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Exxon Mobil (XOM) Advances While Market Declines: Some Information for Investors

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The latest trading session saw Exxon Mobil (XOM - Free Report) ending at $103.22, denoting a +0.84% adjustment from its last day's close. The stock outperformed the S&P 500, which registered a daily loss of 0.8%. Elsewhere, the Dow saw a downswing of 0.76%, while the tech-heavy Nasdaq depreciated by 1.18%.

Coming into today, shares of the oil and natural gas company had gained 1.91% in the past month. In that same time, the Oils-Energy sector gained 0.83%, while the S&P 500 gained 3.4%.

Analysts and investors alike will be keeping a close eye on the performance of Exxon Mobil in its upcoming earnings disclosure. The company's upcoming EPS is projected at $2.07, signifying a 39.12% drop compared to the same quarter of the previous year. Our most recent consensus estimate is calling for quarterly revenue of $91.53 billion, down 4.09% from the year-ago period.

Investors should also pay attention to any latest changes in analyst estimates for Exxon Mobil. Recent revisions tend to reflect the latest near-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.

Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.

The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the past month, there's been a 3.22% fall in the Zacks Consensus EPS estimate. Exxon Mobil is holding a Zacks Rank of #3 (Hold) right now.

With respect to valuation, Exxon Mobil is currently being traded at a Forward P/E ratio of 10.48. Its industry sports an average Forward P/E of 6.44, so one might conclude that Exxon Mobil is trading at a premium comparatively.

It is also worth noting that XOM currently has a PEG ratio of 3.49. 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 0.84 based on yesterday's closing prices.

The Oil and Gas - Integrated - International industry is part of the Oils-Energy sector. At present, this industry carries a Zacks Industry Rank of 64, placing it within the top 26% of over 250 industries.

The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.


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