Finance - Markets: Oil & Gas?

[averageguy]

Hi.

Why does a large integrated oil company, say XOM, trade at such low multiples as compared to other oil related stocks like DO or HAL.
In fact these (XOM BP etc.) trade at lower multiples than many stocks regardless of sector.

 

[iubigred007]

sphincter said what?

 

[MikeH]

I am no expert, but my guess as to multiples versus the market at large would be volitility (no pun intended).

within the industry, a factor might be where their major oil supplies come from. Do they depend more heavily on Iran or Venezuela than the higher multiple oil companies?