The shares of Royal Dutch Shell (LSE: RDSB) (NYSE: RDS-B.US) climbed 7p to 2,228p during early trade this morning after the oil major announced Ben van Beurden would become its new chief executive.
The FTSE 100 member said Mr van Beurden would take the top job at the start of next year. He will replace Peter Voser, who will leave Shell at the end of March 2014 following 29 years at the company.
Mr van Beurden joined Shell during 1983 and has been in his current role of Downstream Director since January.
Commenting on the board appointment, Jorma Ollila, Shell’s chairman, said:
“Ben has deep knowledge of the industry and proven executive experience across a range of Shell businesses. Ben will continue to drive and further develop the strategic agenda that we have set out, to generate competitive returns for our shareholders.“
Peter Voser announced his retirement in May at the same time Shell issued its first-quarter figures. Those numbers showed underlying earnings up 3% to $7.5bn and the quarterly dividend up 5%.
Annualising those quarterly figures gives potential earnings above £3 a share and a possible dividend of around 120p per share. Those projections equate to a P/E of 7 and a yield of more than 5%.
Of course, whether those ratings, the appointment of Mr van Beurden and the general outlook for multinational oil companies all combine to make Shell a ‘buy’ right now is something only you can decide.
But if you already have Shell tucked away in your portfolio and are in the market for an alternative buying opportunity, the Fool’s top analysts have named one company they believe will generate superior long-term capital growth…
…and have declared the share as “The Fool’s Top Growth Stock For 2013“.
Simply click here for the full report — it’s free.
> Maynard does not own any share mentioned in this article.
According to one leading industry firm, the 5G boom could create a global industry worth US $12.3 TRILLION out of thin air…
And if you click here, we’ll show you something that could be key to unlocking 5G’s full potential...
It’s just ONE innovation from a little-known US company that has quietly spent years preparing for this exact moment…
But you need to get in before the crowd catches onto this ‘sleeping giant’.