Thematic: XOM Guyana Chevron Permian

By Paul Sankey Published on March 2, 2024 at 6:35 PM

From left field, ExxonMobil threw a wrench in the Chevron deal for Hess, a deal which we love from Chevron’s point of view. At the time, we were working on a look at Chevron in the Permian, and this is that note. First, the anaconda in the room: Source: Sankey Research Word on the street this week has been that ExxonMobil wants to buy all of Hess, but is currently prevented from making a move…

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Morning FANG-Endeavor $200: Love Bite

By Paul Sankey Published on February 13, 2024 at 8:47 AM

At 6x pro forma EBITDA, FANG should be worth $180-190/share considering $11-12B EBITDA, less purchase-price adjusted net debt and midstream subsidiary Venom (VNOM) non-controlling interest. From there, it is a gravitational pull to $200. Everyone loves round numbers. Like 5,500 on the S&P500. Or Nvidia $1,000. But for oils, we have to rely on fundamental cashflow-based valuation. Source: Company reports, Sankey Research ~ Today’s WSJ feature on Autrey Stephens, the owner of Endeavor Energy, confirms…

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