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To: Condor who wrote (8200)	3/9/2005 3:14:08 PM
From: Taikun	Respond to of 37387

Exxon Mobil Shares Seen Deserving 15% Premium To Peers 03.09.05, 2:56 PM ET Prudential Equity Group said Exxon Mobil (nyse: XOM - news - people ) should be priced at about a 15% premium to the integrated oils group, citing the company's "superior financial and operating history and prospects." Prudential said there were no surprises at Exxon Mobil's analyst meeting today, and saw no reason to change its above-consensus earnings estimates or $70 target price. The research firm, which rates Exxon Mobil at "overweight," expects that over the next three years cash flow from operations and asset sales will total about $115 billion--even assuming oil prices fall to $35 per barrel next year and $30 per barrel in 2007. "This should be sufficient to fund a capital program of $15 billion to $17 billion per year (which should more than replace production and grow the reserve base), increase the dividend 8% to 10% per year, and repurchase about $15 billion per year in stock, and still leave Exxon Mobil with more cash than debt."