Looking towards Chevron from an investor’s position

Chevron Corp. stock cannot be singled out when it comes to bad performances in this quarter, with lower price pressures and falling margins. As per CVX stock analysis, Chevron in its recent report announced profits of $7.21 billion, a decrease of 7%, and in terms of per share, $3.66 a share. CVX earnings in terms of revenue shrunk to $62.6 billion, which is 9% less than last year, and significantly below expectations of $71.4 billion for the year. The average annual return of the company against its share is close to 20%, however things have fallen a bit short of expectations in 2012, where the shares gained marginal 5%, and things have remained the same in 2013, with several points where the share underperformed as against the market expectations. Although some credit must be given to Chevron, as it has shifted its focus to efficient operation, cutting down on costs, selling unprofitable asset and revenue streams, and their persistent efforts to explore and develop reserves and production sources as per CVX stock news.

But the following overwhelming disadvantages take away all the above-mentioned credits: Production: Even when Chevron is equipped with most advanced technologies for the oil exploration and location, it is very impossible to hit jackpots overnight. Also, the potentially rich reserves are placed in some of the most remote or otherwise extremely unstable regions of the planet. Global Economy: The world’s cumulative economic growth has slowed down, many are still recovering from the economic crash, and others have engaged in austerity programs and initiatives to recover from debt crisis with budget cuts, etc. Safety: Chevron has saved still itself from an international crisis caused by the BO oil spill, but even then, its record has its own share of spills and leaks, having led to billion dollar law suits, contentious claims and disputes on probably all front from local, national to international, and from single person to collective groups.