Catalysts Driving Occidental Petroleum's Earnings Growth and Value Potential Through 2026
A Needle-Moving Deal
The pending acquisition of CrownRock for $12 billion will enhance Occidental's position in the Permian Basin. This deal is expected to boost annual free cash flow by around $1 billion, assuming oil prices remain stable or rise.
Boosting Non-Oil Earnings
Occidental aims to gain over $1 billion in additional annual free cash flow from sources beyond oil and gas by 2026. The company is diversifying its revenue streams to reduce volatility and strengthen earnings.
Multiple Cash Flow Catalysts
With various initiatives, including debt repayment, midstream business growth, and chemical operations expansion, Occidental anticipates over $2 billion in incremental free cash flow by 2026. The company is well-positioned to create significant value for shareholders.
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