Stock Analysis on Net
Stock Analysis on Net
Microsoft Excel LibreOffice Calc

Exxon Mobil Corp. (NYSE:XOM)

Market Value Added (MVA)

Advanced level

Market value added (MVA) is the difference between a firms’s fair value and its invested capital. MVA is a measure of the value a company has created in excess of the resources already committed to the enterprise.


MVA

Exxon Mobil Corp., MVA calculation

US$ in millions

Microsoft Excel LibreOffice Calc
Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
Fair value of debt1 48,037  37,711  42,957  43,055  38,900 
Operating lease liability 5,693  4,219  3,079  2,833  3,743 
Market value of common equity 224,348  336,540  320,945  335,577  338,533 
Noncontrolling interests 7,288  6,734  6,812  6,505  5,999 
Market (fair) value of ExxonMobil 285,366  385,204  373,793  387,970  387,174 
Less: Invested capital2 303,501  292,742  291,163  280,387  279,976 
MVA (18,135) 92,462  82,630  107,583  107,199 

Based on: 10-K (filing date: 2020-02-26), 10-K (filing date: 2019-02-27), 10-K (filing date: 2018-02-28), 10-K (filing date: 2017-02-22), 10-K (filing date: 2016-02-24).

1 Fair value of debt. See details »

2 Invested capital. See details »

Item Description The company
MVA Exxon Mobil Corp.’s market (fair) value less invested capital. Exxon Mobil Corp.’s MVA increased from 2017 to 2018 but then decreased significantly from 2018 to 2019.

MVA Spread Ratio

Exxon Mobil Corp., MVA spread ratio calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
Selected Financial Data (US$ in millions)
Market value added (MVA)1 (18,135) 92,462  82,630  107,583  107,199 
Invested capital2 303,501  292,742  291,163  280,387  279,976 
Performance Ratio
MVA spread ratio3 -5.98% 31.58% 28.38% 38.37% 38.29%
Benchmarks
MVA Spread Ratio, Competitors4
Chevron Corp. 21.23% 24.08% 21.31% 20.94% -7.59%

Based on: 10-K (filing date: 2020-02-26), 10-K (filing date: 2019-02-27), 10-K (filing date: 2018-02-28), 10-K (filing date: 2017-02-22), 10-K (filing date: 2016-02-24).

1 MVA. See details »

2 Invested capital. See details »

3 2019 Calculation
MVA spread ratio = 100 × MVA ÷ Invested capital
= 100 × -18,135 ÷ 303,501 = -5.98%

4 Click competitor name to see calculations.

Performance ratio Description The company
MVA spread ratio The ratio of MVA to invested capital. It measures the efficiency with which investors’ capital investment has translated into a franchise value and into an aggregate net present value premium. Exxon Mobil Corp.’s MVA spread ratio improved from 2017 to 2018 but then deteriorated significantly from 2018 to 2019.

MVA Margin

Exxon Mobil Corp., MVA margin calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
Selected Financial Data (US$ in millions)
Market value added (MVA)1 (18,135) 92,462  82,630  107,583  107,199 
Sales and other operating revenue 255,583  279,332  237,162  218,608  259,488 
Performance Ratio
MVA margin2 -7.10% 33.10% 34.84% 49.21% 41.31%
Benchmarks
MVA Margin, Competitors3
Chevron Corp. 29.71% 32.25% 32.93% 40.80% -12.84%

Based on: 10-K (filing date: 2020-02-26), 10-K (filing date: 2019-02-27), 10-K (filing date: 2018-02-28), 10-K (filing date: 2017-02-22), 10-K (filing date: 2016-02-24).

1 MVA. See details »

2 2019 Calculation
MVA margin = 100 × MVA ÷ Sales and other operating revenue
= 100 × -18,135 ÷ 255,583 = -7.10%

3 Click competitor name to see calculations.

Performance ratio Description The company
MVA margin The ratio of MVA to sales. It measures how efficiently and prodigiously sales translate into franchise value. Exxon Mobil Corp.’s MVA margin ratio deteriorated from 2017 to 2018 and from 2018 to 2019.