Join +750K new investors every month who copy stock picks from billionaire's portfoliosSign Up Free

Chevron highlights record oil production and strong Q1 earnings

EditorNatashya Angelica
Published 29/05/2024, 17:42
CVX
-

SAN RAMON, Calif. - Chevron Corporation (NYSE: NYSE:CVX) announced at its 2024 Annual Meeting of Stockholders that it achieved the highest production in its history with 3.1 million barrels of oil-equivalent per day in 2023. The company also marked its ninth consecutive quarter with adjusted earnings over $5 billion and an adjusted return on capital employed (ROCE) above 12 percent for the first quarter of this year.

The energy giant has reached significant milestones in its operations, including first oil at the Mad Dog 2 project in the Gulf of Mexico and the completion of a floating production unit for the Anchor field, setting the stage for production commencement within the year. Additionally, Chevron is transitioning to lower carbon intensity fuels by adapting its El Segundo refinery to process renewable feedstocks.

Strategic acquisitions have expanded Chevron's footprint in the U.S. oil market, with the addition of 300,000 net acres in the DJ and Permian Basins following the acquisition of PDC Energy (NASDAQ:PDCE), Inc. The company has also taken a majority stake in ACES Delta, LLC, to accelerate the development of a green hydrogen production and storage hub in Utah.

Chevron's chairman and CEO, Michael Wirth, emphasized the company's commitment to delivering shareholder value through a strong dividend, efficient capital investment, a robust balance sheet, and returning excess cash to shareholders. Wirth highlighted the company's low net debt ratio, which stands at a single-digit percentage, as a testament to its financial strength.

The preliminary results from Chevron's stockholders' meeting are available online, with final voting results to be reported on a Form 8-K filed with the U.S. Securities and Exchange Commission.

Chevron, a global integrated energy company, aims to grow its oil and gas business, reduce the carbon intensity of its operations, and expand into lower carbon businesses involving renewable fuels, carbon capture, hydrogen, and other emerging technologies.

The information in this article is based on a press release statement from Chevron Corporation.

InvestingPro Insights

As Chevron Corporation (NYSE: CVX) celebrates a year of record production and strong financial performance, investors may be interested in analyzing the company's current market standing and future potential through various metrics. According to InvestingPro data, Chevron boasts a substantial market capitalization of 289.11 billion USD, reflecting its significant presence in the energy sector. With a Price/Earnings (P/E) ratio of 14.35, and an adjusted P/E for the last twelve months as of Q1 2024 at 13.32, the company is positioned competitively in terms of earnings relative to its share price. Notably, the company's dividend yield stands at an attractive 4.1%, as of mid-May 2024, which is particularly compelling for income-focused investors.

InvestingPro Tips for Chevron underline the company's financial resilience and growth prospects. Chevron has a commendable track record of raising its dividend for 36 consecutive years, underscoring its commitment to returning value to shareholders. Additionally, the stability of Chevron's stock is reflected in its low price volatility, an appealing attribute for investors seeking a more predictable performance. Furthermore, six analysts have revised their earnings estimates upwards for the upcoming period, indicating potential optimism about the company's future earnings capacity.

For those considering an investment in Chevron, or for current shareholders looking to deepen their understanding, InvestingPro offers a comprehensive suite of additional tips. There are currently 9 more InvestingPro Tips available, which can provide further insights into Chevron's operational and financial health. Interested readers can explore these tips by visiting https://www.investing.com/pro/CVX, and can take advantage of a special offer using the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.