ExxonMobil (NYSE:XOM) Stock Price Down 1.6% Following Analyst Downgrade

ExxonMobil Corporation (NYSE:XOM)’s stock price was down 1.6% on Wednesday after DZ Bank downgraded the stock from a buy rating to a hold rating. DZ Bank now has a $156.00 price target on the stock. ExxonMobil traded as low as $151.15 and last traded at $151.53. 12,170,145 shares changed hands during trading, a decline of 38% from the average session volume of 19,472,297 shares. The stock had previously closed at $153.96.

Several other analysts also recently commented on the stock. Barclays raised their price objective on shares of ExxonMobil from $163.00 to $182.00 and gave the company an “overweight” rating in a research report on Tuesday, May 26th. Scotiabank raised their price target on ExxonMobil from $128.00 to $163.00 and gave the company a “sector outperform” rating in a report on Wednesday, April 22nd. UBS Group boosted their price objective on ExxonMobil from $171.00 to $174.00 and gave the company a “buy” rating in a research report on Monday, May 4th. Bank of America lowered ExxonMobil from a “buy” rating to a “neutral” rating and upped their price objective for the stock from $154.00 to $158.00 in a research note on Tuesday, July 28th. Finally, HSBC set a $158.00 target price on ExxonMobil in a research report on Monday. Nine analysts have rated the stock with a Buy rating and fourteen have issued a Hold rating to the company’s stock. Based on data from MarketBeat, ExxonMobil has a consensus rating of “Hold” and a consensus target price of $162.95.

Key Headlines Impacting ExxonMobil

Here are the key news stories impacting ExxonMobil this week:

• Positive Sentiment: Strong profitability and market conditions: ExxonMobil posted its best underlying quarterly profit in four years, benefiting from higher oil prices, record refining margins and robust production. Middle East-related supply disruptions have also supported refining and fuel-market margins. Exxon Posts Its Best Profit in Four Years
• Positive Sentiment: Longer-term fundamentals remain supportive: Although second-quarter EPS of $3.52 narrowly missed the $3.56 consensus, revenue exceeded expectations. Analysts continue to point to strong production, higher oil prices and ExxonMobil’s solid balance sheet as supports for its outlook. One analysis estimates XOM may be approximately 9% undervalued. Zacks Analyst Blog Highlights ExxonMobil
• Positive Sentiment: Whiptail project execution: ExxonMobil selected Sercel’s Marlin software suite to coordinate simultaneous offshore operations, including pipe-laying and mooring installation, at its Whiptail development in Guyana. The announcement supports execution of a strategically important growth project. ExxonMobil Selects Sercel Software
• Neutral Sentiment: Mixed analyst signals: Freedom Capital upgraded ExxonMobil from “strong sell” to “hold,” while DZ Bank cut its rating from “buy” to “hold” but retained a $156 price target. The conflicting views suggest limited near-term consensus. ExxonMobil Rating Update
• Negative Sentiment: Political risk is rising: President Trump criticized ExxonMobil and Chevron for earning too much from the oil-price surge and urged them to lower gasoline prices. Pressure to reduce consumer fuel costs could raise concerns about pricing constraints, taxes or other government intervention. Trump Pressures Exxon and Chevron

Institutional Trading of ExxonMobil

Hedge funds have recently bought and sold shares of the stock. Norges Bank bought a new position in ExxonMobil during the fourth quarter valued at approximately $7,625,063,000. Quantum Portfolio Management LLC purchased a new stake in shares of ExxonMobil during the 1st quarter worth approximately $965,932,000. Arrowstreet Capital Limited Partnership purchased a new stake in shares of ExxonMobil during the 1st quarter worth approximately $766,345,000. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC boosted its position in shares of ExxonMobil by 18.2% during the 4th quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 15,997,332 shares of the oil and gas company’s stock valued at $1,925,119,000 after acquiring an additional 2,465,410 shares during the last quarter. Finally, Van ECK Associates Corp grew its holdings in shares of ExxonMobil by 334.4% in the fourth quarter. Van ECK Associates Corp now owns 3,062,497 shares of the oil and gas company’s stock valued at $368,541,000 after purchasing an additional 2,357,467 shares in the last quarter. Hedge funds and other institutional investors own 61.80% of the company’s stock.

ExxonMobil Stock Performance

The business’s fifty day moving average is $145.75 and its two-hundred day moving average is $149.15. The stock has a market capitalization of $628.08 billion, a PE ratio of 19.50, a price-to-earnings-growth ratio of 0.63 and a beta of 0.17. The company has a quick ratio of 0.85, a current ratio of 1.13 and a debt-to-equity ratio of 0.12.

ExxonMobil (NYSE:XOM) last released its quarterly earnings results on Friday, July 31st. The oil and gas company reported $3.52 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $3.56 by ($0.04). ExxonMobil had a net margin of 8.88% and a return on equity of 13.14%. The business had revenue of $114.53 billion for the quarter, compared to analysts’ expectations of $109.94 billion. During the same period in the previous year, the company earned $1.64 EPS. As a group, research analysts anticipate that ExxonMobil Corporation will post 11.46 EPS for the current fiscal year.

ExxonMobil Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Thursday, September 10th. Stockholders of record on Monday, August 17th will be given a dividend of $1.03 per share. This represents a $4.12 annualized dividend and a dividend yield of 2.7%. The ex-dividend date is Monday, August 17th. ExxonMobil’s dividend payout ratio is currently 53.02%.

ExxonMobil Company Profile

ExxonMobil Corporation (NYSE: XOM) is an integrated oil and gas company engaged in the exploration, production, refining, distribution and marketing of petroleum products and the manufacture and sale of petrochemicals. Its operations span the full energy value chain, including upstream exploration and development of crude oil and natural gas; midstream transportation and storage; and downstream refining, product distribution and retail. The company also produces a broad range of chemical products for industrial and consumer applications.

ExxonMobil markets fuels and lubricants under well-known brands such as Exxon, Mobil and Esso, and its Mobil 1 motor oil is a prominent consumer product.