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ExxonMobil (XOM) Assesses Harvey-Affected Baytown Unit

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Energy major ExxonMobil (XOM - Free Report) is assessing the Baytown refinery, which was shut down after Hurricane Harvey hit the Gulf coast. The company is also taking restart initiatives at the Baytown refinery – touted to be the second largest in the domestic market.

ExxonMobil is progressing with the restart of chemical production and pipeline operations in Houston. In the state, fuel terminals of the energy player are open and customers are being supplied with refined products like gasoline and diesel.  

Production platforms located off the coast of Gulf of Mexico are gradually returning to normal activities. However, the company said that Beaumont refinery’s production plants are currently not operational owing to floods.

The company is also taking major initiatives for reaching petroleum products to customers in localities that have been hit by the storm. It is to be noted that refined products will be transported from areas away from the influence of the tropical storm.

Irving, TX-based ExxonMobil is the world’s best run integrated oil company based on its track record of high return on capital employed. As the largest publicly traded oil company, ExxonMobil has long been a core holding for investors seeking defensive as well as continued dividend growth.

However, ExxonMobil’s pricing chart is unimpressive. The company has lost 12.9% year to date versus the 5.3% decline of its industry.

As a result, the company currently carries a Zacks Rank #3 (Hold), implying that the stock will perform in line with the broader U.S. equity market over the next one to three months. 

A few better-ranked players in the energy sector are TransCanada Corporation (TRP - Free Report) , Transmontaigne Partners LP (TLP - Free Report) and Range Resources Corporation (RRC - Free Report) . All the stocks sport a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

Headquartered in Calgary, Canada, TransCanada is a midstream energy firm in North America. The company posted an average positive earnings surprise of 4.06% over the last four quarters.

Transmontaigne – headquartered in Denver, CO – is involved in the transportation and storage of refined petroleum products. The firm recorded an average positive earnings surprise of 6.60% over the last four quarters.

Based in Fort Worth, TX, Range Resources is an independent oil and gas company, engaged in the exploration, development and acquisition of U.S. oil and gas resources. The company’s 2017 earnings are estimated to grow 116.5%.

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