Street View: Exxon to grow, but concerns remain over spending, chemicals unit

Median Technologies SA

03/02/2025 13:02

** Exxon Mobil  XOM.N  on Friday posted mixed Q4 results
that showed weakness in its refining and chemicals business,
though it beat profit estimate with higher oil and gas output
    ** Average rating of 28 brokerages covering the stock is a
buy; median PT $130 - data compiled by LSEG
    
    WALKING A TIGHTROPE
    ** Morgan Stanley ("overweight," PT: $141) says XOM's scale
and integration across the energy, chemicals, and emerging
low-carbon value chains support sustainable competitive
advantages and above-average growth
    ** Morningstar (fair value: $135) says although higher
spending by an oil company can be concerning, company's strong
track record and quality portfolio should ease those worries
    ** TD Cowen ("buy," PT: $128) says higher commodity prices
might help XOM; says production could rise due to divestments
and growth from the Permian oil field
    ** RBC ("sector perform," PT: $115) says it expects the
downstream earnings drivers to remain challenged, especially in
the chemicals segment
    ** Brokerage says company will continue to face
difficulties, with talk about tariffs and trade wars expected to
cloud outlook

    

 (Reporting by Akriti Shah in Bengaluru)
 ((akriti.shah@thomsonreuters.com))