This episode analyzes Occidental Petroleum (OXY), focusing on its business model across oil & gas, chemicals, and midstream segments, highlighting the dominance of oil & gas revenue. They examine its financial performance, including volatile historical results, recent strong Q1 2025 earnings surpassing expectations, significant debt reduction, and a shift towards shareholder returns via buybacks and dividends. The analysis emphasizes OXY's strategic direction, particularly investments in low-carbon ventures like Direct Air Capture, alongside operational efficiencies and acquisitions like CrownRock, while acknowledging the inherent risks of commodity price swings and the capital-intensive nature of its new initiatives. A value investor perspective, heavily influenced by Berkshire Hathaway's large stake, suggests the stock may be undervalued based on discounted future cash flows.

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