ExxonMobil Posts Third Straight Quarterly Loss But Seeing Early Demand Recovery


Goldman Sachs Exxon Mobil Analyst: Neil Mehta Upgrades XOM from Neutral to Buy and raised the price target from $42 to $52
On Improving Oil Demand Outlook, Valuation[/b]

Poised to benefit as oil demand recovers to pre-COVID-19 levels in the coming years, and the risks are already priced into the stock, according to Goldman Sachs.

The Exxon Mobil Thesis:

The company’s capital spending outlook has been meaningfully reduced from $30-$35 billion to $17-$19 billion in 2021 and $20-$25 billion from 2022 through 2025, Mehta said in the upgrade note.

“Relative to peers focusing on harvesting FCF generation, XOM has been more focused on growth investments across its Upstream, Refining and Chemicals businesses,” the analyst said.