Royal Dutch Shell PLC Royal Dutch Shell American Depositary Shares (Each representing two Class A Ordinary Shares) (RDS.A) Company Bio
Royal Dutch Shell operates as an independent oil and gas company worldwide. It operates through Upstream and Downstream segments. The company was founded in 1907 and is based in The Hague, the Netherlands.
RDS.A Price Forecast Based on DCF Valuation
DCF Fair Value Target:
The table below illustrates the output of a discounted cash flow forecast using a variety of scenarios for Royal Dutch Shell plc. To summarize, we found that Royal Dutch Shell plc ranked in the 36th percentile in terms of potential gain offered. Our DCF analysis suggests the stock is overvalued by about 40.5%. The most interesting components of our discounted cash flow analysis for Royal Dutch Shell plc ended up being:
Its compound free cash flow growth rate, as measured over the past 5.01 years, is -0.08% -- higher than only 18.65% of stocks in our DCF forecasting set.
Royal Dutch Shell plc's weighted average cost of capital (WACC) is 7%; for context, that number is higher than only 16.49% of tickers in our DCF set.
Relative to other stocks in its sector (Energy), Royal Dutch Shell plc has a reliance on debt greater than merely 18.56% of them.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
For other companies in the Energy that have a similar discounted cashflow valuation profile (and ensuing price forecasts) as RDS.A, try MMP, EPM, COG, NS, and DWSN.
Royal Dutch Shell ([[RDS.A]], [[RDS.B]]) CEO Ben van Beurden hinted to a Dutch newspaper that the company is considering moving its headquarters to Great Britain from the Netherlands. A Shell spokesman later confirmed the CEO's comments to Reuters, indicating the company was looking at ways to simplify its dual structure. Shell...
Royal Dutch Shell is not ruling out moving its headquarters from the Netherlands to Britain, the oil company's chief executive Ben van Beurden said in a Dutch newspaper interview published on Saturday.