ExxonMobil (NYSE:XOM) Stock Jumps 1.8% - Time to Buy?

Key Points

• ExxonMobil shares rose 1.8% to about $177 after Zacks upgraded the stock to a Buy and analysts raised earnings forecasts, with Erste Group projecting 2026 EPS of $12.56.
• The company benefits from oil-price leverage and diversified operations, including strong chemicals results and low-cost production in the Permian Basin and Guyana; it also pays a $1.03 quarterly dividend, yielding approximately 2.3% annually.
• Risks remain: XOM trades at roughly 22.8 times earnings despite expectations for post-peak earnings declines, while analysts’ consensus rating is Hold with a $164.78 price target and Guyana LNG plans face uncertainty.

ExxonMobil Corporation (NYSE:XOM - Get Free Report) shares shot up 1.8% during mid-day trading on Wednesday. The stock traded as high as $177.43 and last traded at $177.19. 13,483,169 shares traded hands during trading, a decline of 25% from the average session volume of 18,017,922 shares. The stock had previously closed at $174.08.

Key Headlines Impacting ExxonMobil

Here are the key news stories impacting ExxonMobil this week:

• Positive Sentiment: Analyst rating upgraded to Buy: Zacks raised ExxonMobil to Rank #2 (Buy), citing improving earnings prospects. The upgrade may support continued investor demand. Zacks ExxonMobil rating upgrade
• Positive Sentiment: Higher earnings forecasts: Erste Group Bank increased its FY2026 EPS estimate to $12.56 from $11.60 and its FY2027 estimate to $11.12 from $10.91. The FY2026 forecast is also above the current consensus estimate of $12.40. ExxonMobil earnings estimates
• Positive Sentiment: Oil-price leverage: Crude prices above $90 per barrel could materially strengthen ExxonMobil’s cash flow, particularly because of its relatively low-cost production in the Permian Basin and Guyana. ExxonMobil cash flow outlook
• Positive Sentiment: Integrated operations remain a strength: ExxonMobil’s 8.9% net margin exceeds Chevron’s 6.7%, while its chemicals business rebounded sharply to $1.13 billion in second-quarter earnings from $110 million in the first quarter. Its diversified model also supports dividend resilience during periods of weaker oil prices. Chevron versus ExxonMobil
• Neutral Sentiment: Strategic focus is evolving: Analysts note that management is emphasizing different assets and priorities than it did after acquiring Pioneer Natural Resources, raising questions about how investors should assess ExxonMobil’s future growth mix. ExxonMobil strategic outlook
• Neutral Sentiment: Port Houston will recognize ExxonMobil for its longstanding partnership and role in the Houston Ship Channel, providing positive reputational exposure but little direct earnings impact. Port Houston Lone Star Award
• Negative Sentiment: Valuation and earnings risks: At roughly 22 times earnings, XOM trades near the broader market multiple even though some forecasts expect earnings to decline after an unusually strong second quarter. Analysts also question whether the stock is already pricing in much of its recent performance. ExxonMobil valuation and earnings outlook
• Negative Sentiment: Guyana project uncertainty: Guyana may scale back LNG plans while ExxonMobil requires more gas for its wells, creating potential project-scope and execution risks. Guyana LNG plans

Analysts Set New Price Targets

Several equities research analysts have recently issued reports on XOM shares. JPMorgan Chase & Co. increased their price objective on shares of ExxonMobil from $158.00 to $166.00 and gave the stock an "overweight" rating in a research report on Monday, August 3rd. Citigroup restated a "neutral" rating and set a $175.00 target price (up from $150.00) on shares of ExxonMobil in a report on Wednesday, July 8th. BNP Paribas Exane decreased their price target on shares of ExxonMobil from $165.00 to $155.00 and set a "neutral" rating for the company in a research report on Friday, July 17th. Mizuho lowered their price target on ExxonMobil from $175.00 to $170.00 and set a "neutral" rating for the company in a report on Thursday, July 9th. Finally, Freedom Capital raised ExxonMobil from a "strong sell" rating to a "hold" rating in a research report on Tuesday, August 4th. Eleven equities research analysts have rated the stock with a Buy rating and fourteen have assigned a Hold rating to the company's stock. According to MarketBeat, the stock presently has an average rating of "Hold" and a consensus price target of $164.78.

ExxonMobil Price Performance

The company has a market cap of $734.44 billion, a price-to-earnings ratio of 22.80, a P/E/G ratio of 1.01 and a beta of 0.21. The company's 50-day simple moving average is $162.41 and its 200-day simple moving average is $154.31. The company has a debt-to-equity ratio of 0.12, a current ratio of 1.13 and a quick ratio of 0.85.

ExxonMobil (NYSE:XOM - Get Free Report) last posted its earnings results on Friday, July 31st. The oil and gas company reported $3.52 EPS for the quarter, missing analysts' consensus estimates of $3.56 by ($0.04). The firm had revenue of $114.53 billion for the quarter, compared to analyst estimates of $109.94 billion. ExxonMobil had a return on equity of 13.14% and a net margin of 8.88%. During the same period in the previous year, the firm posted $1.64 earnings per share. On average, equities research analysts anticipate that ExxonMobil Corporation will post 12.40 EPS for the current year.

ExxonMobil Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Thursday, September 10th. Investors of record on Monday, August 17th were paid a dividend of $1.03 per share. The ex-dividend date of this dividend was Monday, August 17th. This represents a $4.12 annualized dividend and a yield of 2.3%. ExxonMobil's payout ratio is 53.02%.

Hedge Funds Weigh In On ExxonMobil

Institutional investors have recently added to or reduced their stakes in the company. Avant Capital LLC grew its holdings in ExxonMobil by 0.6% in the second quarter. Avant Capital LLC now owns 11,182 shares of the oil and gas company's stock worth $1,529,000 after purchasing an additional 65 shares during the last quarter. Impact Partnership Wealth LLC lifted its holdings in shares of ExxonMobil by 0.6% during the 1st quarter. Impact Partnership Wealth LLC now owns 12,017 shares of the oil and gas company's stock valued at $2,039,000 after purchasing an additional 67 shares during the last quarter. Cardinal Strategic Wealth Guidance lifted its holdings in shares of ExxonMobil by 1.9% during the 1st quarter. Cardinal Strategic Wealth Guidance now owns 3,720 shares of the oil and gas company's stock valued at $631,000 after purchasing an additional 68 shares during the last quarter. Core Wealth Advisors Inc. lifted its holdings in shares of ExxonMobil by 1.0% during the 1st quarter. Core Wealth Advisors Inc. now owns 6,805 shares of the oil and gas company's stock valued at $1,155,000 after purchasing an additional 68 shares during the last quarter. Finally, Swisher Financial Concepts Inc. boosted its position in shares of ExxonMobil by 0.3% in the 1st quarter. Swisher Financial Concepts Inc. now owns 27,402 shares of the oil and gas company's stock worth $4,649,000 after purchasing an additional 69 shares in the last quarter. Institutional investors and hedge funds own 61.80% of the company's stock.

ExxonMobil Company Profile

Exxon Mobil Corporation, commonly known as ExxonMobil, is an integrated energy company engaged in the exploration, development, production and sale of crude oil and natural gas. The company also manufactures and markets fuels, lubricants, petrochemicals and specialty products used in transportation, industrial and consumer applications.

ExxonMobil operates across the energy value chain through businesses that include upstream oil and natural gas production, refining and fuels marketing, chemical manufacturing, and lower-carbon solutions.

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