NYSE:OXY

Stock Analysis Report

Occidental Petroleum

Executive Summary

Occidental Petroleum Corporation, together with its subsidiaries, engages in the acquisition, exploration, and development of oil and gas properties in the United States, the Middle East, and Latin America.


Snowflake Analysis

Average dividend payer and fair value.


Similar Companies

Share Price & News

How has Occidental Petroleum's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: OXY's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

2.7%

OXY

5.9%

US Oil and Gas

7.2%

US Market


1 Year Return

-83.5%

OXY

-56.4%

US Oil and Gas

-10.4%

US Market

Return vs Industry: OXY underperformed the US Oil and Gas industry which returned -57.2% over the past year.

Return vs Market: OXY underperformed the US Market which returned -12.7% over the past year.


Shareholder returns

OXYIndustryMarket
7 Day2.7%5.9%7.2%
30 Day-66.4%-35.6%-12.6%
90 Day-73.3%-51.6%-19.4%
1 Year-82.0%-83.5%-54.6%-56.4%-8.5%-10.4%
3 Year-79.5%-82.8%-51.8%-56.5%15.8%8.3%
5 Year-81.4%-85.7%-55.3%-62.2%35.8%21.0%

Price Volatility Vs. Market

How volatile is Occidental Petroleum's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Occidental Petroleum undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: OXY ($11.61) is trading below our estimate of fair value ($37.39)

Significantly Below Fair Value: OXY is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: OXY is unprofitable, so we can't compare its PE Ratio to the Oil and Gas industry average.

PE vs Market: OXY 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 OXY's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: OXY is good value based on its PB Ratio (0.4x) compared to the US Oil and Gas industry average (0.5x).


Next Steps

Future Growth

How is Occidental Petroleum forecast to perform in the next 1 to 3 years based on estimates from 17 analysts?

39.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: OXY is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: OXY is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: OXY is forecast to remain unprofitable over the next 3 years.

Revenue vs Market: OXY's revenue is expected to decline over the next 3 years (-0.9% per year).

High Growth Revenue: OXY's revenue is forecast to decline over the next 3 years (-0.9% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: OXY is forecast to be unprofitable in 3 years.


Next Steps

Past Performance

How has Occidental Petroleum performed over the past 5 years?

56.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: OXY is currently unprofitable.

Growing Profit Margin: OXY is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: OXY is unprofitable, but has reduced losses over the past 5 years at a rate of 56% per year.

Accelerating Growth: Unable to compare OXY's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: OXY is unprofitable, making it difficult to compare its past year earnings growth to the Oil and Gas industry (-11.4%).


Return on Equity

High ROE: OXY has a negative Return on Equity (-1.48%), as it is currently unprofitable.


Next Steps

Financial Health

How is Occidental Petroleum's financial position?


Financial Position Analysis

Short Term Liabilities: OXY's short term assets ($18.7B) exceed its short term liabilities ($14.9B).

Long Term Liabilities: OXY's short term assets ($18.7B) do not cover its long term liabilities ($60.1B).


Debt to Equity History and Analysis

Debt Level: OXY's debt to equity ratio (115.7%) is considered high.

Reducing Debt: OXY's debt to equity ratio has increased from 19.6% to 115.7% over the past 5 years.


Balance Sheet

Inventory Level: OXY has a high level of physical assets or inventory.

Debt Coverage by Assets: OXY's debt is not covered by short term assets (assets are 0.5x debt).


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: OXY has been profitable on average in the past, therefore cash runway is not a concern.

Forecast Cash Runway: OXY has been profitable on average in the past, therefore cash runway is not a concern.


Next Steps

Dividend

What is Occidental Petroleum's current dividend yield, its reliability and sustainability?

28.70%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: OXY's dividend (27.22%) is higher than the bottom 25% of dividend payers in the US market (1.98%).

High Dividend: OXY's dividend (27.22%) is in the top 25% of dividend payers in the US market (5.49%)


Stability and Growth of Payments

Stable Dividend: OXY's dividends per share have been stable in the past 10 years.

Growing Dividend: OXY's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: OXY is paying a dividend but the company is unprofitable.


Future Payout to Shareholders

Future Dividend Coverage: OXY is forecast to pay a dividend in 3 years whilst incurring a loss, therefore the dividend is not forecast to be well covered.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

5.0yrs

Average management tenure


CEO

Vicki Hollub (59yo)

3.83s

Tenure

US$14,105,693

Compensation

Ms. Vicki A. Hollub has been the President and Chief Executive Officer at Occidental Petroleum Corporation since December 10, 2015 and April 29, 2016 respectively. Ms. Hollub has been a Director of Lockhee ...


CEO Compensation Analysis

Compensation vs Market: Vicki's total compensation ($USD14.11M) is about average for companies of similar size in the US market ($USD11.74M).

Compensation vs Earnings: Vicki's compensation has increased whilst the company is unprofitable.


Leadership Team

NamePositionTenureCompensationOwnership
Vicki Hollub
President3.83yrsUS$14.11m0.026% $2.6m
Cedric Burgher
Senior VP & CFO2.83yrsUS$5.32m0.0051% $504.6k
Marcia Backus
Senior VP6.42yrsUS$5.18m0.0092% $904.8k
Edward Lowe
Executive VP & Group Chairman of Middle East5yrsUS$5.33m0.018% $1.8m
Glenn Vangolen
Senior Vice President of Business Support6.17yrsUS$4.82m0.0086% $850.6k
Christopher Champion
VP, Chief Accounting Officer & Controller0.58yrno data0.00064% $63.1k
Ioannis Charalambous
Chief Information Officer& VP5.67yrsno datano data
Jeff Alvarez
Vice President of Investor Relations2.17yrsno datano data
Melissa Schoeb
Vice President of Corporate Affairs7.83yrsno datano data
Darin Moss
Vice President of Human Resourcesno datano datano data

5.0yrs

Average Tenure

59yo

Average Age

Experienced Management: OXY's management team is seasoned and experienced (5 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Vicki Hollub
President3.83yrsUS$14.11m0.026% $2.6m
Carlos Gutierrez
Independent Director10.67yrsUS$375.00k0.0056% $550.0k
Stephen Chazen
Chairmanno dataUS$3.28m0.027% $2.7m
Eugene Batchelder
Director6.42yrsUS$490.01k0.0056% $552.9k
William Klesse
Independent Director6.42yrsUS$350.04k0.017% $1.6m
Margaret Foran
Independent Director9.25yrsUS$385.00k0.0057% $559.8k
Avedick Poladian
Independent Director12.17yrsUS$386.29k0.0068% $668.3k
Jack Moore
Independent Vice Chairman1.17yrsUS$350.04k0.0029% $287.8k
E. Abraham
Independent Director14.83yrsUS$358.79k0.0055% $543.1k
Elisse Walter
Independent Director6yrsUS$360.04k0.0028% $273.0k

6.4yrs

Average Tenure

67yo

Average Age

Experienced Board: OXY's board of directors are considered experienced (6.4 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: OXY insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 6.3%.


Top Shareholders

Company Information

Occidental Petroleum Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Occidental Petroleum Corporation
  • Ticker: OXY
  • Exchange: NYSE
  • Founded: 1920
  • Industry: Integrated Oil and Gas
  • Sector: Energy
  • Market Cap: US$9.856b
  • Shares outstanding: 895.22m
  • Website: https://www.oxy.com

Number of Employees


Location

  • Occidental Petroleum Corporation
  • 5 Greenway Plaza
  • Suite 110
  • Houston
  • Texas
  • 77046-0521
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
OXYNYSE (New York Stock Exchange)YesCommon StockUSUSDJan 1968
OPCDB (Deutsche Boerse AG)YesCommon StockDEEURJan 1968
OPCXTRA (XETRA Trading Platform)YesCommon StockDEEURJan 1968
0KAKLSE (London Stock Exchange)YesCommon StockGBUSDJan 1968
OXY1 *BMV (Bolsa Mexicana de Valores)YesCommon StockMXMXNJan 1968
OXYP34BOVESPA (Bolsa de Valores de Sao Paulo)BDR EACH 1 REP 0.5 COM USD0.20BRBRLMay 2019

Biography

Occidental Petroleum Corporation, together with its subsidiaries, engages in the acquisition, exploration, and development of oil and gas properties in the United States, the Middle East, and Latin America. The company operates through three segments: Oil and Gas, Chemical, and Marketing and Midstream. The Oil and Gas segment explores for, develops, and produces oil and condensate, natural gas liquids (NGLs), and natural gas. The Chemical segment manufactures and markets basic chemicals, including chlorine, caustic soda, chlorinated organics, potassium chemicals, ethylene dichloride, chlorinated isocyanurates, sodium silicates, and calcium chloride; vinyls comprising vinyl chloride monomer, polyvinyl chloride, and ethylene. The Midstream and Marketing segment gathers, processes, transports, stores, purchases, and markets oil, condensate, NGLs, natural gas, carbon dioxide, and power. This segment also trades around its assets consisting of transportation and storage capacity; and invests in entities. Occidental Petroleum Corporation was founded in 1920 and is headquartered in Houston, Texas. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/03/31 01:45
End of Day Share Price2020/03/30 00:00
Earnings2019/12/31
Annual Earnings2019/12/31


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.