Phillips 66 (NYSE:PSX) Stock Now Rated “Moderate Buy” by Sell-Side Analysts

Shares of Phillips 66 (NYSE:PSX) have been assigned an average recommendation of “Moderate Buy” from the twenty brokerages that are presently covering the company, MarketBeat reports. Six analysts have rated the stock with a hold rating, twelve have assigned a buy rating and two have issued a strong buy rating on the company. The average 1-year target price among analysts that have issued ratings on the stock in the last year is $246.50.

Several research analysts have weighed in on the company. The Goldman Sachs Group boosted their price objective on Phillips 66 from $245.00 to $274.00 and gave the stock a “neutral” rating in a research report on Wednesday. Zacks Research upgraded Phillips 66 from a “hold” rating to a “strong-buy” rating in a research note on Monday, September 7th. Wells Fargo & Company boosted their price target on shares of Phillips 66 from $239.00 to $335.00 and gave the stock an “overweight” rating in a report on Tuesday, September 1st. Barclays increased their price target on shares of Phillips 66 from $183.00 to $216.00 and gave the company an “equal weight” rating in a research report on Thursday, August 6th. Finally, UBS Group lifted their price objective on shares of Phillips 66 from $235.00 to $300.00 and gave the stock a “buy” rating in a research report on Tuesday, September 8th.

Key Headlines Impacting Phillips 66

Here are the key news stories impacting Phillips 66 this week:

• Positive Sentiment: Higher analyst targets support the stock. TD Cowen raised its price target on Phillips 66 from $255 to $295 and maintained a “buy” rating, implying meaningful upside. Goldman Sachs also lifted its target from $245 to $274, although it retained a “neutral” rating. Analyst price target updates
• Positive Sentiment: Share repurchases are reinforcing the capital-return story. Phillips 66 is increasing buybacks as elevated oil prices and geopolitical uncertainty heighten investor focus on capital discipline. Repurchases can support earnings per share and shareholder returns when valuation and cash flow permit. Zacks Analyst Blog Highlights Phillips 66
• Positive Sentiment: Income investors continue to view PSX favorably. A recent analysis highlighted Phillips 66 as a potentially attractive dividend stock, adding support for the shares’ appeal to investors seeking regular distributions. Why Phillips 66 Is a Great Dividend Stock
• Neutral Sentiment: Phillips 66 recently advanced even as the broader market weakened, indicating relative strength. The move followed a period in which the stock had extended a losing streak, so some of the increase may reflect renewed buying rather than a change in company fundamentals. Phillips 66 Increases Despite Market Slip
• Negative Sentiment: Bayway strike risk is the main overhang. Teamsters Local 877 members representing 385 process and mechanical workers at Phillips 66’s New Jersey refinery authorized a strike by a 92% margin. Negotiations remain unresolved over wages, benefits, safety, training and job protections, and the collective bargaining agreement is nearing expiration. A walkout could disrupt operations and raise costs. What Is Phillips 66 Facing After Bayway Workers Authorized a Strike?

Insider Transactions at Phillips 66

In other Phillips 66 news, EVP Richard Harbison sold 52,100 shares of the stock in a transaction on Wednesday, August 12th. The stock was sold at an average price of $223.76, for a total transaction of $11,657,896.00. Following the completion of the transaction, the executive vice president directly owned 39,094 shares of the company’s stock, valued at approximately $8,747,673.44. This represents a 57.13% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, EVP Vanessa Sutherland sold 3,523 shares of the firm’s stock in a transaction on Tuesday, July 21st. The stock was sold at an average price of $211.05, for a total value of $743,529.15. Following the completion of the sale, the executive vice president directly owned 27,537 shares of the company’s stock, valued at $5,811,683.85. This represents a 11.34% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 123,907 shares of company stock worth $27,973,214 in the last ninety days. Company insiders own 0.40% of the company’s stock.

Institutional Investors Weigh In On Phillips 66

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the company. BlackRock Inc. purchased a new position in shares of Phillips 66 in the second quarter worth about $5,766,779,000. State Street Corp lifted its stake in shares of Phillips 66 by 1.1% during the 2nd quarter. State Street Corp now owns 26,044,694 shares of the oil and gas company’s stock valued at $4,402,856,000 after buying an additional 271,841 shares in the last quarter. Geode Capital Management LLC boosted its holdings in Phillips 66 by 0.4% in the 4th quarter. Geode Capital Management LLC now owns 10,413,824 shares of the oil and gas company’s stock worth $1,338,596,000 after buying an additional 45,340 shares during the period. Bank of New York Mellon Corp bought a new position in Phillips 66 in the 2nd quarter worth approximately $1,093,206,000. Finally, Amundi grew its stake in Phillips 66 by 62.0% in the 1st quarter. Amundi now owns 3,667,451 shares of the oil and gas company’s stock valued at $668,137,000 after buying an additional 1,403,493 shares in the last quarter. 76.93% of the stock is currently owned by institutional investors.

Phillips 66 Trading Up 1.5%

Shares of PSX stock opened at $256.07 on Friday. The company has a debt-to-equity ratio of 0.57, a quick ratio of 1.00 and a current ratio of 1.32. The company has a market capitalization of $102.18 billion, a price-to-earnings ratio of 14.59 and a beta of 0.71. Phillips 66 has a 52-week low of $126.74 and a 52-week high of $277.12. The company has a 50-day simple moving average of $239.28 and a two-hundred day simple moving average of $198.70.

Phillips 66 (NYSE:PSX) last announced its earnings results on Wednesday, August 5th. The oil and gas company reported $9.41 earnings per share for the quarter, topping analysts’ consensus estimates of $7.50 by $1.91. The firm had revenue of $52.04 billion for the quarter, compared to the consensus estimate of $43.60 billion. Phillips 66 had a return on equity of 19.93% and a net margin of 4.54%.During the same quarter in the previous year, the business earned $2.38 EPS. Research analysts anticipate that Phillips 66 will post 28.12 EPS for the current fiscal year.

Phillips 66 announced that its board has approved a share repurchase program on Friday, July 31st that authorizes the company to repurchase $10.00 billion in outstanding shares. This repurchase authorization authorizes the oil and gas company to buy up to 11.8% of its shares through open market purchases. Shares repurchase programs are often a sign that the company’s management believes its stock is undervalued.

Phillips 66 Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Tuesday, September 1st. Stockholders of record on Tuesday, August 18th were paid a dividend of $1.27 per share. The ex-dividend date was Tuesday, August 18th. This represents a $5.08 annualized dividend and a dividend yield of 2.0%. Phillips 66’s dividend payout ratio (DPR) is presently 28.95%.

Phillips 66 Company Profile

Phillips 66 is an energy manufacturing and logistics company engaged in the processing, transportation, storage and marketing of energy products. Its operations include refining crude oil into gasoline, diesel, jet fuel, lubricants and other refined products, as well as distributing and marketing fuels under the Phillips 66, 76 and JET brands.

The company also operates midstream infrastructure, including pipelines, terminals, processing facilities and storage assets that support the movement of crude oil, natural gas liquids and refined products.