Morningstar Rating

Stock Research and Analysis

by David McColl

Bulls Say

Imperial reflects the values of its parent, ExxonMobil, by continually focusing on operational improvement and cost reduction.
The first stage of the Kearl oil sands project should add production of 110 mbpd of capacity in 2014, with an additional 110 mbpd coming on line in late 2015 or early 2016.
By focusing on oil sands, Imperial largely avoids the exploration risk of conventional assets, while boosting its reserves. Read more 

Bears Say

Imperial has not been successful at improving Syncrude operations, and Kearl may have high operating costs, which would hurt returns.
Oil sands projects are coming under increased scrutiny for environmental concerns. Additional regulation could be costly.
Low natural gas prices put the company's Mackenzie gas project at risk of not being developed. Read more 

Management

ExxonMobil owns about 70% of the outstanding shares of Imperial, and though the relationship certainly offers the latter firm access to a wealth of expertise and insight, we can't help but think that Imperial has the voice of its parent in the back   Read more 

Profile

Imperial Oil is a Canadian integrated energy company that is 70% owned by ExxonMobil and produces approximately 300,000 barrels of oil equivalent per day (86% oil). At year-end   Read more 

First Name
Last Name
Email Address
Zip Code
Create Password
Verify Password
(6-15 characters; case sensitive)

Any Sector Will Envy This Stock's Returns on Capital 
Watch more 

Premium Membership

View all of our analyst reports with a free trial to Morningstar.com Premium.