Trade in Royal Dutch Shell shares!
ROYAL DUTCH SHELL

How to sell or buy Royal Dutch Shell shares?

Trade in Royal Dutch Shell shares!
BUY
SELL

{etoroCFDrisk}% of retail CFD accounts lose money - eToro.com
 
Chart provided by Tradingview
You can now invest in the Royal Dutch Shell share price and thus invest in the energy sector thanks to our detailed sheet which contains all the important data to know about this security. You will notably find a historical technical analysis of its share price together with the current share price in real time.
Dividend payments
Can I receive dividends when I buy Royal Dutch Shell shares?
Yes
 
Information on Royal Dutch Shell shares
ISIN code: GB00BP6MXD84
Ticker: LON: SHEL
Index or market: FTSE 100
 

How to buy and sell Royal Dutch Shell shares?

 
Open an account by clicking here
 
Deposit Funds
 
Search Royal Dutch Shell (LON: SHEL)
 
Buy/Sell Royal Dutch Shell shares
 
 
{etoroCFDrisk}% of retail CFD accounts lose money - eToro.com

Elements to consider before investing in this asset

Analysis N°1

Firstly, it is important to pay close attention to any takeovers or acquisitions of shares in companies or competitors that enable Shell to gain more market share.

Analysis N°2

Movements in the global demand for oil should of course also be carefully monitored.

Analysis N°3

It will also be important to monitor government regulations and any changes in international regulations that may affect the company's activities and profitability.

Analysis N°4

Although it is one of the leaders in its activity sector Shell still faces heavy competition.You should therefore take this into account and take the time to get to know the major competitors to this group by following their financial news, publications and shares of the market.

Analysis N°5

It is clear that with laws relating to the environment that are becoming increasingly stricter this could present an obstacle to Shell’s activities.

Analysis N°6

Finally, before buying or selling Shell shares, the worldwide global instability remains a threat to be taken into consideration for the Shell Company.

How to sell or buy Royal Dutch Shell shares?
Trade in Royal Dutch Shell shares!
Buy
Sell
{etoroCFDrisk}% of retail CFD accounts lose money - eToro.com

What should I know before sell and buy Royal Dutch Shell stock?

Buy Royal Dutch Shell shares

The Royal Dutch Shell Group is a Dutch company that exercises its activities in the production and distribution of oil and natural gas.  To better understand the activities of this group it is possible to categorise them into different sectors according to the turnover generated by each type of activity as follows:

Firstly, we know that the majority of the revenue of the Royal Dutch Shell Company is achieved through its refinery and distribution activities which account for 86.2% of this group’s turnover.  This is followed by this group’s revenue from its 21 refineries and network of over 44,000 service stations around the world. It should be mentioned here that the group also manufactures petrochemical products such as olefins, aromatic products, solvents, ethylene, propylene, phenols and various additives as well as its activities related to the production of solar energy.

The rest of the group’s income, that is to say 13.8% of its turnover, is from the exploration and production of crude oil and natural gas. We should also note here that this company is currently developing its activities in the production of energy and fuel from wind power and oil sands.

It can also be useful to know how the group’s activities are distributed from a geographical point of view. Royal Dutch Shell achieves 30.6% of its turnover in Europe, 39.6% in Asia, Oceania and Africa, 23.1% in the United States and the remaining 6.7% from various other countries around the world.

The share price of the Royal Dutch Shell Company is currently quoted in compartment A of the Euronext Amsterdam stock market and is integrated in the calculation of the AEX stock market index.

Photo credits: ©bwylezich/123RF.COM

The major competitors of Royal Dutch Shell

ExxonMobil

The primary direct competitor to Royal Dutch Shell is currently the American oil and gas company ExxonMobil Corporation. This is in fact one of the extra large petroleum companies with fields considered to be among the largest owned by a private company at the present time.

BP Group

Then we find the BP Company which is a British company created in 1909 that exercises the activities of research, extraction, refinery and sale of oil and refined products.  This has become the largest company in the United Kingdom since its merger with Amoco, Atlantic Richfield and Burmah Castrol. It is also the third largest petroleum company worldwide.  The BP Group currently exercises its activities in approximately one hundred countries around the world and employs more than 80,000 people.

Total

We would also monitor the French Total S.A. Group which is also a top oil and gas company and the largest French company in this sector in terms of turnover. It also happens to have the fourth largest stock market capital in the Euro zone. This group provides a full range of activities in this sector from the extraction of crude oil and natural gas through to the creation of energy and including refinery activities and retail sales. The Total Group also exercises its activities in the low carbon fuel sector and the production of electricity. It operates in over 130 countries at present and employs more than 100,000 people.  It also operates more than 16,000 service stations worldwide, 3,500 of these in France alone through the brands Total, Total Access and ELAN.

Chevron

Then we find the Chevron Corporation which is the second largest American company in this sector after ExxonMobil.  This company operates its activities in around 180 different countries and in each sector of the crude oil and gas industry including the exploration and production, as well as refineries, the sale and transport of chemical products and the production of electricity. This company’s share price is notably included in the composition of the Dow Jones Index and can therefore be classified as among the ten largest companies worldwide in terms of turnover.

ConocoPhillips

To conclude, the last major competitor to Royal Dutch Shell is the American group ConocoPhillips, a company that is specialised in the extraction, transport and processing of crude oil.  This company notably owns and operates a network of service stations in a number of countries.


The major partners of Royal Dutch Shell

Rosneft

In 2007 the Royal Dutch Shell group signed a partnership agreement with the Russian petroleum company Rosneft relating to a strategic co-operation and the joint completion of projects relating to the exploration, extraction and transformation of hydrocarbons.

Technip and Samsung

In 2012 the Shell Group signed an agreement to strengthen its partnership with Technip and Samsung relating to LNG floats.

Total

In 2016 Royal Dutch Shell implemented a partnership with the Total Group relating to two major projects in Iran and the development of oil fields.

Trade in Royal Dutch Shell shares!
{etoroCFDrisk}% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money. This is an advert for trading CFDs on eToro
Positive factors for Royal Dutch Shell
The factors in favour of a rise in the Royal Dutch Shell share price:

To face the challenges of the future and to be able to achieve sustainable growth, the Royal Dutch Shell Group must of course have certain strengths and limit its weaknesses. It is therefore important, as part of your analysis and before buying or selling Shell stocks, to know the advantages and disadvantages of this company. As far as the main strengths of Royal Dutch Shell are concerned, the following elements should be noted:

  • First of all, the Royal Dutch Shell group is one of the leaders in the energy sector with more than 80,000 employees and a presence in nearly 70 countries around the world. Its large size allows it to benefit from significant financial resources and greater flexibility to deal with critical phases. Its strong cash flow also allows it to make massive investments in order to remain profitable in the future, and it uses part of its financial resources in merger and acquisition operations.
  • Another strength of Shell is its strong vertical integration, both upstream and downstream. The company is active along the entire supply chain, from oil exploration to production, refining, transportation and marketing.
  • The group also invests heavily in research and development and even directly employs scientists, engineers and researchers in order to improve its products, processes and operations and to maintain a sustainable business over time. In addition, the group has many collaborations with universities, laboratories and public entities or start-ups in the field of research.
  • Another strength of Royal Dutch Shell is its exploration capability, as it invests heavily in finding new oil and gas reservoirs, a process that is becoming increasingly complex. Indeed, it seems to have the expertise to deal with the difficulties faced by oil and gas companies in the search for fossil fuels.
  • Still on the subject of the group's strengths, we note the strong diversification of Shell's products. Indeed, the group is active in several markets, which allows it to mitigate risks with less exposure to the oil, natural gas, petroleum products and chemicals markets alone. In times of Covid-19, the group has even ventured into the supply of soap and hand sanitisers. Its geographical diversification is also very good.
  • The final strength of the Royal Dutch Shell group is its strategic alliances. The group has strategic partnerships in various fields with governments, NGOs, other energy producers, industrial bodies and local organisations. Through its many partners, the group is able to maintain its strong position in the market.
Negative factors for Royal Dutch Shell
The factors in favour of a drop in the Royal Dutch Shell share price:

Of course, the Royal Dutch Shell group does not only have its strengths, but also a few weaknesses, which are summarised below:

  • Firstly, it is known that oil and gas reserves have been declining in recent years and that the number of remaining years of production in the group's reserves is constantly decreasing. Shell's reserves also tend to decline faster than those of its competitors, requiring it to continue to find or buy new oil and gas reservoirs.
  • Another major weakness of the group is its weak presence in the renewable energy sector. As the world's energy supply shifts towards sustainable energy, Shell invests little in these new technologies and energy types and remains focused on the fossil fuel market. Indeed, its investments in this area are well below those of its main competitors. However, the group intends to invest more in this area but regularly cancels its planned investments due to the problematic market situation in the oil industry.
  • The last weak point that we can mention with regard to the Royal Dutch Shell group is of course its high exposure to oil prices. Indeed, the group's profits are strongly dependent on this price and it has recently lost a lot of its value following the Covid-19 pandemic. Low oil prices reduce the value of the group's assets as well as its revenues, again demonstrating the need for Shell to look to other sources of energy. This has been seen in the company's dividend, which was cut by two-thirds as a result of the fall in oil prices.
The information supplied here is only for indicative purposes and should not be used without the completion of a comprehensive and complete fundamental analysis of this asset notably taking into account exterior data, future publications and announcements and all fundamental events and news that could influence the strengths and weaknesses or make them more or less significant. This information does not in any way constitute recommendations relating to the completion of transactions or a solicitation to buy or sell an asset.

Frequently Asked Questions

What were the latest performances of the Royal Dutch Shell share?

It is interesting to know the evolution of the Royal Dutch Shell share price in recent years to assess its possible attractiveness for investors. Thus, it should be noted that the change in the price of this share over one year is currently -49.28%. It has also been negative over the last 5 years with -49.02%. The annualized return of the Royal Dutch Shell share, however, remains positive at 9.73%.

What is or what are the stock market indices on which the Shell share is listed?

You must know, if you have read this article dedicated to the Royal Dutch Shell action, that this company is both a British and Dutch company. As a result, its share price is double listed both on the Euronext Amsterdam market and on the LES. Likewise, Shell is part of the calculation of the AMX and FTSE 100 indices which are the benchmarks of these two countries.

How to analyze the Royal Dutch Shell share price?

Analysis of the Royal Dutch Shell share price requires a good understanding of the elements likely to influence it. Before selling or buying Shell shares, you must carry out both a coherent fundamental analysis of this value by studying the news likely to make it go up or down and a technical analysis which will be based this time on the study of graphical movements and indicators.

Trade in Royal Dutch Shell shares!

eToro is a multi-asset platform which offers both investing in stocks and cryptoassets, as well as trading CFDs.

Please note that CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. {etoroCFDrisk}% of retail CFD accounts lose money. You should consider whether you can afford to take the high risk of losing your money.

Past performance is not an indication of future results. Trading history presented is less than 5 complete years and may not suffice as basis for investment decision.

Copy trading is a portfolio management service, provided by eToro (Europe) Ltd., which is authorised and regulated by the Cyprus Securities and Exchange Commission.

Cryptoasset investing is unregulated in some EU countries and the UK. No consumer protection. Your capital is at risk.

eToro USA LLC does not offer CFDs and makes no representation and assumes no liability as to the accuracy or completeness of the content of this publication, which has been prepared by our partner utilizing publicly available non-entity specific information about eToro.