OCCIDENTAL PETROLEUM CORP (OXY) Stock Fundamental Analysis
NYSE:OXY - US6745991058 - Common Stock
47.61 USD
+0.1 (+0.21%)
47.5999 USD
-0.01 (-0.02%)
Overall OXY gets a fundamental rating of 4 out of 10. We evaluated OXY against 210 industry peers in the Oil, Gas & Consumable Fuels industry. While OXY is still in line with the averages on profitability rating, there are concerns on its financial health. OXY has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year OXY was profitable.
OXY had a positive operating cash flow in the past year.
Of the past 5 years OXY 4 years were profitable.
Each year in the past 5 years OXY had a positive operating cash flow.
1.2 Ratios
With a Return On Assets value of 2.00%, OXY perfoms like the industry average, outperforming 41.90% of the companies in the same industry.
OXY has a Return On Equity (4.72%) which is comparable to the rest of the industry.
OXY has a Return On Invested Capital (5.19%) which is in line with its industry peers.
OXY had an Average Return On Invested Capital over the past 3 years of 9.21%. This is significantly below the industry average of 23.42%.
The 3 year average ROIC (9.21%) for OXY is well above the current ROIC(5.19%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2% | ||
| ROE | 4.72% | ||
| ROIC | 5.19% |
ROA(3y)8.36%
ROA(5y)1.51%
ROE(3y)20.32%
ROE(5y)-3.19%
ROIC(3y)9.21%
ROIC(5y)N/A
1.3 Margins
OXY's Profit Margin of 6.21% is in line compared to the rest of the industry. OXY outperforms 47.14% of its industry peers.
In the last couple of years the Profit Margin of OXY has grown nicely.
With a Operating Margin value of 20.10%, OXY perfoms like the industry average, outperforming 54.76% of the companies in the same industry.
In the last couple of years the Operating Margin of OXY has grown nicely.
OXY's Gross Margin of 63.94% is fine compared to the rest of the industry. OXY outperforms 71.90% of its industry peers.
In the last couple of years the Gross Margin of OXY has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 20.1% | ||
| PM (TTM) | 6.21% | ||
| GM | 63.94% |
OM growth 3Y5.21%
OM growth 5Y7.97%
PM growth 3Y14.69%
PM growth 5YN/A
GM growth 3Y-0.7%
GM growth 5Y0.5%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so OXY is still creating some value.
OXY has more shares outstanding than it did 1 year ago.
OXY has more shares outstanding than it did 5 years ago.
The debt/assets ratio for OXY is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 1.48, we must say that OXY is in the distress zone and has some risk of bankruptcy.
OXY has a Altman-Z score of 1.48. This is comparable to the rest of the industry: OXY outperforms 53.81% of its industry peers.
The Debt to FCF ratio of OXY is 4.98, which is a neutral value as it means it would take OXY, 4.98 years of fcf income to pay off all of its debts.
OXY has a Debt to FCF ratio of 4.98. This is in the better half of the industry: OXY outperforms 64.29% of its industry peers.
OXY has a Debt/Equity ratio of 0.65. This is a neutral value indicating OXY is somewhat dependend on debt financing.
The Debt to Equity ratio of OXY (0.65) is worse than 60.48% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.65 | ||
| Debt/FCF | 4.98 | ||
| Altman-Z | 1.48 |
ROIC/WACC0.6
WACC8.62%
2.3 Liquidity
OXY has a Current Ratio of 1.05. This is a normal value and indicates that OXY is financially healthy and should not expect problems in meeting its short term obligations.
With a Current ratio value of 1.05, OXY perfoms like the industry average, outperforming 46.19% of the companies in the same industry.
OXY has a Quick Ratio of 1.05. This is a bad value and indicates that OXY is not financially healthy enough and could expect problems in meeting its short term obligations.
OXY has a Quick ratio (0.83) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.05 | ||
| Quick Ratio | 0.83 |
3. Growth
3.1 Past
The earnings per share for OXY have decreased strongly by -14.53% in the last year.
Measured over the past years, OXY shows a quite strong growth in Earnings Per Share. The EPS has been growing by 16.39% on average per year.
The Revenue has been growing slightly by 0.10% in the past year.
Measured over the past years, OXY shows a small growth in Revenue. The Revenue has been growing by 5.03% on average per year.
EPS 1Y (TTM)-14.53%
EPS 3Y11.15%
EPS 5Y16.39%
EPS Q2Q%-62.14%
Revenue 1Y (TTM)0.1%
Revenue growth 3Y0.98%
Revenue growth 5Y5.03%
Sales Q2Q%-6.15%
3.2 Future
OXY is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 6.37% yearly.
Based on estimates for the next years, OXY will show a small growth in Revenue. The Revenue will grow by 1.41% on average per year.
EPS Next Y-32.97%
EPS Next 2Y-9.99%
EPS Next 3Y0.89%
EPS Next 5Y6.37%
Revenue Next Year-1.26%
Revenue Next 2Y0.42%
Revenue Next 3Y1.41%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 15.56, OXY is valued correctly.
OXY's Price/Earnings ratio is in line with the industry average.
When comparing the Price/Earnings ratio of OXY to the average of the S&P500 Index (27.08), we can say OXY is valued slightly cheaper.
Based on the Price/Forward Earnings ratio of 16.98, the valuation of OXY can be described as correct.
OXY's Price/Forward Earnings is on the same level as the industry average.
OXY is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 22.72, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.56 | ||
| Fwd PE | 16.98 |
4.2 Price Multiples
75.71% of the companies in the same industry are more expensive than OXY, based on the Enterprise Value to EBITDA ratio.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of OXY indicates a somewhat cheap valuation: OXY is cheaper than 77.14% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.81 | ||
| EV/EBITDA | 5.17 |
4.3 Compensation for Growth
The decent profitability rating of OXY may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.95
EPS Next 2Y-9.99%
EPS Next 3Y0.89%
5. Dividend
5.1 Amount
OXY has a Yearly Dividend Yield of 2.02%. Purely for dividend investing, there may be better candidates out there.
OXY's Dividend Yield is slightly below the industry average, which is at 6.11.
OXY's Dividend Yield is comparable with the S&P500 average which is at 2.35.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.02% |
5.2 History
The dividend of OXY decreases each year by -13.01%.
OXY has been paying a dividend for at least 10 years, so it has a reliable track record.
OXY has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)-13.01%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
OXY pays out 90.51% of its income as dividend. This is not a sustainable payout ratio.
DP90.51%
EPS Next 2Y-9.99%
EPS Next 3Y0.89%
47.61
+0.1 (+0.21%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners49.59%
Inst Owner Change0.83%
Ins Owners0.3%
Ins Owner Change7.86%
Market Cap46.87B
Analysts68
Price Target51.27 (7.69%)
Short Float %4.77%
Short Ratio2.82
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.02% |
Yearly Dividend1.59
Dividend Growth(5Y)-13.01%
DP90.51%
Div Incr Years3
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)23.66%
Min EPS beat(2)12.14%
Max EPS beat(2)35.18%
EPS beat(4)4
Avg EPS beat(4)23.8%
Min EPS beat(4)12.14%
Max EPS beat(4)35.18%
EPS beat(8)8
Avg EPS beat(8)21.66%
EPS beat(12)8
Avg EPS beat(12)11.63%
EPS beat(16)12
Avg EPS beat(16)13.13%
Revenue beat(2)1
Avg Revenue beat(2)0.06%
Min Revenue beat(2)-1.72%
Max Revenue beat(2)1.85%
Revenue beat(4)1
Avg Revenue beat(4)-1.49%
Min Revenue beat(4)-4.04%
Max Revenue beat(4)1.85%
Revenue beat(8)4
Avg Revenue beat(8)-0.9%
Revenue beat(12)4
Avg Revenue beat(12)-1.52%
Revenue beat(16)8
Avg Revenue beat(16)-0.2%
PT rev (1m)0.53%
PT rev (3m)4.24%
EPS NQ rev (1m)-17.13%
EPS NQ rev (3m)-52.19%
EPS NY rev (1m)-10.95%
EPS NY rev (3m)-4.74%
Revenue NQ rev (1m)3.61%
Revenue NQ rev (3m)-6.08%
Revenue NY rev (1m)2.16%
Revenue NY rev (3m)1.87%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.56 | ||
| Fwd PE | 16.98 | ||
| P/S | 1.73 | ||
| P/FCF | 9.81 | ||
| P/OCF | 3.86 | ||
| P/B | 1.31 | ||
| P/tB | 1.31 | ||
| EV/EBITDA | 5.17 |
EPS(TTM)3.06
EY6.43%
EPS(NY)2.8
Fwd EY5.89%
FCF(TTM)4.85
FCFY10.19%
OCF(TTM)12.34
OCFY25.91%
SpS27.58
BVpS36.29
TBVpS36.29
PEG (NY)N/A
PEG (5Y)0.95
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2% | ||
| ROE | 4.72% | ||
| ROCE | 7.2% | ||
| ROIC | 5.19% | ||
| ROICexc | 5.36% | ||
| ROICexgc | 5.36% | ||
| OM | 20.1% | ||
| PM (TTM) | 6.21% | ||
| GM | 63.94% | ||
| FCFM | 17.59% |
ROA(3y)8.36%
ROA(5y)1.51%
ROE(3y)20.32%
ROE(5y)-3.19%
ROIC(3y)9.21%
ROIC(5y)N/A
ROICexc(3y)9.39%
ROICexc(5y)N/A
ROICexgc(3y)9.46%
ROICexgc(5y)N/A
ROCE(3y)12.78%
ROCE(5y)N/A
ROICexcg growth 3Y1.28%
ROICexcg growth 5Y18.37%
ROICexc growth 3Y1.28%
ROICexc growth 5Y18.37%
OM growth 3Y5.21%
OM growth 5Y7.97%
PM growth 3Y14.69%
PM growth 5YN/A
GM growth 3Y-0.7%
GM growth 5Y0.5%
F-Score5
Asset Turnover0.32
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.65 | ||
| Debt/FCF | 4.98 | ||
| Debt/EBITDA | 1.77 | ||
| Cap/Depr | 95.02% | ||
| Cap/Sales | 27.15% | ||
| Interest Coverage | 3.96 | ||
| Cash Conversion | 91.92% | ||
| Profit Quality | 283.27% | ||
| Current Ratio | 1.05 | ||
| Quick Ratio | 0.83 | ||
| Altman-Z | 1.48 |
F-Score5
WACC8.62%
ROIC/WACC0.6
Cap/Depr(3y)83.82%
Cap/Depr(5y)63.35%
Cap/Sales(3y)20.24%
Cap/Sales(5y)17.2%
Profit Quality(3y)148.51%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-14.53%
EPS 3Y11.15%
EPS 5Y16.39%
EPS Q2Q%-62.14%
EPS Next Y-32.97%
EPS Next 2Y-9.99%
EPS Next 3Y0.89%
EPS Next 5Y6.37%
Revenue 1Y (TTM)0.1%
Revenue growth 3Y0.98%
Revenue growth 5Y5.03%
Sales Q2Q%-6.15%
Revenue Next Year-1.26%
Revenue Next 2Y0.42%
Revenue Next 3Y1.41%
Revenue Next 5YN/A
EBIT growth 1Y-2.38%
EBIT growth 3Y6.23%
EBIT growth 5Y13.4%
EBIT Next Year100.1%
EBIT Next 3Y30.86%
EBIT Next 5Y19.24%
FCF growth 1Y-43.2%
FCF growth 3Y-16.39%
FCF growth 5Y34.09%
OCF growth 1Y-14.36%
OCF growth 3Y3.11%
OCF growth 5Y9.18%