Susquehanna Remains Bullish on Occidental Petroleum (OXY) Amid Strong Earnings and Production Momentum

Core Viewpoint - Occidental Petroleum Corporation (NYSE:OXY) is experiencing strong performance, with significant hedge fund interest and positive earnings momentum, making it a favorable investment option in the commodity sector [1][2]. Financial Performance - In Q3 2025, Occidental reported production of 1.47 million barrels of oil equivalent per day, exceeding expectations due to record output from the Permian Basin and improved operational uptime in the Gulf of America [3]. - The company achieved $3.2 billion in operating cash flow and $1.5 billion in free cash flow, supported by record Permian production of 800,000 BOE per day [4]. - Quarterly revenue increased to $6.72 billion, up from $6.50 billion in the previous quarter, with adjusted earnings per diluted share reported at $0.64 [5]. Operational Highlights - Occidental expanded its Permian resource base by 2.5 billion BOE, now constituting 70% of its total resources [5]. - The company successfully reduced lease operating expenses to $8.11 per BOE, the lowest since 2021, and repaid $1.3 billion of debt during the quarter [4]. Shareholder Returns - Occidental returned $2.2 billion to shareholders through dividends and buybacks, reflecting a commitment to shareholder value [4]. Future Outlook - The company remains optimistic about future growth, citing enhanced oil recovery, CO2 injection pilots, and Gulf of America waterflood projects as key drivers [5].