Microsoft Excel LibreOffice Calc

Occidental Petroleum Corp. (OXY)


Common Stock Valuation Ratios (Price Multiples)

Difficulty: Beginner


Current Valuation Ratios

Occidental Petroleum Corp., current price multiples

Microsoft Excel LibreOffice Calc
Occidental Petroleum Corp. Chevron Corp. ConocoPhillips EOG Resources Inc. Exxon Mobil Corp. Phillips 66 Oil & Gas Producers Oil & Gas
Selected Financial Data
Current share price (P) $44.57
No. shares of common stock outstanding 748,348,543
Growth rate (g) 3.80%
 
Earnings per share (EPS) $5.52
Next year expected EPS $5.73
Operating profit per share $6.09
Sales per share $23.82
Book value per share (BVPS) $28.50
Ratios (Price Multiples)
Price to earnings (P/E) 8.07 14.83 9.13 12.89 13.87 7.92 12.49 13.27
Price to next year expected earnings 7.78 14.75 9.16 13.02 13.58 7.10 13.92 15.73
Price-earnings-growth (PEG) 2.13 27.33 6.68 0.69
Price to operating profit (P/OP) 7.32 15.22 6.53 9.86 13.06 8.59 11.56 11.77
Price to sales (P/S) 1.87 1.38 1.57 2.55 1.03 0.40 1.11 1.17
Price to book value (P/BV) 1.56 1.42 1.79 2.28 1.51 1.80 1.55 1.52

Based on: 10-K (filing date: 2019-02-21).

If company price multiple is lower then the price multiple of benchmark then company stock is relatively undervalued.

Otherwise, if company price multiple is higher then the price multiple of benchmark then company stock is relatively overvalued.


Historical Valuation Ratios (Summary)

Occidental Petroleum Corp., historical price multiples

Microsoft Excel LibreOffice Calc
Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015 Dec 31, 2014
Price to earnings (P/E) 12.08 39.87 99.82
Price to operating profit (P/OP) 10.96 95.05
Price to sales (P/S) 2.80 4.18 4.94 4.27 3.18
Price to book value (P/BV) 2.34 2.54 2.32 2.19 1.76

Based on: 10-K (filing date: 2019-02-21), 10-K (filing date: 2018-02-23), 10-K (filing date: 2017-02-23), 10-K (filing date: 2016-02-26), 10-K (filing date: 2015-02-23).

Ratio Description The company
P/E ratio The P/E ratio tells analyst how much an investor in common stock pays per dollar of current earnings. Occidental Petroleum Corp.’s P/E ratio increased from 2016 to 2017 but then slightly declined from 2017 to 2018 not reaching 2016 level.
P/OP ratio Because P/E ratio is calculated using net income, the ratio can be sensitive to nonrecurring earnings and capital structure, analysts may use price to operating profit. Occidental Petroleum Corp.’s P/OP ratio increased from 2016 to 2017 but then slightly declined from 2017 to 2018 not reaching 2016 level.
P/S ratio An rationale for the P/S ratio is that sales, as the top line in an income statement, are generally less subject to distortion or manipulation than other fundamentals such as EPS or book value. Sales are also more stable than earnings and never negative. Occidental Petroleum Corp.’s P/S ratio declined from 2016 to 2017 and from 2017 to 2018.
P/BV ratio The P/BV ratio is interpreted as an indicator of market judgment about the relationship between a company’s required rate of return and its actual rate of return. Occidental Petroleum Corp.’s P/BV ratio increased from 2016 to 2017 but then slightly declined from 2017 to 2018 not reaching 2016 level.

Price to Earnings (P/E)

Occidental Petroleum Corp., historical P/E calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015 Dec 31, 2014
No. shares of common stock outstanding1 749,546,443 765,148,694 764,291,301 763,845,316 770,550,364
Selected Financial Data (USD $)
Net income (loss) attributable to common stock (in millions) 4,131  1,311  (574) (7,829) 616 
Earnings per share (EPS)2 5.51 1.71 -0.75 -10.25 0.80
Share price1, 3 66.60 68.32 65.25 69.80 79.80
Ratio
P/E ratio4 12.08 39.87 99.82
Benchmarks
P/E Ratio, Competitors5
Chevron Corp. 15.30 22.83 35.02 10.61
ConocoPhillips 12.60 12.03
EOG Resources Inc. 15.93 23.96 17.93
Exxon Mobil Corp. 16.15 16.28 42.80 20.96 11.56
Phillips 66 7.92 9.01 26.19 9.99 8.83
P/E Ratio, Sector
Oil & Gas Producers 14.36 20.39 208.26 82.26 12.23
P/E Ratio, Industry
Oil & Gas 15.19 25.35 371.97 75.40 13.80

Based on: 10-K (filing date: 2019-02-21), 10-K (filing date: 2018-02-23), 10-K (filing date: 2017-02-23), 10-K (filing date: 2016-02-26), 10-K (filing date: 2015-02-23).

1 Data adjusted for splits and stock dividends.

2 2018 Calculation
EPS = Net income (loss) attributable to common stock ÷ No. shares of common stock outstanding
= 4,131,000,000 ÷ 749,546,443 = 5.51

3 Close price on the filing date of Occidental Petroleum Corp.’s Annual Report.

4 2018 Calculation
P/E ratio = Share price ÷ EPS
= 66.60 ÷ 5.51 = 12.08

5 Click competitor name to see calculations.

Ratio Description The company
P/E ratio The P/E ratio tells analyst how much an investor in common stock pays per dollar of current earnings. Occidental Petroleum Corp.’s P/E ratio increased from 2016 to 2017 but then slightly declined from 2017 to 2018 not reaching 2016 level.

Price to Operating Profit (P/OP)

Occidental Petroleum Corp., historical P/OP calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015 Dec 31, 2014
No. shares of common stock outstanding1 749,546,443 765,148,694 764,291,301 763,845,316 770,550,364
Selected Financial Data (USD $)
Operating income (loss) (in millions) 4,556  550  (1,861) (9,756) (1,334)
Operating profit per share2 6.08 0.72 -2.43 -12.77 -1.73
Share price1, 3 66.60 68.32 65.25 69.80 79.80
Ratio
P/OP ratio4 10.96 95.05
Benchmarks
P/OP Ratio, Competitors5
Chevron Corp. 15.70 84.64 10.35
ConocoPhillips 9.00 11.84
EOG Resources Inc. 12.19 66.80 9.97
Exxon Mobil Corp. 15.21 26.58 358.52 26.28 11.03
Phillips 66 8.58 26.68 40.09 9.54 13.31
P/OP Ratio, Sector
Oil & Gas Producers 13.29 57.68 12.06
P/OP Ratio, Industry
Oil & Gas 13.48 57.07 12.65

Based on: 10-K (filing date: 2019-02-21), 10-K (filing date: 2018-02-23), 10-K (filing date: 2017-02-23), 10-K (filing date: 2016-02-26), 10-K (filing date: 2015-02-23).

1 Data adjusted for splits and stock dividends.

2 2018 Calculation
Operating profit per share = Operating income (loss) ÷ No. shares of common stock outstanding
= 4,556,000,000 ÷ 749,546,443 = 6.08

3 Close price on the filing date of Occidental Petroleum Corp.’s Annual Report.

4 2018 Calculation
P/OP ratio = Share price ÷ Operating profit per share
= 66.60 ÷ 6.08 = 10.96

5 Click competitor name to see calculations.

Ratio Description The company
P/OP ratio Because P/E ratio is calculated using net income, the ratio can be sensitive to nonrecurring earnings and capital structure, analysts may use price to operating profit. Occidental Petroleum Corp.’s P/OP ratio increased from 2016 to 2017 but then slightly declined from 2017 to 2018 not reaching 2016 level.

Price to Sales (P/S)

Occidental Petroleum Corp., historical P/S calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015 Dec 31, 2014
No. shares of common stock outstanding1 749,546,443 765,148,694 764,291,301 763,845,316 770,550,364
Selected Financial Data (USD $)
Net sales (in millions) 17,824  12,508  10,090  12,480  19,312 
Sales per share2 23.78 16.35 13.20 16.34 25.06
Share price1, 3 66.60 68.32 65.25 69.80 79.80
Ratio
P/S ratio4 2.80 4.18 4.94 4.27 3.18
Benchmarks
P/S Ratio, Competitors5
Chevron Corp. 1.43 1.56 1.91 1.24 1.02
ConocoPhillips 2.16 2.21 2.51 1.38 1.57
EOG Resources Inc. 3.15 5.52 7.38 4.30 2.90
Exxon Mobil Corp. 1.20 1.35 1.54 1.30 0.95
Phillips 66 0.40 0.45 0.48 0.43 0.26
P/S Ratio, Sector
Oil & Gas Producers 1.27 1.43 1.66 1.25 0.97
P/S Ratio, Industry
Oil & Gas 1.33 1.58 1.86 1.34 1.11

Based on: 10-K (filing date: 2019-02-21), 10-K (filing date: 2018-02-23), 10-K (filing date: 2017-02-23), 10-K (filing date: 2016-02-26), 10-K (filing date: 2015-02-23).

1 Data adjusted for splits and stock dividends.

2 2018 Calculation
Sales per share = Net sales ÷ No. shares of common stock outstanding
= 17,824,000,000 ÷ 749,546,443 = 23.78

3 Close price on the filing date of Occidental Petroleum Corp.’s Annual Report.

4 2018 Calculation
P/S ratio = Share price ÷ Sales per share
= 66.60 ÷ 23.78 = 2.80

5 Click competitor name to see calculations.

Ratio Description The company
P/S ratio An rationale for the P/S ratio is that sales, as the top line in an income statement, are generally less subject to distortion or manipulation than other fundamentals such as EPS or book value. Sales are also more stable than earnings and never negative. Occidental Petroleum Corp.’s P/S ratio declined from 2016 to 2017 and from 2017 to 2018.

Price to Book Value (P/BV)

Occidental Petroleum Corp., historical P/BV calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015 Dec 31, 2014
No. shares of common stock outstanding1 749,546,443 765,148,694 764,291,301 763,845,316 770,550,364
Selected Financial Data (USD $)
Stockholders’ equity (in millions) 21,330  20,572  21,497  24,350  34,959 
Book value per share (BVPS)2 28.46 26.89 28.13 31.88 45.37
Share price1, 3 66.60 68.32 65.25 69.80 79.80
Ratio
P/BV ratio4 2.34 2.54 2.32 2.19 1.76
Benchmarks
P/BV Ratio, Competitors5
Chevron Corp. 1.47 1.42 1.44 1.05 1.32
ConocoPhillips 2.47 2.10 1.70 1.02 1.59
EOG Resources Inc. 2.81 3.80 4.04 2.91 2.95
Exxon Mobil Corp. 1.75 1.71 2.01 1.98 2.16
Phillips 66 1.80 1.83 1.82 1.83 1.95
P/BV Ratio, Sector
Oil & Gas Producers 1.78 1.76 1.85 1.59 1.80
P/BV Ratio, Industry
Oil & Gas 1.74 1.81 1.91 1.60 1.92

Based on: 10-K (filing date: 2019-02-21), 10-K (filing date: 2018-02-23), 10-K (filing date: 2017-02-23), 10-K (filing date: 2016-02-26), 10-K (filing date: 2015-02-23).

1 Data adjusted for splits and stock dividends.

2 2018 Calculation
BVPS = Stockholders’ equity ÷ No. shares of common stock outstanding
= 21,330,000,000 ÷ 749,546,443 = 28.46

3 Close price on the filing date of Occidental Petroleum Corp.’s Annual Report.

4 2018 Calculation
P/BV ratio = Share price ÷ BVPS
= 66.60 ÷ 28.46 = 2.34

5 Click competitor name to see calculations.

Ratio Description The company
P/BV ratio The P/BV ratio is interpreted as an indicator of market judgment about the relationship between a company’s required rate of return and its actual rate of return. Occidental Petroleum Corp.’s P/BV ratio increased from 2016 to 2017 but then slightly declined from 2017 to 2018 not reaching 2016 level.