Back to top

Image: Bigstock

Exxon Mobil (XOM) Stock Falls Amid Market Uptick: What Investors Need to Know

Read MoreHide Full Article

In the latest trading session, Exxon Mobil (XOM - Free Report) closed at $114.10, marking a -2.67% move from the previous day. The stock's change was less than the S&P 500's daily gain of 0.26%. At the same time, the Dow added 0.15%, and the tech-heavy Nasdaq gained 0.48%.

The stock of oil and natural gas company has risen by 2.56% in the past month, lagging the Oils-Energy sector's gain of 4.06% and the S&P 500's gain of 2.87%.

The investment community will be closely monitoring the performance of Exxon Mobil in its forthcoming earnings report. The company's upcoming EPS is projected at $1.73, signifying a 9.90% drop compared to the same quarter of the previous year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $87.06 billion, down 3.28% from the year-ago period.

Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $6.7 per share and revenue of $332.87 billion, indicating changes of -13.99% and -4.78%, respectively, compared to the previous year.

Investors should also take note of any recent adjustments to analyst estimates for Exxon Mobil. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the business and profitability.

Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. 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 last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.89% increase. As of now, Exxon Mobil holds a Zacks Rank of #3 (Hold).

In terms of valuation, Exxon Mobil is currently trading at a Forward P/E ratio of 17.5. This indicates a premium in contrast to its industry's Forward P/E of 10.95.

It is also worth noting that XOM currently has a PEG ratio of 2.13. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Oil and Gas - Integrated - International industry had an average PEG ratio of 1.86 as trading concluded yesterday.

The Oil and Gas - Integrated - International industry is part of the Oils-Energy sector. At present, this industry carries a Zacks Industry Rank of 86, placing it within the top 35% of over 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.

Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.


See More Zacks Research for These Tickers


Normally $25 each - click below to receive one report FREE:


Exxon Mobil Corporation (XOM) - free report >>

Published in