Market Cap
US$23.6b
Last Updated
2021/05/05 23:16 UTC
Data Sources
Company Financials +
Executive Summary
Hess Corporation, an exploration and production company, explores, develops, produces, purchases, transports, and sells crude oil, natural gas liquids (NGLs), and natural gas. More Details
Rewards
Risk Analysis
Snowflake Analysis
Reasonable growth potential second-rate dividend payer.
Similar Companies
Share Price & News
How has Hess's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: HES is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 7% a week.
Volatility Over Time: HES's weekly volatility (7%) has been stable over the past year.
Market Performance
7 Day Return
6.6%
HES
3.3%
US Oil and Gas
-1.6%
US Market
1 Year Return
79.8%
HES
45.3%
US Oil and Gas
52.8%
US Market
Return vs Industry: HES exceeded the US Oil and Gas industry which returned 37.7% over the past year.
Return vs Market: HES exceeded the US Market which returned 52.4% over the past year.
Shareholder returns
| HES | Industry | Market | |
|---|---|---|---|
| 7 Day | 6.6% | 3.3% | -1.6% |
| 30 Day | 14.4% | 6.4% | 1.3% |
| 90 Day | 39.9% | 23.9% | 3.5% |
| 1 Year | 83.3%79.8% | 54.8%45.3% | 55.4%52.8% |
| 3 Year | 37.3%29.8% | -14.8%-26.5% | 63.5%53.2% |
| 5 Year | 53.0%38.8% | 2.9%-17.1% | 125.8%100.7% |
Long-Term Price Volatility Vs. Market
How volatile is Hess's share price compared to the market and industry in the last 5 years?
Simply Wall St News
5 days ago | Simply Wall St
Should You Buy Hess Corporation (NYSE:HES) For Its Dividend?1 month ago | Simply Wall St
Estimating The Fair Value Of Hess Corporation (NYSE:HES)1 month ago | Simply Wall St
Analysts Expect Hess Corporation (NYSE:HES) To Breakeven SoonValuation
Is Hess undervalued compared to its fair value and its price relative to the market?
4.44x
Price to Book (PB) ratio
Share Price vs. Fair Value
Below Fair Value: HES ($80.95) is trading above our estimate of fair value ($53.9)
Significantly Below Fair Value: HES is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: HES is unprofitable, so we can't compare its PE Ratio to the US Oil and Gas industry average.
PE vs Market: HES is unprofitable, so we can't compare its PE Ratio to the US market.
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate HES's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: HES is overvalued based on its PB Ratio (4.4x) compared to the US Oil and Gas industry average (1.5x).
Future Growth
How is Hess forecast to perform in the next 1 to 3 years based on estimates from 15 analysts?
39.7%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: HES is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (2%).
Earnings vs Market: HES is forecast to become profitable over the next 3 years, which is considered above average market growth.
High Growth Earnings: HES's is expected to become profitable in the next 3 years.
Revenue vs Market: HES's revenue (11.9% per year) is forecast to grow faster than the US market (9.3% per year).
High Growth Revenue: HES's revenue (11.9% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: HES's Return on Equity is forecast to be low in 3 years time (18.9%).
Past Performance
How has Hess performed over the past 5 years?
24.6%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: HES is currently unprofitable.
Growing Profit Margin: HES is currently unprofitable.
Past Earnings Growth Analysis
Earnings Trend: HES is unprofitable, but has reduced losses over the past 5 years at a rate of 24.6% per year.
Accelerating Growth: Unable to compare HES's earnings growth over the past year to its 5-year average as it is currently unprofitable
Earnings vs Industry: HES is unprofitable, making it difficult to compare its past year earnings growth to the Oil and Gas industry (-41.9%).
Return on Equity
High ROE: HES has a negative Return on Equity (-2.06%), as it is currently unprofitable.
Financial Health
How is Hess's financial position?
Financial Position Analysis
Short Term Liabilities: HES's short term assets ($3.5B) exceed its short term liabilities ($1.7B).
Long Term Liabilities: HES's short term assets ($3.5B) do not cover its long term liabilities ($10.6B).
Debt to Equity History and Analysis
Debt Level: HES's debt to equity ratio (124.7%) is considered high.
Reducing Debt: HES's debt to equity ratio has increased from 30.5% to 124.7% over the past 5 years.
Balance Sheet
Cash Runway Analysis
For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.
Stable Cash Runway: HES has sufficient cash runway for more than 3 years based on its current free cash flow.
Forecast Cash Runway: Insufficient data to determine if HES has enough cash runway if its free cash flow continues to grow or shrink based on historical rates.
Dividend
What is Hess's current dividend yield, its reliability and sustainability?
1.23%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: HES's dividend (1.24%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.24%).
High Dividend: HES's dividend (1.24%) is low compared to the top 25% of dividend payers in the US market (3.42%).
Stability and Growth of Payments
Stable Dividend: HES's dividends per share have been stable in the past 10 years.
Growing Dividend: HES's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: HES is paying a dividend but the company is unprofitable.
Future Payout to Shareholders
Future Dividend Coverage: HES's dividends in 3 years are forecast to be well covered by earnings (27.2% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
4.3yrs
Average management tenure
CEO
John Hess (66 yo)
26yrs
Tenure
US$11,147,723
Compensation
Mr. John B. Hess has been the Chief Executive Officer at Hess Corporation since May 3, 1995. Mr. Hess has been the Chairman of the Board of Directors and Chief Executive Officer of Hess Midstream GP LLC, t...
CEO Compensation Analysis
Compensation vs Market: John's total compensation ($USD11.15M) is about average for companies of similar size in the US market ($USD11.13M).
Compensation vs Earnings: John's compensation has been consistent with company performance over the past year.
Leadership Team
Experienced Management: HES's management team is considered experienced (4.3 years average tenure).
Board Members
Experienced Board: HES's board of directors are considered experienced (7 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: HES insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Hess Corporation's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Hess Corporation
- Ticker: HES
- Exchange: NYSE
- Founded: 1920
- Industry: Oil and Gas Exploration and Production
- Sector: Energy
- Market Cap: US$23.650b
- Shares outstanding: 306.50m
- Website: https://www.hess.com
Number of Employees
Location
- Hess Corporation
- 1185 Avenue of the Americas
- 40th Floor
- New York
- New York
- 10036
- United States
Listings
Biography
Hess Corporation, an exploration and production company, explores, develops, produces, purchases, transports, and sells crude oil, natural gas liquids (NGLs), and natural gas. The company operates through ...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/05/05 23:16 |
| End of Day Share Price | 2021/05/05 00:00 |
| Earnings | 2021/03/31 |
| Annual Earnings | 2020/12/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.