Elliott Investment Management Phillips 66 Activist Investor Pushes for Change

Elliott Investment Management has been a vocal advocate for change at Phillips 66, a multinational energy corporation.

Elliott's activist investor push has been centered around improving the company's performance and increasing shareholder value.

One key area of focus has been the company's refining and marketing business, which has been underperforming compared to its peers.

Elliott has been urging Phillips 66 to take steps to improve the efficiency and profitability of its refining operations.

In particular, Elliott has been pushing for the company to divest non-core assets and explore new business opportunities.

Elliott Investment Management is a significant player in the investment world, as evident from their substantial investment in Honeywell International Inc. They manage funds that have made an investment of more than $5 billion in Honeywell.

Elliott has also released statements regarding their involvement with Honeywell, with Partner Marc making public statements on their behalf. This suggests a high level of engagement and commitment to their investments.

Elliott's investment in Honeywell is a notable one, with their funds exceeding $5 billion.

Phillips 66 stock is on a roll, having made its third consecutive weekly advance and sixth in the last eight weeks.

Phillips 66 has a 70 Composite Rating out of a best-possible 99, indicating a solid performance.

The company's Relative Strength Rating stands at 85, showing its stock price has been strong compared to the overall market.

Phillips 66's midstream business is a key area of focus, with the company aiming to grow its natural gas liquids operations in the Permian basin.

The company's CEO, Lashier, has stated that they intend to get bigger in the midstream business to take advantage of rising production from US shale.

By owning midstream crude and refined products pipelines, Phillips 66 can avoid paying tariffs on pipelines operated by other companies and secure feedstock availability for its own facilities.

Phillips 66 stock has been on a roll lately, with its third consecutive weekly advance and sixth in the last eight weeks.

This impressive streak suggests that investors are taking notice of the company's performance.

The stock's Composite Rating is a respectable 70 out of 99, indicating a solid overall rating.

Phillips 66 stock also boasts an impressive Relative Strength Rating of 85, showing strong price performance over the past 12 months.

Its EPS Rating is a more modest 15, but still a positive sign for investors.

Phillips 66 is facing pressure from activist investor Elliott to cut costs and potentially sell off some of its assets. The company's midstream business is a key focus for Elliott, who wants to see it grow to take advantage of rising production from US shale.

Phillips 66's midstream business involves taking away natural gas liquids from the Permian basin, and the company intends to get bigger in this business. This is a strategic move to position itself as a great service provider for Exxon and its peers in the Permian.

Elliott wants Phillips 66 to sell its stake in Chevron Phillips Chemicals, valued at $15-20 billion after taxes, and its European convenience stores and other midstream assets. However, analysts at Piper Sandler disagree, suggesting that these divestments should be a last resort if Phillips 66's other cost-cutting measures fail.

ExxonMobil's recent acquisition of Pioneer Natural Resources will more than double its Permian output to 1.3mn b/d of oil equivalent by 2024, before increasing to 2mn boe/d in 2027. This is a significant development that will drive demand for midstream services.