- Occidental’s adjusted earnings per share (EPS) for Q1 came in at 87 cents, surpassing the estimate of 78 cents.
- The company’s adjusted net income reached $860 million, outperforming the expected $738.1 million.
- Reported actual EPS was 77 cents.
- The realized price for US natural gas was $2.42 per Mcf, slightly below the estimate of $2.53.
- The realized price for natural gas liquids (NGLs) was $25.94 per barrel, higher than the forecasted $25.63.
- The realized oil price was $71.07 per barrel, just under the expected $71.54.
- Chemical sector pre-tax income was $185 million, which was lower than the anticipated $200.1 million.
- Oil and gas sector pre-tax income hit $1.70 billion, exceeding the estimate of $1.64 billion.
- Investor sentiment includes 7 buy ratings, 20 hold ratings, and 2 sell ratings.
Occidental Petroleum on Smartkarma
Analysts on Smartkarma, including Suhas Reddy, have provided insightful coverage of Occidental Petroleum‘s recent performance and future prospects.
In their reports, Suhas Reddy highlighted how Occidental’s Q1 revenue and EPS are expected to rise significantly year-over-year, driven by strong Permian production and improved oil and gas prices. Additionally, in Q4, despite a decline in revenue, Occidental beat EPS expectations and achieved its debt reduction goals through divestment deals and improved cash flow. The company also saw neutral sentiment on its options ahead of earnings, with high volatility and specific strike concentrations. Furthermore, while lower oil prices are expected to pressure Occidental in Q4, higher gas and NGL prices are projected to offer support. Suhas Reddy also noted a weakening bullish trend for Occidental due to downward pressure on crude oil and adjustments in price targets by JPMorgan and Mizuho.
A look at Occidental Petroleum Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 4 | |
| Dividend | 3 | |
| Growth | 4 | |
| Resilience | 3 | |
| Momentum | 3 | |
| 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
Occidental Petroleum Corporation, a company that explores, produces, and markets crude oil and natural gas, has a positive long-term outlook based on its Smartkarma Smart Scores. With strong scores in the areas of Value, Growth, and Resilience, Occidental Petroleum is positioned well for the future. Its high Value score suggests that the company is trading at an attractive price relative to its intrinsic value, indicating potential for long-term gains. Additionally, a solid Growth score points towards sustainable expansion and development opportunities. Alongside this, a good Resilience score indicates the company’s ability to withstand market fluctuations and economic challenges.
Although Occidental Petroleum‘s Dividend and Momentum scores are not as high as the other factors, the overall outlook remains favorable due to its strong performance in key areas. As a diversified company that also manufactures chemicals and engages in various energy-related activities, Occidental Petroleum‘s broad reach and strategic positioning contribute to its overall positive outlook for the long term.
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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