Oxy’s stock price and dividend are still lower today than before they acquired APC. Why is Vicki still around after that value destruction? Where is the accountability? Im about ready to sell my shares but wondering what Buffett sees in Oxy?
9 replies (most recent on top)
If anyone knew what Buffet thinks….
I can tell you what I see. Great strategy that matches the CO2 capture wanted by all the tree hugging activists with the business knowledge of the company. Oxy has been injecting CO2 for decades, no need to train anyone from outside the company to implement the strategy. With respect to stock price, if you’re an Oxy employee I’m suspect your cost basis is lower now than pre-APC because of the low price after APC. I’m not selling my stock unless I need the cash.
The problem is the Anadarko acquisition really messed them up with the debt. Oxy needs to see higher oil prices and to stay away from crownrock- like deals. Oh, and do some smart divestitures.
The execs and employees are doing Great! Big salary increases and high bonuses. It is the shareholders who are not doing well. It is a good company that needs to climb out of this hole.
OXY needs to up their dividend. The stock will not rise until they do.
@3okm+1ssCIeeG , What does your response have to do with anything??
@3okm+1ssCIeeG, how does when one bought stock have anything to do with when to sell it? OP is asking a valid question about what he/she should do with the stock he/she owns. One’s decision to buy, hold, or sell stock should be based on what you think the stock price is going to do in the future, not what the price was when you bought it. Basing your decision on the past price is simply foolish.
@3okm+1ssCIeeG believes the only fair analysis of Oxy’s stock price is to cherry pick its lowest price in 2020 and compare it to the end of 2023. If you compare it to pre APC, well that’s just foolish. By that logic, you can make any company’s stock price look good or look bad depending on which dates you pick.
OP’s question has to do with whether or not the acquisition had a positive or negative impact on the stock price and/or dividend. The timing of your or anyone’s stock purchases doesn’t answer that question. You must have not understood the question.
Perhaps when you do something material besides buy other companies production and take on debt. Oxy was a non event before the acquisitions and a non event after.
Surely all of the shares you’ve purchased since the acquisition have gains. Oxy was up 100% in 2023. Hopefully you didn’t just ride the share price down and not purchase more shares. That would be foolish.
Never.
Never. Buffett is only around for the preferred equity yielding a 9-10% dividend