Occidental Petroleum (OXY) Stock Surges Over 3% Today Amid Changing To Different Management Business: Should You Buy Yet?

Occidental Petroleum (OXY) is a major oil company with a market cap of about $24 billion. Its stock price is 125% above compared to last year, but it has not moved up significantly over the last couple of months. As of today, it’s trading at $29.08 Although OXY’s carbon capture technology could provide a lot of value in the future, it will most likely take a long time for this to have a significant impact on the company’s bottom line.

Despite the uptick in oil prices, OXY’s profitability is still significantly below where it was before the crisis. This is largely due to the company’s ill-timed acquisition of Anadarko, which resulted in a massive profit drag due to the massive interest costs. Currently, OXY is trading for 22x its expected net profit, which seems high compared to the likes of EOG, which is a shale peer with good fundamentals and management.

Anthony Gonzales

Biotech, Tech, and Crypto reporterAnthony Gonzales brings 3 years of experience in helping grassroots, mid-sized organizations and large institutions strengthen their management and resource generating capacities and effectively plan for the future. He is also a mentor and professional advisor to artists working in all disciplines. He is the gold medalist from St. Marco University of Science and Technology in the Bachelors of Financial Management as well.