Shell PLC

SHEL: XLON (GBR)

Morningstar Rating for Stocks	Fair Value	Economic Moat	Capital Allocation
	GBX 2,494.00	Flpg	Hghbwnlgj

Increasing FVEs for Shell, BP and Total; Shares Cheap but Strategy and Russia Exposure a Drag

Allen Good

Apr 12, 2022

After incorporating the most recent oil and gas prices into our models, we have increased our fair value estimates for Shell, BP and TotalEnergies by 18% on average. Our models now include oil prices of $101/barrel and $95/bbl in 2022 and 2023, respectively, while our long-term midcycle price assumption remains $60/bbl. Total now trades at the greatest discount at 0.74 of our fair value estimate. All three remain rated as no-moat firms.

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