ConocoPhillips or Occidental Petroleum: Which Oil Stock Should You Buy Now?

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โดย The Motley Fool·Read original

Summary · why it matters

ConocoPhillips and Occidental Petroleum present contrasting investment cases for 2026. ConocoPhillips, a globally diversified producer with operations in 14 countries, reported fiscal 2025 revenue of nearly $58.9 billion and net income of $8 billion, with free cash flow of roughly $16.8 billion and a debt-to-equity ratio of nearly 0.4x. Occidental Petroleum, which sold its OxyChem business in early 2026 to focus on domestic assets and carbon capture, posted revenue of nearly $22 billion and net income of nearly $2.4 billion, with free cash flow close to $4.1 billion and a higher debt-to-equity ratio of roughly 0.7x. Occidental trades at a lower forward price-to-earnings ratio of 8.8x versus ConocoPhillips' 10.5x, while ConocoPhillips has a slightly lower price-to-sales ratio of 2.2x compared to Occidental's 2.3x. The author concludes that ConocoPhillips is the preferred choice due to its lower debt, high returns on capital, reliable dividends, and strong projected cash-flow trajectory.