After greatly benefiting from the post-COVID recovery and the rise of geopolitical risks, which propelled the oil prices to new highs in recent years, the good days for Exxon Mobil Corporation (NYSE: XOM ) and its peers are likelyBears of Wall Street is a community of asset managers and traders who take a pragmatic approach to valuing companies. Bears of Wall Street provide unique research with a bearish sentiment on overvalued or weak companies with declining businesses and poor growth perspectives - compa ...

In the competitive energy landscape, Exxon Mobil Corporation (XOM) and BP plc (BP) stand out not just for massive oil and gas operations but for their diverse strategies and financial transparency. As both integrated energy players are navigating a complex energy transition, investors are increasingly scrutinizing how well each balances traditional upstream business with emerging low-carbon activities. Now, the billion-dollar question is: Which energy giant is better placed?XOM’s Upstream Story Financially ...

I last analyzed Exxon Mobil Corporation (NYSE: XOM ) stock in March 2025. In an article entitled "Exxon Mobil Is A Better Bet Than XLE On Oil Any Price Recovery”, I rated the As you can tell, our core style is to provide actionable and unambiguous ideas from our independent research. If your share this investment style, check out Envision Early Retirement. It provides at least 1x in-depth articles per week on such ideas.We have helped our members not only to beat S&P 500 but also avoid heavy drawdowns despi ...

Core Insights - OMV AG (OMVKY) is currently rated higher than Exxon Mobil (XOM) in terms of value investment potential, with a Zacks Rank of 2 (Buy) compared to XOM's 3 (Hold) [3] - OMVKY demonstrates a stronger earnings outlook and valuation metrics, making it a more attractive option for value investors [6] Valuation Metrics - OMVKY has a forward P/E ratio of 8.72, significantly lower than XOM's forward P/E of 16.89, indicating that OMVKY may be undervalued [5] - The PEG ratio for OMVKY is 1.27, while XOM's PEG ratio stands at 2.68, suggesting that OMVKY offers better value relative to its expected earnings growth [5] - OMVKY's P/B ratio is 0.64, compared to XOM's P/B of 1.71, further supporting the argument that OMVKY is undervalued [6] Value Grades - OMVKY has received a Value grade of A, while XOM has a Value grade of C, highlighting OMVKY's superior valuation metrics and earnings outlook [6]

Group 1 - ExxonMobil Corporation has a market capitalization of $457.5 billion, making it one of the largest publicly traded companies globally [1] - The company is positioned as a significant player in the energy sector, particularly in oil and natural gas [1] - Crude Value Insights provides an investment service focused on cash flow and growth prospects in the oil and natural gas industry [1] Group 2 - Subscribers to Crude Value Insights gain access to a 50+ stock model account and in-depth cash flow analyses of exploration and production firms [2] - The service includes live chat discussions about the sector, enhancing community engagement among investors [2] - A two-week free trial is available for new subscribers, promoting engagement with oil and gas investment opportunities [3]

Investment Overview - Exxon Mobil Corporation (XOM) plans to invest $1.5 billion in Nigeria's offshore oil sector to revitalize deepwater production, specifically targeting the Usan oilfield located in offshore block OML 138, approximately 70 kilometers from the coast [1] - The investment is scheduled to be implemented between 2025 and 2027, with a final investment decision (FID) expected by the end of Q3 2025, contingent on the approval of the Field Development Plan and securing necessary financing [2] Usan Oilfield Details - The Usan field was discovered in 2002, approved for development in 2008, and began production in 2012, currently featuring around 34 subsea production and injection wells supported by eight subsea manifolds [3] - The new capital will be utilized to enhance output and improve operational efficiencies at the Usan field [3] Strategic Alignment - The investment aligns with Nigeria's goal to increase crude oil output to 2.4 million barrels per day (bpd) by 2026, as part of the "Project 1 Million Barrels" initiative led by the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) [5] - ExxonMobil is also pursuing the development of other deepwater assets, including the Owowo and Erha fields, as part of a broader strategy to support Nigeria's production targets [4] Industry Challenges - Nigeria's upstream sector has faced challenges such as persistent oil theft and pipeline sabotage, which have led to major operators exiting the country and frequent force majeure declarations at key export terminals [6] - By focusing on deepwater developments, which are less vulnerable to such disruptions, ExxonMobil aims to play a crucial role in Nigeria's efforts to recover lost production volumes [6]

Group 1 - The company emphasizes the importance of growing earnings power and cash flow rather than cutting capital investments, which are essential for long-term value growth [1] - The oil and gas industry is experiencing rising commodity prices and shareholder dividends, but investors must be cautious to avoid purchasing the wrong firms [3] - The platform offers deep dive analysis covering a wide range of companies in the energy sector, including pipelines, renewables, and producers, with a track record of outperforming benchmarks [4]

Core Viewpoint - Exxon Mobil Corporation (XOM) reported first-quarter 2025 earnings that exceeded expectations, driven by higher production from Guyana and the Permian Basin, along with structural cost savings, indicating a strong business outlook [1] Group 1: Q1 Earnings Results - XOM reported earnings per share of $1.76, surpassing the Zacks Consensus Estimate of $1.74, but down from $2.06 a year ago [2] - Total quarterly revenues were $83.13 billion, missing the Zacks Consensus Estimate of $84.15 billion, but slightly up from $83.08 billion year-over-year [2] Group 2: Acquisition and Synergy Estimates - XOM completed the acquisition of Pioneer Natural Resources on May 3, 2024, enhancing its presence in the Permian with 1.4 million net acres and an estimated 16 billion barrels of oil equivalent resource [4] - The average annual synergy from the Pioneer acquisition has been revised upward from approximately $2 billion to over $3 billion [5] Group 3: Future Projects and Cash Flow - XOM is launching 10 advantageous projects this year expected to generate over $3 billion in earnings next year, focusing on premium products and market entry while adhering to budgets [6] - A notable project includes a large chemical plant in China, which was under budget and ahead of schedule, addressing local demand and tariff concerns [8] - These projects aim to increase cash flow by $30 billion by the end of the decade [8] Group 4: Industry Comparison - Chevron and BP, other major integrated energy companies, reported their Q1 results, with Chevron's adjusted earnings per share at $2.18 and BP's at 53 cents, both reflecting challenges in the current market [9][11] Group 5: Stock Performance and Valuation - Despite positive developments, XOM's stock has declined 11.6% over the past six months, underperforming the industry average decline of 10.7% [13] - XOM's stock is currently trading at a 6.52x trailing 12-month EV/EBITDA, which is a premium compared to the industry average of 3.92x, indicating potential overvaluation [18]

Core Viewpoint - The oil market is experiencing turbulence with prices dropping over 15%, impacting many producers but not ExxonMobil, which is well-prepared for such conditions [1][2]. Group 1: Current Market Conditions - Oil prices have fallen significantly, with Brent crude dropping closer to $60 a barrel from a range of $75 to $85 [1]. - The uncertainty in the oil market is causing volatility and raising concerns about slower economic growth, compounded by potential increased OPEC supply [4]. Group 2: ExxonMobil's Preparedness - ExxonMobil has strategically positioned itself to thrive in volatile markets, boasting a low cost of supply, a strong balance sheet, and a lean cost structure [5]. - The company has achieved a 7% net leverage ratio, the best among international oil companies and large-cap industrial firms [5]. - Since 2019, Exxon has reduced structural costs by $12.7 billion, a level unmatched by other international oil companies [5]. Group 3: Long-term Strategy and Investments - Despite short-term uncertainties, ExxonMobil's long-term fundamentals remain strong, with ongoing investments in low-cost oil and gas projects [8]. - The company plans to invest approximately $140 billion into major projects and its Permian Basin development by 2030, expecting to generate $20 billion more in earnings and $30 billion more in cash under constant prices and margins [9]. - Exxon aims to achieve $18 billion in structural cost savings by 2030, with nearly $13 billion already secured [10]. Group 4: Future Outlook - The company is focused on building lower-carbon energy platforms, which will help reduce earnings volatility and generate predictable revenues from long-term contracts [9]. - ExxonMobil's strategy positions it for meaningful earnings and cash flow growth, making it a strong candidate for long-term investment despite market volatility [11].

Core Insights - Exxon Mobil reported $83.13 billion in revenue for Q1 2025, a slight year-over-year increase of 0.1%, but fell short of the Zacks Consensus Estimate by 1.22% [1] - The company's EPS for the quarter was $1.76, compared to $2.06 a year ago, with a surprise of 1.15% over the consensus estimate of $1.74 [1] Financial Performance - Oil-equivalent production per day was 4,551 KBOE/D, slightly below the average estimate of 4,570.89 KBOE/D [4] - Natural gas production available for sale per day in Europe was 331 Mcf/D, below the estimate of 347.38 Mcf/D; in Africa, it was 118 Mcf/D versus 143.66 Mcf/D; and in Asia, it was 3,457 Mcf/D, exceeding the estimate of 3,279.76 Mcf/D [4] - Upstream revenues in the United States reached $7.32 billion, significantly above the estimate of $5.72 billion, marking a year-over-year increase of 234.2% [4] - Upstream revenues from Non-U.S. operations were $3.96 billion, exceeding the estimate of $3.24 billion, with a year-over-year change of 12.3% [4] - Energy Products revenues in the United States were $23.89 billion, slightly below the estimate of $24.43 billion, reflecting a year-over-year decline of 3.7% [4] - Specialty Products revenues from Non-U.S. operations were $3.03 billion, significantly below the estimate of $5.31 billion, with a year-over-year decrease of 4% [4] - Total revenues from sales and other operating revenue were $81.06 billion, below the estimate of $84.12 billion, but showing a year-over-year increase of 0.8% [4] - Other income was reported at $703 million, below the estimate of $831.78 million [4] - Income from equity affiliates was $1.37 billion, exceeding the estimate of $1.17 billion, but reflecting a year-over-year decline of 25.7% [4] - Total revenues from Energy Products were $59.96 billion, below the estimate of $63.39 billion, with a year-over-year decrease of 6.6% [4] Stock Performance - Exxon shares returned +1.8% over the past month, outperforming the Zacks S&P 500 composite's +0.4% change [3] - The stock currently holds a Zacks Rank 3 (Hold), indicating expected performance in line with the broader market in the near term [3]