- After enduring a turbulent ride during 2020, Marathon Oil has enjoyed operating conditions strengthening throughout 2021 and now the start of 2022, thereby lifting their share price.
- Whilst the easy money is already made, their guidance for shareholder returns during 2022 indicates that their shareholders can still grab a very high 17%+ shareholder yield.
- What makes this even better, it only requires Western Texas Intermediate oil prices of $80 per barrel, which now seemly represents a bearish outlook following the Russia-Ukraine war.
- If oil prices continue averaging at least $100 per barrel, which seems possible, their shareholders stand to see a massive 22%+ of their capital returned during 2022 alone.
- Even though I would have preferred a higher weighting towards dividends over share buybacks, I still believe that a buy rating is appropriate.
For further details see:
Marathon Oil: Grab A 17%+ Yield Even If Oil Prices Tumble