But, Exxon is up a bit but Sunoco is down a lot.
I bet Hillary and the Dems think the oil companies are all up about 500%.
http://finance.yahoo.com/q/bc?t=1y%26amp;s=OIL%26amp;l=off%26amp;z=m%26amp;q=l%26amp;c=xom%2CsunHillary Says Oil Cos. are Getting Rich. Why is Exxon Up Only 15% in Past Yr. %26amp; Sun Oil Down 35%?
So, who owns the oil companies? Last time I checked it was pension funds, private investors, mutual funds, etc. In other words, a lot of ';the little people'; who are invested for their retirement. Hillary is confused because
';On October 11, 1978, Hillary, a neophyte investor with an annual income of $25,000, opened a commodity-futures account with a deposit of $1,000. Her first trade was the short sale of ten live-cattle contracts at a price of 57.55 cents a pound: a commitment to deliver in December of that year 400,000 pounds of cattle with a market value of $230,200. One day later, she bought the contracts back at a price of 56.10 cents, just 0.15 cent above the low of the day, pocketing $5,300 for a return of 530 per cent.
Mrs. Clinton continued to be a net winner at the game. By the time she closed her trading account ten months later, she had racked up $99,541 in profits, a spectacular 10,000 per cent return on her initial investment of $1,000. Either Mrs. Clinton was a better trader than the legendary George Soros, whose best-ever annual return in thirty years of trading was 122 per cent, or she was led by an invisible hand.';
Guess she thinks they all do it like she did.Hillary Says Oil Cos. are Getting Rich. Why is Exxon Up Only 15% in Past Yr. %26amp; Sun Oil Down 35%?
First off, 20% (XOM) is hardly ';a bit'; Thats a pretty good damn return on an investment like that. Its not like a penny stock, its a very stable company.
With all due respect, pull up the two year graph(linked below) and watch XOM's profits along with the price of crude.....its pretty eye-opening.
Now look at just sunoco's (linked below)
Then look at both (linked below)
Besides, Exxon and Shell are consistently rated as two of the top 10 corporations (profit wise) annually. Been that way for awhile.
Even Shell took a hit over the last year from higher oil prices...it seems Exxon is the one of the only companies to continue market, profit and shareholder growth during this last year. (linked) They must have great executive leadership or greater market control...its at least one or the other (usually both)
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This is why the price of crude directly relates to amount of money these guys make:
If the cost increases by 10% for exxon, they raise their prices factoring in the cost by 10% + their desired profit margin (we'll go with 20% for easy numbers). So if it was $50 last year, and its $55 this year (10% increase). Exxon is operating on the assumption of $50 + $5 (increase) + $11 (profit margin).
In effect, they now ';make'; $11 per barrel rather than $10 per barrel. They are spending $55 per barrel rather than $50 though....same thing applies with taxation....when ever there is a cost increase they will add their profit margin to that increase. Its how stock-based companies (and most companies in general) operate. They have to or it will look like stagnated growth. In smaller companies you have to do this or your doors will close quickly.
Essentially what happens is that they make MORE money in terms of actual dollars while still making the SAME money in terms of margins.
So, the more the cost of crude increases, the more actual money in dollars oil companies make. If the price of crude goes down, the actual dollars made decrease....but margins stay the same (theoretically).
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Why is this a problem? Because when their cost goes up, so does mine....but I don't get to go back and charge my boss 20% more (MY profit margin). I have to cut costs. Other businesses have to do this too.....but oil is exempt from that because we all NEED oil to get by in today's world.....
They can realistically price themselves to absurdity and we would pretty much be left without much recourse.....of course those of us without bicycles. I love living within 5-7 miles of work....on cooler mornings I ride my bike to work.
Exxon up a bit?? Whaaaa?? They continue to post record profits every quarter for any company in the world - ever. In 2007, ExxonMobil's profit...their net income was $40.6 billion! 40 BILLION dollars of PROFIT. That's a record. They also set a record in 2006 when they made 39.5 billion in profit.
From US News and World Report (Feb 1, 2008):
';Exxon beat its own one-year-old record for the biggest corporate profits ever by 3 percent. Put together with the announcement by the No. 2 U.S. oil company, Chevron, of an $18.7 billion year, up 9 percent over 2006, plus the earlier results of Shell and ConocoPhillips, and that's more than $100 billion in profits from four companies. It's all thanks to the historic 35 percent climb in worldwide crude oil prices in the second half of 2007, ending the first week of this year when oil briefly touched $100 per barrel.
If Exxon Mobil were a country, its 2007 profit would exceed the gross domestic product of nearly two thirds of the 183 nations in the World Bank's economic rankings. It would be right in there behind the likes of Angola and Qatar...';
If you don't see a connection between record profits and high gas prices, I don't know what to tell you.
Just Hillary says? You must have missed the fact that Big Oil had to answer to Congress as to why they have had their biggest profits ever while we are paying almost $4 at the pump.
Five Major Oil CEOs Asked to Testify Before Congress
';The American people deserve answers from Big Oil,'; Markey said in a statement cited by Dow Jones. ';The top 5 oil companies made record profits last year, and yet are continuing to hold onto tax breaks that could be used to advance the clean fuels of the future. Americans are not going to find the answers at the bottom of a gas tank, so we will seek to bring the CEOs of these companies to Congress and to the American people.';
http://www.csnews.com/csn/news/article_d鈥?/a>
Why even bother?
You know that every single politician--regardless of who their husband is or how purdy they talk are the same thing--thieves. If someone started a campaign and got enough Americans behind it to say ';applesauce is killing our economy';, they'd both be on Big Apple's back immediately, as long as it got them an extra vote.
That being said, you're not going to sway the general public either, because all they see is big numbers. $10,000,000,000 sure is a lot of money, but when you're required to put out $200,000,000,000 to make it, it sure doesn't seem as great anymore, does it? No one wants to bother to look at margins versus expenditures, because that would just take time and common sense (ahem...adjustable rate mortgages and their time frame *cough* LAZY PEOPLE *cough* caused the housing collapse, ahem). Why bother doing that when some talking head can sit up in front of a podium, stroke your ego and lie to you about how much money they're going to give you? Why bother doing that when it's so much easier to hate on a big money company from your recliner?
You are doing some data mining with SUN, and wityh the time frame you are choosing.. Check out every other oil company for the past 2 years and you will see about a 100% increase in stock value in everything but SUN. 2007 was a lousy year for stocks in general. 15% growth is impressive for 2007.
Last year I read that the oil companies had record profits. In terms of billions of dollars, in fact. Perhaps Sunoco had a worse year this year, or some internal problem. Why criticize Hillary? They are making huge profits now. The stock market goes up and down all the time.
just how much do you think is a fair profit?
they are making billions ever quarter and their top dogs are receiving millions a year and in some cases tens of millions
while the country sink into a recession because the energy cost are depressing the economy
Hillary is an idiot who is pandering to the masses.She and the Dems are starting a class war and don't care about the truth or what damage they are doing to America.
I have no faith in what the oil companies say in there PR releases. Remember the CEO's of the tobacco companies were not truthful to Congress.
Hillary has no idea of what she speaks. The price is set by the market (world wide I might add), and supply and demand. The sales we have been seeing in the market have NOT YET HIT OUR POCKETBOOK.
Because the stock market is a fantasy role playing game
Up 15%? Up from the OBSCENE PROFITS of last year? My heart bleeds for them.
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