XOM Warns of Q4 Upstream Earnings Hit Over Lower Liquids Prices

Core Insights - Exxon Mobil Corporation (XOM) has indicated that the decline in liquids prices may negatively impact upstream earnings by approximately $800 million to $1.2 billion compared to the third quarter [1][8] - Changes in gas prices could lead to a sequential impact ranging from a negative $300 million to a positive $100 million [1][8] - The company anticipates a positive impact of nearly $300 million to $700 million from changes in industry margins for Energy Products, while Specialty Products may contribute up to $200 million in incremental earnings compared to the third quarter [2] - For Chemical Products, a negative impact of $200 million to $400 million is expected due to changes in industry margins compared to Q3 2025 [2] Financial Performance Expectations - The West Texas Intermediate crude price has significantly decreased in 2025 compared to 2024, with current prices trading below $60 per barrel, which is expected to adversely affect the upstream segment and overall fourth-quarter results [3] - The Zacks Consensus Estimate projects XOM to report earnings of $1.63 per share and revenues of $85.13 billion for the fourth quarter [3] Company Ranking and Comparisons - XOM currently holds a Zacks Rank of 3 (Hold) [4] - Top-ranked stocks in the energy sector include Subsea7 S.A. (Rank 1), Oceaneering International (Rank 2), and FuelCell Energy (Rank 2) [4]