TotalEnergies: Poised For A Bullish 2023

Feb. 20, 2023 7:45 PM ETTotalEnergies SE (TTE) StockTTE8 Comments
Cavenagh Research
9.44K Followers

Summary

  • TotalEnergies' profitability continues to be supported by a strong energy market.
  • In 2022, given high energy prices, paired with robust volume, the European Oil Major generated $49.1 billion of operating income.
  • TotalEnergies anticipates that oil prices will remain favorable in 2023 Q1, thanks to a rebound in Chinese demand and depleted oil inventories worldwide.
  • On the backdrop of exceptional profitability, TotalEnergies balances shareholder returns with long-term investments in a strong renewables energy portfolio.
  • I argue TotalEnergies stock should trade close to $91.17/share (TTE reference).
Exterior view of the headquarters of the oil company TotalEnergies, formerly known as Total

HJBC

Thesis

Like other oil majors, TotalEnergies (NYSE:TTE) reported an exceptionally strong FY 2022 performance. However, while other energy firms - especially US based companies - have started to trade at a somewhat reasonable valuation, TTE continues to be

This article was written by

9.44K Followers
Experience as an investment analyst for a major BB-Bank, as well as private equity consultant for MBB. Currently working towards the CFA charter, having completed I&II. Passion for risk-assets (Growth, Contrarian, Emerging Market) ex-colleague and close friend of Investor Express

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