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Occidental Petroleum (OXY) Increases Yet Falls Behind Market: What Investors Need to Know

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Occidental Petroleum (OXY - Free Report) closed at $51.35 in the latest trading session, marking a +0.06% move from the prior day. The stock lagged the S&P 500's daily gain of 0.22%. At the same time, the Dow lost 0.33%, and the tech-heavy Nasdaq gained 0.76%.

Shares of the oil and gas exploration and production company witnessed a gain of 0.39% over the previous month, beating the performance of the Oils-Energy sector with its loss of 11.32% and underperforming the S&P 500's gain of 1.47%.

Analysts and investors alike will be keeping a close eye on the performance of Occidental Petroleum in its upcoming earnings disclosure. The company's earnings report is set to go public on November 12, 2024. The company's upcoming EPS is projected at $0.81, signifying a 31.36% drop compared to the same quarter of the previous year. In the meantime, our current consensus estimate forecasts the revenue to be $7.53 billion, indicating a 1.74% growth compared to the corresponding quarter of the prior year.

OXY's full-year Zacks Consensus Estimates are calling for earnings of $3.31 per share and revenue of $28.05 billion. These results would represent year-over-year changes of -10.54% and -3.02%, respectively.

Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Occidental Petroleum. Such recent modifications usually signify the changing landscape of near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.

Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. 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, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 7.49% lower. At present, Occidental Petroleum boasts a Zacks Rank of #4 (Sell).

In terms of valuation, Occidental Petroleum is currently trading at a Forward P/E ratio of 15.53. Its industry sports an average Forward P/E of 17.36, so one might conclude that Occidental Petroleum is trading at a discount comparatively.

The Oil and Gas - Integrated - United States industry is part of the Oils-Energy sector. This group has a Zacks Industry Rank of 211, putting it in the bottom 17% of all 250+ industries.

The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.


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