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Occidental Petroleum (OXY) Dips More Than Broader Markets: What You Should Know

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In the latest trading session, Occidental Petroleum (OXY - Free Report) closed at $61.17, marking a -0.59% move from the previous day. This move lagged the S&P 500's daily loss of 0.04%. Elsewhere, the Dow lost 0.14%, while the tech-heavy Nasdaq added 2.14%.

Prior to today's trading, shares of the oil and gas exploration and production company had lost 1.44% over the past month. This has lagged the Oils-Energy sector's gain of 4.67% and the S&P 500's gain of 5.1% in that time.

Investors will be hoping for strength from Occidental Petroleum as it approaches its next earnings release, which is expected to be May 9, 2023. In that report, analysts expect Occidental Petroleum to post earnings of $1.30 per share. This would mark a year-over-year decline of 38.68%. Our most recent consensus estimate is calling for quarterly revenue of $7.54 billion, down 11.69% from the year-ago period.

Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $5.81 per share and revenue of $31.13 billion. These totals would mark changes of -37.86% and -16.08%, respectively, from last year.

Any recent changes to analyst estimates for Occidental Petroleum should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 3.59% lower. Occidental Petroleum is currently a Zacks Rank #3 (Hold).

Investors should also note Occidental Petroleum's current valuation metrics, including its Forward P/E ratio of 10.6. This valuation marks a no noticeable deviation compared to its industry's average Forward P/E of 10.6.

Investors should also note that OXY has a PEG ratio of 0.48 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. OXY's industry had an average PEG ratio of 0.52 as of yesterday's close.

The Oil and Gas - Integrated - United States industry is part of the Oils-Energy sector. This industry currently has a Zacks Industry Rank of 78, which puts it in the top 31% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

You can find more information on all of these metrics, and much more, on Zacks.com.


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