Recent News
On August 28, 2025 Phillips 66 disclosed that it would begin winding down its 139,000‑barrel‑per‑day Los Angeles‑area refinery as early September approaches, with unit idling scheduled in Q4 2025 and most layoffs expected by December; the company emphasized the multistage nature of the shutdown and reaffirmed its prior timeline. Subsequent coverage through early September reiterated the phased closure and noted the combined effect with other refinery exits on California fuel supply.
Technical Analysis
ADX at 25.12 indicates a strong trend strength; a strong ADX raises the likelihood that directional signals from trend followers will carry through the near term and amplify moves tied to operational news.
DI+ sits at 22.57 and is decreasing, which creates a bearish directional bias; DI- shows a dip & reversal at 14.85, a pattern that aligns with additional downside pressure rather than support for further advances.
MACD reads 1.52 with a signal line at 1.93 and a decreasing MACD trend; MACD below its signal line combined with a declining trajectory signals bearish momentum on price impulses and reduces conviction for sustained upside in the coming weeks.
MRO at 10.36 with a peak & reversal indicates price sits above the internal regression target and carries downward reversion risk; this elevates the probability of mean reversion toward modeled fair value levels absent fresh bullish catalysts.
RSI at 57.52 with a peak & reversal shows momentum weakening from recent highs, consistent with the MACD and DI configuration and suggesting short‑term consolidation or modest retreat rather than breakout continuation.
Price relationships present mixed timing signals: last close $129.57 trades above the 200‑day average of $118.60, signaling longer‑term strength, while the 12‑day EMA and short‑term averages show peak‑and‑reversal behavior. SuperTrend lower at $126.83 lies below the market price and offers a proximate technical support reference; Bollinger bands place the price below the 1x lower band levels supplied, implying elevated short‑term volatility relative to the mean.
Fundamental Analysis
Operating performance: EBIT of $1,394,000,000 and EBITDA of $2,210,000,000 produce an EBIT margin of 4.18%, below the industry peer mean of 17.40% and the industry peer median of 13.65%. Operating margin registers 3.57%, consistent with modest operating profitability but trailing peer central tendencies.
Top‑line dynamics show YoY revenue growth of 46.87% while QoQ revenue change measures -198.39%; YoY expansion indicates material annual growth, but the QoQ figure signals substantial quarter‑to‑quarter volatility in reported revenue flows.
Earnings and outlook: Reported EPS came in at $2.38 versus an estimate of $1.71, an EPS surprise of 39.18%. Forward EPS of $2.37 produces a forward PE near 49.0x while trailing PE sits at 50.81x, metrics that reflect elevated valuation multiples relative to cash generation.
Cash generation and capital: Operating cash flow reached $845,000,000 with free cash flow of $258,000,000, yielding a free cash flow yield of 0.53%. Free cash conversion remains limited relative to reported net income ($877,000,000) and yields constrained flexibility for buybacks or expansion without relying on external financing.
Balance sheet and leverage: Total debt of $20,935,000,000 and net debt near $19,883,000,000 produce a debt‑to‑EBITDA of 9.47x and debt‑to‑equity of 76.15%; interest coverage near 5.09x provides some buffer but leverage metrics indicate elevated indebtedness versus operating cash flow stability.
Returns and capital efficiency: Return on equity stands at 3.19% and return on assets at 1.19%, while asset turnover at 0.45 exceeds the industry peer mean of 0.15, reflecting comparatively efficient use of assets to generate revenue despite low margin structure.
Shareholder distributions and valuation: Dividend yield sits at about 1.00% with a dividend payout ratio near 55.53% and dividend coverage ratio approximately 1.80x. Price/book around 1.78 lies above the industry peer mean of 1.55 but within the peer range. Free cash flow yield remains low and, combined with elevated P/E multiples and material leverage, underpins WMDST’s determination that the current valuation is over‑valued.
MOST-RECENT QUARTERLY REPORT
| REPORT PERIOD ENDING: | 2025-06-30 |
| REPORT DATE: | 2025-07-25 |
| NEXT REPORT DATE: | 2025-10-24 |
| CASH FLOW | Begin Period Cash Flow | $ 1.5 B |
| Operating Cash Flow | $ 845.0 M | |
| Capital Expenditures | $ -587.00 M | |
| Change In Working Capital | $ -1.07 B | |
| Dividends Paid | $ -487.00 M | |
| Cash Flow Delta | $ -345.00 M | |
| End Period Cash Flow | $ 1.1 B | |
| INCOME STATEMENT | REVENUE | |
| Total Revenue | $ 33.3 B | |
| Forward Revenue | $ 9.1 B | |
| COSTS | ||
| Cost Of Revenue | $ 29.9 B | |
| Depreciation | $ 816.0 M | |
| Depreciation and Amortization | $ 816.0 M | |
| Research and Development | — | |
| Total Operating Expenses | $ 32.1 B | |
| PROFITABILITY | ||
| Gross Profit | $ 3.4 B | |
| EBITDA | $ 2.2 B | |
| EBIT | $ 1.4 B | |
| Operating Income | $ 1.2 B | |
| Interest Income | — | |
| Interest Expense | $ 274.0 M | |
| Net Interest Income | $ -274.00 M | |
| Income Before Tax | $ 1.1 B | |
| Tax Provision | $ 212.0 M | |
| Tax Rate | 19.0 % | |
| Net Income | $ 877.0 M | |
| Net Income From Continuing Operations | $ 908.0 M | |
| EARNINGS | ||
| EPS Estimate | $ 1.71 | |
| EPS Actual | $ 2.38 | |
| EPS Difference | $ 0.67 | |
| EPS Surprise | 39.181 % | |
| Forward EPS | $ 2.37 | |
| BALANCE SHEET | ASSETS | |
| Total Assets | $ 75.9 B | |
| Intangible Assets | $ 2.5 B | |
| Net Tangible Assets | $ 25.0 B | |
| Total Current Assets | $ 21.1 B | |
| Cash and Short-Term Investments | $ 1.1 B | |
| Cash | $ 1.1 B | |
| Net Receivables | $ 11.3 B | |
| Inventory | $ 5.6 B | |
| Long-Term Investments | $ 2.4 B | |
| LIABILITIES | ||
| Accounts Payable | $ 10.9 B | |
| Short-Term Debt | $ 3.7 B | |
| Total Current Liabilities | $ 19.7 B | |
| Net Debt | $ 19.9 B | |
| Total Debt | $ 20.9 B | |
| Total Liabilities | $ 47.3 B | |
| EQUITY | ||
| Total Equity | $ 27.5 B | |
| Retained Earnings | $ 31.2 B | |
| VALUATION & PER-SHARE METRICS | EQUITY & PER-SHARE METRICS | |
| Book Value Per-Share | $ 68.03 | |
| Shares Outstanding | 404.124 M | |
| Revenue Per-Share | $ 82.46 | |
| VALUATION | Market Capitalization | $ 48.9 B |
| Enterprise Value | $ 68.8 B | |
| Enterprise Multiple | 31.109 | |
| Enterprise Multiple QoQ | -18.818 % | |
| Enterprise Multiple YoY | 10.153 % | |
| Enterprise Multiple IPRWA | high: 75.659 PSX: 31.109 mean: 30.349 median: 28.835 low: -7.608 |
|
| EV/R | 2.063 | |
| CAPITAL STRUCTURE | ||
| Asset To Equity | 2.762 | |
| Asset To Liability | 1.605 | |
| Debt To Capital | 0.432 | |
| Debt To Assets | 0.276 | |
| Debt To Assets QoQ | 5.322 % | |
| Debt To Assets YoY | 652.991 % | |
| Debt To Assets IPRWA | high: 0.609 PSX: 0.276 mean: 0.236 median: 0.212 low: 0.002 |
|
| Debt To Equity | 0.762 | |
| Debt To Equity QoQ | 10.455 % | |
| Debt To Equity YoY | 706.866 % | |
| Debt To Equity IPRWA | high: 1.807 PSX: 0.762 mean: 0.725 median: 0.442 low: 0.002 |
|
| PRICE-BASED VALUATION | ||
| Price To Book (P/B) | 1.778 | |
| Price To Book QoQ | 3.685 % | |
| Price To Book YoY | -8.989 % | |
| Price To Book IPRWA | high: 3.756 PSX: 1.778 median: 1.768 mean: 1.548 low: 0.005 |
|
| Price To Earnings (P/E) | 50.808 | |
| Price To Earnings QoQ | -139.86 % | |
| Price To Earnings YoY | -14.609 % | |
| Price To Earnings IPRWA | high: 185.623 mean: 52.014 PSX: 50.808 median: 48.382 low: -96.671 |
|
| PE/G Ratio | -0.139 | |
| Price To Sales (P/S) | 1.466 | |
| Price To Sales QoQ | -4.56 % | |
| Price To Sales YoY | -2.807 % | |
| Price To Sales IPRWA | high: 30.921 mean: 6.124 median: 5.84 PSX: 1.466 low: 0.012 |
|
| FORWARD MULTIPLES | ||
| Forward P/E | 48.998 | |
| Forward PE/G | -0.134 | |
| Forward P/S | 5.366 | |
| EFFICIENCY | OPERATIONAL | |
| Operating Leverage | 6.125 | |
| ASSET & SALES | ||
| Asset Turnover Ratio | 0.451 | |
| Asset Turnover Ratio QoQ | 7.017 % | |
| Asset Turnover Ratio YoY | -9.905 % | |
| Asset Turnover Ratio IPRWA | PSX: 0.451 high: 0.396 median: 0.165 mean: 0.148 low: 0.002 |
|
| Receivables Turnover | 3.091 | |
| Receivables Turnover Ratio QoQ | 7.958 % | |
| Receivables Turnover Ratio YoY | -9.118 % | |
| Receivables Turnover Ratio IPRWA | high: 6.047 PSX: 3.091 mean: 1.92 median: 1.804 low: 0.322 |
|
| Inventory Turnover | 5.524 | |
| Inventory Turnover Ratio QoQ | -10.348 % | |
| Inventory Turnover Ratio YoY | 0.713 % | |
| Inventory Turnover Ratio IPRWA | high: 23.002 PSX: 5.524 mean: 3.262 median: 2.469 low: 0.051 |
|
| Days Sales Outstanding (DSO) | 29.518 | |
| CASH CYCLE | ||
| Cash Conversion Cycle Days (CCC) | 12.274 | |
| Cash Conversion Cycle Days QoQ | -17.2 % | |
| Cash Conversion Cycle Days YoY | 20.374 % | |
| Cash Conversion Cycle Days IPRWA | high: 82.233 PSX: 12.274 median: 5.201 mean: 2.162 low: -110.2 |
|
| CAPITAL DEPLOYMENT | ||
| Cash Conversion Ratio | 23.956 | |
| CapEx To Revenue | -0.018 | |
| CapEx To Depreciation | -0.719 | |
| CAPITAL, LIQUIDITY & COVERAGE | CAPITAL STRUCTURE | |
| Total Capital | $ 44.7 B | |
| Net Invested Capital | $ 48.4 B | |
| Invested Capital | $ 48.4 B | |
| Net Tangible Assets | $ 25.0 B | |
| Net Working Capital | $ 1.4 B | |
| LIQUIDITY | ||
| Cash Ratio | 0.053 | |
| Current Ratio | 1.071 | |
| Current Ratio QoQ | -12.825 % | |
| Current Ratio YoY | -6.473 % | |
| Current Ratio IPRWA | high: 5.453 median: 1.249 mean: 1.2 PSX: 1.071 low: 0.329 |
|
| Quick Ratio | 0.787 | |
| Quick Ratio QoQ | -10.164 % | |
| Quick Ratio YoY | -0.096 % | |
| Quick Ratio IPRWA | high: 3.791 mean: 0.941 median: 0.919 PSX: 0.787 low: 0.247 |
|
| COVERAGE & LEVERAGE | ||
| Debt To EBITDA | 9.473 | |
| Cost Of Debt | 1.118 % | |
| Interest Coverage Ratio | 5.088 | |
| Interest Coverage Ratio QoQ | 34.552 % | |
| Interest Coverage Ratio YoY | -20.998 % | |
| Interest Coverage Ratio IPRWA | high: 22.447 mean: 6.991 median: 6.558 PSX: 5.088 low: -20.714 |
|
| Operating Cash Flow Ratio | 0.018 | |
| TIMING / LIQUIDITY | ||
| Days Payables Outstanding (DPO) | 34.6 | |
| DIVIDENDS | ||
| Dividend Coverage Ratio | 1.801 | |
| Dividend Payout Ratio | 0.555 | |
| Dividend Rate | $ 1.21 | |
| Dividend Yield | 0.01 | |
| PERFORMANCE | GROWTH | |
| Asset Growth Rate | 5.713 % | |
| Revenue Growth | 9.507 % | |
| Revenue Growth QoQ | -198.386 % | |
| Revenue Growth YoY | 46.872 % | |
| Revenue Growth IPRWA | high: 39.248 % PSX: 9.507 % median: -4.359 % mean: -5.23 % low: -35.032 % |
|
| Earnings Growth | -364.444 % | |
| Earnings Growth QoQ | -172.889 % | |
| Earnings Growth YoY | -1788.883 % | |
| Earnings Growth IPRWA | high: 122.222 % median: -21.739 % mean: -23.683 % low: -180.0 % PSX: -364.444 % |
|
| MARGINS | ||
| Gross Margin | 10.293 % | |
| Gross Margin QoQ | 58.281 % | |
| Gross Margin YoY | 30.638 % | |
| Gross Margin IPRWA | high: 82.166 % mean: 25.097 % median: 22.581 % PSX: 10.293 % low: -39.892 % |
|
| EBIT Margin | 4.183 % | |
| EBIT Margin QoQ | 44.491 % | |
| EBIT Margin YoY | 2.776 % | |
| EBIT Margin IPRWA | high: 95.08 % mean: 17.395 % median: 13.652 % PSX: 4.183 % low: -39.515 % |
|
| Return On Sales (ROS) | 3.571 % | |
| Return On Sales QoQ | 23.351 % | |
| Return On Sales YoY | -12.26 % | |
| Return On Sales IPRWA | high: 90.781 % mean: 14.072 % median: 11.212 % PSX: 3.571 % low: -39.515 % |
|
| CASH FLOW | ||
| Free Cash Flow (FCF) | $ 258.0 M | |
| Free Cash Flow Yield | 0.528 % | |
| Free Cash Flow Yield QoQ | -204.554 % | |
| Free Cash Flow Yield YoY | -82.441 % | |
| Free Cash Flow Yield IPRWA | high: 8.634 % median: 1.276 % mean: 1.274 % PSX: 0.528 % low: -11.931 % |
|
| Free Cash Growth | -209.322 % | |
| Free Cash Growth QoQ | 56.089 % | |
| Free Cash Growth YoY | -30.28 % | |
| Free Cash Growth IPRWA | high: 300.833 % mean: 0.989 % median: -24.008 % PSX: -209.322 % low: -448.718 % |
|
| Free Cash To Net Income | 0.294 | |
| Cash Flow Margin | 1.077 % | |
| Cash Flow To Earnings | 0.409 | |
| VALUE & RETURNS | ||
| Economic Value Added | $ 0.03 | |
| Return On Assets (ROA) | 1.187 % | |
| Return On Assets QoQ | 76.113 % | |
| Return On Assets YoY | -10.953 % | |
| Return On Assets IPRWA | high: 4.797 % mean: 1.197 % PSX: 1.187 % median: 0.982 % low: -3.385 % |
|
| Return On Capital Employed (ROCE) | 2.478 % | |
| Return On Equity (ROE) | 0.032 | |
| Return On Equity QoQ | 78.611 % | |
| Return On Equity YoY | -7.429 % | |
| Return On Equity IPRWA | high: 0.111 PSX: 0.032 mean: 0.029 median: 0.027 low: -0.087 |
|
| DuPont ROE | 3.203 % | |
| Return On Invested Capital (ROIC) | 2.334 % | |
| Return On Invested Capital QoQ | 50.678 % | |
| Return On Invested Capital YoY | -99.352 % | |
| Return On Invested Capital IPRWA | high: 6.932 % mean: 2.638 % median: 2.373 % PSX: 2.334 % low: -4.078 % |
|