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Exxon Mobil (XOM) Gains But Lags Market: What You Should Know

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Exxon Mobil (XOM - Free Report) closed at $55.96 in the latest trading session, marking a +1.1% move from the prior day. This change lagged the S&P 500's 1.52% gain on the day.

Prior to today's trading, shares of the oil and natural gas company had lost 11.57% over the past month. This has lagged the Oils-Energy sector's loss of 8.07% and the S&P 500's gain of 2.41% in that time.

Wall Street will be looking for positivity from XOM as it approaches its next earnings report date. In that report, analysts expect XOM to post earnings of $1.02 per share. This would mark year-over-year growth of 245.71%. Meanwhile, our latest consensus estimate is calling for revenue of $60.49 billion, up 85.51% from the prior-year quarter.

XOM's full-year Zacks Consensus Estimates are calling for earnings of $4.10 per share and revenue of $248.66 billion. These results would represent year-over-year changes of +1342.42% and +37%, respectively.

It is also important to note the recent changes to analyst estimates for XOM. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 7.3% higher within the past month. XOM is currently sporting a Zacks Rank of #3 (Hold).

Investors should also note XOM's current valuation metrics, including its Forward P/E ratio of 13.51. For comparison, its industry has an average Forward P/E of 7.08, which means XOM is trading at a premium to the group.

Investors should also note that XOM has a PEG ratio of 1.34 right now. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Oil and Gas - Integrated - International stocks are, on average, holding a PEG ratio of 0.52 based on yesterday's closing prices.

The Oil and Gas - Integrated - International industry is part of the Oils-Energy sector. This group has a Zacks Industry Rank of 43, putting it in the top 17% of all 250+ industries.

The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

To follow XOM in the coming trading sessions, be sure to utilize Zacks.com.


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