Quality Investor

Phillips 66

Rank #355Value

PSX · NYSE · Energy

Phillips 66 (PSX) — Rank #355 by gross profitability (GP/assets 0.20) · ROE 14.0% · Piotroski F-Score N/A.

As-of 2026-09-15 · CIK 0001534701 · all metrics point-in-time as of the filing date.

About

Phillips 66 operates as an integrated downstream energy provider in the United States, the United Kingdom, Germany, and internationally.

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It operates through five segments: Midstream, Chemicals, Refining, Marketing and Specialties (M&S), and Renewable Fuels. The Midstream segment provides crude oil and refined petroleum product transportation, terminaling, and storage services, as well as natural gas and natural gas liquids (NGL) gathering, processing, transportation, fractionation, storage and marketing services. It also exports liquefied petroleum gas. The Chemicals segment produces and markets ethylene and other olefin products; aromatics and styrenics products, such as benzene, cyclohexane, styrene, and polystyrene; various specialty chemical products, including organosulfur chemicals, solvents, catalysts, and chemicals used in drilling and mining; and petrochemicals and plastics. The Refining segment refines crude oil and other feedstocks into petroleum products, such as gasolines and distillates, including aviation fuels. The M&S segment purchases for resale and markets refined products, including gasolines, distillates, and aviation fuels. This segment also manufactures and markets specialty products, such as automotive, commercial, industrial, and specialty lubricants, as well as base oils. The Renewable Fuels segment processes renewable feedstocks into renewable products, as well as supplies sustainable aviation fuel. This segment also procures renewable feedstocks, manages certain regulatory credits, and markets renewable diesel, renewable jet fuel, and other renewable fuels. The company markets its products under the Phillips 66, Conoco and 76, JET, Kendall, Red Line, and other private label brands.

Phillips 66 was founded in 1875 and is headquartered in Houston, Texas.

Industry
Oil & Gas Refining & Marketing
Sector
Energy
State
DE
Filer Category
Large accelerated filer
Fiscal Year End
December 31

Price History

PSX+346.9% · +34.9% CAGRSPY+80.5% · +12.5% CAGR

Company Snapshot

P/E and dividend yield are the primary valuation lenses for mature businesses.

Market Cap

$105.49B

P/E (annual)

24.5

P/S (annual)

0.8

P/B

3.3

P/OCF (annual)

21.3

Shareholder Yield

5.1%

Employees

12,600

Industry

Oil & Gas Refining & Marketing

Exchange

NYSE

Signal Flags

2 green1 red
RPO outpacing revenueRemaining performance obligations growing faster than recognized revenue — forward demand building
Sequential beat (rev + EPS)Both revenue and EPS exceeded prior quarter — 1-quarter streak
Revenue declining YoYRevenue contracted year over year

Quality Profile

Profitability

1/1 pass
GP / assets
0.20
Return on equity
14.0%
Gross margin trend
PASS

Safety

1/1 pass
Balance-sheet safety
PASS
Debt / equity
1.50
Current ratio
1.32×
Net cash
$2.30B

Cash Flow

1/1 pass
Positive FCF
N/A
Cash-backed earnings
N/A
Accruals healthy
PASS
SBC / revenue
0.2%

Growth

1/2 pass
Revenue growth
-7.5%
Piotroski F-Score
N/A
Share dilution
-3.3%

Terry Smith quality gate

Passes 0/5 Terry Smith thresholds

4 of 5 thresholds not computable from filed data.

Valuation History

Current multiple vs historical range at each filing date. Band spans 25th-75th percentile.

P / E

Price / diluted EPS

14.4xFair
4.3xmed 13.2x28.6x

P / S

Price / revenue per share

0.5xExpensive
0.3xmed 0.4x0.6x

P / B

Price / book value per share

2.2xExpensive
1.6xmed 2.0x2.2x

P / GP

Price / gross profit per share

3.9xFair
2.3xmed 3.7x6.0x

Dividend yield and payout ratio are the primary reads at this stage (trailing P/E — see valuation above).

Profitability

Gross profitability (GP / assets)

0.20

Primary signal (Novy-Marx).

2nd of 5 SIC 2911 peers

Return on equity

14.0%

Gross margin

12.3%

2nd of 5 SIC 2911 peers

Revenue growth (YoY)

-7.5%

RPO growth (YoY)

50.9%

Remaining performance obligations growth — RPO > revenue = forward demand building.

Gross margin improving

Margin trend vs prior year.

PASS

Operating Leverage

2022202320242025
Revenue vs COGS
Revenue vs OpEx
Op. Income vs Revenue

Growth

Revenue CAGR (3Y)

-8.0%

Revenue CAGR (5Y)

15.6%

Earnings CAGR (3Y)

-26.4%

FCF CAGR (3Y)

Anti-fragile safety

Balance-sheet safety

Composite anti-fragile check.

PASS

Debt / equity

1.50

Current ratio

1.32×

2nd of 5 SIC 2911 peers

Quick ratio

0.86×

Net cash

$2.30B

Cash & equivalents minus total debt.

Cash-flow health

Free cash flow

Operating cash flow minus capex.

Positive free cash flow

N/A

FCF / net income

Cash-backing of earnings.

FCF/NI divergence

Unfavorable divergence (yellow flag).

N/A

Accruals healthy

Cash-backed earnings.

PASS

SBC / revenue

0.2%

Stock-based comp intensity.

Dividend safety

Composite score

1.5 / 5

Weak
Payout ratio
43.7%4/5 Strong
FCF coverage
N/A0/5 Weak
Dividend growth streak
1 yr1/5 Weak
Balance-sheet health
D/E 1.50 · IC N/A1/5 Weak

Piotroski F-Score

F-Score

N/A

Only 8/9 components determinable.

Lifecycle Phase History

20202025
Decline
Hypergrowth
Value