re: How many times will folks on this board get burned by XOM?

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what should i be buying

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NOT XOM if you want to preserve your principle!

Go with something like WMT. Dividend yield of 1.54%. $524B in revenue this year. Stock price solid as a rock with low beta of 0.27. For pure stability of stock price, you can't beat Walmart. Was trading at $120 prior to the market meldown in March, when it dropped to $104, now it is trading at $140. It is much less volatile than the overall stock market and probably as close to a bond that I can think of at this moment.

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How many times will folks on this board get burned by XOM?

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Well its primarily a LA based message board and one of the biggest industries in LA is O&G. It should not be surprising those companies get talked about the most.

hmmmm
you pretty much missed the entire point

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But tell me what’s going to change?

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1. Covid/worldwide demand/airline traffic
2. Fracking. Fracking has created a price cap the last few years. It's not going away, but many of those producers haven't weathered this storm as the majors have.

Dividend maintained. Layoffs announced today. Earnings announced tomorrow.

Stock should close up by Friday.

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None of the oil and gas companies are going anywhere anytime soon...Biden is all talk and whatever is trendy he is saying just to get elected....he is nothing but a senile liberal hippie Democrat and people are stupid to vote for him

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No one is saying they are about to go bankrupt

They are just saying that the era of both high dividends with high growth is now over, and there is zero objective metric to think otherwise.

And I say that as someone with significant holdings in Chevron, simply because they have the strongest balance sheet of the majors, combined with respectable international holdings (more so with the NOBLE acquisition)

But even then I plan to wind down my holdings on them over the next decade or so

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No one is saying they are about to go bankrupt

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I am. The majors aren't going bankrupt but a whole lot of the small operators are. Capital is going to be much more difficult for these guys to get their hands on, it is why you are seeing an uptick in frac spreads and rig counts. All of em are in a mad dash to get production online so Q4 won't look as bad as it actually is. Most are stuck in a prisoner's dilemma, they need everyone else to cut production so prices can rise yet they can't afford to cut production themselves.

Even with 2/3 of the GOM production shut in today due to the hurricane, prices are pooping the bed.

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“I just think that there’s only going to be three or four really survivors, independents, and that’s going to be probably most likely ConocoPhillips, EOG and Pioneer and maybe Hess long term.”

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this is a quote from Scott Sheffield from an article in Forbes from two days ago.

I am really surprised XOM confirmed their dividend.

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picking it as a dca for a dividend greater than 4.5 and it acts like a bond. oils have been beaten down so look at it for fixed income bucket..

if it goes down a little dividend goes up ..goes up...divy down...if they cut still will compete with bonds..especially now...

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I see where you're coming from, but I'd be careful looking at a common stock (this or any other) as a bond equivalent. With a bond, unless you're paying above face value, you have a solid idea of your purchase price coming back to you. That's not true of any common stock.

As for the dividend, unless the div is raised (or lowered), your yield doesn't change, as it's based on what you paid for it. A bond has a coupon that will remain unchanged, short of some sort of negative liquidity event.

I'm not saying what you should or shouldn't do with your money (ya know... since it's your money ), but if you already have enough corporate bonds, real estate and other investments, why not consider preferred stocks - since it's yield that you're really seeking here, as opposed to price appreciation? I've learned (the hard way ) not to chase yield in commons. So just throwing an idea out to you. Good luck either way.

In only 7 years, XOM went from the company with the highest market cap to a pile of manure worth less than Zoom.

Well they’ve stopped 401k matches and are laying off about 2000 people. If that doesn’t motivate the remaining employees to do their best....I guess they can try caffeine in the water coolers next.

My buddy has a short position on em and he was worried they would cut the dividend and the price would increase because it was being run as a real business.

With OPEC+ members grumbling about keeping output cuts I don’t see any good news for oil prices on the horizon. If you own this stock it might be time to make some decisions about where it is going and are you staying along for the ride.