ExxonMobil (NYSE:XOM) Shares Up 2.2% – Should You Buy?

ExxonMobil Corporation (NYSE:XOM)’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 mid-day trading, a decline of 43% from the average session 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: Dividend coverage remains strong. ExxonMobil is reportedly on track to raise its dividend for the 44th consecutive year. In the second quarter, free cash flow exceeded dividend payments by nearly $13 billion, supporting the case that the payout is sustainable even during weaker crude markets. 2 Energy Dividend Stocks With Growing Payouts, Led by ExxonMobil
• Positive Sentiment: Long-term cash-flow potential is attractive. ExxonMobil has said free cash flow could double by 2030, and its recent dividend increase despite crude briefly falling below $58 a barrel reinforces confidence in its balance sheet and integrated business model. Exxon’s Dividend Looks Safe Today—But What If Oil Prices Tumble?
• Positive Sentiment: Valuation and efficiency initiatives provide additional support. Zacks characterizes XOM as a strong value stock, while analysts estimate the shares could be modestly undervalued based on speculation surrounding a possible Shell chemicals transaction. ExxonMobil is also using artificial intelligence to reduce downtime, improve drilling, and optimize asset performance. Why Exxon Mobil Is a Strong Value Stock
• Positive Sentiment: Venezuela could create future growth opportunities. U.S. efforts to open Venezuelan oil resources and improve infrastructure may benefit supermajors, including ExxonMobil, although Chevron is currently the company making the most visible investment commitment. Striking Oil: How the U.S. Play for Venezuela Fuels Supermajors

Analysts Set New Price Targets

Several analysts have issued reports on the company. Mizuho lowered their target price on ExxonMobil from $175.00 to $170.00 and set a “neutral” rating on the stock in a research note on Thursday, July 9th. TD Cowen lifted their price objective on ExxonMobil from $155.00 to $168.00 and gave the stock a “buy” rating in a report on Friday, August 7th. Bank of America downgraded shares of ExxonMobil from a “buy” rating to a “neutral” rating and upped their price objective for the company from $154.00 to $158.00 in a report on Tuesday, July 28th. Wells Fargo & Company reissued an “overweight” rating and issued a $182.00 price target on shares of ExxonMobil in a research report on Monday, August 3rd. Finally, HSBC set a $158.00 price objective on shares of ExxonMobil in a research note on Monday, August 3rd. Ten research analysts have rated the stock with a Buy rating and twelve have given a Hold rating to the stock. According to MarketBeat.com, the stock presently has an average rating of “Hold” and a consensus target price of $167.45.

ExxonMobil Stock Performance

The company’s fifty day simple moving average is $152.01 and its 200 day simple moving average is $152.10. The stock has a market capitalization of $675.79 billion, a P/E ratio of 20.98, a P/E/G ratio of 1.01 and a beta of 0.18. The company has a current ratio of 1.13, a quick ratio of 0.85 and a debt-to-equity ratio of 0.12.

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

ExxonMobil Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Thursday, September 10th. Investors of record on Monday, August 17th will be given a $1.03 dividend. This represents a $4.12 annualized dividend and a dividend yield of 2.5%. The ex-dividend date is Monday, August 17th. ExxonMobil’s dividend payout ratio is 53.02%.

Institutional Trading of ExxonMobil

Hedge funds have recently made changes to their positions in the stock. Eagle Capital Management LLC lifted its position in ExxonMobil by 15.3% in the first quarter. Eagle Capital Management LLC now owns 2,836 shares of the oil and gas company’s stock valued at $337,000 after purchasing an additional 376 shares during the last quarter. Caxton Associates LLP purchased a new position in shares of ExxonMobil in the first quarter valued at about $305,000. Sivia Capital Partners LLC boosted its holdings in shares of ExxonMobil by 1.9% during the second quarter. Sivia Capital Partners LLC now owns 11,237 shares of the oil and gas company’s stock worth $1,211,000 after purchasing an additional 207 shares during the period. United Bank increased its holdings in ExxonMobil by 2.8% during the 2nd quarter. United Bank now owns 21,821 shares of the oil and gas company’s stock valued at $2,352,000 after purchasing an additional 600 shares during the period. Finally, Schnieders Capital Management LLC. raised its position in ExxonMobil by 17.4% during the 2nd quarter. Schnieders Capital Management LLC. now owns 36,710 shares of the oil and gas company’s stock valued at $3,957,000 after purchasing an additional 5,443 shares during the last quarter. 61.80% of the stock is owned by 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.