Today, Exxon Mobil Corp (XOM, Financial) recorded a daily loss of -4.01%, with a 3-month gain of 6.37%. The company reported Earnings Per Share (EPS) (EPS) of 12.5. The question on investors' minds is: Is the stock fairly valued? This article provides an in-depth analysis of Exxon Mobil's valuation, financial strength, profitability, and growth. We encourage readers to delve into the following sections to understand the company's true worth.
Company Overview
ExxonMobil is a globally integrated oil and gas company that explores, produces, and refines oil across the world. In 2022, it produced 2.4 million barrels of liquids and 8.3 billion cubic feet of natural gas per day. The company holds reserves of 17.7 billion barrels of oil equivalent, with liquids accounting for 65%. As the world's largest refiner, ExxonMobil boasts a total global refining capacity of 4.6 million barrels of oil per day. It is also one of the world's largest manufacturers of commodity and specialty chemicals.
Exxon Mobil's current stock price stands at $106.02, with a market cap of $422.60 billion. How does this compare with its fair value? Let's examine the company's GF Value.
Understanding GF Value
The GF Value is a proprietary measure of a stock's intrinsic value, calculated based on historical trading multiples, a GuruFocus adjustment factor based on past performance and growth, and future business performance estimates. The GF Value Line provides an overview of the fair value at which the stock should ideally be traded.
Exxon Mobil (XOM, Financial) appears to be fairly valued according to the GF Value. If the stock price is significantly above the GF Value Line, it is overvalued and its future return is likely to be poor. Conversely, if the stock price is considerably below the GF Value Line, the stock may be undervalued and likely to deliver high future returns. Given Exxon Mobil's current price of $106.02 per share and a market cap of $422.60 billion, the stock appears to be fairly valued.
As Exxon Mobil is fairly valued, the long-term return of its stock is likely to be close to the rate of its business growth.
Link: These companies may deliver higher future returns at reduced risk.
[The remaining content was cut off due to character limit]This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.
