lucky lenny

Has Exxon Topped?

going thru Exxon-Mobil’s 2007 Annual Report:

• From ’03 to ’07 - # of shs o/s diluted went down from 6.7 bill to 5.6 bill; net inc per diluted share rose from $3.23 to $7.28

• Exxon makes money regardless of the price of oil. For instance, they sell lots of plastics & resins, if the price of oil falls, Exxon’s cost of goods sold goes down & their profit margins in these areas go up.

• In summary, given Exxon’s tremendous earnings & reduced share count, it seems to many that the stock price can easily exceed $100 share. Especially since Exxon is buying back about 1.4 million shares of stock every day. XOM closed at $78.33.