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Key Factors to Review Before Investing in Royal Dutch Shell PLC (SHEL)

More and more people are talking about Royal Dutch Shell PLC over the last few weeks. Is it worth buying the Oil & Gas Drilling stock at a price of $66.62? Only time will tell. The information below will give you a basic idea of what this investment may entail:

  • Royal Dutch Shell PLC has moved -6.9% over the last year, and the S&P 500 logged a change of 12.3%

  • SHEL has an average analyst rating of buy and is -14.7% away from its mean target price of $78.1 per share

  • Its trailing earnings per share (EPS) is $4.38

  • Royal Dutch Shell PLC has a trailing 12 month Price to Earnings (P/E) ratio of 15.2 while the S&P 500 average is 29.3

  • Its forward earnings per share (EPS) is $7.86 and its forward P/E ratio is 8.5

  • The company has a Price to Book (P/B) ratio of 2.24 in contrast to the S&P 500's average ratio of 4.74

  • Royal Dutch Shell PLC is part of the Energy sector, which has an average P/E ratio of 18.35 and an average P/B of 1.6

  • SHEL has reported YOY quarterly earnings growth of -30.1% and gross profit margins of 0.3%

  • The company has a free cash flow of $26.75 Billion, which refers to the total sum of all its inflows and outflows of cash over the last quarter

  • 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. It is also involved in marketing supplies fuels and lubricants for transport, manufacturing, mining, power generation, agriculture, and construction industries; operates electric vehicle charging and convenience retail; turn crude oil and other feedstocks into products for households, industry, and transport; trades crude oil, oil products, and petrochemicals; and oil sand activities. In addition, the company generates, markets, and trades power from wind, solar and pipeline gas; hydrogen production and marketing; commercial carbon capture and storage hubs; carbon credits and nature-based solutions; and provides heavy-duty LNG-fuelled trucks. Further, it offers base chemicals, including ethylene, propylene, and aromatics, as well as intermediate chemicals, such as styrene monomer, propylene oxide, solvents, linear alpha olefins, detergent alcohols, ethylene oxide, ethylene glycol, and polyethylene. The company was formerly known as Royal Dutch Shell plc and changed its name to Shell plc in January 2022. Shell plc was founded in 1897 and is headquartered in London, the United Kingdom.

The above analysis is intended for educational purposes only and was performed on the basis of publicly available data. It is not to be construed as a recommendation to buy or sell any security. Any buy, sell, or other recommendations mentioned in the article are direct quotations of consensus recommendations from the analysts covering the stock, and do not represent the opinions of Market Inference or its writers. Past performance, accounting data, and inferences about market position and corporate valuation are not reliable indicators of future price movements. Market Inference does not provide financial advice. Investors should conduct their own review and analysis of any company of interest before making an investment decision.

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