Phillips 66 (NYSE:PSX) Price Target Raised to $255.00

Key Points

• TD Cowen raised Phillips 66’s price target to $255 from $240 and maintained a “buy” rating, implying 26.11% upside from the previous close. Analysts overall assign the stock a “Moderate Buy” consensus rating with a $202.56 average target.
• Phillips 66 reported quarterly EPS of $9.41, beating the $7.50 consensus estimate, while revenue reached $52.04 billion versus expectations of $43.60 billion.
• The company authorized a $10 billion share-repurchase program, allowing buybacks of up to 11.8% of outstanding shares; however, the stock is near its 12-month high and recent insider activity has primarily involved sales.

Phillips 66 (NYSE:PSX - Get Free Report) had its price target boosted by research analysts at TD Cowen from $240.00 to $255.00 in a note issued to investors on Thursday. The firm currently has a "buy" rating on the oil and gas company's stock. TD Cowen's price objective points to a potential upside of 26.11% from the company's previous close.

Several other equities analysts have also weighed in on the company. Zacks Research lowered Phillips 66 from a "strong-buy" rating to a "hold" rating in a report on Monday, July 6th. JPMorgan Chase & Co. lifted their price objective on Phillips 66 from $188.00 to $202.00 in a report on Thursday, April 30th. The Goldman Sachs Group increased their target price on Phillips 66 from $207.00 to $235.00 and gave the stock a "neutral" rating in a report on Wednesday, July 22nd. Guggenheim upgraded shares of Phillips 66 to an "outperform" rating in a research note on Wednesday, May 27th. Finally, UBS Group increased their target price on shares of Phillips 66 from $212.00 to $235.00 and gave the stock a "buy" rating in a research report on Monday, July 27th. One 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. Based on data from MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and a consensus target price of $202.56.

Phillips 66 Price Performance

PSX opened at $202.20 on Thursday. The stock has a fifty day moving average of $187.27 and a 200-day moving average of $172.26. The firm has a market capitalization of $81.07 billion, a P/E ratio of 19.92, a PEG ratio of 0.16 and a beta of 0.68. Phillips 66 has a 12-month low of $118.07 and a 12-month high of $216.08. The company has a quick ratio of 0.85, a current ratio of 1.13 and a debt-to-equity ratio of 0.63.

Phillips 66 (NYSE:PSX - Get Free Report) last issued its quarterly earnings results on Wednesday, August 5th. The oil and gas company reported $9.41 earnings per share for the quarter, beating analysts' consensus estimates of $7.50 by $1.91. The business had revenue of $52.04 billion for the quarter, compared to the consensus estimate of $43.60 billion. Phillips 66 had a return on equity of 10.98% and a net margin of 2.99%.During the same quarter in the previous year, the company posted $2.38 earnings per share. Equities analysts forecast that Phillips 66 will post 22.43 EPS for the current fiscal year.

Phillips 66 declared that its board has initiated a stock repurchase program on Friday, July 31st that permits the company to buyback $10.00 billion in outstanding shares. This buyback authorization permits the oil and gas company to buy up to 11.8% of its shares through open market purchases. Shares buyback programs are often an indication that the company's board believes its shares are undervalued.

Insider Buying and Selling at Phillips 66

In related news, EVP Vanessa Allen Sutherland sold 3,523 shares of Phillips 66 stock in a transaction dated Tuesday, July 21st. The stock was sold at an average price of $211.05, for a total value of $743,529.15. Following the completion of the sale, the executive vice president directly owned 27,537 shares in the company, valued at $5,811,683.85. This trade represents a 11.34% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Kevin J. Mitchell sold 29,400 shares of the stock in a transaction that occurred on Friday, May 8th. The shares were sold at an average price of $170.00, for a total transaction of $4,998,000.00. Following the completion of the transaction, the chief financial officer owned 97,376 shares in the company, valued at $16,553,920. This represents a 23.19% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold 45,107 shares of company stock worth $8,057,584 in the last ninety days. 0.40% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Phillips 66

Several institutional investors have recently added to or reduced their stakes in PSX. Norges Bank acquired a new position in shares of Phillips 66 during the 4th quarter worth about $640,206,000. M&T Bank Corp increased its position in shares of Phillips 66 by 462.9% in the fourth quarter. M&T Bank Corp now owns 2,727,888 shares of the oil and gas company's stock worth $352,007,000 after purchasing an additional 2,243,268 shares during the period. AQR Capital Management LLC lifted its holdings in shares of Phillips 66 by 424.7% during the 3rd quarter. AQR Capital Management LLC now owns 1,893,195 shares of the oil and gas company's stock worth $257,512,000 after acquiring an additional 1,532,389 shares during the period. Amundi boosted its position in shares of Phillips 66 by 62.0% during the 1st quarter. Amundi now owns 3,667,451 shares of the oil and gas company's stock worth $668,137,000 after acquiring an additional 1,403,493 shares in the last quarter. Finally, Worldquant Millennium Advisors LLC acquired a new position in shares of Phillips 66 during the 2nd quarter worth $107,967,000. 76.93% of the stock is owned by institutional investors.

More Phillips 66 News

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

• Positive Sentiment: Phillips 66 earned $9.41 per share, well above analyst estimates of approximately $7.50–$7.68 and up sharply from $2.38 a year earlier. Revenue also exceeded expectations, supported by wider refining margins, stronger chemicals results and record midstream volumes. Phillips 66 Beats Q2 Earnings and Revenue Estimates
• Positive Sentiment: The company reduced debt by $6.6 billion and approved a $10 billion expansion of its share-repurchase authorization. The buyback signals confidence in cash generation and could support per-share earnings and shareholder returns. Phillips 66 Cashes In on Refining Boom
• Positive Sentiment: Management plans to operate its refineries at roughly the mid-90% capacity range in the third quarter, indicating confidence in demand and operating conditions. Midstream growth and improved chemicals performance provide additional earnings support beyond refining. Phillips 66 Plans Refineries to Run at Mid-90% Capacity
• Neutral Sentiment: Refining profitability benefited from supply disruptions connected to the Middle East, which widened fuel spreads. While favorable for near-term results, investors may view these gains as cyclical and difficult to sustain if global supply conditions normalize.
• Negative Sentiment: PSX is trading near its 12-month high after a significant rally, increasing the risk of profit-taking following the earnings release. Recent insider activity has also been weighted toward sales, although such transactions may reflect routine diversification rather than a change in business outlook.

About Phillips 66

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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