CHEVRON CORP.

NYSE-CVX RECENT
PRICE 156.50 P/ERATIO 13.9(Trailing:
Median: 24.0) P/E RATIO 0.74 YLD 4.4%
14.1 RELATIVE DIV’D VALUE
LINE
TIMELINESS 3 Raised 11/22/24 High:
Low:
127.8
108.7
135.1
100.1
113.0
69.6
119.0
75.3
126.2
102.6
133.9
100.2
127.3
107.1
122.7
51.6
119.3
83.9
189.7
117.3
187.8
140.7
167.1
135.4
Target Price Range
2027 2028 2029
SAFETY 2 Raised 5/24/24 LEGENDS
8.0 x ″Cash Flow″ p sh 640
TECHNICAL 4 Raised 11/22/24 . . . . Relative Price Strength
Options: Yes 480
BETA 1.15 (1.00 = Market) Shaded area indicates recession 400
18-Month Target Price Range 320
Low-High Midpoint (% to Mid) 240
200
$120-$176 $148 (-5%) 160
2027-29 PROJECTIONS 120
Ann’l Total
Price Gain Return 80
High 275 (+75%) 18% 60
Low 205 (+30%) 11%
% TOT. RETURN 10/24
Institutional Decisions THIS VL ARITH.*
4Q2023 1Q2024 2Q2024 STOCK INDEX
Percent 18 1 yr. 4.6 28.7
to Buy 1736 1835 1709 shares 12
to Sell 1453 1369 1476 3 yr. 43.5 10.7
traded 6
Hld’s(000)135189913355931376254 5 yr. 55.3 73.6
2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 © VALUE LINE PUB. LLC 27-29
136.21 85.50 102.85 128.06 124.27 119.61 112.74 73.55 60.52 74.41 87.42 77.84 49.19 84.19 128.58 107.71 110.30 117.80 Sales per sh 156.25
16.69 11.26 16.10 20.09 20.34 18.61 19.17 13.61 10.02 13.93 18.00 17.08 7.25 17.39 27.04 22.71 19.90 22.75 ‘‘Cash Flow’’ per sh 30.05
11.67 5.24 9.48 13.44 13.32 11.09 10.14 2.45 d.27 3.79 7.74 1.54 d2.96 8.14 18.28 13.34 10.60 12.25 Earnings per sh A 16.00
2.53 2.66 2.84 3.09 3.51 3.90 4.21 4.28 4.29 4.32 4.48 4.76 5.16 5.31 5.68 6.04 6.52 7.00 Div’ds Decl’d per sh B■ 8.50
9.81 9.89 9.84 13.38 15.89 19.85 18.83 15.67 9.57 7.04 7.25 7.50 4.63 4.17 6.25 8.48 8.90 10.35 Cap’l Spending per sh 15.00
43.23 45.79 52.74 61.67 70.80 78.62 83.07 81.11 76.95 77.77 81.22 76.62 68.40 72.06 83.17 86.27 89.15 92.25 Book Value per sh 101.55
2004.2 2007.4 1992.5 1981.2 1946.7 1913.3 1880.2 1882.8 1891.5 1904.7 1902.8 1882.2 1925.2 1929.8 1915.2 1865.6 1800.0 1740.0 Common Shs Outst’g C 1600.0
7.3 13.4 8.2 7.5 8.1 10.9 11.9 39.4 -- 29.4 15.5 NMF -- 12.8 8.7 12.0 Bold figures are Avg Ann’l P/E Ratio 15.0
.44 .89 .52 .47 .52 .61 .63 1.98 -- 1.48 .84 NMF -- .69 .50 .67 Value Line Relative P/E Ratio .85
estimates
3.0% 3.8% 3.6% 3.1% 3.3% 3.2% 3.5% 4.4% 4.3% 3.9% 3.7% 4.0% 5.8% 5.1% 3.6% 3.8% Avg Ann’l Div’d Yield 3.5%
CAPITAL STRUCTURE as of 9/30/24 211970 138477 114472 141722 166339 146516 94692 162465 246252 200949 198500 205000 Sales ($mill) 250000
Total Debt $25841 mill. Due in 5 Yrs $8910 mill. 23.2% 19.7% 15.3% 20.4% 24.5% 24.5% 19.1% 29.4% 28.8% 25.8% 22.5% 23.0% Operating Margin 22.0%
LT Debt $20697 mill. LT Interest $500 mill. 16793 21037 19457 19349 19419 29218 19508 17925 16319 17326 16500 18000 Depreciation ($mill) 22500
(Total interest coverage: greater than 25x)
(12% of Cap’l) 19241 4587.0 d497.0 7175.0 14824 2924.0 d5543 15625 35465 25035 19345 21560 Net Profit ($mill) 25600
38.3% 5.3% - - 21.4% 27.8% 48.6% - - 27.5% 28.3% 15.2% 30.0% 26.0% Income Tax Rate 21.0%
Leases, Uncapitalized Annual rentals $1673 mill. 9.1% 3.3% NMF 5.1% 8.9% 2.0% NMF 9.6% 14.4% 12.5% 9.7% 10.5% Net Profit Margin 10.2%
Pension Assets-12/23 $12.5 bill. Oblig. $14.0 bill. 10306 8883.0 d2166 823.0 6850.0 1799.0 3895.0 6947.0 16135 8870.0 8000 12000 Working Cap’l ($mill) 20000
24028 33664 35286 33571 28733 23691 42767 31113 21375 20307 22500 24000 Long-Term Debt ($mill) 31000
Pfd Stock None
Common Stock 1,797,091,325 shs. 156191 152716 145556 148124 154554 144213 131688 139067 159282 160957 160500 160500 Shr. Equity ($mill) 162500
11.0% 2.8% NMF 4.2% 8.3% 2.0% NMF 9.4% 19.8% 13.9% 10.5% 12.0% Return on Total Cap’l 13.5%
MARKET CAP: $281 billion (Large Cap) 12.3% 3.0% NMF 4.8% 9.6% 2.0% NMF 11.2% 22.3% 15.6% 12.0% 13.5% Return on Shr. Equity 16.0%
CURRENT POSITION 2022 2023 9/30/24 7.2% NMF NMF NMF 4.1% NMF NMF 3.9% 15.4% 8.5% 4.5% 6.0% Retained to Com Eq 7.5%
($MILL.) 41% NMF NMF 113% 57% NMF NMF 65% 31% 45% 61% 56% All Div’ds to Net Prof 53%
Cash Assets 17901 8223 4703
Receivables 20456 19921 19591 BUSINESS: Chevron Corp. is one of the world’s largest oil compa- interest in Chevron Phillips Chemical Co. Acq. Noble Energy, ’20.
Inventory 8247 8612 9725 nies. Upstream operations include exploring for, producing, and Has 45,600 empl. The Vanguard Group owns 8.6% of common;
Other 3739 4372 4168
transporting crude oil and natural gas and processing, liquefaction, BlackRock, Inc., 7.0%; Berkshire Hathaway Inc., 6.7%; State Street
Current Assets 50343 41128 38187
transportation, and regasification of liquefied natural gas. Corporation, 6.6% (4/24 proxy). Chairman and CEO: Michael Wirth.
Accts Payable 18955 20423 20037
Debt Due 1964 529 5144 Downstream operations include refining, marketing, manufacturing, Inc.: DE. Addr.: 5001 Executive Parkway, Suite 200, San Ramon,
Other 13289 11306 10537 and transportation of energy commodities and products. Owns 50% CA 94583. Tel.: 925-842-1000. Internet: [Link].
Current Liab. 34208 32258 35718
Chevron reported unfavorable com- Chevron has recently agreed to sell its
ANNUAL RATES Past Past Est’d ’21-’23 parisons for the third quarter. The top interest in the Athabasca Oil Sands
of change (per sh) 10 Yrs. 5 Yrs. to ’27-’29 line decreased roughly 6% on a year-over- Project and the Duvernay Shale for
Sales -1.5% 7.5% 6.5%
‘‘Cash Flow’’ 1.5% 10.0% 5.0% year basis. Earnings per share fell 28%, to $6.5 billion to Canadian Natural Re-
Earnings .5% 28.5% 3.0% $2.48. Lower margins on refined product sources. The assets under this agreement
Dividends 5.0% 5.5% 7.0% sales and a decrease in price realizations contributed 84,000 equivalent barrels of oil
Book Value 1.5% .5% 4.0%
impacted operating results during the per day to production, net of royalties, to
Cal- QUARTERLY SALES ($ mill.) Full recent interim. Earnings comparisons will the total last year. This move reflects
endar Mar.31 Jun.30 Sep.30 Dec.31 Year likely remain unfavorable for the fourth Chevron’s previously announced plans to
2021 32029 37597 44710 48129 162465 quarter, and we look for considerably divest $10 billion to $15 billion in assets
2022 54373 68762 66644 56473 246252 lower share net for all of 2024. by 2028 in order to optimize its global en-
2023 50793 48896 54080 47180 200949 We anticipate better operating results ergy portfolio.
2024 48716 51181 50669 47934 198500 from 2025 onward. Strong production in Subscribers with a relatively short
2025 48500 51000 53000 52500 205000 the Permian Basin, as well as the addition holding period should probably look
Cal- EARNINGS PER SHARE A Full of PDC Energy, should support perform- elsewhere. Appreciation potential for the
endar Mar.31 Jun.30 Sep.30 Dec.31 Year ance in the years ahead. Cost-reduction next 18 months appears to be limited at
2021 .72 1.60 3.19 2.63 8.14 measures have been implemented, and this juncture. The shares do not currently
2022 3.22 5.95 5.78 3.33 18.28 Chevron is expected to lower expenses by stand out in our Timeliness Ranking Sys-
2023 3.46 3.20 3.48 3.20 13.34 $2 billion to $3 billion by the end of 2026. tem, either.
2024 2.97 2.43 2.48 2.72 10.60 The company’s merger with Hess has But long-term investors might want to
2025 3.30 2.75 3.00 3.20 12.25
cleared Federal Trade Commission take a closer look. We anticipate greater
Cal- QUARTERLY DIVIDENDS PAID B■ Full antitrust review. This satisfies an im- sales and considerable bottom-line im-
endar Mar.31 Jun.30 Sep.30 Dec.31 Year portant condition for the completion of the provement for the company over the pull
2020 1.29 1.29 1.29 1.29 5.16 transaction. The deal remains subject to to late decade. From the recent quotation,
2021 1.29 1.34 1.34 1.34 5.31 an arbitration case with Exxon regarding this issue offers attractive long-term total
2022 1.42 1.42 1.42 1.42 5.68 that company’s claim of preemption rights return potential. This is supported by a
2023 1.51 1.51 1.51 1.51 6.04 to acquire Hess’ Guyana assets, which is fairly generous dividend yield.
2024 1.63 1.63 1.63 scheduled for May of 2025. Michael Napoli, CFA November 22, 2024
(A) Based on diluted shares. Excludes non- 10th of March, June, September, and Decem- Company’s Financial Strength A+
recurring gain (loss): ’17, $1.06; ’23, ($1.98). ber. ■ Dividend reinvestment plan available. Stock’s Price Stability 65
Next earnings report due in February. (C) In millions. Price Growth Persistence 50
(B) Dividends historically paid on or about the Earnings Predictability 5
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