Oil Industry Valuation One of the Lowest Levels in 50 Years

The behemoths of the oil industry, Exxon Mobil Corporation (NYSE:XOM), Chevron Corporation (NYSE:CVX), Total SA (ADR) (NYSE:TOT) and Royal Dutch Shell plc (ADR) (NYSE:RDS.A) (NYSE:RDS.B) all recently reported a pretty dire second quarter. Profits and operating cash flows fell across the board to such an extent, that one analyst was prompted to ask Chevron Corporation (NYSE:CVX)’s management on the conference call, if the company could continue to sustain its dividend and buyback operations at their current rate. Oil sector looking undervalued However, the resulting panic from these results has left the sector looking relatively undervalued to the rest of the market. For…