Chevron (NYSE:CVX) Stock Price Down 2.1% - What's Next?

Key Points

• Chevron shares fell 2.1% to about $186.48 on Wednesday, with trading volume 26% below the average daily level.
• Despite the decline, Chevron reported strong results, including $12.1 billion in net income and approximately $70.1 billion in revenue, while maintaining its $1.78 quarterly dividend. Analysts’ consensus rating remains “Moderate Buy,” with an average price target of $207.48.
• Potential headwinds include political pressure over elevated fuel prices and the possibility of policy intervention, while a proposed pipeline route around the Strait of Hormuz remains exploratory and carries geopolitical and execution risks.

Shares of Chevron Corporation (NYSE:CVX - Get Free Report) were down 2.1% during trading on Wednesday . The stock traded as low as $186.27 and last traded at $186.4830. 8,176,315 shares were traded during trading, a decline of 26% from the average daily volume of 11,067,424 shares. The stock had previously closed at $190.40.

Key Headlines Impacting Chevron

Here are the key news stories impacting Chevron this week:

• Positive Sentiment: Chevron is being highlighted among S&P 500 companies expected to generate the most free cash flow this year, supporting its ability to fund dividends, buybacks and debt reduction. 9 Stocks' Cash Flow Seen Blowing The Doors Off The S&P 500
• Positive Sentiment: Recent second-quarter results showed revenue of approximately $70.1 billion and net income of $12.1 billion, helped by higher production, cost reductions and elevated refining margins. Chevron maintained its $1.78 quarterly dividend. Should Chevron’s War-Boosted Margins and Cash Flows Prompt a Portfolio Rethink?
• Positive Sentiment: TD Cowen raised its Chevron price target from $200 to $205 while maintaining a Hold rating, implying additional upside based on the cited reference price. Bernstein and Barclays analysts also reportedly expect the stock to rise. TD Cowen Raises Chevron Price Target
• Neutral Sentiment: CEO Mike Wirth said Chevron is evaluating a pipeline route through Iraq toward Syria or Turkey to bypass the Strait of Hormuz. The project could improve future logistics resilience, but it remains exploratory and carries substantial geopolitical and execution risks. Chevron CEO Evaluates New Pipeline Route Around Strait of Hormuz
• Negative Sentiment: President Donald Trump criticized Chevron and ExxonMobil for earning “too much money” during the Iran-related energy shock and urged them to reduce retail fuel prices or return some profits to the public. The comments raise policy, reputational and potential margin risks, although refiners say they have limited ability to quickly increase fuel supply. Trump Rips Exxon, Chevron for Making Too Much Money
• Negative Sentiment: The political backlash could intensify if gasoline prices remain elevated, potentially prompting calls for price controls, windfall-profit measures or other intervention. That risk appears to be offsetting some of the benefit from Chevron’s earnings and cash-flow strength.

Analyst Upgrades and Downgrades

Several brokerages recently weighed in on CVX. UBS Group reissued a "buy" rating on shares of Chevron in a report on Tuesday, June 23rd. Scotiabank increased their target price on Chevron from $168.00 to $187.00 and gave the stock a "sector perform" rating in a report on Wednesday, April 22nd. TD Cowen lifted their target price on Chevron from $200.00 to $205.00 and gave the stock a "hold" rating in a research report on Wednesday. BNP Paribas Exane upgraded Chevron from a "neutral" rating to an "outperform" rating and set a $174.00 price target for the company in a report on Friday, April 17th. Finally, Weiss Ratings downgraded Chevron from a "hold (c+)" rating to a "hold (c)" rating in a report on Tuesday, June 2nd. Eighteen research analysts have rated the stock with a Buy rating, six have issued a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat.com, Chevron has an average rating of "Moderate Buy" and a consensus target price of $207.48.

Chevron Trading Down 2.1%

The company has a current ratio of 1.09, a quick ratio of 0.84 and a debt-to-equity ratio of 0.21. The business's 50-day moving average is $182.09 and its two-hundred day moving average is $185.49. The firm has a market cap of $371.40 billion, a P/E ratio of 17.88, a P/E/G ratio of 0.60 and a beta of 0.49.

Chevron (NYSE:CVX - Get Free Report) last issued its earnings results on Friday, July 31st. The oil and gas company reported $6.06 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $5.55 by $0.51. Chevron had a net margin of 9.57% and a return on equity of 11.14%. The firm had revenue of $67.20 billion for the quarter, compared to analysts' expectations of $62.72 billion. During the same quarter last year, the company posted $1.77 earnings per share. Chevron's revenue was up 57.4% on a year-over-year basis. As a group, analysts expect that Chevron Corporation will post 15.66 earnings per share for the current fiscal year.

Chevron Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Thursday, September 10th. Stockholders of record on Wednesday, August 19th will be given a dividend of $1.78 per share. This represents a $7.12 dividend on an annualized basis and a dividend yield of 3.8%. The ex-dividend date is Wednesday, August 19th. Chevron's dividend payout ratio is presently 68.26%.

Insider Activity

In related news, Director John B. Hess sold 380,000 shares of the business's stock in a transaction that occurred on Wednesday, May 20th. The stock was sold at an average price of $193.20, for a total transaction of $73,416,000.00. Following the completion of the transaction, the director owned 278,045 shares in the company, valued at $53,718,294. The trade was a 57.75% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Company insiders own 0.56% of the company's stock.

Institutional Investors Weigh In On Chevron

Several large investors have recently added to or reduced their stakes in CVX. Curtis Advisory Group LLC acquired a new position in shares of Chevron during the 4th quarter valued at $1,381,000. Indivisible Partners acquired a new stake in shares of Chevron in the fourth quarter valued at $1,923,000. Janney Montgomery Scott LLC lifted its holdings in shares of Chevron by 6.8% in the first quarter. Janney Montgomery Scott LLC now owns 1,251,102 shares of the oil and gas company's stock valued at $258,853,000 after buying an additional 79,439 shares during the period. Galaxy Digital Inc. bought a new position in Chevron during the first quarter valued at about $2,028,000. Finally, Osprey Private Wealth LLC raised its position in Chevron by 556.4% in the fourth quarter. Osprey Private Wealth LLC now owns 9,190 shares of the oil and gas company's stock worth $1,401,000 after acquiring an additional 7,790 shares in the last quarter. 72.42% of the stock is owned by institutional investors and hedge funds.

About Chevron

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source