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RDS.

Royal Dutch ShellNYSE:RDS.B Stock Report

Last Price

€50.88

Market Cap

€194.5b

7D

3.1%

1Y

31.1%

Updated

19 Jan, 2022

Data

Company Financials +
RDS.B fundamental analysis
Snowflake Score
Valuation3/6
Future Growth1/6
Past Performance1/6
Financial Health4/6
Dividends2/6

RDS.B Stock Overview

Royal Dutch Shell plc operates as an energy and petrochemical company worldwide.

Royal Dutch Shell Competitors

Exxon Mobil

NYSE:XOM

US$309.5b

Chevron

NYSE:CVX

US$248.5b

Occidental Petroleum

NYSE:OXY

US$33.5b

Saudi Arabian Oil

SASE:2222

ر.س7.4t

Price History & Performance

Summary of all time highs, changes and price drops for Royal Dutch Shell
Historical stock prices
Current Share Price€50.88
52 Week High€51.35
52 Week Low€33.54
Beta1.04
1 Month Change21.46%
3 Month Change3.54%
1 Year Change31.07%
3 Year Change-15.73%
5 Year Change-13.65%
Change since IPO-20.06%

Recent News & Updates

Dec 23

Royal Dutch Shell: A Nice Extra-Dividend Coming Soon

Royal Dutch Shell reported revenues and other income for the third quarter of $61.555 billion, up significantly from $44.717 billion in the same quarter last year and slightly down sequentially. Upstream production was 3,068K Boep/d in the third quarter (including 938K Boep/d of integrated gas), down 0.4% compared to a year ago and down 5.7% sequentially. ConocoPhillips is buying Shell's Permian assets for $9.5 billion. I recommend buying RDS.B between $42 and $41.5.

Sep 05

Royal Dutch Shell: A Transition Period

The second-quarter adjusted earnings per ADS were $1.42 per share, beating analysts' expectations. Total revenues jumped 90.1% compared to last year with $61.764 billion. Upstream production was 3,254K Boep/d in the second quarter (including 938K Boep/d of Integrated gas), down 3.7% compared to a year ago and down 6.7% sequentially. I believe Shell is a great long-term investment but requires a specific strategy to turn this investment into a winner.

Shareholder Returns

RDS.BUS Oil and GasUS Market
7D3.1%0.7%-4.6%
1Y31.1%45.7%7.7%

Return vs Industry: RDS.B underperformed the US Oil and Gas industry which returned 46.8% over the past year.

Return vs Market: RDS.B exceeded the US Market which returned 10.2% over the past year.

Price Volatility

Is RDS.B's price volatile compared to industry and market?
RDS.B volatility
RDS.B Average Weekly Movement4.3%
Oil and Gas Industry Average Movement7.3%
Market Average Movement6.6%
10% most volatile stocks in US Market15.7%
10% least volatile stocks in US Market2.4%

Stable Share Price: RDS.B is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: RDS.B's weekly volatility (4%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
190787,000Ben Van Beurdenhttps://www.shell.com

Royal Dutch Shell plc operates as an energy and petrochemical company worldwide. The company operates through Integrated Gas, Upstream, Oil Products, Chemicals segments. It explores for and extracts crude oil, natural gas, and natural gas liquids; markets and transports oil and gas; produces gas-to-liquids fuels and other products; and operates upstream and midstream infrastructure necessary to deliver gas to market.

Royal Dutch Shell Fundamentals Summary

How do Royal Dutch Shell's earnings and revenue compare to its market cap?
RDS.B fundamental statistics
Market CapUS$194.48b
Earnings (TTM)US$4.63b
Revenue (TTM)US$220.21b

42.0x

P/E Ratio

0.9x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
RDS.B income statement (TTM)
RevenueUS$220.21b
Cost of RevenueUS$170.85b
Gross ProfitUS$49.36b
ExpensesUS$44.74b
EarningsUS$4.63b

Last Reported Earnings

Sep 30, 2021

Next Earnings Date

Feb 03, 2022

Earnings per share (EPS)0.61
Gross Margin22.42%
Net Profit Margin2.10%
Debt/Equity Ratio40.4%

How did RDS.B perform over the long term?

See historical performance and comparison

Dividends

2.6%

Current Dividend Yield

138%

Payout Ratio

Valuation

Is Royal Dutch Shell undervalued compared to its fair value and its price relative to the market?

35.7%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: RDS.B ($50.88) is trading below our estimate of fair value ($79.13)

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


Price To Earnings Ratio

PE vs Industry: RDS.B is poor value based on its PE Ratio (42x) compared to the US Oil and Gas industry average (18.2x).

PE vs Market: RDS.B is poor value based on its PE Ratio (42x) compared to the US market (17x).


Price to Earnings Growth Ratio

PEG Ratio: RDS.B is poor value based on its PEG Ratio (21.1x)


Price to Book Ratio

PB vs Industry: RDS.B is good value based on its PB Ratio (1.2x) compared to the US Oil and Gas industry average (2.2x).


Future Growth

How is Royal Dutch Shell forecast to perform in the next 1 to 3 years based on estimates from 22 analysts?

2.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: RDS.B's forecast earnings growth (2% per year) is above the savings rate (2%).

Earnings vs Market: RDS.B's earnings (2% per year) are forecast to grow slower than the US market (13% per year).

High Growth Earnings: RDS.B's earnings are forecast to grow, but not significantly.

Revenue vs Market: RDS.B's revenue is expected to decline over the next 3 years (-0.3% per year).

High Growth Revenue: RDS.B's revenue is forecast to decline over the next 3 years (-0.3% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: RDS.B's Return on Equity is forecast to be low in 3 years time (11.7%).


Past Performance

How has Royal Dutch Shell performed over the past 5 years?

-26.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: RDS.B has a large one-off gain of $17.0B impacting its September 30 2021 financial results.

Growing Profit Margin: RDS.B became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: RDS.B's earnings have declined by 26.3% per year over the past 5 years.

Accelerating Growth: RDS.B has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: RDS.B has become profitable in the last year, making it difficult to compare its past year earnings growth to the Oil and Gas industry (17.4%).


Return on Equity

High ROE: RDS.B's Return on Equity (3%) is considered low.


Financial Health

How is Royal Dutch Shell's financial position?


Financial Position Analysis

Short Term Liabilities: RDS.B's short term assets ($131.6B) exceed its short term liabilities ($104.2B).

Long Term Liabilities: RDS.B's short term assets ($131.6B) do not cover its long term liabilities ($137.9B).


Debt to Equity History and Analysis

Debt Level: RDS.B's net debt to equity ratio (17.6%) is considered satisfactory.

Reducing Debt: RDS.B's debt to equity ratio has reduced from 45.3% to 40.4% over the past 5 years.

Debt Coverage: RDS.B's debt is well covered by operating cash flow (64.1%).

Interest Coverage: Insufficient data to determine if RDS.B's interest payments on its debt are well covered by EBIT.


Balance Sheet


Dividend

What is Royal Dutch Shell current dividend yield, its reliability and sustainability?

2.56%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: RDS.B's dividend (2.56%) is higher than the bottom 25% of dividend payers in the US market (1.35%).

High Dividend: RDS.B's dividend (2.56%) is low compared to the top 25% of dividend payers in the US market (3.48%).


Stability and Growth of Payments

Stable Dividend: RDS.B's dividend payments have been volatile in the past 10 years.

Growing Dividend: RDS.B's dividend payments have fallen over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (138%), RDS.B's dividend payments are not well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: RDS.B's dividends in 3 years are forecast to be well covered by earnings (39.6% payout ratio).


Next Steps

Management

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

8.0yrs

Average management tenure


CEO

Ben Van Beurden (63 yo)

8yrs

Tenure

US$7,146,177

Compensation

Mr. Ben Van Beurden serves as Member of Supervisory Board at Daimler AG since March 31, 2021. He has been the Chief Executive Officer of Royal Dutch Shell plc since January 1, 2014. Mr. van Beurden served...


CEO Compensation Analysis

Compensation vs Market: Ben's total compensation ($USD7.15M) is below average for companies of similar size in the US market ($USD11.29M).

Compensation vs Earnings: Ben's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: RDS.B's management team is seasoned and experienced (8 years average tenure).


Board Members

Experienced Board: RDS.B's board of directors are considered experienced (4.6 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Royal Dutch Shell plc's employee growth, exchange listings and data sources


Key Information

  • Name: Royal Dutch Shell plc
  • Ticker: RDS.B
  • Exchange: NYSE
  • Founded: 1907
  • Industry: Integrated Oil and Gas
  • Sector: Energy
  • Implied Market Cap: €171.353b
  • Listing Market Cap: €194.477b
  • Shares outstanding: 7.63b
  • Website: https://www.shell.com

Number of Employees


Location

  • Royal Dutch Shell plc
  • Carel van Bylandtlaan 30
  • The Hague
  • Zuid-Holland
  • 2596 HR
  • Netherlands

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/01/19 23:43
End of Day Share Price2022/01/19 00:00
Earnings2021/09/30
Annual Earnings2020/12/31


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.