Chevron (NYSE:CVX) Stock Price Down 1.4% After Analyst Downgrade

Key Points

• Chevron shares fell 1.4% after Morgan Stanley cut its price target slightly to $210 from $214, though the firm kept an overweight rating on the stock.
• Despite the dip, analyst sentiment remains constructive overall: Chevron has a consensus rating of Moderate Buy with an average price target of $205.52, and several other firms recently reiterated or raised bullish ratings.
• The stock also faces mixed investor signals, including a recent insider sale by Director John B. Hess, while Chevron continues to draw attention for new AI/data center power projects that could open another growth avenue.

Chevron Corporation (NYSE:CVX - Get Free Report) shares fell 1.4% during mid-day trading on Monday after Morgan Stanley lowered their price target on the stock from $214.00 to $210.00. Morgan Stanley currently has an overweight rating on the stock. Chevron traded as low as $168.37 and last traded at $168.6110. Approximately 8,634,072 shares were traded during mid-day trading, a decline of 26% from the average daily volume of 11,663,490 shares. The stock had previously closed at $171.06.

CVX has been the subject of several other reports. HSBC upgraded Chevron from a "hold" rating to a "buy" rating and set a $215.00 price target for the company in a research report on Friday, March 20th. UBS Group reiterated a "buy" rating on shares of Chevron in a research note on Tuesday, June 23rd. Wells Fargo & Company upped their price objective on Chevron from $204.00 to $222.00 and gave the stock an "overweight" rating in a research report on Thursday, April 9th. Scotiabank upped their target price on shares of Chevron from $168.00 to $187.00 and gave the company a "sector perform" rating in a report on Wednesday, April 22nd. Finally, Sanford C. Bernstein decreased their target price on Chevron from $216.00 to $204.00 and set a "market perform" rating for the company in a research report on Monday, May 11th. Eighteen equities research analysts have rated the stock with a Buy rating, six have assigned a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat.com, the company currently has an average rating of "Moderate Buy" and a consensus price target of $205.52.

Insider Transactions at Chevron

In other Chevron news, Director John B. Hess sold 380,000 shares of the business's stock in a transaction on Wednesday, May 20th. The shares were sold at an average price of $193.20, for a total value of $73,416,000.00. Following the transaction, the director directly owned 278,045 shares of the company's stock, valued at approximately $53,718,294. The trade was a 57.75% decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. Corporate insiders own 0.56% of the company's stock.

Chevron News Summary

Here are the key news stories impacting Chevron this week:

• Positive Sentiment: Chevron is expanding beyond traditional oil and gas by pursuing new U.S. data center power projects tied to AI-driven electricity demand, which could create a new growth avenue. Chevron Expands Data Center Power Strategy Beyond Project Kilby
• Positive Sentiment: Morgan Stanley kept an overweight rating on Chevron while only trimming its price target to $210, signaling continued analyst confidence in the stock’s upside potential. Morgan Stanley price target update
• Positive Sentiment: Chevron’s Project Kilby gained support from Texas Pacific Land, which will provide land and brackish water resources for the $7 billion Microsoft-linked project, reducing execution uncertainty. Chevron Corporation (CVX) Secures Texas Pacific Land Support on Microsoft’s Project Kilby
• Neutral Sentiment: Chevron is being highlighted as a potential beneficiary of lower oil prices because refining margins, LNG demand, and tight supply could still support parts of the energy sector. Energy ETFs to Buy as Oil Price Slides to Pre-Iran War Level
• Neutral Sentiment: Articles discussing Chevron’s appeal versus rivals and the company’s role in the Middle East energy backdrop add context, but do not point to a major new catalyst by themselves. Occidental Petroleum or Chevron: Which Oil Stock Offers More Upside?
• Negative Sentiment: Some commentary says Chevron is losing the relative-value debate to Occidental Petroleum, citing OXY’s stronger returns, cheaper valuation, and better earnings growth expectations. Occidental Petroleum or Chevron: Which Oil Stock Offers More Upside?
• Negative Sentiment: Chevron faces pressure from softer oil prices and broader sector volatility, which can weigh on near-term investor sentiment even though the company’s fundamentals remain intact. The Case For and Against Buying Chevron Right Now

Hedge Funds Weigh In On Chevron

A number of large investors have recently made changes to their positions in CVX. Midwest Capital Advisors LLC purchased a new position in Chevron in the 1st quarter valued at approximately $25,000. Core Wealth Advisors LLC acquired a new position in shares of Chevron in the fourth quarter valued at approximately $26,000. Phillip James Consulting Co. purchased a new position in shares of Chevron during the 4th quarter worth $26,000. Basso Capital Management L.P. purchased a new position in Chevron during the fourth quarter worth about $27,000. Finally, Karpus Management Inc. acquired a new position in shares of Chevron during the 4th quarter valued at about $27,000. Hedge funds and other institutional investors own 72.42% of the company's stock.

Chevron Price Performance

The company's 50-day moving average is $185.10 and its 200-day moving average is $180.00. The firm has a market capitalization of $335.81 billion, a price-to-earnings ratio of 29.22, a PEG ratio of 0.56 and a beta of 0.48. The company has a debt-to-equity ratio of 0.21, a current ratio of 1.09 and a quick ratio of 0.84.

Chevron (NYSE:CVX - Get Free Report) last posted its quarterly earnings results on Friday, May 1st. The oil and gas company reported $1.41 earnings per share for the quarter, topping analysts' consensus estimates of $1.00 by $0.41. The company had revenue of $47.56 billion for the quarter, compared to the consensus estimate of $51.86 billion. Chevron had a net margin of 5.79% and a return on equity of 6.90%. Chevron's revenue was up 2.1% on a year-over-year basis. During the same quarter last year, the firm posted $2.18 earnings per share. On average, research analysts expect that Chevron Corporation will post 15.88 earnings per share for the current year.

Chevron Dividend Announcement

The company also recently disclosed a quarterly dividend, which was paid on Wednesday, June 10th. Stockholders of record on Tuesday, May 19th were issued a dividend of $1.78 per share. This represents a $7.12 dividend on an annualized basis and a dividend yield of 4.2%. The ex-dividend date was Tuesday, May 19th. Chevron's dividend payout ratio is presently 123.40%.

Chevron Company Profile

Chevron Corporation NYSE: CVX is an American multinational energy company engaged in virtually all aspects of the oil and gas industry. As an integrated energy firm, Chevron's core activities include upstream oil and natural gas exploration and production, midstream transportation and storage, downstream refining and marketing of fuels and lubricants, and petrochemical manufacturing through joint ventures and subsidiaries. The company markets fuels under brands such as Chevron, Texaco and Caltex and supplies a range of products and services to retail customers, industrial users and commercial fleets worldwide.

Chevron traces its corporate lineage to the early petroleum companies that eventually became Standard Oil of California and has evolved through significant mergers and restructurings, including the acquisitions of Gulf Oil and Texaco.

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