Today’s Stock: Shell (SHEL)Today’s Stock: Shell (SHEL)

Shell plc operates as an energy and petrochemical company Europe, Asia, Oceania, Africa, the United States, and other Americas. It operates through Integrated Gas; Upstream; Marketing; Chemicals and Products; and Renewables and Energy Solutions segments. The company explores for and extracts natural gas to produce liquefied natural gas or convert into gas-to-liquids products; explores for and extracts crude oil and natural gas liquids; and operates upstream and midstream infrastructure to deliver gas to market.

My Thoughts 💭My Thoughts 💭

Ahh yes! Another oil and gas company. This one is based in the UK. I remember reading about Shell pivoting to green energy so I thought I could have the best of both worlds with both hydrocarbons and green energy keeping Shell straddled between left and right wing politics while they were laser focused on bringing more energy to the world.

I am up about 53% since buying some shares 5 years ago. Shell pays a dividend so the return will be more than just capital appreciation.

At 83.3k sats per share (@ $87,636), and pays a 1,650 sat dividend. It would take 50.48 years to recover your investment from dividends. The company is fairly priced at a PE of 14 thus. At this price the investor is getting a lot of value.

PE:PE:

Expected Growth:Expected Growth:

Revenues and expenses:Revenues and expenses:

Balance Sheet:Balance Sheet:

Dividend:Dividend:

Bitcoin per share:Bitcoin per share:

NoneNone

Ownership breakdown :Ownership breakdown :

Leadership:Leadership:

What a fantastic business! Oil and gas prices below $60 per barrel will impact revenues, but their natural gas and renewable energy businesses may help them recover the losses from oil sales. If I were to invest heavily in this company, I would thoroughly read the 10-K report and listen to a few conference calls to understand their plans for overcoming these oil headwinds.

However, fundamentally, this business is strong. Risking 83.3k sats for a dividend of over 1,000 + sats might not be a bad idea. If this company is managed well, I doubt I’ll lose a significant amount of my principal over the next 5 to 10 years. The balance sheet is in great shape, they are expected to grow earnings by 8%, and they are in the energy sector.

The board is a bit old and oil is very sensitive to macroeconomic conditions. If a deep bear market comes in oil then investors will dump this stock. But overall you can’t go wrong with this stock.

I haven’t seen any news articles about them using bitcoin for anything.

I won’t be adding shares but don’t be surprised if it makes it into the stacker stocks portfolio.