XOM stock was trading at $103.09 as of 01:04 PM EDT.
XOM Stock (NYSE:XOM) rose 1.7% in early Wednesday trading after Jefferies upgraded the stock from Hold to Buy with a $133 price target, up from $90. Jefferies thinks that the company will keep making good free cash flow until 2027, thanks to growth in upstream volumes, high-quality chemicals, and refining margins.
Jefferies says that the business “spent during the cycle while the industry held back on capital,” and that this, along with higher commodity prices, helped XOM not only pay off its debt but also set itself up for growth in the upstream (Guyana and Permian) and downstream (especially in chemicals).
According to Jefferies, Exxon (NYSE:XOM) is “on the front foot” and sees “excellent risk/reward, particularly for generalists wanting energy exposure.”
One of the top momentum stocks right now is XOM Stock. The stock has increased by 59% so far this year as of October 17. With a trailing twelve-month operating margin of 14% and $49.2 billion in free cash flows, the corporation is profitable and cash-rich. GQG Partners, with interests in Exxon Mobil Corporation (NYSE:XOM) valued at $4.06 billion as of June 30, was the company’s largest stakeholder.
XOM Stock Analyzed
Exxon Mobil Corporation (NYSE:XOM) is selling at a discount to earnings while also giving dividends to shareholders. XOM Stock has a forward dividend yield of 3.50% as of October 17 and is selling at a PE multiple of 11x.
On October 7, Wells Fargo analyst Roger Read kept his Overweight rating on XOM stock but lowered his price target from $116 to $109. Wall Street analysts have given the stock seven Buy recommendations and four Hold ratings over the last three months.
At the end of Q2 2022, 72 hedge funds owned shares in Exxon Mobil Corporation (NYSE:XOM). These interests were worth a total of $7.40 billion..
Exxon Stock: Check Out What Whales Are Doing With XOM
Featured Image- Megapixl @ Qwer230586
Author Jowi Kwasu