Exxon Mobil vs Chevron Which Is Superior?

Exxon Mobil and Chevron are two of the largest oil and gas companies in the world, each playing a significant role in the energy sector. Both companies have a strong presence in exploration, production, refining, and marketing of petroleum products. When comparing their stocks, investors often analyze factors such as financial performance, market share, global operations, and sustainability efforts. Understanding the differences and similarities between Exxon Mobil and Chevron stocks can help investors make informed decisions in a rapidly changing energy landscape.

Exxon Mobil or Chevron?

When comparing Exxon Mobil and Chevron, different investors may prioritize various metrics based on their investment strategies and goals. So, ask yourself what type of investor you are. This will guide you in determining which metrics are most important for your investment decision between Exxon Mobil and Chevron.

Dividend Investors:

Dividend investors look for stable and growing income streams, using dividend metrics to assess potential investments. A company's dividend yield essentially measures the size of its dividend relative to the total market value of the company. Exxon Mobil has a dividend yield of 3.43%, while Chevron has a dividend yield of 4.21%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Exxon Mobil reports a 5-year dividend growth of 2.64% year and a payout ratio of 47.99%. On the other hand, Chevron reports a 5-year dividend growth of 6.16% year and a payout ratio of 70.19%.

Value Investors:

Value investors focus on financial metrics to determine a stock's intrinsic value compared to its market value. The Price-to-Earnings (P/E) Ratio links stock price to a company's earnings per share, with Exxon Mobil P/E ratio at 14.81 and Chevron's P/E ratio at 16.70. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Exxon Mobil P/B ratio is 1.86 while Chevron's P/B ratio is 1.78.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Exxon Mobil has seen a 5-year revenue growth of 0.25%, while Chevron's is 0.25%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Exxon Mobil's ROE at 14.23% and Chevron's ROE at 10.47%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $110.78 for Exxon Mobil and $154.27 for Chevron. Over the past year, Exxon Mobil's prices ranged from $95.77 to $126.34, with a yearly change of 31.92%. Chevron's prices fluctuated between $135.37 and $167.11, with a yearly change of 23.45%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.