ExxonMobil’s stock performance

In the previous part, we discussed ExxonMobil’s (XOM) third-quarter segmental earnings. In this part, we’ll discuss ExxonMobil’s stock performance. ExxonMobil announced its earnings on November 2.

ExxonMobil stock opened at $81.8 per share on November 2—higher than the previous close of $80.7. The rise could be because ExxonMobil’s third-quarter earnings beat Wall Street analysts’ expectation. ExxonMobil stock saw a high of $82.5 and a low of $80.2 during the day. Eventually, the stock closed at $81.9, which was ~1.6% higher than the previous day’s close. ExxonMobil stock rose despite the decline in oil prices and the markets on November 2. ExxonMobil’s peers fell on November 2.

ExxonMobil Stock Rose 2% after Its Third-Quarter Earnings

On the day, the WTI crude oil prices fell 0.9%. The SPDR S&P 500 ETF (SPY), the broader market indicator, fell 0.6% on November 2. Royal Dutch Shell (RDS.A), BP (BP), and Total (TOT) decreased 1.4%, 2.5%, and 0.9%, respectively, on November 2.

ExxonMobil’s third-quarter update

Although ExxonMobil’s earnings beat analysts’ estimates, the company continued its growth and maintenance spending. In the third quarter, ExxonMobil incurred a capex of $6.58 billion—compared to $5.98 billion in the third quarter of 2017. Of the third-quarter capex, $5.33 billion was incurred towards the Upstream segment. In the third quarter, $0.72 billion and $0.53 billion of the capex was incurred towards the Downstream and Chemical segments, respectively.

In the third quarter, ExxonMobil’s Permian Basin production rose 17% sequentially. The company continued to increase its production in the Midland and Delaware basins. Currently, 38 rigs are deployed in the region.

ExxonMobil progressed well on its long-term growth portfolios in Guyana and Brazil. ExxonMobil had it ninth discovery offshore Guyana in the promising Stabroek Block. In the Hammerhead-1 well, ExxonMobil encountered 60 meters of oil-bearing sandstone reservoir. In Brazil, the company won the Titã exploration block, which strengthened its footprint in the region.

Next, we’ll discuss analysts’ ratings for ExxonMobil after its third-quarter earnings.

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