Shell PLC (LSE:SHEL, NYSE:SHEL) shares hit a fresh all-time high of 2,835p on Tuesday, valuing the British oil major at a record £182.4 billion.
It comes a day after boss Wael Sawan made some concerning comments about the state of Shell’s London listing and the broader UK capital markets.
“I have a location that clearly seems to be undervalued,” Shell boss Wael Sawan said on Monday. "If we work through the sprint (turnaround plan) and we are doing what we are doing, and we still don’t see that the gap is closing, we have to look at all options.”
His comments to Bloomberg were taken as a warning sign that the FTSE 100’s largest company could be seeking a listing elsewhere, a potential move that could irreversibly damage the Square Mile’s global reputation.
“This would be a major loss to the UK index, so we shall have to see if these gains can be extended in an effort to make the top brass at Shell reconsider,” Kathleen Brooks, research director at online brokerage XTB said of today’s share price.
Despite Wael’s comments, Shell's valuation compared to US equivalent ExxonMobil is not worlds apart.
On a price-to-earnings basis, Shell currently has a 12.5 times valuation compared to ExxomMobil’s 13.6 times valuation.
The Square Mile will undoubtedly be hoping to see a continued shift higher in Shell's share price to stave off yet another loss for the City.