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Occidental Petroleum (OXY) Outperforms Broader Market: What You Need to Know

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The latest trading session saw Occidental Petroleum (OXY - Free Report) ending at $52.40, denoting a +0.31% adjustment from its last day's close. The stock's change was more than the S&P 500's daily gain of 0.25%. Meanwhile, the Dow experienced a rise of 0.2%, and the technology-dominated Nasdaq saw an increase of 0.56%.

The oil and gas exploration and production company's shares have seen a decrease of 8.94% over the last month, not keeping up with the Oils-Energy sector's loss of 0.05% and the S&P 500's gain of 1.65%.

Analysts and investors alike will be keeping a close eye on the performance of Occidental Petroleum in its upcoming earnings disclosure. The company is predicted to post an EPS of $0.91, indicating a 22.88% decline compared to the equivalent quarter last year. Our most recent consensus estimate is calling for quarterly revenue of $7.67 billion, up 3.58% from the year-ago period.

In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $3.57 per share and a revenue of $28.32 billion, indicating changes of -3.51% and -2.06%, respectively, from the former year.

It's also important for investors to be aware of any recent modifications to analyst estimates for Occidental Petroleum. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 3.17% lower. Occidental Petroleum is currently a Zacks Rank #3 (Hold).

Looking at valuation, Occidental Petroleum is presently trading at a Forward P/E ratio of 14.62. For comparison, its industry has an average Forward P/E of 17.06, which means Occidental Petroleum is trading at a discount to the group.

The Oil and Gas - Integrated - United States industry is part of the Oils-Energy sector. This group has a Zacks Industry Rank of 188, putting it in the bottom 26% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.


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