Phillips 66 (NYSE:PSX) Hits New 52-Week High – Here’s Why

Shares of Phillips 66 (NYSE:PSX) hit a new 52-week high on Tuesday . The company traded as high as $265.85 and last traded at $265.3890, with a volume of 1069079 shares. The stock had previously closed at $257.06.

Analyst Ratings Changes

Several analysts have recently weighed in on the stock. Citigroup reiterated a “neutral” rating on shares of Phillips 66 in a research note on Thursday, August 6th. Barclays raised their target price on Phillips 66 from $183.00 to $216.00 and gave the company an “equal weight” rating in a research note on Thursday, August 6th. UBS Group boosted their price objective on Phillips 66 from $235.00 to $300.00 and gave the company a “buy” rating in a report on Tuesday, September 8th. Weiss Ratings upgraded shares of Phillips 66 from a “hold (c)” rating to a “buy (b)” rating in a research note on Wednesday, August 12th. Finally, Wells Fargo & Company boosted their target price on shares of Phillips 66 from $239.00 to $335.00 and gave the stock an “overweight” rating in a research report on Tuesday, September 1st. Two investment analysts have rated the stock with a Strong Buy rating, thirteen have issued a Buy rating and six have assigned a Hold rating to the company’s stock. According to MarketBeat, Phillips 66 has an average rating of “Moderate Buy” and an average target price of $231.76.

Phillips 66 Stock Performance

The company’s 50-day moving average is $227.71 and its two-hundred day moving average is $191.99. The company has a market cap of $105.59 billion, a P/E ratio of 15.08 and a beta of 0.71. The company has a quick ratio of 1.00, a current ratio of 1.32 and a debt-to-equity ratio of 0.57.

Phillips 66 (NYSE:PSX) last issued its earnings results on Wednesday, August 5th. The oil and gas company reported $9.41 earnings per share (EPS) for the quarter, beating the consensus estimate of $7.50 by $1.91. Phillips 66 had a return on equity of 19.93% and a net margin of 4.54%.The firm had revenue of $52.04 billion for the quarter, compared to analyst estimates of $43.60 billion. During the same period in the previous year, the company posted $2.38 earnings per share. Equities analysts predict that Phillips 66 will post 26.95 EPS for the current year.

Phillips 66 Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Tuesday, September 1st. Stockholders of record on Tuesday, August 18th were issued a $1.27 dividend. The ex-dividend date of this dividend was Tuesday, August 18th. This represents a $5.08 annualized dividend and a dividend yield of 1.9%. Phillips 66’s dividend payout ratio is presently 28.95%.

Phillips 66 declared that its board has approved a stock buyback program on Friday, July 31st that allows the company to buyback $10.00 billion in shares. This buyback authorization allows the oil and gas company to purchase up to 11.8% of its stock through open market purchases. Stock buyback programs are typically an indication that the company’s leadership believes its shares are undervalued.

Insider Activity at Phillips 66

In related news, CFO Kevin J. Mitchell sold 11,021 shares of Phillips 66 stock in a transaction on Thursday, July 9th. The shares were sold at an average price of $190.03, for a total value of $2,094,320.63. Following the transaction, the chief financial officer owned 97,376 shares in the company, valued at $18,504,361.28. This trade represents a 10.17% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Richard G. Harbison sold 52,100 shares of the firm’s stock in a transaction that occurred on Wednesday, August 12th. The stock was sold at an average price of $223.76, for a total value of $11,657,896.00. Following the transaction, the executive vice president owned 39,094 shares in the company, valued at approximately $8,747,673.44. The trade was a 57.13% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last ninety days, insiders have sold 100,507 shares of company stock valued at $21,770,810. Company insiders own 0.40% of the company’s stock.

Hedge Funds Weigh In On Phillips 66

Several hedge funds have recently made changes to their positions in PSX. Proficio Capital Partners LLC bought a new stake in Phillips 66 during the second quarter valued at about $384,000. MUFG Securities EMEA plc boosted its stake in shares of Phillips 66 by 113.5% in the fourth quarter. MUFG Securities EMEA plc now owns 16,518 shares of the oil and gas company’s stock worth $2,131,000 after acquiring an additional 8,783 shares during the period. BlackRock Inc. bought a new position in shares of Phillips 66 in the second quarter worth about $5,766,779,000. Fifth Third Bancorp grew its position in shares of Phillips 66 by 543.7% during the first quarter. Fifth Third Bancorp now owns 128,156 shares of the oil and gas company’s stock worth $23,348,000 after purchasing an additional 108,248 shares in the last quarter. Finally, Norges Bank bought a new stake in Phillips 66 during the 4th quarter valued at approximately $640,206,000. 76.93% of the stock is owned by hedge funds and other institutional investors.

About Phillips 66

Phillips 66 (NYSE: PSX) is an energy company that operates across the midstream, chemicals, refining and marketing sectors. Headquartered in Houston, Texas, the company was established in 2012 when ConocoPhillips separated its downstream businesses into an independent company.

The company’s midstream operations include transportation, processing, storage and other infrastructure for crude oil, natural gas and natural gas liquids. Phillips 66 also owns and operates refineries that process crude oil into transportation fuels, lubricants, specialty products and other refined petroleum products.

Phillips 66 markets gasoline, diesel and other fuels under the Phillips 66, Conoco and 76 brands, primarily in the United States.