ExxonMobil (NYSE:XOM) Trading Up 2.2% - Still a Buy?

Key Points

• ExxonMobil shares rose 2.2% to $164.55, supported by higher oil prices linked to geopolitical tensions and concerns over Strait of Hormuz shipping.
• The company’s growth outlook includes record production, strong year-over-year earnings growth, and a potential return to Venezuela, though political and execution risks could delay investment.
• Analysts maintain a generally cautious view: Exxon has a consensus “Hold” rating with a $166.10 price target, while refining pressures, storm risks, and possible spending on Shell’s chemicals assets remain concerns.

ExxonMobil Corporation (NYSE:XOM - Get Free Report)'s stock price shot up 2.2% during trading on Tuesday . The company traded as high as $164.70 and last traded at $164.55. Approximately 10,830,045 shares changed hands during trading, a decline of 43% from the average daily volume of 18,893,699 shares. The stock had previously closed at $160.95.

Key Headlines Impacting ExxonMobil

Here are the key news stories impacting ExxonMobil this week:

• Positive Sentiment: Higher oil prices lifted the sector. Renewed conflict involving Iran and concerns about shipping through the Strait of Hormuz pushed crude prices higher, improving the outlook for ExxonMobil’s upstream earnings and helping energy stocks lead the market. Chevron and Exxon Mobil Rise as WTI Crude Oil Increases
• Positive Sentiment: Potential return to Venezuela created a new long-term growth narrative. President Donald Trump said ExxonMobil is among the companies preparing to enter Venezuela, nearly two decades after the company exited following asset nationalization. Exxon previously sent a technical team to assess opportunities, but no definitive investment announcement from the company was cited. Access to Venezuela’s large reserves could expand future production, though execution and political risks remain. Trump Says Exxon Is Going Into Venezuela
• Positive Sentiment: Production momentum supports the investment case. Recent coverage highlighted ExxonMobil’s record second-quarter production and approximately $116 billion in revenue. The company also reported quarterly earnings per share of $3.52, more than double the prior-year result, despite narrowly missing analysts’ estimates. What XOM’s Q2 Earnings Say About Production Growth
• Neutral Sentiment: ExxonMobil is reportedly bidding for Shell’s U.S. chemicals assets. A potential purchase of four plants, reportedly valued near $8 billion, could strengthen ExxonMobil’s chemicals footprint but would require substantial capital and comes amid cyclical weakness in the chemicals business. ExxonMobil’s Bid for Shell’s U.S. Chemicals Assets
• Negative Sentiment: Political pressure and operational risks remain. President Trump is meeting with refiners to discuss lowering gasoline prices, potentially pressuring margins. ExxonMobil was not invited, while a developing Gulf Coast storm could disrupt or require preparation at East Texas refining facilities. Motiva and Exxon Prepare Refineries for Storm
• Negative Sentiment: Venezuela’s investment framework is uncertain. Sources cited concerns among major producers about the terms and political structure of the U.S.-backed oil deal, which could delay investment or increase project risk. Erste Group Bank also lowered its fiscal 2027 ExxonMobil EPS forecast. Venezuela Oil Deal Raises Questions

Wall Street Analysts Forecast Growth

A number of analysts recently commented on the company. Mizuho decreased their price objective on ExxonMobil from $175.00 to $170.00 and set a "neutral" rating on the stock in a research note on Thursday, July 9th. UBS Group set a $168.00 target price on shares of ExxonMobil in a report on Friday, August 7th. Freedom Capital raised shares of ExxonMobil from a "strong sell" rating to a "hold" rating in a research note on Tuesday, August 4th. Barclays cut their price objective on shares of ExxonMobil from $182.00 to $177.00 and set an "overweight" rating for the company in a research report on Monday, August 17th. Finally, Royal Bank Of Canada reaffirmed a "sector perform" rating and issued a $180.00 target price on shares of ExxonMobil in a research note on Tuesday, May 5th. Ten investment analysts have rated the stock with a Buy rating and twelve have given a Hold rating to the company. According to data from MarketBeat, the stock presently has a consensus rating of "Hold" and a consensus price target of $166.10.

ExxonMobil Price Performance

The company has a market capitalization of $682.05 billion, a PE ratio of 21.18, a PEG ratio of 0.62 and a beta of 0.17. The company has a current ratio of 1.13, a quick ratio of 0.85 and a debt-to-equity ratio of 0.12. The company's 50 day moving average price is $150.98 and its 200-day moving average price is $151.94.

ExxonMobil (NYSE:XOM - Get Free Report) last issued its earnings results on Friday, July 31st. The oil and gas company reported $3.52 earnings per share for the quarter, missing the consensus estimate of $3.56 by ($0.04). ExxonMobil had a return on equity of 13.14% and a net margin of 8.88%.The firm had revenue of $114.53 billion during the quarter, compared to analysts' expectations of $109.94 billion. During the same period last year, the business posted $1.64 earnings per share. On average, sell-side analysts forecast that ExxonMobil Corporation will post 11.86 earnings per share for the current fiscal year.

ExxonMobil Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Thursday, September 10th. Shareholders of record on Monday, August 17th will be given a dividend of $1.03 per share. This represents a $4.12 dividend on an annualized basis and a yield of 2.5%. The ex-dividend date of this dividend is Monday, August 17th. ExxonMobil's payout ratio is 53.02%.

Institutional Investors Weigh In On ExxonMobil

Several institutional investors have recently bought and sold shares of XOM. Berbice Capital Management LLC acquired a new position in shares of ExxonMobil in the fourth quarter worth about $26,000. E Fund Management Hong Kong Co. Ltd. increased its stake in shares of ExxonMobil by 456.1% in the fourth quarter. E Fund Management Hong Kong Co. Ltd. now owns 228 shares of the oil and gas company's stock worth $27,000 after buying an additional 187 shares during the last quarter. Aventus Investment Advisors Inc. acquired a new stake in ExxonMobil in the second quarter valued at $27,000. Keewaydin Investments LLC acquired a new stake in ExxonMobil in the fourth quarter valued at $33,000. Finally, Portus Wealth Advisors LLC bought a new position in ExxonMobil during the 1st quarter valued at $36,000. 61.80% of the stock is currently 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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