Occidental Petroleum Corporation
Occidental Petroleum Corporation Fundamental Analysis
Occidental Petroleum Corporation (OXY-WT) shows weak financial fundamentals with a PE ratio of 22.12, profit margin of 9.19%, and ROE of 6.43%. The company generates $24.9B in annual revenue with weak year-over-year growth of -4.35%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 39.4/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze OXY-WT's fundamental strength across five key dimensions:
Efficiency Score
WeakOXY-WT struggles to generate sufficient returns from assets.
Valuation Score
ExcellentOXY-WT trades at attractive valuation levels.
Growth Score
WeakOXY-WT faces weak or negative growth trends.
Financial Health Score
ModerateOXY-WT shows balanced financial health with some risks.
Profitability Score
WeakOXY-WT struggles to sustain strong margins.
Key Financial Metrics
Is OXY-WT Expensive or Cheap?
P/E Ratio
OXY-WT trades at 22.12 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, OXY-WT's PEG of 1.33 indicates fair valuation.
Price to Book
The market values Occidental Petroleum Corporation at 1.41 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 4.47 times EBITDA. This is generally considered low.
How Well Does OXY-WT Make Money?
Net Profit Margin
For every $100 in sales, Occidental Petroleum Corporation keeps $9.19 as profit after all expenses.
Operating Margin
Core operations generate 14.91 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $6.43 in profit for every $100 of shareholder equity.
ROA
Occidental Petroleum Corporation generates $2.72 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Occidental Petroleum Corporation generates strong operating cash flow of $10.51B, reflecting robust business health.
Free Cash Flow
Occidental Petroleum Corporation generates strong free cash flow of $4.10B, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $4.15 in free cash annually.
FCF Yield
OXY-WT converts 8.07% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
22.12
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
1.33
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.41
vs 25 benchmark
P/S Ratio
Price to sales ratio
2.03
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.05
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.94
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.06
vs 25 benchmark
ROA
Return on assets percentage
0.03
vs 25 benchmark
ROCE
Return on capital employed
0.05
vs 25 benchmark
How OXY-WT Stacks Against Its Sector Peers
| Metric | OXY-WT Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 22.12 | 20.19 | Neutral |
| ROE | 6.43% | 1019.00% | Weak |
| Net Margin | 9.19% | -44017.00% (disorted) | Weak |
| Debt/Equity | 0.05 | -0.65 (disorted) | Distorted |
| Current Ratio | 0.94 | 4.60 | Weak Liquidity |
| ROA | 2.72% | -11655350.00% (disorted) | Weak |
OXY-WT outperforms its industry in 0 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Occidental Petroleum Corporation's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
25.21%
Industry Style: Cyclical, Value, Commodity
High GrowthEPS CAGR
505.04%
Industry Style: Cyclical, Value, Commodity
High GrowthFCF CAGR
37.70%
Industry Style: Cyclical, Value, Commodity
High Growth