Exxon record profits again

[coffeeman]

Ain't that something. Heard on news; best quarter ever. Shoulda bought some stock.

Cheers....Coffeeman

 

[SkyPup]

Our stock in Chevron, BP, Exxon, ConnocoPhillips, & Shell have all been doing quite well.

 

[HomeBrew2]

Still very happy with my modest position in Vanguard's Energy fund too

 

[slowrev]

And whose pockets are those record profits coming out of ?

 

[SkyPup]

And whose pockets are those record profits coming out of ?

Simple, anyone and everyone willing to pay for their products.

Now guess whose pockets their dividends are all going into?

 

[slowrev]

Simple, anyone and everyone willing to pay for their products.

Now guess whose pockets their dividends are all going into?

Not my 401K that is for sure Well I think some of them are, but there must be a lot of losers in there that it is trying to offset.

 

[RalphVa]

Good news for us Exxon-Mobil stock holders.

Most of those profits are probably coming from "upstream", e.g. sale of crude oil at these high prices. Doubt they're making much money on gasoline STILL.

Ralph

 

[HomeBrew2]

Good news for us Exxon-Mobil stock holders.

Most of those profits are probably coming from "upstream", e.g. sale of crude oil at these high prices. Doubt they're making much money on gasoline STILL.

Ralph

Yep, gotta love a hedge Funny thing is that ANYONE can "dollar cost average" into positions in energy/oil stocks/funds and hedge their fuel costs ... but it does take homework ... and a stomach (or antacid)

 

[rickmacheske]

We should be talking about who is causing them to have such big profits. Hmmmm..... less competition = more profit. The government is restricting the drilling and refining so much that the big oil companies are the only ones left in the business. Even they can't drill on US soil much anymore. Also, try to start a new refinery and see how far you get. Bottom line...it's our government that's causing the high profits and the high price of gas....

 

[SkyPup]

Actually, it is not our government that is causing the high prices as you implied, it is foreign governments.

If you remember, our oil companies were the ones who discovered, drilled, and built the infastructure for oil recovery in Saudi Arabia, Kuwait, Iraq, Nigeria, Oman, Iran, Venezuala, Libya, etc. etc. etc. and then once they were successful, these outlaw nations nationalized, ie stole the entire setup.

Plus, it would be rather difficult to fail to profit off the millions of the heaviest, fattest, low mileage gas hogs polluting our US highways, every other nation has much higher fuel efficency for its fleet, thereby making it more difficult to sell petro products to their consumers. If our fleets average fuel mileage were to double, the oil companies profits would be halved......

 

[dmccarty]

We should be talking about who is causing them to have such big profits. Hmmmm..... less competition = more profit. The government is restricting the drilling and refining so much that the big oil companies are the only ones left in the business. Even they can't drill on US soil much anymore. Also, try to start a new refinery and see how far you get. Bottom line...it's our government that's causing the high profits and the high price of gas....

"The govenment" in this case is listening to its citizens who don't want drilling in AWAR or off the various coastlines of most states. Sorry the g'vment tain't at fault on this, they are doing what the states/people want.

Again its not the government that prevents refineries being built is NIMBY from people. The county and state planed for years to build a really nice rifle/pistol range near a dump in a neighborng county. It had been planned for years. Fast forward and after much yelling and screaming from people who moved around the dump and who did not want the range built the facility was drastically cut back to an indoor range. Its limited to I think 50 yards where as before it was going to be at least 100 yards. I can go on about power plants, garbage dumps, radioactive waste, yada yada yada. Its NIMBYism not the govenment.

People are still buying SUVs so they are obviously comfortable paying for the fuel. Its a free market. if the price is too expensive then people will get cars that get better milage. Demand will drop and the oil companies will make less money.

Later,
Dan

 

[rickmacheske]

Oh, I totally agree. My definition of the US government is the people's view + the effect of special interest groups to put a real slant on things. I'm trying to say that I don't blame 'big oil'. I blame us.

 

[JRobyn]

But today, Chevron reports record profits and the stock TANKS!! Wasn't quite as obscene as the analysts expected! Ya just can't win!

 

[Doc_Bob]

We should be talking about who is causing them to have such big profits. Hmmmm..... less competition = more profit. The government is restricting the drilling and refining so much that the big oil companies are the only ones left in the business. Even they can't drill on US soil much anymore. Also, try to start a new refinery and see how far you get. Bottom line...it's our government that's causing the high profits and the high price of gas....

We can't drill in ANWR (Alaska National Wildlife Refuge) because a select of Liberal knuckle heads are more concerned about a herd of Moose than they are about us being charged more for oil that is in limited supply do in part to an increasing use of oil my China and India (Or Chindia as my brother-in-law likes to say).

 

[rickmacheske]

We can't drill in ANWR (Alaska National Wildlife Refuge) because a select of Liberal knuckle heads are more concerned about a herd of Moose than they are about us being charged more for oil that is in limited supply do in part to an increasing use of oil my China and India (Or Chindia as my brother-in-law likes to say).

I'll second that one....

 

[r0GuE]

What a business. Pump goo from ground, move goo, heat goo, package and move goo again. Sell goo to customer who pumps own goo.

Customer pays you for goo (often electorically so that you don't have to pay staff) and pays the Govt a nice tribute to boot.

And to sweeten the concept, people will fight and die to keep your business ticking, because the goo is critical to pretty much every other process in the modern world.

New ad campain! Goo.. shut up and pay!


BTW - This is not a political statement, just a gross oversimplification for humorous intent.

 

[MF1455v]

Normally I stay don't post on these threads but I think there is a small point that gets missed in the media. I agree with most of what has been said so far. But, I do think the big oil companies profits are catching to heat that a large amount of companies also deserve to get as well.

The company I work for has twice the amount of profit on a percentage basis as Exxon. Microsoft is triple Exxon on the same percentage basis. At least my gas works without having to reboot my car ever few days!!!

Don't get me wrong, I don't like high full prices either. Just think the same amount of discontent should be given to other companies as well.

James

 

[tkcomer]

I don’t mind big oil making big profits. What I hate is they have taken those profits and bought our congress. To stop any type of competition with crude oil. And they sure don’t mind our soldiers fighting and dying in foreign countries protecting their supply now do they? If we had started alcohol and shale rock production back in the 70s, we could be energy independent by now. Big oil said those projects cost too much. Back when gas was 60 cents a gallon. And congress went right along with them. So here we are, 30 years later, paying record amounts to big oil and praying the middle east doesn’t blow up into an all out war zone. Courtesy of our very own congress.

 

[Doc_Bob]

The company I work for has twice the amount of profit on a percentage basis as Exxon. Microsoft is triple Exxon on the same percentage basis. At least my gas works without having to reboot my car ever few days!!!

Don't get me wrong, I don't like high full prices either. Just think the same amount of discontent should be given to other companies as well.

James

Exxon has earned every penny. I don't begrudge them a dime. I have lived and worked in Central America, South Korea and we pay nothing for fuel compared to those locations.

Anyone who thinks they can do it better, I say, go for it.

But I ride my bicycle to work and don't drive a truck as my daily driver.
Bob

 

[jayhaitch]

I remember the oil crisis of the 70's, both of them. In Canada, we never had rationing. I remember as a kid watching TV and wonder why Americans were lining up to get their ration of gas, when America was the most powerful and richest country on earth. Later in my economic readings I discovered the answer: government intervention. High oil and gas prices are great for Canada as we are a net exporter of energy. Alberta where the oil sands are, is booming, whereas Ontario the manufacturing centre, is only muddling along. Canada has higher taxes on gasoline than you do overall, though it does vary by province. Gas this weekend here is Can$1.17/litre, or Can$4.46/US gal, or US$3.87/gal. I remember how sad I felt when gas hit Can$1.00 per Imperial gal (before metric), wondering if no one would drive in the future. An Imperial gal is 20% bigger than a US gal.

Oil prices will go down when the world uses less of it. Ditto the comment on the military "securing" oil. If China/India are using more and more oil, even though the US uses the most oil per capita in the world, oil prices will stay high even if the US drops consumption, as prices for anything are set at the margin. The margin meaning marginal cost, ie the "next" purchase. If world pumping capacity is about equal to world demand, prices will be volatile and high. If demands drop enough below capacity that a nice cushion occurs, volatility and price will drop.

But hey, many of us are still driving big trucks right? I'll pay whatever gas costs, until I either can't afford what I'm paying, or the benefit I get for paying so much is less than the cost, in my individual opinion.