Background

20th Stock

Today’s Stock:Today’s Stock:

Exxon Mobil Corporation engages in the exploration and production of crude oil and natural gas in the United States, Canada, and internationally. The company operates through Upstream, Energy Products, Chemical Products, and Specialty Products segments. Its Upstream segment explores for and produces crude oil and natural gas.

The Energy Products segment offers fuels, aromatics, and catalysts, as well as licensing services. Its Chemical Products segment manufactures and sells olefins, polyolefins, and intermediates. The Specialty Products segment offers finished lubricants, basestocks, waxes, synthetics, elastomers, and resins. It is also involved in the manufacture, trade, transport, and sale of crude oil, natural gas, petroleum products, petrochemicals, and other specialty products; and pursuit of lower-emission and business opportunities, including carbon capture and storage, hydrogen, lower-emission fuels, Proxxima resin systems, carbon materials, low-carbon data center, and lithium.

In addition, the company offers aviation fuel. It sells its products under the Exxon, Esso, and Mobil brands. Exxon Mobil Corporation was founded in 1870 and is headquartered in Spring, Texas.

My Thoughts 💭My Thoughts 💭

It’s Exxon Mobil the American Oil and Gas giant!! I remember when Exxon was the most valuable company in the world by market cap in the early 200s now at $600B it’s no where close to the top anymore thanks to tech boom. Ansel adding this company on the surface seems logical but one must ask how much more can this company grow? Let’s take a look at the fundamentals to get a better understanding of how this company operates.

At 224.4k sats per share ($71,158), and a 5.7k sat per share yearly dividend. It would take 39 years to break even.

The company trades at a PE 23 which means investors are paying $23 access $1 of earnings. An elevated price; not cheap but not terribly expensive either.

Let’s review some key fundamentals to determine if this stock is worth spending sats on.

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Bitcoin per share:Bitcoin per share:

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Ownership breakdown :Ownership breakdown :

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The fundamentals of this company are good. The balance sheet is decent, the growth prospects is average (projected to grow much slower than bitcoin), $23B in free cash flow is absolutely unbelievable, a CEO that may be underpaid, pays a decent dividend

The only negative is the elevated valuation. The market is demanding an elevated premium to own shares in this company I think because of the free cash flow.

This company just prints fiat. A few years of free cash flow can pay off all their debt! They can buy back stock or pay out dividends, do R&D, it’s absolutely crazy to see a number this large.

From a Bitcoiner perspective. Paying 224k sats for one share is a bit steep. But it may be worth it.

This company operates very well. They have growth, large free cash flows, a decent mix of who owns the stock float, a CEO who may be underpaid.

Here is the performance according to Simply Wall Street

XOM is a great company. I understand why investors flock to this stock. With re-industrialization I think this company is well positioned to capture market share and thus bring value back to the shareholders.

I think they ran some pilots on bitcoin mining as well so the team is innovating with the coming digital age. Adding shares of XOM to the Bitcoiners portfolio might not be a bad idea. Oil and gas will be needed for decades to come and XOM is running a fantastic business meeting the needs of their customers.