Carlson Capital L.P. Increases Position in Phillips 66 $PSX

Key Points

• Carlson Capital increased its Phillips 66 stake by 256.3% in the first quarter, owning 11,757 shares valued at approximately $2.14 million. Institutional investors and hedge funds collectively own 76.93% of PSX.
• Analysts maintain a generally positive view, with a consensus “Moderate Buy” rating and average price target of $201.72. Phillips 66 also authorized a $10 billion share-buyback program and declared a quarterly dividend of $1.27, yielding about 2.4% annually.
• PSX shares opened at $211.56, near their 52-week high of $216.08. The company beat quarterly EPS expectations with $0.49 per share, though revenue of $32.54 billion fell short of estimates.

Carlson Capital L.P. raised its stake in Phillips 66 (NYSE:PSX - Free Report) by 256.3% in the 1st quarter, according to the company in its most recent filing with the Securities & Exchange Commission. The institutional investor owned 11,757 shares of the oil and gas company's stock after buying an additional 8,457 shares during the quarter. Phillips 66 makes up approximately 0.7% of Carlson Capital L.P.'s investment portfolio, making the stock its 16th largest position. Carlson Capital L.P.'s holdings in Phillips 66 were worth $2,142,000 as of its most recent filing with the Securities & Exchange Commission.

A number of other hedge funds and other institutional investors have also modified their holdings of PSX. NFSG Corp grew its holdings in shares of Phillips 66 by 105.6% in the first quarter. NFSG Corp now owns 146 shares of the oil and gas company's stock valued at $27,000 after purchasing an additional 75 shares during the period. Axiom Investment Management LLC acquired a new stake in Phillips 66 during the first quarter worth about $27,000. Accordant Advisory Group Inc raised its stake in Phillips 66 by 900.0% during the fourth quarter. Accordant Advisory Group Inc now owns 200 shares of the oil and gas company's stock worth $26,000 after purchasing an additional 180 shares during the period. SWAN Capital LLC raised its stake in Phillips 66 by 1,055.6% during the fourth quarter. SWAN Capital LLC now owns 208 shares of the oil and gas company's stock worth $27,000 after purchasing an additional 190 shares during the period. Finally, Eagle Bay Advisors LLC acquired a new position in Phillips 66 in the 4th quarter valued at about $27,000. 76.93% of the stock is owned by institutional investors and hedge funds.

Analyst Upgrades and Downgrades

Several research firms have recently weighed in on PSX. The Goldman Sachs Group increased their price target on shares of Phillips 66 from $207.00 to $235.00 and gave the company a "neutral" rating in a research note on Wednesday, July 22nd. Wolfe Research lifted their price target on shares of Phillips 66 from $187.00 to $193.00 and gave the company an "outperform" rating in a research report on Monday, April 6th. TD Cowen upped their price objective on Phillips 66 from $220.00 to $240.00 and gave the company a "buy" rating in a report on Tuesday, July 21st. Wall Street Zen upgraded Phillips 66 from a "buy" rating to a "strong-buy" rating in a research report on Sunday, July 26th. Finally, Scotiabank raised their target price on Phillips 66 from $140.00 to $151.00 and gave the stock a "sector perform" rating in a research note on Wednesday, April 22nd. One investment analyst has rated the stock with a Strong Buy rating, twelve have assigned a Buy rating and nine have given a Hold rating to the company. According to MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and an average price target of $201.72.

Insiders Place Their Bets

In other news, Director Kevin Omar Meyers acquired 175 shares of the business's stock in a transaction that occurred on Wednesday, May 6th. The shares were purchased at an average price of $173.12 per share, for a total transaction of $30,296.00. Following the acquisition, the director owned 16,799 shares of the company's stock, valued at $2,908,242.88. This represents a 1.05% increase in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, EVP Vanessa Allen Sutherland sold 3,523 shares of the firm's stock in a transaction dated Tuesday, July 21st. The shares were sold at an average price of $211.05, for a total value of $743,529.15. Following the transaction, the executive vice president owned 27,537 shares of the company's stock, valued at $5,811,683.85. This trade represents a 11.34% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 45,107 shares of company stock worth $8,057,584 over the last ninety days. Corporate insiders own 0.40% of the company's stock.

Phillips 66 Price Performance

Phillips 66 stock opened at $211.56 on Friday. The company's 50 day simple moving average is $185.51 and its 200-day simple moving average is $170.67. The company has a market capitalization of $84.82 billion, a price-to-earnings ratio of 20.84, a price-to-earnings-growth ratio of 0.17 and a beta of 0.69. Phillips 66 has a 1 year low of $118.07 and a 1 year high of $216.08. The company has a debt-to-equity ratio of 0.63, a quick ratio of 0.85 and a current ratio of 1.13.

Phillips 66 (NYSE:PSX - Get Free Report) last issued its quarterly earnings data on Wednesday, April 29th. The oil and gas company reported $0.49 EPS for the quarter, topping the consensus estimate of ($0.54) by $1.03. Phillips 66 had a net margin of 2.99% and a return on equity of 10.98%. The firm had revenue of $32.54 billion for the quarter, compared to analyst estimates of $35.86 billion. During the same period in the prior year, the business posted ($0.90) EPS. The business's revenue for the quarter was up 6.9% compared to the same quarter last year. As a group, equities research analysts expect that Phillips 66 will post 22.43 earnings per share for the current year.

Phillips 66 Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Tuesday, September 1st. Shareholders of record on Tuesday, August 18th will be given a $1.27 dividend. The ex-dividend date of this dividend is Tuesday, August 18th. This represents a $5.08 dividend on an annualized basis and a yield of 2.4%. Phillips 66's payout ratio is presently 50.05%.

Phillips 66 announced that its Board of Directors has initiated a share buyback program on Friday, July 31st that allows the company to buyback $10.00 billion in outstanding shares. This buyback authorization allows the oil and gas company to repurchase up to 11.8% of its stock through open market purchases. Stock buyback programs are usually a sign that the company's board of directors believes its shares are undervalued.

Key Stories Impacting Phillips 66

Here are the key news stories impacting Phillips 66 this week:

• Positive Sentiment: Phillips 66’s board authorized an additional $10 billion for share repurchases. The expanded authorization gives the refiner substantial flexibility to return capital, potentially reducing the share count, supporting future earnings per share and signaling management’s confidence in the company’s long-term cash generation. Phillips 66 approves $10 billion increase to share repurchase program
• Positive Sentiment: Recent strength across energy stocks and better-than-expected results from refining peer Valero Energy suggest a supportive sector backdrop for Phillips 66 ahead of its own quarterly report. Valero Energy Beats Q2 Earnings and Revenue Estimates
• Neutral Sentiment: Analysts are focusing on Phillips 66’s upcoming earnings, with expectations supported by softer crude costs and potentially stronger refinery margins. The report could provide the next major catalyst for PSX.
• Negative Sentiment: The stock’s premium valuation raises the stakes for the upcoming results. Any disappointment in refining margins, guidance or cash flow could limit the benefit of the buyback announcement. Phillips 66's Q2 Earnings on Deck: Should You Bet on the Stock?

Phillips 66 Profile

Phillips 66 NYSE: PSX is an independent energy manufacturing and logistics company engaged primarily in refining, midstream transportation, marketing and chemicals. The company processes crude oil into transportation fuels, lubricants and other petroleum products, operates pipeline and storage infrastructure, and participates in petrochemical production through strategic investments. Phillips 66 serves commercial, industrial and retail customers and positions its operations across the value chain of the downstream energy sector.

The company's principal activities include refining crude oil into gasoline, diesel, jet fuel and feedstocks for petrochemical production; operating midstream assets such as pipelines, terminals and fractionators that move and store crude oil and natural gas liquids; and marketing and distributing fuels and lubricants through wholesale and retail channels.

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