- Exxon’s Adjusted EPS Performance: Exxon reported an adjusted EPS of $1.88 for the third quarter, surpassing analysts’ estimates of $1.81.
- Reported EPS: The unadjusted EPS stood at $1.76 for the same period.
- Factors Affecting Earnings: Earnings have been challenged by weaker crude prices, chemical margins at the bottom of the cycle, increased depreciation, growth-related costs, and lower base volumes from strategic investments.
- Offsetting Factors: Despite the challenges, Exxon benefited from volume growth in the Permian and Guyana, structural cost savings, and favorable timing effects which partially offset the negative influences.
- Cash Flow from Operations: Exxon generated $14.8 billion in cash flow from operations in Q3, slightly below the estimate of $15.2 billion.
- Capital Expenditures Outlook: Excluding acquisitions, the full-year cash capital expenditure is expected to be “slightly below” the lower end of the previous guidance range of $27 billion to $29 billion.
- Guyana Production Milestone: In Guyana, Exxon achieved a record with quarterly production exceeding 700,000 barrels per day, and successfully started up the Yellowtail development four months ahead of schedule and under budget.
Exxon Mobil on Smartkarma
Analyst coverage of Exxon Mobil on Smartkarma reveals diverse insights and perspectives. Baptista Research highlights Exxon Mobil‘s legal challenge against California’s climate disclosure laws, emphasizing the potential impact on ESG investors. Suhas Reddy‘s analysis focuses on the oil and gas industry’s shift towards discipline amid supply glut and cost pressures, positioning ExxonMobil as a strong player due to its financial resilience and diversified assets.
Moreover, Baptista Research delves into Exxon’s secret talks with Rosneft, hinting at a geopolitical energy market shock linked to Trump-Putin peace negotiations. The expansion of biofuels is another area of interest, with ExxonMobil’s recent earnings call showcasing remarkable production levels driven by high-return assets in Guyana and the Permian Basin. As Exxon braces for a challenging quarter, the market’s bullish sentiment suggests potential for an upside surprise despite anticipated weaknesses in crude and gas prices.
A look at Exxon Mobil Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 3 | |
| Dividend | 4 | |
| Growth | 3 | |
| Resilience | 3 | |
| Momentum | 4 | |
| OVERALL SMART SCORE | 3.4 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Exxon Mobil Corporation, a global player in petroleum and petrochemicals, has garnered favorable Smartkarma Smart Scores across various factors. With a solid Dividend score of 4 and a strong Momentum score of 4, Exxon Mobil reflects stability and positive market sentiment. The company’s Resilience and Value scores both stand at 3, showcasing a balanced performance across these crucial aspects. While Growth potential is rated at 3, indicating steady rather than explosive expansion prospects, Exxon Mobil‘s overall outlook appears promising in the long term.
Operating on a global scale, Exxon Mobil‘s diversified operations encompass oil and gas exploration and production, electric power generation, and coal and minerals activities. Moreover, the company engages in the manufacturing and distribution of fuels, lubricants, and chemicals. Considering its solid Dividend and Momentum scores, coupled with a respectable performance in other areas as per the Smartkarma Smart Scores, Exxon Mobil seems well-positioned for continued success and resilience in the evolving energy sector landscape.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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