Loading...

You're on the old version of Simply Wall St. We will no longer be supporting this site, so we recommend you switch to our brand new platform.

Royal Dutch Shell

DB:R6C3
Snowflake Description

Undervalued established dividend payer.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
R6C3
DB
€132B
Market Cap
  1. Home
  2. DE
  3. Energy
Company description

Royal Dutch Shell plc operates as an energy and petrochemical company worldwide. The last earnings update was 28 days ago. More info.


Add to Portfolio Compare Print
  • Royal Dutch Shell has significant price volatility in the past 3 months.
R6C3 Share Price and Events
7 Day Returns
-2.1%
DB:R6C3
8.7%
DE Oil and Gas
4.3%
DE Market
1 Year Returns
-43.4%
DB:R6C3
34.4%
DE Oil and Gas
-14.2%
DE Market
R6C3 Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Royal Dutch Shell (R6C3) -2.1% 2.8% -38.8% -43.4% -36.8% -44.5%
DE Oil and Gas 8.7% -2.8% -19.4% 34.4% -14.7% 157%
DE Market 4.3% -9% -21.6% -14.2% -19.6% -25.6%
1 Year Return vs Industry and Market
  • R6C3 underperformed the Oil and Gas industry which returned 34.4% over the past year.
  • R6C3 underperformed the Market in Germany which returned -14.2% over the past year.
Price Volatility
R6C3
Industry
5yr Volatility vs Market

R6C3 Value

 Is Royal Dutch Shell undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Royal Dutch Shell to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Royal Dutch Shell.

DB:R6C3 Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 20 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 6.7%
Perpetual Growth Rate 10-Year DE Government Bond Rate -0.4%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for DB:R6C3
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year DE Govt Bond Rate -0.4%
Equity Risk Premium S&P Global 5.4%
Oil and Gas Unlevered Beta Simply Wall St/ S&P Global 0.97
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.972 (1 + (1- 25%) (67.34%))
1.31
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.31
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= -0.39% + (1.31 * 5.44%)
6.74%

Discounted Cash Flow Calculation for DB:R6C3 using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Royal Dutch Shell is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

Note: Free cash flow to equity valuations ignore the company's cash or debt.

DB:R6C3 DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (USD, Millions) Source Present Value
Discounted (@ 6.74%)
2020 14,666.15 Analyst x12 13,740.37
2021 16,166.93 Analyst x12 14,190.32
2022 22,286.43 Analyst x6 18,326.84
2023 28,335.00 Analyst x1 21,829.95
2024 32,665.15 Est @ 15.28% 23,577.43
2025 36,121.26 Est @ 10.58% 24,426.26
2026 38,754.24 Est @ 7.29% 24,552.50
2027 40,686.33 Est @ 4.99% 24,149.46
2028 42,058.62 Est @ 3.37% 23,388.17
2029 43,002.41 Est @ 2.24% 22,403.53
Present value of next 10 years cash flows $210,584.00
DB:R6C3 DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2029 × (1 + g) ÷ (Discount Rate – g)
= $43,002.41 × (1 + -0.39%) ÷ (6.74% – -0.39%)
$600,965.13
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= $600,965.13 ÷ (1 + 6.74%)10
$313,092.63
DB:R6C3 Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= $210,584.00 + $313,092.63
$523,676.63
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $523,676.63 / 7,780.90
$67.3
DB:R6C3 Discount to Share Price
Calculation Result
Exchange Rate USD/EUR
(Reporting currency to currency of ENXTAM:RDSA)
0.92
Value per Share
(EUR)
= Value per Share in USD x Exchange Rate (USD/EUR)
= $67.3 x 0.92
€61.89
Non-primary Listing Adjustment Factor 1 share in DB:R6C3 represents 0.9622x of ENXTAM:RDSA
(This could be a different class, a depositary receipt, a different currency, or all of these things.)
0.9622x
Value per Share
(Listing Adjusted, EUR)
= Value per Share (EUR) x Listing Adjustment Factor
= € 61.89 x 0.9622
€59.55
Value per share (EUR) From above. €59.55
Current discount Discount to share price of €16.60
= -1 x (€16.60 - €59.55) / €59.55
72.1%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Royal Dutch Shell is available for.
Intrinsic value
>50%
Share price is €16.6 vs Future cash flow value of €59.55
Current Discount Checks
For Royal Dutch Shell to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Royal Dutch Shell's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Royal Dutch Shell's share price is below the future cash flow value, and at a substantial discount (> 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Royal Dutch Shell's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Royal Dutch Shell's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
DB:R6C3 PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-12-31) in USD $1.97
ENXTAM:RDSA Share Price ** ENXTAM (2020-04-08) in EUR €17.25
ENXTAM:RDSA Share Price converted to USD reporting currency Exchange rate (EUR/ USD) 1.087 $18.76
Europe Oil and Gas Industry PE Ratio Median Figure of 104 Publicly-Listed Oil and Gas Companies 6.5x
Germany Market PE Ratio Median Figure of 402 Publicly-Listed Companies 17.07x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Royal Dutch Shell.

DB:R6C3 PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= ENXTAM:RDSA Share Price ÷ EPS (both in USD)

= 18.76 ÷ 1.97

9.54x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Royal Dutch Shell is overvalued based on earnings compared to the Europe Oil and Gas industry average.
  • Royal Dutch Shell is good value based on earnings compared to the Germany market.
Price based on expected Growth
Does Royal Dutch Shell's expected growth come at a high price?
Raw Data
DB:R6C3 PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 9.54x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 20 Analysts
11.3%per year
Europe Oil and Gas Industry PEG Ratio Median Figure of 66 Publicly-Listed Oil and Gas Companies 0.32x
Germany Market PEG Ratio Median Figure of 256 Publicly-Listed Companies 1.24x

*Line of best fit is calculated by linear regression .

DB:R6C3 PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 9.54x ÷ 11.3%

0.84x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Royal Dutch Shell is good value based on expected growth next year.
Price based on value of assets
What value do investors place on Royal Dutch Shell's assets?
Raw Data
DB:R6C3 PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-12-31) in USD $23.76
ENXTAM:RDSA Share Price * ENXTAM (2020-04-08) in EUR €17.25
ENXTAM:RDSA Share Price converted to USD reporting currency Exchange rate (EUR/ USD) 1.087 $18.76
Germany Oil and Gas Industry PB Ratio Median Figure of 6 Publicly-Listed Oil and Gas Companies 1.01x
Germany Market PB Ratio Median Figure of 573 Publicly-Listed Companies 1.47x
DB:R6C3 PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= ENXTAM:RDSA Share Price ÷ Book Value per Share (both in USD)

= 18.76 ÷ 23.76

0.79x

* Primary Listing of Royal Dutch Shell.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Royal Dutch Shell is good value based on assets compared to the DE Oil and Gas industry average.
X
Value checks
We assess Royal Dutch Shell's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Oil and Gas industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Oil and Gas industry average (and greater than 0)? (1 check)
  5. Royal Dutch Shell has a total score of 5/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

R6C3 Future Performance

 How is Royal Dutch Shell expected to perform in the next 1 to 3 years based on estimates from 20 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
11.3%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Royal Dutch Shell expected to grow at an attractive rate?
  • Royal Dutch Shell's earnings growth is expected to exceed the low risk savings rate of -0.4%.
Growth vs Market Checks
  • Royal Dutch Shell's earnings growth is positive but not above the Germany market average.
  • Royal Dutch Shell's revenues are expected to decrease over the next 1-3 years, this is below the Germany market average.
Annual Growth Rates Comparison
Raw Data
DB:R6C3 Future Growth Rates Data Sources
Data Point Source Value (per year)
DB:R6C3 Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 20 Analysts 11.3%
DB:R6C3 Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 20 Analysts -0.1%
Europe Oil and Gas Industry Earnings Growth Rate Market Cap Weighted Average 13.8%
Europe Oil and Gas Industry Revenue Growth Rate Market Cap Weighted Average 1.8%
Germany Market Earnings Growth Rate Market Cap Weighted Average 14.1%
Germany Market Revenue Growth Rate Market Cap Weighted Average 3.9%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
DB:R6C3 Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 20 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
DB:R6C3 Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2024-12-31 394,058 50,606 25,220 1
2023-12-31 382,469 51,805 20,634 1
2022-12-31 311,502 45,451 17,003 10
2021-12-31 281,490 37,488 10,074 13
2020-12-31 249,856 33,386 3,847 13
2020-04-09
DB:R6C3 Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2019-12-31 344,877 42,178 15,842
2019-09-30 363,099 53,934 20,468
2019-06-30 376,657 53,774 20,428
2019-03-31 382,879 52,243 23,454
2018-12-31 388,379 53,085 23,352
2018-09-30 371,573 38,339 21,569
2018-06-30 347,252 33,829 19,817
2018-03-31 322,618 35,614 15,338
2017-12-31 305,179 35,650 12,977
2017-09-30 284,524 37,545 10,711
2017-06-30 270,549 38,455 7,999
2017-03-31 256,833 29,462 7,629

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Royal Dutch Shell's earnings are expected to grow by 11.3% yearly, however this is not considered high growth (20% yearly).
  • Royal Dutch Shell's revenue is expected to decrease over the next 1-3 years, this is not considered high growth.
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
DB:R6C3 Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 20 Analyst Estimates (S&P Global) See Below

All data from Royal Dutch Shell Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

DB:R6C3 Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2024-12-31 3.45 3.45 3.45 1.00
2023-12-31 3.25 3.25 3.25 1.00
2022-12-31 2.48 3.26 1.58 5.00
2021-12-31 1.77 2.64 1.10 4.00
2020-12-31 0.78 2.17 0.20 5.00
2020-04-09
DB:R6C3 Past Financials Data
Date (Data in USD Millions) EPS *
2019-12-31 1.97
2019-09-30 2.52
2019-06-30 2.49
2019-03-31 2.84
2018-12-31 2.82
2018-09-30 2.60
2018-06-30 2.39
2018-03-31 1.86
2017-12-31 1.58
2017-09-30 1.31
2017-06-30 0.98
2017-03-31 0.94

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Royal Dutch Shell is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess Royal Dutch Shell's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the Europe market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Europe market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Royal Dutch Shell has a total score of 1/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

R6C3 Past Performance

  How has Royal Dutch Shell performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Royal Dutch Shell's growth in the last year to its industry (Oil and Gas).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Royal Dutch Shell has delivered over 20% year on year earnings growth in the past 5 years.
  • Royal Dutch Shell's 1-year earnings growth is negative, it can't be compared to the 5-year average.
  • Royal Dutch Shell's 1-year earnings growth is negative, it can't be compared to the Europe Oil and Gas industry average.
Earnings and Revenue History
Royal Dutch Shell's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Royal Dutch Shell Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

DB:R6C3 Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-12-31 344,877.00 15,842.00 11,629.00 962.00
2019-09-30 363,099.00 20,468.00 11,891.00 970.00
2019-06-30 376,657.00 20,428.00 12,221.00 978.00
2019-03-31 382,879.00 23,454.00 12,081.00 990.00
2018-12-31 388,379.00 23,352.00 12,251.00 986.00
2018-09-30 371,573.00 21,569.00 12,022.00 932.00
2018-06-30 347,252.00 19,817.00 12,049.00 935.00
2018-03-31 322,618.00 15,338.00 11,695.00 918.00
2017-12-31 305,179.00 12,977.00 11,557.00 922.00
2017-09-30 284,524.00 10,711.00 10,870.00 942.00
2017-06-30 270,549.00 7,999.00 11,245.00 960.00
2017-03-31 256,833.00 7,629.00 12,383.00 983.00
2016-12-31 233,591.00 4,575.00 13,375.00 1,014.00
2016-09-30 226,970.00 3,973.00 11,597.00 1,031.00
2016-06-30 233,821.00 -4,818.00 14,495.00 1,074.00
2016-03-31 247,808.00 -2,007.00 14,773.00 1,083.00
2015-12-31 264,960.00 1,939.00 14,904.00 1,093.00
2015-09-30 299,188.00 1,595.00 18,785.00 1,159.00
2015-06-30 338,333.00 13,474.00 16,679.00 1,170.00
2015-03-31 377,153.00 14,795.00 17,522.00 1,192.00
2014-12-31 421,105.00 14,874.00 16,308.00 1,222.00
2014-09-30 437,974.00 16,060.00 19,067.00 1,287.00
2014-06-30 446,636.00 16,274.00 20,073.00 1,276.00
2014-03-31 448,083.00 12,704.00 20,079.00 1,307.00
2013-12-31 451,235.00 16,371.00 19,953.00 1,318.00
2013-09-30 460,039.00 21,318.00 19,191.00 1,306.00
2013-06-30 455,644.00 23,805.00 18,378.00 1,325.00

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Royal Dutch Shell has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Royal Dutch Shell used its assets less efficiently than the Europe Oil and Gas industry average last year based on Return on Assets.
  • Royal Dutch Shell has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Royal Dutch Shell's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Oil and Gas industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Royal Dutch Shell has a total score of 2/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

R6C3 Health

 How is Royal Dutch Shell's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Royal Dutch Shell's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Royal Dutch Shell is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Royal Dutch Shell's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of Royal Dutch Shell's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is covered by short term assets, assets are 1.4x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Royal Dutch Shell Company Filings, last reported 3 months ago.

DB:R6C3 Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-12-31 190,463.00 65,887.00 18,055.00
2019-09-30 192,581.00 57,839.00 15,417.00
2019-06-30 196,255.00 61,888.00 18,470.00
2019-03-31 200,256.00 62,844.00 21,470.00
2018-12-31 202,534.00 62,798.00 26,741.00
2018-09-30 201,486.00 78,378.00 19,112.00
2018-06-30 201,240.00 80,471.00 19,468.00
2018-03-31 201,313.00 88,022.00 21,927.00
2017-12-31 197,812.00 70,141.00 20,312.00
2017-09-30 198,533.00 88,356.00 20,699.00
2017-06-30 196,257.00 90,347.00 23,992.00
2017-03-31 192,753.00 91,629.00 19,595.00
2016-12-31 188,511.00 77,617.00 19,130.00
2016-09-30 188,729.00 97,829.00 19,984.00
2016-06-30 192,506.00 90,329.00 15,222.00
2016-03-31 198,014.00 80,873.00 11,019.00
2015-12-31 164,121.00 52,194.00 31,752.00
2015-09-30 162,482.00 55,587.00 31,846.00
2015-06-30 178,008.00 52,941.00 26,981.00
2015-03-31 168,822.00 43,840.00 19,867.00
2014-12-31 172,786.00 38,838.00 21,607.00
2014-09-30 180,992.00 42,982.00 19,027.00
2014-06-30 186,113.00 44,122.00 15,419.00
2014-03-31 183,130.00 45,729.00 11,924.00
2013-12-31 181,148.00 39,417.00 9,696.00
2013-09-30 180,406.00 37,078.00 14,278.00
2013-06-30 178,221.00 32,971.00 12,540.00
  • Royal Dutch Shell's level of debt (34.6%) compared to net worth is satisfactory (less than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (22.5% vs 34.6% today).
  • Debt is well covered by operating cash flow (64%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 6.3x coverage).
X
Financial health checks
We assess Royal Dutch Shell's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Royal Dutch Shell has a total score of 4/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

R6C3 Dividends

 What is Royal Dutch Shell's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
10.02%
Current annual income from Royal Dutch Shell dividends. Estimated to be 10.18% next year.
If you bought €2,000 of Royal Dutch Shell shares you are expected to receive €200 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Royal Dutch Shell's pays a higher dividend yield than the bottom 25% of dividend payers in Germany (1.63%).
  • Royal Dutch Shell's dividend is above the markets top 25% of dividend payers in Germany (4.61%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
DB:R6C3 Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 20 Analyst Estimates (S&P Global) See Below
Europe Oil and Gas Industry Average Dividend Yield Market Cap Weighted Average of 68 Stocks 8.1%
Germany Market Average Dividend Yield Market Cap Weighted Average of 314 Stocks 3.6%
Germany Minimum Threshold Dividend Yield 10th Percentile 0.8%
Germany Bottom 25% Dividend Yield 25th Percentile 1.6%
Germany Top 25% Dividend Yield 75th Percentile 4.6%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

DB:R6C3 Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2024-12-31 2.04 1.00
2023-12-31 2.00 1.00
2022-12-31 1.91 7.00
2021-12-31 1.89 7.00
2020-12-31 1.90 8.00
2020-04-09
DB:R6C3 Past Annualized Dividends Data
Date (Data in $) Dividend per share (annual) Avg. Yield (%)
2020-01-30 1.880 9.674
2019-10-31 1.880 6.439
2019-08-01 1.880 6.555
2019-05-02 1.880 5.881
2019-01-31 1.880 5.948
2018-11-01 1.880 6.251
2018-07-26 1.880 5.728
2018-04-26 1.880 5.396
2018-02-01 1.880 5.778
2017-11-02 1.880 5.695
2017-07-27 1.880 6.471
2017-05-04 1.880 6.963
2017-02-02 1.880 7.146
2016-11-01 1.880 7.104
2016-07-28 1.880 7.529
2016-05-04 1.880 7.237
2016-02-04 1.880 7.845
2015-10-29 1.880 8.248
2015-07-30 1.880 7.137
2015-04-30 1.880 6.385
2015-01-29 1.880 6.014
2014-10-30 1.880 5.625
2014-07-31 1.880 4.925
2014-04-30 1.880 4.657
2014-01-30 1.800 4.961
2013-10-31 1.800 5.236
2013-08-01 1.800 5.505
2013-05-02 1.800 5.411
2013-01-31 1.720 5.213
2012-11-01 1.720 5.018
2012-07-26 1.720 4.911
2012-04-26 1.720 5.213
2012-02-02 1.720 4.842
2011-10-27 1.680 4.763
2011-07-28 1.680 5.129
2011-04-28 1.680 4.725
2011-02-03 1.680 4.704
2010-10-28 1.680 5.099
2010-07-29 1.680 5.760
2010-04-28 1.680 6.224
2010-02-04 1.680 5.828
2009-10-29 1.680 5.586
2009-07-30 1.680 5.941
2009-04-29 1.680 6.634

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Dividends per share have been stable in the past 10 years.
  • Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of Royal Dutch Shell's earnings are paid to the shareholders as a dividend.
  • Dividends paid are not well covered by earnings (1x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be covered by earnings (1.2x coverage).
X
Income/ dividend checks
We assess Royal Dutch Shell's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Royal Dutch Shell afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Royal Dutch Shell has a total score of 5/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

R6C3 Management

 What is the CEO of Royal Dutch Shell's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Ben Van Beurden
COMPENSATION $9,963,000
AGE 61
TENURE AS CEO 6.3 years
CEO Bio

Mr. Ben van Beurden has been the Chief Executive Officer of Royal Dutch Shell plc since January 1, 2014. Mr. van Beurden served as Downstream Director of Royal Dutch Shell plc since January 1, 2013 until September 2013 and served as its Executive Vice President Chemicals from 2006 to 2012. He served as an Executive Vice President of Shell Chemical LP since December 1, 2006. He served as an Executive Vice President at Shell Chemicals U.K. Ltd. He served as Executive Vice President of Chemicals at Royal Dutch Shell plc. He also served on the boards at the European Chemical Industry Council. He joined Shell in 1983 and served as Vice President of Manufacturing Excellence and Support. Mr. van Beurden held a number of senior technical roles in The Netherlands and overseas before taking up the position of General Manager Operations Malaysia LNG in 1996. From 2000 to 2002, he served as Vice President Mexico Shell Gas and Power, followed by an assignment as Private Assistant to the Chairman of Shell. From 1983 to 2002, he was employed by Royal Dutch/Shell Group of companies in a variety of technical and commercial roles both in the upstream and downstream businesses. He has been a Director of Royal Dutch Shell plc since January 1, 2014. In March 2009, Mr. van Beurden was appointed to the Board of the International Council of Chemicals Associations (ICCA). He also served on the boards of a number of leading industry associations. He graduated with a Masters degree in Chemical Engineering from Delft University of Technology in The Netherlands.

CEO Compensation
  • Ben's compensation has been consistent with company performance over the past year, both up more than 20%.
  • Ben's remuneration is higher than average for companies of similar size in Germany.
Management Team Tenure

Average tenure and age of the Royal Dutch Shell management team in years:

6.3
Average Tenure
55
Average Age
  • The average tenure for the Royal Dutch Shell management team is over 5 years, this suggests they are a seasoned and experienced team.
Management Team

Ben Van Beurden

TITLE
CEO & Director
COMPENSATION
$10M
AGE
61
TENURE
6.3 yrs

Jessica Uhl

TITLE
CFO & Executive Director
COMPENSATION
$6M
AGE
51
TENURE
3.1 yrs

Harry Brekelmans

TITLE
Projects & Technology Director
AGE
54
TENURE
5.5 yrs

Tjerk Huysinga

TITLE
Executive Vice President of Investor Relations

Donny Ching

TITLE
Legal Director
AGE
55

Ed Daniels

TITLE
Executive Vice President of Strategy & Portfolio
TENURE
6.3 yrs

Ronan Cassidy

TITLE
Chief Human Resources & Corporate Officer
AGE
52
TENURE
4.3 yrs

Ann Pickard

TITLE
Executive Vice President of Arctic - Upstream Americas
AGE
64
TENURE
14.6 yrs

Wai Kiew Loh

TITLE
Head of global Shell Marine Products Business
TENURE
14.4 yrs

Russell Caplan

TITLE
Chairman of Australian Unit
AGE
72
TENURE
14.2 yrs
Board of Directors Tenure

Average tenure and age of the Royal Dutch Shell board of directors in years:

6.3
Average Tenure
65
Average Age
  • The tenure for the Royal Dutch Shell board of directors is about average.
Board of Directors

Chad Holliday

TITLE
Independent Chairman
COMPENSATION
$921K
AGE
71
TENURE
4.9 yrs

Ben Van Beurden

TITLE
CEO & Director
COMPENSATION
$10M
AGE
61
TENURE
6.3 yrs

Gerard Kleisterlee

TITLE
Deputy Chair & Senior Independent Director
COMPENSATION
$242K
AGE
73
TENURE
1.9 yrs

Jessica Uhl

TITLE
CFO & Executive Director
COMPENSATION
$6M
AGE
51
TENURE
3.1 yrs

How Lim

TITLE
Executive Chairman of Shell Companies
TENURE
14.6 yrs

Swee Chen Goh

TITLE
Chairman of Shell Companies in Singapore
AGE
58

Ann Godbehere

TITLE
Independent Non-Executive Director
COMPENSATION
$178K
AGE
64
TENURE
1.9 yrs

Linda Stuntz

TITLE
Independent Non-Executive Director
COMPENSATION
$197K
AGE
65
TENURE
8.8 yrs

Nigel Sheinwald

TITLE
Independent Non-Executive Director
COMPENSATION
$187K
AGE
66
TENURE
7.8 yrs

Gerrit Zalm

TITLE
Independent Non-Executive Director
COMPENSATION
$177K
AGE
67
TENURE
7.3 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month open market individual insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (€) Value (€)
26. Sep 19 Buy John Abbott Individual 23. Sep 19 23. Sep 19 3,873 €26.51 €102,676
26. Jun 19 Buy Andrew Brown Individual 24. Jun 19 24. Jun 19 2,545 €29.02 €73,845
26. Jun 19 Buy John Abbott Individual 24. Jun 19 24. Jun 19 3,351 €29.02 €97,229
X
Management checks
We assess Royal Dutch Shell's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Royal Dutch Shell has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

R6C3 News

Simply Wall St News

R6C3 Company Info

Description

Royal Dutch Shell plc operates as an energy and petrochemical company worldwide. The company operates through Integrated Gas, Upstream, and Downstream segments. It explores for and extracts crude oil, natural gas, and natural gas liquids; markets and transports oil and gas; produces gas-to-liquids fuels and other products; and operates upstream and midstream infrastructure necessary to deliver gas to market. The company also markets and trades natural gas, liquefied natural gas (LNG), crude oil, electricity, carbon-emission rights; and markets and sells LNG as a fuel for heavy-duty vehicles and marine vessels. In addition, it trades in and refines crude oil and other feed stocks, such as gasoline, diesel, heating oil, aviation fuel, marine fuel, biofuel, lubricants, bitumen, and sulphur; produces and sells petrochemicals industrial use; and manages oil sands activities. Further, the company produces base chemicals comprising ethylene, propylene, and aromatics, as well as intermediate chemicals, such as styrene monomer, propylene oxide, solvents, detergent alcohols, ethylene oxide, and ethylene glycol. Royal Dutch Shell plc was founded in 1907 and is headquartered in The Hague, the Netherlands.

Details
Name: Royal Dutch Shell plc
R6C3
Exchange: DB
Founded: 1907
€131,684,598,572
7,780,904,249
Website: http://www.shell.com
Address: Royal Dutch Shell plc
Carel van Bylandtlaan 30,
The Hague,
Zuid-Holland, 2596 HR,
Netherlands
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
ENXTAM RDSA Class A Shares Euronext Amsterdam NL EUR 26. Jan 2005
OTCPK RYDA.F Class A Shares Pink Sheets LLC US USD 26. Jan 2005
DB R6C Class A Shares Deutsche Boerse AG DE EUR 26. Jan 2005
XTRA R6C Class A Shares XETRA Trading Platform DE EUR 26. Jan 2005
LSE RDSA Class A Shares London Stock Exchange GB GBP 26. Jan 2005
SWX RDSA Class A Shares SIX Swiss Exchange CH CHF 26. Jan 2005
WBAG RDSA Class A Shares Wiener Boerse AG AT EUR 26. Jan 2005
SEP RDSA Class A Shares The Stock Exchange Prague Co. Ltd. CZ CZK 26. Jan 2005
BATS-CHIXE RDSAA Class A Shares BATS 'Chi-X Europe' GB EUR 26. Jan 2005
BATS-CHIXE RDSAL Class A Shares BATS 'Chi-X Europe' GB GBP 26. Jan 2005
BATS-CHIXE R6CD Class A Shares BATS 'Chi-X Europe' GB EUR 26. Jan 2005
NYSE RDS.B SPON ADR B New York Stock Exchange US USD 20. Jul 2005
NYSE RDS.A SPONS ADR A New York Stock Exchange US USD 20. Jul 2005
LSE RDSB Class B Shares London Stock Exchange GB GBP 20. Jul 2005
BASE RDS CEDEAR EACH REP 0.5 'B'ADR Buenos Aires Stock Exchange AR ARS 13. May 2004
OTCPK RYDB.F Class B Shares Pink Sheets LLC US USD 20. Jul 2005
DB R6C2 SPON ADR B Deutsche Boerse AG DE EUR 20. Jul 2005
DB R6C3 Class B Shares Deutsche Boerse AG DE EUR 20. Jul 2005
DB R6C1 SPONS ADR A Deutsche Boerse AG DE EUR 20. Jul 2005
XTRA R6C3 Class B Shares XETRA Trading Platform DE EUR 20. Jul 2005
SWX RDSB Class B Shares SIX Swiss Exchange CH CHF 20. Jul 2005
ENXTAM RDSB Class B Shares Euronext Amsterdam NL EUR 20. Jul 2005
BMV RDS B SPON ADR B Bolsa Mexicana de Valores MX MXN 20. Jul 2005
BMV RDS A SPONS ADR A Bolsa Mexicana de Valores MX MXN 20. Jul 2005
BATS-CHIXE RDSBL Class B Shares BATS 'Chi-X Europe' GB GBP 20. Jul 2005
BATS-CHIXE RDSBA Class B Shares BATS 'Chi-X Europe' GB EUR 20. Jul 2005
Number of employees
Current staff
Staff numbers
83,000
Royal Dutch Shell employees.
Industry
Integrated Oil and Gas
Energy
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2020/04/09 00:55
End of day share price update: 2020/04/08 00:00
Last estimates confirmation: 2020/04/07
Last earnings filing: 2020/03/12
Last earnings reported: 2019/12/31
Last annual earnings reported: 2019/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.