1. Chevron Corp. is an American multinational energy corporation that is headquartered in San Ramon, California. Chevron is active in more than 180 countries engaging in gas, oil, and geothermal energy industries. Chevron is one of the world’s six super major oil companies and is ranked the third largest company in the fortune 500 list by Fortune Magazine. Chevron’s market capitalization is 232.67 billion and had a net income of 26.18 billion in 2012. Also, some of Chevron’s best competitors are BP, Total SA, and Exxon Mobil Corporation.
2. The two big dips in stock price are from fluctuations of demand for oil during the summer. The S&P 500, Nasdaq, and the DOW all follow similar price swings in the three month chart as compared to Chevron’s, which, leads me to believe that it was not Chevron’s fault that their stock price fell but more of the economy’s. I also read an article on Yahoo about Chevron that briefly explained how oil production is not going as expected and Chevron is not reaping the amount of oil they hoped for. However, I could not find enough proof to connect Chevron’s oil production mishaps to the two bid dips in their 3 month stock chart. I do think it is a matter of
3. Total SA, BP, and Chevron all have big swings in stock prices throughout this twelve month period. However, Chevron seems to be following a positive path over the last 10 months and may end up out performing its competitors very soon. Also, Total SA seems to be on a positive pattern over the last two months but does not seem to be quite as reliable as Chevron.
This is because Chevron’s stock has been steadily increasing over the last 10 months as compared to Total SA’s shorter 2 months. Chevron’s gross margins have been steadily increasing, from about 30% a decade ago to over 40% today, which would imply that it has been able to successfully increase their shareholders’ value. This may explain why Chevron’s stock has been steadily increasing.
4. Chevron seems to be keeping pace with the S&P 500 and the DOW. This pattern is most likely is because of the economy influencing stock price swings. However, Chevron is underperforming somewhat as you can see the gap between the S&P 500, DOW, and Chevron slowly increase. As I mentioned before that this may be because of Chevron poor production of oil recently and lower prices.