| Valuation method | Value, CHF | Upside, % |
|---|---|---|
| Artificial intelligence (AI) | n/a | n/a |
| Intrinsic value (DCF) | n/a | |
| Graham-Dodd Method | 32.00 | -68 |
| Graham Formula | n/a |
Exxon Mobil Corporation (XOM.SW) is a global leader in the integrated oil and gas industry, with operations spanning exploration, production, refining, and petrochemicals. Headquartered in Irving, Texas, Exxon Mobil operates through three key segments: Upstream (oil and gas exploration and production), Downstream (refining and distribution), and Chemical (petrochemical manufacturing). The company boasts a diversified portfolio with proved reserves across 20,528 net operated wells as of 2021. Exxon Mobil is also investing in low-carbon initiatives, including carbon capture, hydrogen, and biofuels, positioning itself for the energy transition. With a market capitalization exceeding CHF 435 billion, Exxon Mobil is one of the largest publicly traded energy companies, offering stability and scale in a volatile sector. Its Swiss Exchange listing (SIX) provides European investors access to this energy giant, which remains a cornerstone of global energy supply chains.
Exxon Mobil presents a compelling investment case due to its strong balance sheet, diversified operations, and commitment to shareholder returns. With a net income of $36 billion in 2023 and robust operating cash flow of $55.4 billion, the company is well-positioned to sustain its dividend (CHF 3.35 per share) and fund strategic investments. Its beta of 0.907 suggests lower volatility compared to the broader market, appealing to risk-averse investors. However, exposure to fluctuating oil prices and regulatory risks in the energy transition could impact long-term growth. Exxon's scale, technological expertise, and investments in low-carbon solutions provide a competitive edge, but investors should weigh these strengths against sector-wide decarbonization pressures.
Exxon Mobil's competitive advantage lies in its integrated business model, which provides resilience against commodity price swings. Its Upstream segment benefits from a vast reserve base and technological leadership in deepwater and unconventional resources. The Downstream and Chemical segments add value through refining margins and high-demand petrochemical products. Exxon's R&D focus on carbon capture and biofuels differentiates it in the energy transition. However, the company faces stiff competition from other supermajors with similar scale and diversification. Unlike some European peers, Exxon has been slower to pivot aggressively toward renewables, which could be a long-term risk. Its financial strength (CHF 31.5 billion in cash) allows for strategic flexibility, but capital expenditures (CHF -21.9 billion in 2023) remain heavily weighted toward traditional energy. Exxon's Swiss listing (XOM.SW) enhances liquidity for European investors, though its primary competitor exposure remains global.