Chevron Corporation $CVX Shares Sold by Sumitomo Mitsui Trust Group Inc.

Key Points

• Sumitomo Mitsui Trust Group reduced its Chevron stake by 1.5%, selling 64,199 shares and retaining 4.25 million shares valued at approximately $866.9 million. Institutional investors and hedge funds own 72.42% of Chevron.
• Chevron significantly exceeded third-quarter expectations, reporting adjusted EPS of $5.28 and revenue of $65.24 billion. Refining profits surged, while the company generated about $12 billion in free cash flow and reduced net debt by roughly $7.8 billion.
• Chevron declared a quarterly dividend of $1.78 per share, equivalent to $7.12 annually and a 3.0% yield. Despite bullish analyst sentiment, the company warned that downtime could cut fourth-quarter production by about 225,000 barrels of oil equivalent per day, and refining gains may moderate.

Sumitomo Mitsui Trust Group Inc. decreased its stake in Chevron Corporation (NYSE:CVX - Free Report) by 1.5% during the 3rd quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The fund owned 4,245,375 shares of the oil and gas company's stock after selling 64,199 shares during the period. Sumitomo Mitsui Trust Group Inc. owned approximately 0.21% of Chevron worth $866,948,000 at the end of the most recent reporting period.

Several other large investors have also recently bought and sold shares of CVX. Main Street Group LTD bought a new position in shares of Chevron during the 1st quarter worth about $28,000. Kilter Group LLC bought a new stake in shares of Chevron in the 2nd quarter worth approximately $28,000. Principia Wealth Advisory LLC grew its holdings in shares of Chevron by 49.6% during the 2nd quarter. Principia Wealth Advisory LLC now owns 181 shares of the oil and gas company's stock worth $30,000 after purchasing an additional 60 shares in the last quarter. Financial Connections Group Inc. increased its position in shares of Chevron by 129.3% during the first quarter. Financial Connections Group Inc. now owns 211 shares of the oil and gas company's stock valued at $43,000 after purchasing an additional 119 shares during the period. Finally, Legacy Wealth Managment LLC ID increased its position in shares of Chevron by 81.8% during the first quarter. Legacy Wealth Managment LLC ID now owns 220 shares of the oil and gas company's stock valued at $46,000 after purchasing an additional 99 shares during the period. 72.42% of the stock is currently owned by institutional investors and hedge funds.

Chevron News Roundup

Here are the key news stories impacting Chevron this week:

• Positive Sentiment: Quarterly earnings exceeded expectations. Chevron reported adjusted earnings of $5.28 per share, above the roughly $4.87-$4.89 analyst consensus, while revenue reached $65.24 billion versus estimates of $61.82 billion. Adjusted earnings of approximately $10.4 billion nearly tripled from a year earlier. Chevron tops Q3 expectations on higher downstream profit
• Positive Sentiment: Refining was the standout business. Downstream earnings climbed to nearly $4.9 billion from about $1.1 billion a year earlier as refinery outages and conflicts involving Iran and Russia reduced fuel supplies and lifted margins. Chevron beats earnings expectations as refining profits soar
• Positive Sentiment: Cash generation and the balance sheet improved. Chevron generated roughly $12 billion of free cash flow and $16 billion of operating cash flow, while reducing net debt by about $7.8 billion. This supports dividends, potential buybacks and future investment. Chevron's profit nearly tripled from a year ago
• Neutral Sentiment: Analyst sentiment has become more constructive. One valuation estimate increased from $227.71 to $232.50, with higher oil-price assumptions, strong refining results and possible Venezuela-related upside supporting revised targets. However, the stock’s rally has reduced its dividend yield for new investors. Chevron stock fair value edges higher
• Negative Sentiment: Investors face risks beyond the strong quarter. Chevron warned that downtime could reduce fourth-quarter production by approximately 225,000 barrels of oil equivalent per day. In addition, refining profits may normalize if geopolitical disruptions ease, while the stock’s elevated valuation and lingering questions about buybacks could limit further upside. Chevron says downtime could hit Q4 output

Chevron Stock Up 0.0%

Shares of NYSE CVX opened at $235.62 on Monday. The stock has a market capitalization of $465.53 billion, a P/E ratio of 17.24, a PEG ratio of 0.56 and a beta of 0.47. The stock's fifty day moving average is $213.16 and its 200 day moving average is $193.07. Chevron Corporation has a 52 week low of $146.49 and a 52 week high of $236.48. The company has a debt-to-equity ratio of 0.19, a quick ratio of 0.98 and a current ratio of 1.25.

Chevron (NYSE:CVX - Get Free Report) last announced its quarterly earnings data on Friday, October 30th. The oil and gas company reported $5.28 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $4.87 by $0.41. Chevron had a net margin of 11.56% and a return on equity of 14.64%. The firm had revenue of $65.24 billion for the quarter, compared to the consensus estimate of $61.82 billion. During the same period in the prior year, the company posted $1.85 earnings per share. The business's revenue for the quarter was up 36.3% on a year-over-year basis. Sell-side analysts forecast that Chevron Corporation will post 18.15 earnings per share for the current fiscal year.

Chevron Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, December 10th. Investors of record on Wednesday, November 18th will be paid a $1.78 dividend. The ex-dividend date of this dividend is Wednesday, November 18th. This represents a $7.12 annualized dividend and a dividend yield of 3.0%. Chevron's payout ratio is currently 68.26%.

Insider Activity

In other Chevron news, CEO Michael Wirth sold 317,100 shares of the firm's stock in a transaction that occurred on Friday, August 14th. The shares were sold at an average price of $200.46, for a total transaction of $63,565,866.00. Following the completion of the transaction, the chief executive officer owned 26,308 shares in the company, valued at approximately $5,273,701.68. This trade represents a 92.34% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, insider Andrew Walz sold 16,800 shares of the firm's stock in a transaction that occurred on Monday, August 17th. The stock was sold at an average price of $201.06, for a total value of $3,377,808.00. Following the sale, the insider directly owned 14 shares of the company's stock, valued at $2,814.84. This represents a 99.92% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last quarter, insiders sold 385,017 shares of company stock valued at $78,253,704. Company insiders own 0.56% of the company's stock.

Analysts Set New Price Targets

Several research analysts recently commented on the company. Jefferies Financial Group raised their target price on Chevron from $216.00 to $233.00 and gave the stock a "buy" rating in a research report on Monday, August 17th. William Blair initiated coverage on shares of Chevron in a research note on Wednesday. They set an "outperform" rating on the stock. Dbs Bank raised shares of Chevron to a "moderate buy" rating in a research note on Thursday, August 6th. JPMorgan Chase & Co. boosted their price target on shares of Chevron from $190.00 to $222.00 and gave the company an "overweight" rating in a report on Monday, August 3rd. Finally, Weiss Ratings upgraded Chevron from a "buy (b)" rating to a "buy (b+)" rating in a report on Friday, October 16th. One analyst has rated the stock with a Strong Buy rating, twenty-two have assigned a Buy rating, five have given a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat, the company currently has an average rating of "Moderate Buy" and a consensus price target of $215.54.

About Chevron

Chevron Corporation NYSE: CVX is an integrated energy company engaged in the exploration, development, production, transportation and sale of crude oil and natural gas. Its upstream operations include oil and gas exploration and production, while its downstream business includes refining crude oil, marketing fuels and manufacturing and distributing lubricants, petrochemicals and fuel additives.

The company also invests in lower-carbon businesses and technologies, including renewable fuels, carbon capture and storage, hydrogen and other opportunities intended to reduce emissions from its operations and energy products.

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