Oil Majors long term horizons

Oil Majors long term horizons
  • Pininvest Analysis

In the short term, oil prices drive the investor’s perception of share values

  • the dollar – as quoted currency – affects pricing positively when the currency weakens
  • economic growth prospects are expected to strenghten energy demand
  • geopolitical developments in major energy producing countries (Venezuela, Iran, Russia, Qatar) may affect world production adversely, constraining supply

But most of today's investment decisions of energy majors are made for 2030 and beyond, with choices affecting the energy mix, the technologies and the geopolitical distribution of energy resources in the distant future

The majors, defined for our purpose as companies topping a $50bn market cap (Jan. ’18), are best positioned to include very long term considerations in their global strategies, even if some decisions may take years to come to fruition

Taking the long view on valuation  for energy majors, the fit between their energy mix and 2030/2040 projected consumption  should be as relevant as resources currently in their portfolio

Read our note

Oil Majors long term horizons • Updated:

Name Ticker Exchange Sector Industry Currency Cur.Price Mkt.Cap Perf. Vol. Risk Contrib. MDD
 
Rosneft Oil OJSCY OTC Energy Integrated Oil & Gas Companies USD 6.60 - 10.9% 80%   18% -40%
British Petroleum (ADR) BP NYSE Energy Integrated Oil & Gas Companies USD 31.53 113 B -20.3% 18%   4% -30%
Chevron CVX NYSE Energy Integrated Oil & Gas Companies USD 94.13 177 B -17.2% 20%   5% -26%
China Petroleum & Chemical (ADR) SNP NYSE Energy Integrated Oil & Gas Companies USD 51.58 62 B -31.8% 21%   4% -40%
CNOOC CEO NYSE Energy Integrated Oil & Gas Companies USD 139.52 62 B -14.6% 28%   7% -28%
ConocoPhillips COP NYSE Energy Integrated Oil & Gas Companies USD 47.13 52 B -28.4% 30%   6% -33%
Eni S.P.A. E NYSE Energy Integrated Oil & Gas Companies USD 25.18 46 B -21.6% 17%   4% -30%
EOG Resources EOG NYSE Energy Integrated Oil & Gas Companies USD 60.00 35 B -35.0% 36%   7% -44%
Equinor (ADR) EQNR NYSE Energy Integrated Oil & Gas Companies USD 15.26 51 B -28.4% 26%   6% -36%
Exxon Mobil Corp. XOM NYSE Energy Integrated Oil & Gas Companies USD 49.82 211 B -33.7% 21%   5% -40%
Occidental Petroleum OXY NYSE Energy Integrated Oil & Gas Companies USD 31.81 28 B -47.2% 34%   4% -53%
Petrochina Company PTR NYSE Energy Integrated Oil & Gas Companies USD 39.72 73 B -35.4% 22%   4% -42%
Petroleo Brasileiro S.A.- Petrobras PBR NYSE Energy Integrated Oil & Gas Companies USD 12.08 79 B -21.5% 34%   7% -31%
Royal Dutch Shell (ADR) RDS_B NYSE Energy Integrated Oil & Gas Companies USD 44.14 - -27.7% 19%   4% -34%
Royal Dutch Shell (ADR) RDS_A NYSE Energy Integrated Oil & Gas Companies USD 43.94 - -26.3% 18%   4% -33%
Suncor Energy SU NYSE Energy Integrated Oil & Gas Companies USD 27.64 44 B -15.2% 22%   5% -21%
TOTAL TOT NYSE Energy Integrated Oil & Gas Companies USD 42.75 113 B -20.0% 19%   4% -27%