From Seeming Alpha:
“Occidental (OXY) released Q1 results after the close Tuesday, beating Street earnings expectations, generating strong free cash flow and repaying 12% of debt outstanding:
Earnings - the company reported adjusted earnings per share of $2.12 for the first quarter of 2022, versus Street expectations for $2.03.
Cash flow - management delivered record quarterly free cash flow of $3.3b, or ~5.4% of the current market cap.
Capital allocation - the board previously announced the quarterly dividend (sub 1% yield); management repaid $3.3b of debt during the quarter en route to the Company’s near-term $20b net debt target.
Guide - the company plans to increase production over 6% into Q2, with growth driven by the Permian and International operations; full year production and capital guidance remains unchanged.
Occidental (OXY) has become a favorite amongst energy investors in 2022, as its relatively high sensitivity to crude prices and recent interest from Warren Buffett have driven shares higher by over 100% this year. While shares have performed well, the 20%+ free cash flow yield, paired with solid delivery on production and capital budgets should see shares trade well on the back of Tuesday’s release.”
12 Likes
“Occidental (OXY) released Q1 results after the close Tuesday, beating Street earnings expectations, generating strong free cash flow and repaying 12% of debt outstanding:
Earnings - the company reported adjusted earnings per share of $2.12 for the first quarter of 2022, versus Street expectations for $2.03.
Cash flow - management delivered record quarterly free cash flow of $3.3b, or ~5.4% of the current market cap.
Capital allocation - the board previously announced the quarterly dividend (sub 1% yield); management repaid $3.3b of debt during the quarter en route to the Company’s near-term $20b net debt target.
Guide - the company plans to increase production over 6% into Q2, with growth driven by the Permian and International operations; full year production and capital guidance remains unchanged.
Occidental (OXY) has become a favorite amongst energy investors in 2022, as its relatively high sensitivity to crude prices and recent interest from Warren Buffett have driven shares higher by over 100% this year. While shares have performed well, the 20%+ free cash flow yield, paired with solid delivery on production and capital budgets should see shares trade well on the back of Tuesday’s release.”
This inspires me while I am staring at my BABA position. 