OCCIDENTAL PETROLEUM CORP (OPC.DE) Stock Fundamental Analysis
FRA:OPC - Deutsche Boerse Ag - US6745991058 - Common Stock - Currency: EUR
We assign a fundamental rating of 3 out of 10 to OPC. OPC was compared to 62 industry peers in the Oil, Gas & Consumable Fuels industry. There are concerns on the financial health of OPC while its profitability can be described as average. OPC does not seem to be growing, but still is valued expensively.
1. Profitability
1.1 Basic Checks
In the past year OPC was profitable.
OPC had a positive operating cash flow in the past year.
In multiple years OPC reported negative net income over the last 5 years.
In the past 5 years OPC always reported a positive cash flow from operatings.
1.2 Ratios
With a Return On Assets value of 4.30%, OPC is not doing good in the industry: 63.33% of the companies in the same industry are doing better.
OPC has a worse Return On Equity (10.63%) than 66.67% of its industry peers.
Looking at the Return On Invested Capital, with a value of 6.28%, OPC is doing worse than 66.67% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for OPC is in line with the industry average of 12.33%.
The 3 year average ROIC (10.72%) for OPC is well above the current ROIC(6.28%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.3% | ||
| ROE | 10.63% | ||
| ROIC | 6.28% |
ROA(3y)8.12%
ROA(5y)0.77%
ROE(3y)20.51%
ROE(5y)-5.15%
ROIC(3y)10.72%
ROIC(5y)N/A
1.3 Margins
The Profit Margin of OPC (13.59%) is better than 61.67% of its industry peers.
OPC's Profit Margin has declined in the last couple of years.
OPC has a Operating Margin (21.11%) which is in line with its industry peers.
OPC's Operating Margin has declined in the last couple of years.
OPC's Gross Margin of 61.77% is fine compared to the rest of the industry. OPC outperforms 70.00% of its industry peers.
In the last couple of years the Gross Margin of OPC has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 21.11% | ||
| PM (TTM) | 13.59% | ||
| GM | 61.77% |
OM growth 3YN/A
OM growth 5Y-4.45%
PM growth 3YN/A
PM growth 5Y-10.42%
GM growth 3Y2.44%
GM growth 5Y-0.96%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so OPC is still creating some value.
The number of shares outstanding for OPC has been reduced compared to 1 year ago.
Compared to 5 years ago, OPC has more shares outstanding
OPC has a better debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 1.41, we must say that OPC is in the distress zone and has some risk of bankruptcy.
The Altman-Z score of OPC (1.41) is worse than 70.00% of its industry peers.
The Debt to FCF ratio of OPC is 5.87, which is a neutral value as it means it would take OPC, 5.87 years of fcf income to pay off all of its debts.
OPC has a Debt to FCF ratio (5.87) which is in line with its industry peers.
OPC has a Debt/Equity ratio of 0.73. This is a neutral value indicating OPC is somewhat dependend on debt financing.
OPC has a worse Debt to Equity ratio (0.73) than 73.33% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.73 | ||
| Debt/FCF | 5.87 | ||
| Altman-Z | 1.41 |
ROIC/WACC0.76
WACC8.29%
2.3 Liquidity
OPC has a Current Ratio of 1.00. This is a normal value and indicates that OPC is financially healthy and should not expect problems in meeting its short term obligations.
OPC's Current ratio of 1.00 is on the low side compared to the rest of the industry. OPC is outperformed by 83.33% of its industry peers.
A Quick Ratio of 0.76 indicates that OPC may have some problems paying its short term obligations.
OPC's Quick ratio of 0.76 is on the low side compared to the rest of the industry. OPC is outperformed by 85.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1 | ||
| Quick Ratio | 0.76 |
3. Growth
3.1 Past
The earnings per share for OPC have decreased strongly by -25.44% in the last year.
The Earnings Per Share has been decreasing by -6.38% on average over the past years.
Looking at the last year, OPC shows a decrease in Revenue. The Revenue has decreased by -7.58% in the last year.
Measured over the past years, OPC shows a quite strong growth in Revenue. The Revenue has been growing by 9.72% on average per year.
EPS 1Y (TTM)-25.44%
EPS 3YN/A
EPS 5Y-6.38%
EPS Q2Q%-15.25%
Revenue 1Y (TTM)-7.58%
Revenue growth 3Y16.38%
Revenue growth 5Y9.72%
Sales Q2Q%-0.75%
3.2 Future
OPC is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 2.97% yearly.
The Revenue is expected to grow by 2.40% on average over the next years.
EPS Next Y-6.82%
EPS Next 2Y-2.71%
EPS Next 3Y3.04%
EPS Next 5Y2.97%
Revenue Next Year-3.68%
Revenue Next 2Y0.9%
Revenue Next 3Y2.4%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better 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
The Price/Earnings ratio is 13.95, which indicates a correct valuation of OPC.
Based on the Price/Earnings ratio, OPC is valued a bit more expensive than 65.00% of the companies in the same industry.
When comparing the Price/Earnings ratio of OPC to the average of the S&P500 Index (28.47), we can say OPC is valued rather cheaply.
A Price/Forward Earnings ratio of 13.58 indicates a correct valuation of OPC.
Compared to the rest of the industry, the Price/Forward Earnings ratio of OPC is on the same level as its industry peers.
Compared to an average S&P500 Price/Forward Earnings ratio of 92.74, OPC is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.95 | ||
| Fwd PE | 13.58 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as OPC.
The rest of the industry has a similar Price/Free Cash Flow ratio as OPC.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.8 | ||
| EV/EBITDA | 5.4 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-2.71%
EPS Next 3Y3.04%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.80%, OPC has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 60.90, OPC is paying slightly less dividend.
OPC's Dividend Yield is slightly below the S&P500 average, which is at 2.28.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.8% |
5.2 History
The dividend of OPC decreases each year by -13.32%.
Dividend Growth(5Y)-13.32%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
37.94% of the earnings are spent on dividend by OPC. This is a low number and sustainable payout ratio.
DP37.94%
EPS Next 2Y-2.71%
EPS Next 3Y3.04%
OCCIDENTAL PETROLEUM CORP
FRA:OPC (2/4/2025, 7:00:00 PM)
45.895
+0.8 (+1.79%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners50.11%
Inst Owner ChangeN/A
Ins Owners0.27%
Ins Owner ChangeN/A
Market Cap43.07B
Analysts68.75
Price Target59.45 (29.53%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.8% |
Yearly Dividend1.53
Dividend Growth(5Y)-13.32%
DP37.94%
Div Incr Years3
Div Non Decr Years3
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)32.93%
Min EPS beat(2)31.67%
Max EPS beat(2)34.19%
EPS beat(4)4
Avg EPS beat(4)18.43%
Min EPS beat(4)3.43%
Max EPS beat(4)34.19%
EPS beat(8)5
Avg EPS beat(8)10.07%
EPS beat(12)8
Avg EPS beat(12)9.88%
EPS beat(16)11
Avg EPS beat(16)62.25%
Revenue beat(2)1
Avg Revenue beat(2)-0.98%
Min Revenue beat(2)-2.05%
Max Revenue beat(2)0.1%
Revenue beat(4)2
Avg Revenue beat(4)-1.46%
Min Revenue beat(4)-11.11%
Max Revenue beat(4)7.22%
Revenue beat(8)3
Avg Revenue beat(8)-1.48%
Revenue beat(12)6
Avg Revenue beat(12)0%
Revenue beat(16)9
Avg Revenue beat(16)0.45%
PT rev (1m)-1.95%
PT rev (3m)0.57%
EPS NQ rev (1m)-3.49%
EPS NQ rev (3m)-33.69%
EPS NY rev (1m)-0.32%
EPS NY rev (3m)6.62%
Revenue NQ rev (1m)0.95%
Revenue NQ rev (3m)-11.03%
Revenue NY rev (1m)0.07%
Revenue NY rev (3m)-1.49%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.95 | ||
| Fwd PE | 13.58 | ||
| P/S | 1.64 | ||
| P/FCF | 9.8 | ||
| P/OCF | 3.93 | ||
| P/B | 1.28 | ||
| P/tB | 1.28 | ||
| EV/EBITDA | 5.4 |
EPS(TTM)3.29
EY7.17%
EPS(NY)3.38
Fwd EY7.36%
FCF(TTM)4.68
FCFY10.2%
OCF(TTM)11.67
OCFY25.44%
SpS27.98
BVpS35.75
TBVpS35.75
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.3% | ||
| ROE | 10.63% | ||
| ROCE | 7.51% | ||
| ROIC | 6.28% | ||
| ROICexc | 6.43% | ||
| ROICexgc | 6.43% | ||
| OM | 21.11% | ||
| PM (TTM) | 13.59% | ||
| GM | 61.77% | ||
| FCFM | 16.73% |
ROA(3y)8.12%
ROA(5y)0.77%
ROE(3y)20.51%
ROE(5y)-5.15%
ROIC(3y)10.72%
ROIC(5y)N/A
ROICexc(3y)10.96%
ROICexc(5y)N/A
ROICexgc(3y)11.03%
ROICexgc(5y)N/A
ROCE(3y)12.81%
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5Y-7.3%
ROICexc growth 3YN/A
ROICexc growth 5Y-7.78%
OM growth 3YN/A
OM growth 5Y-4.45%
PM growth 3YN/A
PM growth 5Y-10.42%
GM growth 3Y2.44%
GM growth 5Y-0.96%
F-Score4
Asset Turnover0.32
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.73 | ||
| Debt/FCF | 5.87 | ||
| Debt/EBITDA | 1.98 | ||
| Cap/Depr | 95.28% | ||
| Cap/Sales | 24.99% | ||
| Interest Coverage | 5.26 | ||
| Cash Conversion | 88.14% | ||
| Profit Quality | 123.16% | ||
| Current Ratio | 1 | ||
| Quick Ratio | 0.76 | ||
| Altman-Z | 1.41 |
F-Score4
WACC8.29%
ROIC/WACC0.76
Cap/Depr(3y)63.41%
Cap/Depr(5y)65.56%
Cap/Sales(3y)15.13%
Cap/Sales(5y)17.92%
Profit Quality(3y)251.83%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-25.44%
EPS 3YN/A
EPS 5Y-6.38%
EPS Q2Q%-15.25%
EPS Next Y-6.82%
EPS Next 2Y-2.71%
EPS Next 3Y3.04%
EPS Next 5Y2.97%
Revenue 1Y (TTM)-7.58%
Revenue growth 3Y16.38%
Revenue growth 5Y9.72%
Sales Q2Q%-0.75%
Revenue Next Year-3.68%
Revenue Next 2Y0.9%
Revenue Next 3Y2.4%
Revenue Next 5YN/A
EBIT growth 1Y-23.73%
EBIT growth 3YN/A
EBIT growth 5Y4.84%
EBIT Next Year100.18%
EBIT Next 3Y31.27%
EBIT Next 5Y18.29%
FCF growth 1Y-62.2%
FCF growth 3Y62.01%
FCF growth 5Y17.52%
OCF growth 1Y-28.91%
OCF growth 3Y46%
OCF growth 5Y9.92%