PSX

Phillips 66

Fundamental data last updated:July 22, 2026

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company profile

SECTOR

Energy

industry

Oil & Gas Refining & Marketing

Exchange

NYSE

County of HQ

US

Next Earnings Date

08/05/2026

Business Summary

Phillips 66 operates as a diversified energy company, specializing in both manufacturing and logistics. Its comprehensive business model is structured across four primary segments: Midstream, Chemicals, Refining, and Marketing & Specialties (M&S). The Midstream division manages the vital infrastructure for transporting and processing various energy commodities. This includes moving crude oil and other feedstocks, delivering refined petroleum products to market, offering terminaling and storage solutions, and handling natural gas liquids (NGLs) through processes like transportation, storage, fractionation, export, and marketing. It also provides fee-based processing services and oversees the gathering, processing, transportation, and marketing of natural gas. The Chemicals segment is dedicated to the production and distribution of a broad spectrum of chemical products. This encompasses olefins like ethylene, aromatics and styrenics such as benzene, cyclohexane, styrene, and polystyrene, alongside various specialty chemicals. These specialty products include organosulfur compounds, solvents, catalysts, and chemicals utilized in drilling and mining operations. Through its Refining segment, Phillips 66 transforms crude oil and other feedstocks into essential petroleum products. These include different grades of gasoline, distillates, aviation fuels, and renewable fuels, processed at its network of 12 refineries located in the United States and Europe. The Marketing & Specialties (M&S) segment focuses on the procurement, resale, and marketing of refined petroleum products like gasolines, distillates, and aviation fuels, primarily serving markets in the United States and Europe. This segment also manufactures and distributes specialized products, including base oils and lubricants. Phillips 66, founded in 1875, is headquartered in Houston, Texas.

 


VALUATION

P/E

17.29

Market Cap ($M USD)

$71.10B

Forward P/E

6.82

PEG

0.04

PRICE TO SALES

0.52

PRICE TO BOOK

2.50

EV / EBITDA

10.13

5-Year Average P/E

Free Cash Flow Yield

0.17%

DCF Value

$226.55

Graham Number

$127.96

Price to FCF

597.46

EV to FCF

782.12

Earnings Yield

5.78%

FCF Yield

0.17%

DIVIDEND

Yield

2.79%

Annual Payout

$4.94

Payout Ratio

47.59%

Consecutive Years of Dividend Growth

5-Year Dividend Growth Rate

Financial Health & Profitability

Earnings Per Share

$10.26

Next Year EPS Growth Estimate

$26.00

Next Year Revenue Growth Estimate

$18.56T

Return on Equity (ROE)

14.72%

FREE CASH FLOW

Operating Margin

4.67%

Debt-to-Equity

0.79

Piotroski F-Score

5

Altman Z-Score

3.23

Return on Invested Capital (ROIC)

10.58%

Current Ratio

1.13

Quick Ratio

0.85

Net Debt to EBITDA

2.39

Interest Coverage

5.74

Gross Profit margin

7.04%

FCF PER SHARE

$0.30

REVENUE PER SHARE

$337.71

Gainseekers Quantitative Analysis

Summary

Phillips 66 is trading at a compelling discount relative to its DCF value, suggesting the market may be underestimating its intrinsic worth. The Forward P/E of 10.44 indicates a more attractive valuation compared to its current P/E, hinting at expected earnings growth. With an Altman Z-score of 3.30, the company appears financially stable, reducing the risk of distress. However, the earnings yield of 5.85% suggests moderate returns, which might not excite yield-focused investors. Overall, the stock’s valuation metrics and financial health present a mixed but intriguing picture for value seekers.

AI Exposure / Tech Reliance

In the energy sector, Phillips 66's ability to integrate AI and modern technologies is crucial for optimizing refining processes and improving operational efficiencies. As the industry evolves, the company must leverage tech advancements to maintain competitiveness. Its resilience will depend on how effectively it adapts to these shifts.

The Bull Case

For the value-driven investor, Phillips 66 offers a robust ROIC of 10.58%, indicating efficient capital allocation and strong returns on invested capital. Despite a low FCF yield, the Piotroski F-Score of 5 suggests moderate financial health and operational efficiency. The company's operating margin of 4.67% reflects its ability to maintain profitability in a volatile market. These factors, combined with a reasonable payout ratio, make it an attractive option for those seeking growth at a reasonable price.

The Bear Case

Despite its strengths, Phillips 66 faces significant challenges. The Price to FCF ratio is alarmingly high at 590.79, signaling poor cash flow generation relative to its market valuation. Trading close to its 52-week high, the stock appears technically overextended, raising concerns about its current price level. Additionally, the Price/Book ratio of 2.47 suggests the stock may be overvalued compared to its book value. These factors could deter cautious investors wary of overpaying for future growth.

Market Sentiment & Smart Money

Short Interest %

Analyst Consensus

Buy

Average Analyst Price Target

$181.11

Institutional Ownership %

1-Year Beta

0.68

Insider Buying % (6 Mo)

Distance to 52-Week High

7.49%

Distance to 52-Week Low

33.42%

EARNINGS SURPRISE %

190.33%

50-DAY SMA

$174.65

200-DAY SMA

$153.59

⚠️ Financial Disclaimer:
This content is for informational purposes only and is not financial advice. Information may be delayed or inaccurate. We may earn a commission from partner links.