08-03-2013, 02:32 AM
A few things interesting about "Feeling the Pressure". In the disclosures it shows Evan Calio as the analyst upon whose views the report relied. Calio has covered IOC for Morgan Stanley for years (e.g. SHU Seeking Alph http://seekingalpha.com/article/294507-o...arter-ever). Also, the relationship between Morgan and Chevron appears very strong, so strong Chevron information is featured prominently in the Disclosure section. Just maybe Chevron will appear in subsequent IOC negotiations.
Finally, buyback appears the principle focus of XOM excess cash investments after payment of dividends. It would appear from that the company has a hard time finding better investments than its own stock. Of course XOM carries plenty of debt and any acquisition of IOC properties would likely be financed at least in part, but still, you don't buy back your shares when you have better investment ideas elsewhere, do you?
Finally, buyback appears the principle focus of XOM excess cash investments after payment of dividends. It would appear from that the company has a hard time finding better investments than its own stock. Of course XOM carries plenty of debt and any acquisition of IOC properties would likely be financed at least in part, but still, you don't buy back your shares when you have better investment ideas elsewhere, do you?