These oil stocks are looking cheap as Exxon Mobil reportedly mulls a bid for Pioneer

  • 📰 MarketWatch
  • ⏱ Reading Time:
  • 31 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 16%
  • Publisher: 97%

South Africa News News

South Africa South Africa Latest News,South Africa South Africa Headlines

Many oil companies may be acquisition targets for industry giants

Pioneer Natural Resources is in play, with the Wall Street Journal reporting that Exxon Mobil is close to making a bid to buy out its smaller competitor. So that raises the question: which other oil companies might be undervalued in this market?A $60-billion takeout would be a 20% premium to Pioneer’s market value at the close on Oct. 5, according to FactSet. Below is a screen of energy stocks to see which ones might be valued at similar levels.

Exxon is the largest U.S. oil producer. The company had $29.6 billion in cash and equivalents as of June 30, and its ratio of long-term debt to equity is 19%. Over the past four quarters through June, Exxon’s profit totaled $51.7 billion. During that period the company spent $17.9 billion on share buybacks, underscoring its financial flexibility.

For an expanded screen, we began with a list of 71 stocks in the S&P Composite 1500 Index’s energy sector. The S&P 1500 is made up of the S&P 500 SPX, the S&P 400 Mid Cap Index MID and the S&P Small Cap 600 Index SML.

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.
We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 3. in ZA

South Africa South Africa Latest News, South Africa South Africa Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Exxon Mobil in advanced talks for $60 billion acquisition of Pioneer-sourcesExxon Mobil in advanced talks for $60 billion acquisition of Pioneer-sources
Source: Investingcom - 🏆 450. / 53 Read more »

Pioneer Natural, Exxon, Tesla, Rivian, Levi Strauss, and More Stock Market MoversA report says Exxon Mobil is close to acquiring Pioneer Natural Resources in a deal that could be worth about $60 billion, Tesla is cutting prices of its...
Source: MarketWatch - 🏆 3. / 97 Read more »