10/22/2021
Company: Chevron Corporation
Ticker: CVX
Price: $109.61
52 week high: $113.11
52 week low: $65.16
About the company:
Chevron Corporation is an American multinational energy corporation. It is the second largest oil company in America. One of the successor companies of Standard Oil, it is headquartered in San Ramon, California, and active in more than 180 countries.
Category: Energy industry company
CEO: Michael K. Wirth
Competitors: Exxon Mobil, Shell & BP
Bulls say:
Chevron has one of the largest balance sheets and some historically good financial ratios. Management has consistently stated that it can continue to pay dividends while preserving the priority capital budget. Management says that it will not be able to finance its future growth over the next five years by borrowing more than a billion. Chevron’s net debt ratio is still considerably more than satisfactory for the industry in the worst-case scenario. There is no logical justification for advocating dividend reduction from a financial perspective unless an analyst is ready to predict a long-term disaster.
Bears say:
One clear knock against Chevron is that it is dragging its feet as the world looks to move beyond oil and natural gas. That's a legitimate complaint, Chevron is simply tiptoeing into the clean energy waters, while others, like BP and Shell, look like they are jumping in with both feet. If it does not speed up, the others will have a big head start and brighter future outlook.
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