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Exxon Mobil (XOM) Stock Sinks As Market Gains: What You Should Know

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Exxon Mobil (XOM - Free Report) closed the latest trading day at $109.53, indicating a -1.74% change from the previous session's end. This move lagged the S&P 500's daily gain of 0.61%. Meanwhile, the Dow gained 0.3%, and the Nasdaq, a tech-heavy index, added 1.28%.

Prior to today's trading, shares of the oil and natural gas company had gained 4.76% over the past month. This has outpaced the Oils-Energy sector's loss of 0.29% and the S&P 500's gain of 2.08% in that time.

Market participants will be closely following the financial results of Exxon Mobil in its upcoming release. The company plans to announce its earnings on January 31, 2025. The company is predicted to post an EPS of $1.62, indicating a 34.68% decline compared to the equivalent quarter last year. Meanwhile, the latest consensus estimate predicts the revenue to be $87.3 billion, indicating a 3.5% increase compared to the same quarter of the previous year.

Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Exxon Mobil. These revisions typically reflect the latest short-term business trends, which can change frequently. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.

The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the past month, the Zacks Consensus EPS estimate has moved 2.78% lower. Exxon Mobil is currently a Zacks Rank #3 (Hold).

Looking at its valuation, Exxon Mobil is holding a Forward P/E ratio of 14.63. This denotes a premium relative to the industry's average Forward P/E of 8.93.

It is also worth noting that XOM currently has a PEG ratio of 2.93. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. The Oil and Gas - Integrated - International was holding an average PEG ratio of 1.87 at yesterday's closing price.

The Oil and Gas - Integrated - International industry is part of the Oils-Energy sector. This industry currently has a Zacks Industry Rank of 82, which puts it in the top 33% of all 250+ industries.

The Zacks Industry Rank is ordered 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.

Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.


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