Chevron (CVX) Expected to Beat Earnings Estimates: Should You Buy?

Core Viewpoint - The market anticipates a year-over-year decline in Chevron's earnings due to lower revenues, with actual results being crucial for stock price movement [1][2]. Earnings Expectations - Chevron is expected to report quarterly earnings of $1.66 per share, reflecting a year-over-year decrease of 34.9% [3]. - Revenue projections stand at $47.12 billion, down 7.9% from the same quarter last year [3]. Estimate Revisions - The consensus EPS estimate has been revised 14.39% higher in the last 30 days, indicating a positive reassessment by analysts [4]. - A positive Earnings ESP of +3.63% suggests analysts have recently become more optimistic about Chevron's earnings prospects [12]. Earnings Surprise Prediction - The Zacks Earnings ESP model indicates that a positive reading is a strong predictor of an earnings beat, especially when combined with a Zacks Rank of 1, 2, or 3 [10]. - Chevron currently holds a Zacks Rank of 3, indicating a likelihood of beating the consensus EPS estimate [12]. Historical Performance - In the last reported quarter, Chevron exceeded the expected earnings of $2.15 per share by posting $2.18, resulting in a surprise of +1.40% [13]. - Over the past four quarters, Chevron has beaten consensus EPS estimates two times [14]. Conclusion - While Chevron is positioned as a compelling earnings-beat candidate, other factors may also influence stock performance beyond just earnings results [15][17].