/biz/ - Business & Finance

What is the Exxon-Mobil scandal?

>>18959713
No such thing.

i was thinking the divvy was high too. like investors are just trying to slowly gut the company, instead of reinvest revenue. high dividend means low confidence in growth.

>>18959605
>he thinks he's getting dividends from an oil stock this year

>>18960794
EXXON raised the dividend every year since 2007. They are keeping the .89 dividend in place and not raising it for the first time in 13 years. The stock price will close to double within a couple of years

>>18959605
i bought a basket of CVX RDS.B and EPD for oil play. just gonna shovel money in for awhile

>>18960870
I bought RDS also right before they slashed the dividend. Thinking about dumping it and buying XOM

>>18959605
Oil is in long term decline. Its major market is energy, which is being replaced with renewables + battery tech.

I already took profits from my chad PSX COP FANG CVX EPD ENB play. XOM is trash as is RDS. Take your profits and buy high IQ stuff

>>18960942
not in our lifetimes. Also big companies like XOM RDS And CVX are all diversifying into renewable. These companies wont be going anywhere. They have too much power and capital

>>18960926
I would just hold or add honestly. If oil stays this low then most all oil companies will have to cut eventaually. shell just did it proactively to remain flexible.

>>18960955
whats your definition of high HQ stuff? Also you're a dumbass for taking profits out of any oil stock. We are just starting the rise back up. WTI is still in the 20's

>>18960996
I was seriously thinking about dumping in oil during the crash. At first I was just looking at XLE due to way less risk due to the fact its a managed ETF. But XOM is solid and that dividend yield though definitely makes up for long term play.

>>18960942
XOM will be a leader in renewables long before any new player. They aren’t retards. That said, renewables won’t replace gas in rural or third world places within our lifetimes.

>>18961017
**IQ

>>18961028
Thats what im saying. if you bought a couple thousand shares right now and reinvested the dividends you would do very well long term.

or just buy airline stocks like delta or aero stock like boeing. Get 2-3x ur money when things get rolling and get dividends also. XOM stock is not growing at all over the years. You get dividends but stock is slowly bleeding in value.

>>18961154
Planes run on oil. Boeing and XOM will go up together.

>>18961154
certain airlines might not be around in a few years. XOM will be

>>18961017
t. low IQ

>>18960996
>>18961036
As long as any of these shite oil companies LITERALLY aren't owning the giant ball of flame over our heads called the sun, they are going to bleed money.

You'd be a fool to think that renewable energy isn't the absolute future.
Battery tech IS the solution to fixing renewable energy. The cost decline and exponential development of batteries is just the beginning.
These companies can diversify all they want, but if they're not winning in battery tech, then it's byebye.

Oh and "not in our lifetimes", think again. The sun is a fucking money printing energy MACHINE. Oil is difficult to acquire, and there's a finite amount.

>>18961359
Yeah right now not even homes are fully using solar you fucking retard. We are at least 15-20 years away from renewables beating oil in efficiency if not more.

I'll know the age of oil at at an end when I hear of the first Boeing jet or a Lamborghini top model using solar. Now that isn't happening within 1-2 decades.

>>18961359
moron, EXXON is already a huge player in renewable. They big oil companies can buy any meme battery company they want.

>>18961438
lol @ this pathetic bagholder. If you want to a chad renewable buy BEP or NEE. Easy 20%CAGR stock goes up stocks. If you want a dying trashcan buy XOM.

>>18961434
Of course homes aren't fully using solar, they don't have to when wind and water turbines exist as a buffer for more energy - which IS renewable energy.

The average purchased consumer car WILL be replaced with EVs in the next 10 years. Guess which industry is using the most volume of oil: average consumer car or fucking jet planes? Yeah, jet planes are not even close.

You lack vision.

>>18961438
Ok, so why aren't EXXON buying Panasonic then? Yeah, I didn't think so.

>>18959605
i put 4k into XOM and CVX in the march dip. they're both up like 20%. i hope oil crashes again so i can buy more.

>>18960942
real niggas (like me) hedge their oil portfolio with lithium ion portfolios

Id look into BORR drilling. Looking good after hours and all month low starting to get attention. Definitely oversold stock 14x than before the rona.

>>18959713
the valdez oil spill? that was 30 years ago zoomer

>>18961908

lithium is actually not that great of a commodity investment. there is plenty of raw lithium ore it just takes awhile to process. Real chad battery investors have scarce metals like cobalt, vanadium, and nickel in their portfolios

>>18959605
Bro who the fuck has 300k to put on a stock?
I am investing with 1k. Exxon is worthless to me

>>18962075
m8 those are all involved in my portfolio. it's kind of rare that comapies mine JUST lithium

>>18959605
Because you could get the same dividend on EURN which has 1/5th the share price. 5000 shares of XOM is >230k and yield, at 0.89 per share, 17800 per year. That's 22074 shares of EURN, which yield 71520 per year.

>>18960942
You can synthesize more oil, you cannot make more lithium.
Twenty years from now lithium will be so expensive that drugs made using complex organic synthesis will be cheaper to treat bipolar disorder than lithium carbonate.

>>18961036
Renewables won't replace anything. I am making a bet: lithium becomes scarce and the pollution from solar panel production becomes apparent, causing an energy stock crash in thirty years.
Everyone who has tried to make a chargeable battery with sodium as the charge carrier has failed, there is no npn material that can handle it.

>>18962075

ah gotcha ya I actually had to make a Interactive Broker account to invest in the good high grade nickel miners.

>>18962282
Wrong. Lithium ore will not be the bottleneck for batteries. It will be cobalt and high grade nickel

>>18962364
wrong tag
>>18962127

>>18962364
We can find more hole material for long term inductance. We cannot magically make hole msterials change their quantum structure to accept larger charge carriers and still flow.

>>18959605
I have 12 shares. Jealous?

>>18962075
Look into hafnium, indium and gallium. Those may be gone in a few decades. We will not run out of nickel for hundreds of years and have limitless sources of recovery.

>>18962411
But from an investment perspective there will be a supply crunch in the other battery metals first in the next decade or two. Lithium scarcity won't hit until much later as I understand it. I hope we just have uranium or hydrogen fuel cells by then

>>18962499
how recoverable is the battery grade nickel though? thanks for the suggestions. also what do you think of cobalt and vanadium?

>>18959605
>>Why would you
Here's why I will not
https://www.xtoenergy.com
it's over anons
t.insider

>>18959605
reminder you need atleast 100 shares to make it

Don't invest in xom until after tsla battery day. Whenever that is.

>>18960942
Big oil sponsors the renewable and the green movement

>>18960858
Look at what shell did recently. Thank me later

>>18962168
EURN .81 per share quarterly. Did I read that right?

>>18962859
That's exactly correct. There is a catch of course: while it's guaranteed to be that or (almost guaranteed) even higher (possibly as high as double that for a quarter or two), tankers will not be able to maintain that for more than 2 years, and will probably have to reduce these dividends within 1.5 years at most. Not that xom divvies are that good in the current climate even if your goal is stable divvies for life.

>>18959605
Because July is going to tank and everyone will get the memo: oil is permanently affected by eternal telecommuting.

I don't quite understand dividends yet.

SHould I just throw 1000 into Eurn then?

Do I need over a certain amount of shares? I get divvies every year?

its like .06 cents a stock or from their profit?

you need thousands of this stock to make it worth it. fuck.

>>18963357
yeah Im not buying anything until I see what happens next week.

oil better not fucking tank, I think thats impossible

>>18962553
Nickel is alloyed with zinc and copper. Nickel is much less polarizable than copper, and it would take half an inorganic chemistry course to explain why that makes tjem easy to separate, but basically metals naturally bind to oxygen and sulfur, copper can bind to sulfur and oxygen and nickel reaaly doesn't bind to sulfur, so they can be separated by mass and potentiation. Zinc can be washed out after dissolving metals as a salt.
The metals I listed are rare and used in most cell phones, computers, etc.

>>18961359
You know big oil has purposefully funded and misled green energy efforts for decades now right? They are already the leaders in renewable energy, it’s just more cost effective to keep on pumping. >>18961359

>>18962553
Cobalt is recoverable because it's electron cloud deformation is extremely similar to nickel, so ditto what I said in that post. Vanadium is good but gallium, indium and hafnium are where vanadium was at thirty years ago, less cost ground floor option.

>>18960858
i think it's 0.87/share.
they have until end of year to raise dividend to keep aristocrat status.

>>18959605

Well well well.

Funny you should ask anon.

In my Roth IRA.... I did.

>>18960996
>>18961036

Just like how Kodak successfully rotated into digital photography

>>18964364
Please, no rich fags.

Chevron & Exxon are going to moon in 2-3 years. The low price of oil over time will crush small players. You'll eventually have a situation where only giant oil companies will produce the oil when the economy rebounds. CHA CHING$$$$$$$

>>18963390
Our government will bail them out before they tank. May not have hit the bottom yet, but they'll never disappear

>>18961701
EVs are terrible. Hydrogen fuel is much more environmentally friendly provided the tank doesn't explode.

>>18959605
I can't stand to watch anons get bad investment advice on biz any longer.

OP investing in Exxon is a mistake. With all companies, but oil companies especially, pay close attention to returns on invested capital. Over the past ten years, after Tillerson's departure especially, XOM has done a terrible job of ensuring incremental earnings from capital reinvestment.

The article I linked to below puts a lot of it into context and how XOM has faded as a major oil firm in the world over the past ten years. The effect of all of this is that the company has shrunk and investors haven't earned a real return in quite a while.

For a better understanding about how capital investment effects earnings and secular growth, look to Buffett. He has written extensively about the topic.

A better oil major to invest in atm is Shell. RDS.B if you live in the States

https://www.bloomberg.com/features/2020-exxonmobil-coronavirus-oil-demand/

>>18964814
>bailout investing

>>18961359
>Battery tech IS the
Big oil only needs to become big solar/geothermal/nuclear. But renewables have to be paid for by the government because they have such low return on investment for investors. Electricity is just too cheap to make money to expand off of.

>>18964966
They have too much really expensive oil infrastructure to comfortably rotate into an entire different type of energy tech. They're pretty much committed.

New startups would have much better luck making it big in renewables.

>>18961897
Do you think it will, I heard oil was gonna crash around 5/19 5/20

im more trying to figure out when to place my tanker calls tho..

>>18965112
why 5/19 5/20? earning reports?

>>18965172
Just from what I heard from oil anons speculating in a tanker thread

>>18965015
Except that the capex in renewables is also quite high for any meaningful deployment. Bit of a chicken and the egg

>>18959605
i already doubled up on xom calls and moved on to other things

Poor liquidity compared to the alternatives and its highly valued for its current fundamentals, still a good buy, buy RDS as well.

>>18965361
>it’s overpriced and has low liquidity but you should absolutely pump my bags

>>18965317
The sooner oil companies start exploring renewables the better, because they're going to be bleeding serious money the sooner they hold out I think.

I THINK, this is all just layman interpretation.
I dont know anything for sure, to be honest.
This is all some wild shit lol

>>18965381
The answer to the conundrum that the majors buy up startups and help them scale. That happens all the time: google “shell energy challenge” just as an example.

>>18965381
Sorry, “shell new energy challenge.” Shell energy challenge links to a hilariously horse-shit shell backed nutrition initiative or some such

>>18965380
It's a classic meme stock, people will buy it for the next 100 years. Given its current P/E ratio relative to the past I'd say its a good buy because people have valued it far more in the past 5 years. It is just the price relative to its books mean its not what you would typically consider under valued, it would be seen as over valued. Of course that's looking at it in a vaccum tho, so I'd say other things considered buy some.

>>18962859
If youre into divvies, give energy transfer a look. 16% annual. 30c/qrtr/share stock is 7.66 right now.

>>18965937
What are the best stable dividend stocks right now? In the energy sector and others

>>18964458
>Just like how Kodak successfully rotated into digital photography

Good job comparing completely different companies in different industries in different years. What's your argument, that some camera company failed to evolve years ago, therefore an oil company now also will fail to evolve? Ask me how I know you're a brainlet. People who thinks we're going to transition away from oil any time soon are idiots.

>>18966057
Verizon, hormel. ups. Basically all the shit people use everyday that you dont anticipate will have a sudden drastic reduction in value. Food stocks. Utilities. Oil comps if you believe their price will stabilize anytime in the near future.

>>18959605
Because I sold ExxonMobil, bought CEQP and will make more divs and 5x in 2-3 yrs

>>18962837
Shell also invest money in fucking solar panels and windmills.

>>18965015
Hydrogen

>>18966640
>An industry that relies heavily on a market-manipulated asset that can get skullfucked when too much of it is pulled out at the same time
>One historically known to suppress innovation to protect its industry yet cant protect itself from its own competitors

Ask me how I know you invested all in on USO

>>18959605
That is only an 8.5% annual return. With 235k you should be buying and renting property.

>>18967170
Not when the stock is half off and you can double the initial investment on top of securing nice dividends.

>>18967373
I factored the price of the stock into my math. Plus, there are better stocks to invest in if you're looking to multiply your investment.

>>18959605
>be me
>be 4th of February 2020
>"i'll try to get into stocks"
>XOM seems good
>buy
the fucking end

i'll buy in later just to average down but not until i hear some really good news about oil

>>18962432
Don't you need at least 100 to sell options against it for that bit extra? Might be worth picking up some more to juice your returns further.

>>18960942
>Oil is in long term decline

>>18960942
Petroleum is used so much shit. It’ll never go away >>18960955