Occidental Petroleum Could Hike Its Dividend - Price Target is At Least 21% Higher

Core Viewpoint - Occidental Petroleum (OXY) is expected to increase its dividend next quarter, potentially raising it to at least $1.00 per share, which would result in a prospective yield of 2.42% [1][4]. Dividend Information - The current dividend per share (DPS) is 24 cents per quarter, totaling 96 cents annually, leading to an annual yield of 2.32% at the current stock price of $41.34 [3]. - If OXY raises the annual DPS to $1.00, this would represent a 4.2% increase and yield 2.42% based on the current stock price [4]. Stock Valuation - Over the past five years, OXY has had an average yield of 1.29%, suggesting a potential price target of $77.52, indicating an upside of 87.5% from the current price [5]. - A conservative estimate based on the last two years' average yield of 2.025% suggests a price target of $50.00, representing a 21% increase from the current price [5]. Analyst Consensus - The average price target for OXY from 25 analysts is $50.42 per share, closely aligning with the calculated price target [7]. - Barchart's mean price target for OXY is $49.64 per share, further supporting the view that the stock is undervalued [7].