Occidental Petroleum (OXY), mcap=$64bn, price $64 vs. $58

thesis centers on the shift of capital return strategy from debt reduction to buybacks/dividends after the leverage target is reached this year. OXY’s capital return program is the last in the large-cap O&G space. OXY has a 22% FCF yield to the equity right now that is going almost 100% to debt paydown and now buybacks. A number of industry-wide as well as company-specific catalysts.