Exxon Mobil Corp: (XOM)
I would invest in Exxon Mobile as my “blue chip stock” because it is financially reliable, safe, and top in its category. The market cap is at 393.4 billion. The previous close was at 88.00 per share and today’s open was at 88.26; the volume was at approximately 88.01-88.83 per share. The YTD has a 1.92% increase. In addition, it is in the “Integrated Oil” industry which shouldn't suffer anytime soon since America relies on oil like nothing else. According to their 4yr trend, the net revenues and the cost of goods sold have been significantly increasing. Their earnings per share have dramatically increased from $3.98 in 2009 as opposed to $9.70 in 2012. It seems like it would bring a huge profit in the long run. I think that the stock can reach its previous early highs in the future. As of now, this year’s growth is down by 2.01%, but is expected to increase 1.66% in the next 5 years. In the next year, the forecast predicts a $106.00 (+20.2%) high and a $82.82 (-6.1%) low.
"We believe that ExxonMobil is the world’s best-run integrated oil company, based on its track record of superior return on capital employed. The company boasts diversified operations across the world with several new projects coming online through 2013. ExxonMobil’s strength is in its balanced operations, strong financial flexibility and continuous improvement in efficiency and cost control. The company’s efforts to build an unconventional resource portfolio both in North America and overseas is aimed at increasing production through increased exposure to large energy resources with long reserve life and low field declines.With the spike in natural gas prices from higher demand, ExxonMobil expects unconventional gas to play a dominant role in the future supplies, owing to the rapid decline in conventional production."
Vickery, Mark. "ExxonMobil: Earnings Rise, Sales Fall." Www.zacks.com. Zacks, 25 Apr. 2013. Web. 30 Apr. 2013. <http://www.zacks.com/stock/news/97875/exxonmobil-earnings-rise-sales-fall>.
Most blog analysts believe that Exxon will have financial problems, but they are ultimately the most powerful company in the oil industry (with their earnings continuing to rise). I think that by investing in this company, you are bound to make a decent amount of profit unless America stops relying on oil. Prices fluctuate a lot when it comes to gas, but people will continue to depend on it meaning consistent incoming profit for the investors.
Victoria Feldshteyn C Band
0 comments:
Post a Comment