Phillips 66 (PSX) — Free Cash Flow Yield

Energy

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

MetricValue
FCF Yield2.9%
Energy Sector Avg FCF Yield4.5%
Annual Free Cash Flow$2.7B
Market Cap$93.7B
P/E Ratio13.3x

Phillips 66's FCF yield of 2.9% is below the Energy sector average (4.5%).

Frequently Asked Questions

What is Phillips 66's (PSX) free cash flow yield?

Phillips 66's (PSX) free cash flow yield is 2.9%. That is below the Energy sector average (4.5%).

Is PSX's free cash flow yield good?

At 2.9%, PSX's free cash flow yield is considered weak — yields above 10% are generally excellent, 7–10% good, 4–7% fair, and below 4% weak, though context varies by sector and growth stage.

How much free cash flow does Phillips 66 generate?

Phillips 66 generated $2.7B in free cash flow, against a market cap of $93.7B.

How is free cash flow yield calculated?

Free cash flow yield = (Free Cash Flow ÷ Market Capitalization) × 100%. Free cash flow equals operating cash flow minus capital expenditures.

Data from public filings. Not investment advice. Calculate your own FCF yield →