Message Font: Serif | Sans-Serif
 
No. of Recommendations: 22
According to this chart:
http://invest.kleinnet.com/bmw1/stats30/XOM.html
XOM looks like a deal again especially below $83/share.


Beware the one gigantic flaw of the BMW method: it ignores how the company is doing.
A better approach is the original "Value Line" http://www3.valueline.com/dow30/f3226.pdf
For example, Exxon seems to be attracted to around 7.5x cash flow per share.
But cash flow per share, and by extension the value, is largely unchanged
from 2008ish (a good year for them) or 2011 or 2012 so the price should be also.
This suggests that $80-85 should be fair but not particularly cheap.

Jim
Print the post  

Announcements

When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.