AI Spotlight on HES
Company Description
Hess Corporation, an exploration and production company, explores, develops, produces, purchases, transports, and sells crude oil, natural gas liquids (NGLs), and natural gas.The company operates in two segments, Exploration and Production, and Midstream.It conducts production operations primarily in the United States, Guyana, the Malaysia/Thailand Joint Development Area, and Malaysia; and exploration activities principally offshore Guyana, the U.S. Gulf of Mexico, and offshore Suriname and Canada.
The company is also involved in gathering, compressing, and processing natural gas; fractionating NGLs; gathering, terminaling, loading, and transporting crude oil and NGL through rail car; and storing and terminaling propane, as well as providing water handling services primarily in the Bakken Shale plays in the Williston Basin area of North Dakota.As of December 31, 2021, it had total proved reserves of 1,309 million barrels of oil equivalent.The company was incorporated in 1920 and is headquartered in New York, New York.
Market Data
Last Price | 139.03 |
Change Percentage | -4.68% |
Open | 145.43 |
Previous Close | 145.85 |
Market Cap ( Millions) | 42838 |
Volume | 3252489 |
Year High | 163.98 |
Year Low | 123.79 |
M A 50 | 141.56 |
M A 200 | 143.39 |
Financial Ratios
FCF Yield | 2.33% |
Dividend Yield | 1.35% |
ROE | 24.79% |
Debt / Equity | 79.58% |
Net Debt / EBIDTA | 114.30% |
Price To Book | 3.73 |
Price Earnings Ratio | 16.16 |
Price To FCF | 42.92 |
Price To sales | 3.37 |
EV / EBITDA | 7.33 |
News
- Jan -30 - Hess Corporation: Advantage To Exxon Mobil
- Jan -30 - Hess Midstream: Hess Issues Domination Continues
- Jan -29 - Hess Midstream Continues To Deliver Excellent Results In Q4
- Jan -29 - Hess Q4 Earnings Beat Estimates, Revenues Rise Year Over Year
- Jan -29 - Hess Exceeds Q4 EPS, Revenue Forecasts
- Jan -29 - Hess (HES) Surpasses Q4 Earnings and Revenue Estimates
- Jan -29 - Shale producer Hess beats profit estimates on higher output in US, Guyana
- Jan -29 - Hess Midstream LP Announces 2025 Guidance, Extends Return of Capital Program Through 2027
- Jan -29 - Hess Reports Estimated Results for the Fourth Quarter of 2024
- Jan -27 - Hess Midstream LP Announces Distribution Per Share Level Increase
- Jan -24 - Hess to Report Q4 Earnings: Here's What You Can Expect
- Jan -17 - US FTC finalizes consent order for $53 bln Chevron-Hess merger
- Jan -07 - Hess CEO offers upbeat oil demand forecast, says Guyana's potential barely scratched
- Jan -06 - Hess Named to Dow Jones Sustainability Index and Wall Street Journal's List of Top 250 Best Managed Companies
- Dec -30 - My New Year's Resolution For 2025: Invest $10,000 In These 6 Stocks
- Dec -27 - Hedge Funds Boost Oil Positions: Is a Major Rally on the Horizon?
- Dec -19 - Hess to Participate in Goldman Sachs Energy, CleanTech and Utilities Conference
- Dec -11 - Exxon wants to extract its value from Hess Guyana assets, CEO says
- Dec -11 - Hess Recognized for Sustainability Performance
- Dec -09 - Hess Midstream LP Publishes Sustainability Report
Business Breakdown
Expected Mid-Term Growth
Segment nΒ°1 -> Exploration and Production
Expected Growth : 4.65 %
What the company do ?
Hess Corporation's Exploration and Production segment explores, develops, and produces crude oil and natural gas globally, with operations in the US, Africa, and Asia.
Why we expect these perspectives ?
Hess Corporation's Exploration and Production segment growth of 4.65% is driven by increased production volumes from the Bakken and Gulf of Mexico, improved well productivity, and higher realized oil prices. Additionally, the company's focus on cost reduction and operational efficiency has also contributed to the growth.
Segment nΒ°2 -> Midstream
Expected Growth : 5.4 %
What the company do ?
Hess Midstream is a midstream oil and gas company that provides fee-based services, including crude oil and natural gas gathering, processing, and storage, primarily in the Bakken Shale region.
Why we expect these perspectives ?
Hess Midstream's 5.4% growth is driven by increasing shale production in the Bakken region, strategic acquisitions, and expansion of its gathering and processing infrastructure. Additionally, the segment benefits from long-term, fee-based contracts with Hess Corporation, providing a stable source of revenue.
Hess Corporation Products
Product Range | What is it ? |
---|---|
Crude Oil | Hess Corporation is a leading explorer and producer of crude oil, with operations in the United States, Denmark, Equatorial Guinea, and Malaysia. |
Natural Gas | Hess Corporation is a significant producer of natural gas, with operations in the United States, Denmark, and Malaysia. |
Natural Gas Liquids (NGLs) | Hess Corporation produces NGLs, including propane, butane, and ethane, as a byproduct of natural gas production. |
Refined Petroleum Products | Hess Corporation markets and sells refined petroleum products, including gasoline, diesel fuel, jet fuel, and lubricants. |
Midstream Services | Hess Corporation provides midstream services, including crude oil and natural gas gathering, processing, and transportation. |
Hess Corporation's Porter Forces
Threat Of Substitutes
Hess Corporation operates in the energy sector, which has limited substitutes. However, the increasing adoption of renewable energy sources and energy-efficient technologies poses a moderate threat to the company's operations.
Bargaining Power Of Customers
Hess Corporation's customers, primarily oil and gas companies, have limited bargaining power due to the company's diversified operations and strong market position.
Bargaining Power Of Suppliers
Hess Corporation relies on various suppliers for its operations, including equipment and service providers. While suppliers have some bargaining power, the company's scale and diversification mitigate this risk.
Threat Of New Entrants
The energy sector has high barriers to entry, including significant capital requirements and regulatory hurdles, making it difficult for new entrants to compete with established players like Hess Corporation.
Intensity Of Rivalry
The energy sector is highly competitive, with numerous players vying for market share. Hess Corporation faces intense rivalry from other major oil and gas companies, which can impact its market share and pricing power.
Capital Structure
Value | |
---|---|
Debt Weight | 49.99% |
Debt Cost | 7.82% |
Equity Weight | 50.01% |
Equity Cost | 10.21% |
WACC | 9.02% |
Leverage | 99.97% |
Hess Corporation : Quality Control
Hess Corporation passed 3 out of 9 key points:
Historical Valuation
Price/Earnings Ratio
Margin Valuation
Peers Valuation
Competitors
Company | Rational |
---|---|
COP | ConocoPhillips explores for, produces, transports, and markets crude oil, bitumen, natural gas, liquefied natural gas (LNG), and natural gas liquids worldwide. It primarily engages in the conventional and tight oil β¦ |
EOG | EOG Resources, Inc., together with its subsidiaries, explores for, develops, produces, and markets crude oil, and natural gas and natural gas liquids. Its principal producing areas are in New Mexico β¦ |
OXY | Occidental Petroleum Corporation, together with its subsidiaries, engages in the acquisition, exploration, and development of oil and gas properties in the United States, the Middle East, Africa, and Latin America. β¦ |
FANG | Diamondback Energy, Inc., an independent oil and natural gas company, focuses on the acquisition, development, exploration, and exploitation of unconventional and onshore oil and natural gas reserves in the Permian β¦ |
DVN | Devon Energy Corporation, an independent energy company, primarily engages in the exploration, development, and production of oil, natural gas, and natural gas liquids in the United States. It operates approximately β¦ |