ExxonMobil (NYSE:XOM) Shares Down 1.3% - What's Next?

Key Points

• ExxonMobil shares fell 1.3% in mid-day trading, with the decline coming alongside softer oil prices and broader weakness in the energy sector. The stock traded below its prior close, and volume was lighter than usual.
• Company-specific news was mostly positive: shareholders approved reincorporation in Texas, Occidental Petroleum took a 10% stake in Exxon’s Trinidad deepwater field, and Exxon is seeking approval for a ninth Guyana Stabroek development. These moves support Exxon’s long-term growth strategy and asset validation.
• Wall Street remains cautiously constructive on ExxonMobil, with a consensus “Moderate Buy” rating and average price target of about $165.55. The company also beat quarterly earnings estimates and declared a $1.03 quarterly dividend, equal to a 2.8% yield.

ExxonMobil Corporation (NYSE:XOM - Get Free Report)'s share price was down 1.3% during mid-day trading on Wednesday . The stock traded as low as $145.75 and last traded at $147.8020. Approximately 16,121,665 shares traded hands during trading, a decline of 23% from the average daily volume of 21,034,359 shares. The stock had previously closed at $149.81.

ExxonMobil News Roundup

Here are the key news stories impacting ExxonMobil this week:

• Positive Sentiment: ExxonMobil won shareholder approval to reincorporate in Texas, a move that could give the company a more management-friendly legal environment and improve flexibility for future strategic decisions. Exxon Goes All-In on Texas. It's a Corporate Power Play.
• Positive Sentiment: Occidental Petroleum is taking a 10% stake in ExxonMobil’s deepwater Trinidad and Tobago field, which validates the asset and may help share development costs and project risk. Exclusive: Occidental takes 10% stake in Exxon deepwater block offshore Trinidad, sources say
• Positive Sentiment: ExxonMobil is seeking Guyana EPA clearance for its ninth Stabroek development, showing continued growth in one of its most important long-life oil projects. ExxonMobil Seeks Guyana EPA Clearance for Ninth Stabroek Development
• Neutral Sentiment: Media reports say ExxonMobil may be exploring a return to Venezuela, but the situation is still preliminary and any impact depends on regulatory and political approvals. Exxon Mobil (XOM) in Talks to Re-Enter Venezuela After Nearly Two Decades
• Neutral Sentiment: Energy-sector stock weakness and softer oil prices are creating a headwind for ExxonMobil, which can offset some of the company-specific positives. Sector Update: Energy Stocks Fall Late Afternoon
• Negative Sentiment: Reports that oil prices slipped after comments from President Trump on Iran talks add pressure to ExxonMobil, since lower crude prices can weigh on upstream earnings and sentiment. USO, UCO, BATL, XOM Slip: Oil Dips Below $100 After Trump Says Iran Talks ‘Proceeding Nicely’

Wall Street Analysts Forecast Growth

Several equities research analysts have issued reports on XOM shares. BNP Paribas Exane set a $165.00 target price on shares of ExxonMobil and gave the company a "neutral" rating in a research report on Friday, April 17th. Citigroup lifted their price target on shares of ExxonMobil from $150.00 to $175.00 and gave the stock a "neutral" rating in a research note on Thursday, April 2nd. Loop Capital set a $123.00 price target on shares of ExxonMobil in a research note on Tuesday, February 3rd. Piper Sandler decreased their price target on shares of ExxonMobil from $186.00 to $182.00 and set an "overweight" rating on the stock in a research note on Thursday, April 9th. Finally, HSBC lifted their price target on shares of ExxonMobil from $135.00 to $158.00 and gave the stock a "hold" rating in a research note on Friday, March 20th. One research analyst has rated the stock with a Strong Buy rating, ten have assigned a Buy rating and ten have assigned a Hold rating to the company's stock. According to data from MarketBeat, the stock has an average rating of "Moderate Buy" and a consensus price target of $165.55.

ExxonMobil Price Performance

The company has a debt-to-equity ratio of 0.13, a current ratio of 1.04 and a quick ratio of 0.77. The firm's 50 day simple moving average is $155.70 and its 200 day simple moving average is $139.67. The stock has a market capitalization of $612.63 billion, a PE ratio of 24.92, a P/E/G ratio of 0.68 and a beta of 0.19.

ExxonMobil (NYSE:XOM - Get Free Report) last issued its earnings results on Friday, May 1st. The oil and gas company reported $1.16 EPS for the quarter, topping the consensus estimate of $0.98 by $0.18. ExxonMobil had a net margin of 7.57% and a return on equity of 10.24%. The company had revenue of $83.16 billion for the quarter, compared to the consensus estimate of $81.13 billion. During the same period in the previous year, the firm earned $1.76 earnings per share. The firm's revenue for the quarter was up 2.4% on a year-over-year basis. As a group, equities analysts forecast that ExxonMobil Corporation will post 11.49 EPS for the current fiscal year.

ExxonMobil Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Wednesday, June 10th. Investors of record on Friday, May 15th will be paid a $1.03 dividend. This represents a $4.12 annualized dividend and a dividend yield of 2.8%. The ex-dividend date of this dividend is Friday, May 15th. ExxonMobil's payout ratio is presently 69.48%.

Insider Activity at ExxonMobil

In related news, VP Darrin L. Talley sold 2,150 shares of ExxonMobil stock in a transaction on Monday, March 2nd. The shares were sold at an average price of $157.82, for a total value of $339,313.00. Following the transaction, the vice president directly owned 18,204 shares of the company's stock, valued at $2,872,955.28. The trade was a 10.56% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. 0.03% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

Several hedge funds have recently made changes to their positions in the company. Allen Capital Group LLC increased its stake in shares of ExxonMobil by 2.1% in the first quarter. Allen Capital Group LLC now owns 25,622 shares of the oil and gas company's stock worth $4,347,000 after buying an additional 525 shares during the period. Security Financial Services INC. increased its stake in shares of ExxonMobil by 7.2% in the first quarter. Security Financial Services INC. now owns 6,556 shares of the oil and gas company's stock worth $1,112,000 after buying an additional 442 shares during the period. Serenity Investment Advisors purchased a new position in ExxonMobil during the 1st quarter valued at $223,000. Ruggaard & Associates LLC increased its position in ExxonMobil by 1.8% during the 1st quarter. Ruggaard & Associates LLC now owns 5,774 shares of the oil and gas company's stock valued at $980,000 after purchasing an additional 100 shares during the period. Finally, Axiom Investment Management LLC purchased a new position in ExxonMobil during the 1st quarter valued at $326,000. 61.80% of the stock is owned by hedge funds and other institutional investors.

ExxonMobil Company Profile

ExxonMobil Corporation NYSE: XOM is an integrated oil and gas company engaged in the exploration, production, refining, distribution and marketing of petroleum products and the manufacture and sale of petrochemicals. Its operations span the full energy value chain, including upstream exploration and development of crude oil and natural gas; midstream transportation and storage; and downstream refining, product distribution and retail. The company also produces a broad range of chemical products for industrial and consumer applications.

ExxonMobil markets fuels and lubricants under well-known brands such as Exxon, Mobil and Esso, and its Mobil 1 motor oil is a prominent consumer product.

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