I quickly decided against it because much more research into their recent acquisition of Temple-Inland would be required before I would feel comfortable investing. Today we'll look at Exxon Mobil Corporation (XOM). Exxon closed on Monday 7/23/12 at $85.21.
Company Background:
Exxon Mobil Corporation engages in the exploration and production of crude oil and natural gas, and manufacture of petroleum products, as well as transportation and sale of crude oil, natural gas, and petroleum products. The company manufactures and markets commodity petrochemicals, including olefins, aromatics, polyethylene and polypropylene plastics, and other specialty products. It also has interests in electric power generation facilities. As of December 31, 2011, the company operated 37,692 gross and 31,683 net operated wells. Exxon Mobil Corporation has a strategic agreement with the Rosneft Oil Company for investment into oil and gas fields in the Russia Federation. The company has operations in the United States, Canada/South America, Europe, Africa, Asia, and Australia/Oceania.
DCF Valuation:
Analysts expect Exxon to grow earnings 8.95% per year for the next five years and I've assumed they can continue to grow at 3.50% per year thereafter. Running these numbers through a DCF analysis with a 10% discount rate yields a fair value price of $142.21. This means that at $85.21 the shares are undervalued by 40.1%.
Read more »
- Chevron (cvx) Dividend Stock Analysis
I last wrote up a stock analysis on Chevron back in 2012. Really what happened to 2013? I've still updated the values on my stock analysis page, but I just didn't get a full updated write up out. Well, it's about time that I get an updated...
- Caterpillar Stock Analysis
As mentioned in my previous post, I'm going to try and have 1 stock analysis report for some popular dividend growth stocks come out prior to their latest earnings release this week. Today we'll look at Caterpillar Inc. (CAT). Caterpillar was...
- Air Products & Chemicals Stock Analysis
As mentioned in my previous post, I'm going to try and have 1 stock analysis report for some popular dividend growth stocks come out prior to their latest earnings release this week. Today we'll look at Air Products & Chemicals (APD). Air...
- Emerson Stock Analysis
Last week was a slow week for the blog because work was really busy, so I figured I'd give y'all another stock analysis. This time I decided to take a look at Emerson Electric Company (EMR). Emerson closed on Friday 5/25/12 at $47.28. Company...
- Recent Buy - Exxon (xom)
Wow another purchase, that makes two this month after my Unilever buy. I had a standing order to purchase shares of XOM and it triggered my limit order the other day as the markets were tanking. I've had my eye on some energy stocks for some time...