28th Annual Student Research Conference
Equity Analysis of ConocoPhillips Corporation
Bulldog Student Investment Fund*, Logan Summers, Muhammad Rashidov, Justin Persell, and Michael Fentress
Prof. Charles Boughton, Faculty Mentor
In coordination with Bulldog Student Investment Fund (BSIF) this research comprises a valuation of ConocoPhillips. Various models were used throughout the process of equity evaluation including economic profit models, comparative valuation models, as well as a discounted cash flow method. A projection on whether the company is worth of an investment or not, was identified. In addition to valuation models, Porters Five Forces and SWOT analysis of the company were conducted in order to build confidence in COPs competitive durability and its ability to innovate. After research and reasoning, the conclusion was to buy when the price falls below $55 from the current market value of $67.42. For the time being the stock is overpriced. Current ability of the company to generate enough profit on the invested capital and its overall capital spending do not seem quite promising.
Keywords: Finance, Stock, ConocoPhillips Corporation, COP, Valuation, Equity
Topic(s):Business Administration
Economics
Interdisciplinary
Presentation Type: Oral Paper
Session: 114-1
Location: VH 1328
Time: 8:00