OPEC Takes Down Oil Majors as Lower-for-Even-Longer Kicks In
- Majors' EPS estimates for 2016 have been cut as oil slides
- Earnings downgrades could be in store for the oil companies
Oil Outlook: Are We in for a Wild Ride?
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For months, many executives at the world’s largest oil producers have been talking about prices staying lower for longer. After OPEC’s decision to keep pumping full pelt that could become lower for even longer.
Even before Friday, the prolonged slump in crude had forced analysts to cut their earnings-per-share estimates for the world’s 10 largest integrated oil companies in recent weeks. With oil dropping to the lowest in more than six years after the Organization of Petroleum Exporting Countries meeting on Friday, further downgrades are probably on the way.