Exxon Flags ~$4.5B Downstream Profit Lift From Stronger Q3 Refining Margins
XOM sits 61% above its 52-week low of $112.51.
Summary
ExxonMobil says stronger Q3 refining margins could add about $4.5 billion to downstream profit versus the prior quarter, a sizable swing for a company that posted $14.5 billion of Q2 net income. The update lands ahead of Q3 results on Oct 30, when the market will see whether the margin tailwind offsets volume losses from the Joliet refinery, where a 50,000 bpd catalytic reformer went offline Oct 20 and the 275,000 bpd plant may restart next week. Separately, the company's 50%-owned Infineum lubricant additives venture is reportedly being pitched for sale around $8 billion, though terms are unverified. Analyst targets average $173.17, below the current $180.59 price near the 52-week high, so the refining beat needs to show up in the Oct 30 print to justify the premium.
At the time of this announcement, XOM was trading at $180.59 on NYSE in the Energy & Transportation sector, with a market capitalization of approximately $753.3B. The 52-week trading range was $112.51 to $183.75. This news item was assessed with positive market sentiment and an importance score of 7 out of 10. Source: Wiseek News.