Royal Dutch Shell plc (RDS-A) — Traders Focused Stock

Shell profits surge as Van Beurden puts focus on 'discipline'

Shell gets everything right except producing oil

The Royal Dutch Shell plc explores for crude oil and natural gas around the world, both in conventional fields and from sources, such as tight rock, shale and coal formations.

After $0.82 actual EPS reported by Royal Dutch Shell plc (ADR) for the previous quarter, Wall Street now forecasts -8.54 % negative EPS growth. "When it will happen we don't know, but that it will happen we are certain". The company moved in the past week with shift of 0.33%. These trends are even more pronounced for oil companies in Europe, where local and national governments are trying to phase out vehicles with combustion engines, encourage electric automobiles and reduce overall carbon emissions.

Exxon Mobil Corp and Chevron Corp are scheduled to announce results on 28 July and BP Plc on ' August. And even when oil consumption eventually stops growing, Shell isn't expecting it to drop off a cliff.

"If policies and innovation really work well, I can see liquids peaking in demand in the early 2030s and maybe oil will peak a little bit earlier if there's a lot of biofuels coming into the mix as well", Van Beurden said.

Second quarter revenue of $72bn increased 23.4% compared to a year earlier.

Shell this year announced it would sell off a package of North Sea assets for up to $3.8bn to smaller rival Chrysaor, and recently agreed to sell its stake in Irish gas project Corrib in a deal worth up to $1.23bn.

The aggregate real disposable income of United Kingdom households has fallen for three quarters in a row for the first time since the 1970s, according to the Office for National Statistics.The ONS said that the inflation-adjusted compensation of the household sector fell 1.4 per cent in the first three months of 2017, reflecting spiking inflation and weak pay growth. The Company dividend yield observed at 0.74%.

Second-quarter profits beat City expectations, rising to $3.6 billion from $1 billion.

Capital expenditure in the quarter was $5.7bn, slightly behind the same quarter a year ago. The company has market cap of $223.31 billion.

Exxon and Chevron report earnings on Friday. These holdings make up 6.35% of the company's outstanding shares. Fidelity Management and Research Company is the second biggest holder with 13 million shares now valued at 679.64 million whilst T. Rowe Price Associates, Inc. has 11 million shares valued at 599.68 million.

At the depths of the oil-price crash, big oil companies took on tens of billions of dollars in debt to help cover dividend payments.

About 1.81M shares traded.

Royal Dutch Shell Plc (LON:RDSB) had its price objective cut by Deutsche Bank AG from GBX 2,500 ($32.57) to GBX 2,400 ($31.27) in a report released on Wednesday, July 5th, Marketbeat Ratings reports.

"The external price environment and energy sector developments mean we will remain very disciplined, with an absolute focus on the four levers within our control", Chief Executive Ben van Beurden said. Shell said that removing its scrip dividend remains a priority that it is working toward.

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