Warren Buffett's Berkshire Comes to the Aid of Occidental Petroleum—Again
Berkshire's $9.7 billion buy of Occidental's petrochemicals business will allow the company to reduce debt and focus on fossil fuels.
Fiscal Year: January - December
Occidental Petroleum Corporation (OXY), listed on the NYSE, has a market capitalization of $. As of Oct 03, 2025, the stock is trading at $44.23 per share, offering investors a clear view of its current market value. Occidental Petroleum Corporation is a prominent player in the industry sector, attracting both institutional and retail investors due to its performance and potential.
With a P/E ratio of 25.84, investors can assess the stock's valuation in comparison to its earnings. A P/E ratio is a crucial indicator for value investors, showing whether the stock is over or undervalued relative to its current earnings. Occidental Petroleum Corporation also offers a dividend yield of 2.01%, making it an attractive option for income-focused investors who seek regular dividends.
Our Discounted Cash Flow (DCF) analysis reveals that Occidental Petroleum Corporation (OXY) may be undervalued compared to its intrinsic worth. However, to see the exact DCF fair value, please Login or Upgrade for access.
The proprietary SS Score for Occidental Petroleum Corporation is a unique metric that analyzes the company's financial health and growth potential. The score takes into account critical factors such as revenue growth, net income, free cash flow (FCF) compound annual growth rate (CAGR), the trend of shares outstanding, and the debt-to-FCF ratio. This helps investors to make a more informed decision, as an undervalued stock might still have poor financial fundamentals.
To view the detailed SS Score for Occidental Petroleum Corporation, Login or Upgrade for access.
The Price to Free Cash Flow (P/FCF) ratio for Occidental Petroleum Corporation is 9.62, offering insights into how much investors are paying for the company's free cash flow. A lower P/FCF ratio typically suggests that the stock is undervalued, while a higher ratio may indicate overvaluation.
In summary, Occidental Petroleum Corporation (OXY) has shown consistent financial performance, as illustrated by the financial charts above, which track its revenue growth, net income, free cash flow, and shares outstanding over the past several years. These metrics provide investors with key insights into the company's past and projected future performance. Investors should use the SS Score alongside the DCF Fair Value to make better-informed decisions about whether to buy or hold the stock.
*This analysis is for informational purposes only and does not constitute investment advice. Always read the company's 10-K filings and do your own research before making any investment decisions.
Whether Occidental Petroleum Corporation (OXY) is a good stock to buy depends on various factors, including its financial health, market conditions, and your investment strategy. Our analysis indicates that the stock may be undervalued compared to its intrinsic value. However, it is important to assess the SS Score and review the company's fundamentals before making any investment decisions.
The fair value of Occidental Petroleum Corporation (OXY) is determined through our Discounted Cash Flow (DCF) analysis. This value represents the intrinsic worth of the stock based on its expected future cash flows. To view the specific fair value, consider subscribing to our service for complete access.
The SS Score is a proprietary financial quality metric that assesses factors such as revenue growth, net income, free cash flow growth, and debt levels. It helps investors evaluate the overall financial health of Occidental Petroleum Corporation. To access the full SS Score, consider upgrading your subscription.
Occidental Petroleum Corporation is a significant player in the industry sector, with a market capitalization of $ and a competitive P/E ratio of 25.84. Investors should compare these metrics with industry peers to gauge whether Occidental Petroleum Corporation is outperforming or underperforming within its sector.
Berkshire's $9.7 billion buy of Occidental's petrochemicals business will allow the company to reduce debt and focus on fossil fuels.
Occidental Petroleum will be in a better position to invest in its core oil and gas business after divesting a chemicals unit and will be able to replace the lost cash flow from the division in about ...
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Berkshire Hathaway is buying Occidental Petroleum's chemical division for $9.7 billion in what may be the last big acquisition involving the consummate dealmaker, Warren Buffett.
Warren Buffett's Berkshire Hathaway will acquire Occidental Petroleum's OxyChem chemicals arm for $9.7 billion. Berkshire is Occidental's largest shareholder.
Warren Buffett's Berkshire Hathaway announced Thursday it reached a deal to buy Occidental Petroleum's petrochemical unit, OxyChem, for $9.7 billion in cash. Occidental CEO Vicki Hollub explains what ...
CNBC's “Money Movers” team discusses Berkshire Hathaway's decision to buy Occidental Petroleum's petrochemical unit, OxyChem, for $9.7 billion in cash with Leo Mariani, senior research analyst at Roth...
It's Buffett's largest deal since the $11.6 billion acquisition of Alleghany Insurance in 2022.
Berkshire Hathaway (BRK-B, BRK-A) will buy Occidental Petroleum's (OXY) pretrochemical business in a $9.7 billion deal. Yahoo Finance Head of News Myles Udland outlines the takeaways of the deal, spec...
Morning Brief host Allie Canal reports the latest financial news for October 2, 2025. The US government's shutdown continues into its second day.
Warren Buffett's Berkshire Hathaway Inc. will buy Occidental Petroleum Corp.'s petrochemical business for about $9.7 billion in cash in a transaction expected to close in the fourth quarter. Matthew P...
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Vicki Hollub, Occidental Petroleum CEO, joins 'Squawk Box' to discuss Berkshire Hathaway's $9.7 billion deal to acquire the company's chemical business OxyChem, what the company plans to do with $9.7B...
CNBC's Becky Quick reports on the latest news.
Berkshire will acquire the chemical business in an all-cash transaction.
HOUSTON, Oct. 02, 2025 (GLOBE NEWSWIRE) -- Occidental (NYSE: OXY) announced today that its Board of Directors has promoted Richard A. Jackson to Senior Vice President and Chief Operating Officer, over...
Occidental Petroleum said on Thursday it would sell its petrochemical division to Warren Buffett's Berkshire Hathaway for $9.7 billion, as the U.S. oil and gas producer looks to pare debt.
Warren Buffett is staying active even as he gets ready to hand over the CEO reins at the end of this year.
OMAHA, Neb. & HOUSTON--(BUSINESS WIRE)--Berkshire Hathaway (NYSE: BRK) and Occidental (NYSE: OXY) today announced a definitive agreement for Berkshire Hathaway to acquire Occidental's chemical busines...
Rob Thummel, Tortoise Capital senior portfolio manager, joins 'Power Lunch' to discuss a potential deal for Occidental, why Buffett doesn't ouright buy the company and much more.
Berkshire Hathaway (BRK.A, BRK.B) is reportedly close to a $10 billion deal to buy the petrochemical division of Occidental Petroleum (OXY), in what would be the largest deal by Warren Buffett's congl...
CNBC's Becky Quick reports on the latest news.
Occidental Petroleum is considering selling its petrochemicals business if offered the right price. OXY has been steadily raising cash through asset sales. Rumors suggest Berkshire Hathaway may be the...
Berkshire is in talks to buy Occidental's chemicals business for $10 billion. A deal would come as a surprise for markets, analysts say.
Berkshire Hathaway, Inc. (NYSE:BRK) (NYSE:BRK) is in talks to acquire Occidental Petroleum Corp.‘s (NYSE:OXY) chemical unit, OxyChem, in a deal valued at roughly $10 billion.
Below estimates were sourced from SimplyWallSt and are intended for educational purposes only as a baseline for the analysis.
Year | FCF Estimate | % | # Analysts |
---|---|---|---|
2025 | 4.86B | 18.79% | Est @18.8% |
2026 | 5.63B | 15.82% | Analyst x6 |
2027 | 6.30B | 11.89% | Analyst x5 |
2028 | 6.53B | 3.61% | Analyst x5 |
2029 | 6.57B | 0.69% | Analyst x4 |
2030 | 6.64B | 1.03% | Est @1.0% |
2031 | 6.73B | 1.41% | Est @1.4% |
2032 | 6.85B | 1.68% | Est @1.7% |
2033 | 6.97B | 1.87% | Est @1.9% |
2034 | 7.10B | 1.87% | Est @1.9% |
Below are the FCF estimates with the discount factor and the calculated present value with the terminal value that led the results above.
Year | FCF | Discount Factor | PV of Future FCF |
---|---|---|---|
2023A | 5.67B | 1.00 | 5.67B |
2024A | 4.09B | 1.00 | 4.09B |
2025E | 4.86B | 1.08 | 4.51B |
2026E | 5.63B | 1.16 | 4.84B |
2027E | 6.30B | 1.26 | 5.02B |
2028E | 6.53B | 1.35 | 4.82B |
2029E | 6.57B | 1.46 | 4.50B |
2030E | 6.64B | 1.58 | 4.21B |
2031E | 6.73B | 1.70 | 3.96B |
2032E | 6.85B | 1.83 | 3.73B |
2033E | 6.97B | 1.98 | 3.52B |
2034E | 7.10B | 2.13 | 3.33B |
Terminal | 135.36B | 2.13 | 63.40B |
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