Chevron (NYSE:CVX) Trading Up 1.4% – Here’s What Happened

Chevron Corporation (NYSE:CVX) shares shot up 1.4% during mid-day trading on Monday . The stock traded as high as $203.68 and last traded at $202.75. Approximately 7,064,176 shares were traded during mid-day trading, a decline of 35% from the average daily volume of 10,914,472 shares. The stock had previously closed at $200.00.

Trending Headlines about Chevron

Here are the key news stories impacting Chevron this week:

• Positive Sentiment: Chevron, through its Cabinda Gulf Oil Company subsidiary, reported that the 105-4X exploration well in offshore Angola’s Block 0 encountered a hydrocarbon column exceeding 600 meters (about 2,000 feet) and more than 90 meters of net pay in the Pinda reservoir. The find expands Chevron’s resource base and supports its exploration strategy. Chevron finds oil, gas condensate offshore Angola
• Positive Sentiment: The discovery is near existing offshore infrastructure, potentially allowing a faster and lower-cost tieback development. However, commerciality, additional appraisal and production timing remain to be determined. Chevron Stock Rises After Major 600-Meter Angola Oil Discovery
• Positive Sentiment: Reports that Brent crude was approaching $89 per barrel amid continued disruption around the Strait of Hormuz reinforce the near-term earnings and cash-flow outlook for major producers such as Chevron. Higher oil prices generally benefit Chevron’s upstream operations. Brent Crude Nears $89 As Hormuz Stays Disrupted
• Positive Sentiment: Chevron continues to attract income-focused investors because of its dividend, favorable analyst views and potential price-target upside. Recent earnings also showed strong year-over-year growth and an earnings beat, adding to the stock’s fundamental support.
• Neutral Sentiment: The geopolitical disruption supporting oil prices is also a risk: an escalation could increase volatility, weaken global demand or create operational and transportation challenges for energy companies.

Analysts Set New Price Targets

A number of brokerages have recently issued reports on CVX. Wall Street Zen upgraded shares of Chevron from a “hold” rating to a “buy” rating in a research note on Saturday, August 8th. Wolfe Research upgraded Chevron from a “peer perform” rating to an “outperform” rating and set a $210.00 price target for the company in a research note on Thursday, July 2nd. Piper Sandler began coverage on Chevron in a report on Thursday, July 23rd. They issued an “overweight” rating and a $207.00 price objective for the company. Mizuho set a $224.00 price objective on Chevron in a research note on Monday, August 3rd. Finally, UBS Group reiterated a “buy” rating on shares of Chevron in a research report on Tuesday, June 23rd. Twenty equities research analysts have rated the stock with a Buy rating, five have assigned a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and an average price target of $207.13.

Chevron Price Performance

The company has a debt-to-equity ratio of 0.19, a quick ratio of 0.98 and a current ratio of 1.25. The company’s fifty day moving average price is $183.30 and its 200 day moving average price is $187.01. The firm has a market capitalization of $400.59 billion, a price-to-earnings ratio of 19.44, a price-to-earnings-growth ratio of 0.61 and a beta of 0.49.

Chevron (NYSE:CVX) last released its quarterly earnings data on Friday, July 31st. The oil and gas company reported $6.06 earnings per share for the quarter, topping the consensus estimate of $5.55 by $0.51. Chevron had a net margin of 9.57% and a return on equity of 11.09%. The firm had revenue of $67.20 billion for the quarter, compared to analyst estimates of $62.72 billion. During the same quarter in the prior year, the business earned $1.77 earnings per share. Chevron’s quarterly revenue was up 57.4% on a year-over-year basis. Equities research analysts expect that Chevron Corporation will post 15.86 earnings per share for the current year.

Chevron Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Thursday, September 10th. Stockholders of record on Wednesday, August 19th will be given a dividend of $1.78 per share. This represents a $7.12 dividend on an annualized basis and a dividend yield of 3.5%. The ex-dividend date is Wednesday, August 19th. Chevron’s dividend payout ratio is presently 68.26%.

Insider Activity at Chevron

In related news, CEO Michael K. Wirth sold 5,547 shares of the business’s stock in a transaction that occurred on Wednesday, August 5th. The stock was sold at an average price of $187.00, for a total transaction of $1,037,289.00. Following the completion of the transaction, the chief executive officer owned 26,308 shares in the company, valued at $4,919,596. The trade was a 17.41% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, Director John B. Hess sold 100,000 shares of the company’s stock in a transaction on Monday, August 3rd. The stock was sold at an average price of $194.26, for a total value of $19,426,000.00. Following the transaction, the director owned 178,045 shares of the company’s stock, valued at approximately $34,587,021.70. The trade was a 35.97% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last three months, insiders sold 1,196,212 shares of company stock worth $231,819,366. Company insiders own 0.56% of the company’s stock.

Institutional Trading of Chevron

Large investors have recently modified their holdings of the company. BlackRock Inc. bought a new stake in shares of Chevron during the second quarter valued at approximately $25,663,729,000. Norges Bank acquired a new position in shares of Chevron during the fourth quarter worth approximately $3,727,586,000. Bank of New York Mellon Corp bought a new position in Chevron in the 2nd quarter worth approximately $2,378,114,000. State Street Corp increased its position in Chevron by 9.1% in the 3rd quarter. State Street Corp now owns 152,605,988 shares of the oil and gas company’s stock valued at $23,698,184,000 after acquiring an additional 12,789,399 shares during the period. Finally, Legal & General Group Plc bought a new stake in Chevron during the 2nd quarter valued at $1,462,412,000. Institutional investors and hedge funds own 72.42% of the company’s stock.

Chevron Company Profile

Chevron Corporation (NYSE: CVX) is an American multinational energy company engaged in virtually all aspects of the oil and gas industry. As an integrated energy firm, Chevron’s core activities include upstream oil and natural gas exploration and production, midstream transportation and storage, downstream refining and marketing of fuels and lubricants, and petrochemical manufacturing through joint ventures and subsidiaries. The company markets fuels under brands such as Chevron, Texaco and Caltex and supplies a range of products and services to retail customers, industrial users and commercial fleets worldwide.

Chevron traces its corporate lineage to the early petroleum companies that eventually became Standard Oil of California and has evolved through significant mergers and restructurings, including the acquisitions of Gulf Oil and Texaco.