Exxon Mobil Stock Tumbles 1.91% Amid Mixed Expectations and Missed Earnings

Technical Analysis

Exxon Mobil Corporation (XOM) ended its trading day on October 27, 2023, with a closing price of $105.55, marking a decrease of -1.91% or -$2.05. The stock's price oscillated between a low of $104.96 and a high of $109.86 for the day. Year-to-date, the stock has reached a peak of $120.7 and a low of $98.02.

The company's market capitalization stands at $418.29 billion with shares outstanding at approximately 3.96 billion. The trading volume for the day was slightly higher than average at around 19.82 million shares compared to the average volume of 17.30 million shares.

The stock is trading below its 50-day moving average of $112.38 and its 200-day moving average of $109.88. The 14-day Relative Strength Index (RSI) currently sits at 36, indicating neither overbought nor oversold conditions. However, it leans towards the oversold territory. MACD, a momentum oscillator, shows a negative trend over the past three months at -3.19.

Exxon Mobil Corporation has a support line at $105.29 and resistance at $106.47. Its Average True Range (ATR), which measures market volatility, is 2.5.

Fundamental Analysis

Exxon Mobil has a trailing twelve-month earnings per share of $12.5 and a Price/Earnings ratio of 8.44, signifying a respectable earning performance. However, recent news reveals that Exxon Mobil did not meet analyst estimates for Q3 2023, thereby raising possible concerns regarding its immediate future performance.

Regarding the future expectations of the stock, the target high is set at $143 and target low at $46, providing a wide range of potential outcomes. The consensus target stands at $106.92 and the median at $115.5 indicating the market's mixed expectations towards the stock's performance.

The news of Exon Mobil restarting its coker at its Baton Rouge, Louisiana refinery establishes recovering operations, potentially having a positive influence on the company's performance. Additionally, despite missing Q3 earnings estimates, a revenue increase of 9.5% from the last quarter led to a rise in the company's stock price, signifying robust revenue potential.

Exxon Mobil's history of increasing shareholder returns, (with 41 consecutive years of dividend increases and significant share buybacks), offers a positive outlook for dividend investors.

Price targets set by analysts combined with 'Buy' recommendations from 13 analysts and 'Hold' from 9 analysts indicate a favorable market sentiment towards the stock, with consensus leaning towards a 'Buy'.

Stock prediction and evaluation

For the upcoming trading day on October 30, 2023, Exxon Mobil's stock performance is inclined towards a bearish pattern considering the ongoing downward price movement. The trading session's end might see the stock trading at or around the defined $105.29 support line.

In the upcoming week, factors including operational recovery, dividend history, and revenue growth may induce some upward pressure on the stock price. However, the recent miss on earning estimates and high market volatility reflected by a substantial ATR might cause fluctuations. Given current parameters, the stock might follow a slightly bullish trajectory towards its resistance at $106.47.

Exxon Mobil Corporation presently holds a 'Buy' rating. The recommendation is driven by its enduring dividend history, recent surge in revenue, and the consensus of 13 out of 22 analysts recommending a 'Buy'. However, investors should also consider the bearish trading pattern, as well as the potential impact of the missed earnings report before making a decision. Investors should consider their risk tolerance, investment horizon, and thoroughly research Exxon Mobil's financial position and market conditions before investing.