XOM's Upstream Advantage: The Growth Story Investors Shouldn't Ignore

Core Insights - Exxon Mobil Corporation (XOM) is a leading integrated energy company primarily generating earnings from upstream operations, with a strong presence in the Permian Basin and offshore Guyana, indicating a positive outlook for its upstream business [1] Production and Acquisitions - In the third quarter, ExxonMobil reported record production of 1.7 million oil-equivalent barrels per day and acquired over 80,000 premium acres in the Midland sub-basin from Sinochem Petroleum, enhancing its advantageous asset portfolio [2][6] - The company achieved record production of over 700,000 barrels per day from Guyana, with low breakeven costs allowing it to remain profitable even in declining oil price environments [3] Competitive Landscape - Other companies like Diamondback Energy Inc. (FANG) and ConocoPhillips (COP) also have significant operations in the Permian Basin, with FANG having a drilling inventory that can sustain production for over 10 years, and COP benefiting from resources in the Delaware and Midland basins [4] Financial Performance - XOM shares have increased by 2% over the past year, while the industry composite stocks improved by 6.8% [5][6] - The company trades at a trailing 12-month enterprise value to EBITDA (EV/EBITDA) of 7.53X, which is higher than the industry average of 4.82X [8] Earnings Estimates - The Zacks Consensus Estimate for XOM's 2025 earnings has not seen any revisions in the past week, indicating stability in earnings expectations [10]