2019-04-13 14:28:00 Sat ET
stock market gold oil stock return s&p 500 asset market stabilization asset price fluctuations stocks bonds currencies commodities funds term spreads credit spreads fair value spreads asset investments
Saudi Aramco unveils the financial secrets of the most profitable corporation in the world. In its recent public bond issuance prospectus, Aramco offers the first official view of its financial affairs. The bottomline is about $111 billion for the fiscal year 2018-2019. This annual profit is more than the sum of net profits from Apple and Alphabet. As the sole controlling shareholder of the oil company Aramco, the Saudi Arabia government receives $56 billion oil production royalties, $102 billion income taxes, and $107 billion cash dividends from Aramco in the fiscal year 2018-2019. This capital allocation is equivalent to 2.5+ times the $100 billion SoftBank Vision Fund in Japan.
If the international stock investment community pays the equivalent market value of 16-18 times the $100+ billion net profit per annum, the forthcoming Aramco IPO can reach the astronomical stock market capitalization of almost $2 trillion. Saudi Arabia government can use the cash proceeds to buy equity stakes in multinational tech companies for better diversification and national security. In the grand scheme, this stock investment strategy brings forward the future cash flows from Aramco for the middle-east government to diversify outside the energy sector.
If any of our AYA Analytica financial health memos (FHM), blog posts, ebooks, newsletters, and notifications etc, or any other form of online content curation, involves potential copyright concerns, please feel free to contact us at service@ayafintech.network so that we can remove relevant content in response to any such request within a reasonable time frame.
2023-12-03 11:33:00 Sunday ET

Macro innovations and asset alphas show significant mutual causation. April 2023 This brief article draws from the recent research publicati
2022-04-15 10:32:00 Friday ET

Corporate investment management This review of corporate investment literature focuses on some recent empirical studies of M&A, capital investm
2018-05-11 09:37:00 Friday ET

OPEC countries have cut the global glut of oil production in recent years while the resultant oil price has surged from $30 to $78 per barrel from 2015 to 2
2019-07-25 16:42:00 Thursday ET

Platforms benefit from positive network effects, scale economies, and information cascades. There are at least 2 major types of highly valuable platforms: i
2019-12-16 11:37:00 Monday ET

America and China cannot decouple decades of long-term collaboration in trade, finance, and technology. In recent times, some economists claim that China ma
2017-03-21 09:37:00 Tuesday ET

Trump and Xi meet in the most important summit on earth this year. Trump has promised to retaliate against China's currency misalignment, steel trade