I would love to hear about what you'll have to say about it. How is the culture/exit opps/deal flow?
I know Energy is not doing well right now, but other than that how are all the things mentioned above?
| +442 | Don’t work at UBS - UBS Sucks | 41 | 12h |
| +329 | Article - UBS’ Investment Bank Keeps Losing Ground | 41 | 5d |
| +201 | Should My Intern Get a Return Offer? | 56 | 40m |
| +64 | When to Leave Office as Intern | 8 | 6d |
| +56 | F*ck it I'm Going to Med School | 19 | 2d |
| +50 | Getting Laid in IB? | 27 | 51m |
| +49 | Would you rather be a Touse Squid or a Bouse Mogger in IB | 3 | 11h |
| +45 | Living in greenwich as an analyst? | 9 | 2h |
| +32 | STEM student lost in London IB recruiting | 19 | 8h |
| +27 | NYC Associate Budget | 9 | 21h |
Career Resources
Get instant access to lessons taught by experienced private equity pros and bulge bracket investment bankers including financial statement modeling, DCF, M&A, LBO, Comps and Excel Modeling.
It’s really hard to say where O&G will be in the next 3-5 years. While Citi has been a top bank, it’s just hard to see how deals can go back to what they were before 2014, beyond the consolidation story. Bigger issue would be exists as mentioned. Someone did analysis of Energy PE historically having an average MOIC of 1.2x, not including the current downturn. With funds already struggling and portco valuations being cut in half in the near term, it’s hard to see the number of exit ops existing down the road. Combining poor returns with LP ESG concerns, Energy funds are looking for ways to diversify.
There are analysts in Houston who signed in on-cycle for Summer 2021, who have no idea what state the PE fund they will be joining will be in. Some are questioning if they should try to rerecruit if their fund looks like it’s going down hill. Again, hard to say how this will all play out, but my advice is that starting in O&G doesn’t provide enough upside to warrant the risk of being pigeonholed in a declining industry over your career.
Again, would say I’m probably being overly cynical coming from a BB without RX deal flow. There is an argument to be made that O&G is cyclical and will come back. This may happen with seesaw pricing after COVID, but with the ramp up of renewables and electrified mobility, it is hard to see how there will be oil production growth in the 2030s.