Is Exxon Mobil's Growth Potential Priced In? This Analyst Examines Valuation Amid Operational Improvements
Portfolio Pulse from Nabaparna Bhattacharya
RBC Capital Markets analyst Biraj Borkhataria reiterated a Sector Perform rating on Exxon Mobil Corporation (NYSE:XOM) with a price target of $120. The analyst noted that Exxon's investments in refining capacity are starting to yield results and could drive $10 billion in earnings growth by 2027. However, the analyst believes that some of the growth potential is already reflected in the current share price and sees better value elsewhere in the sector.
September 21, 2023 | 7:23 pm
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Exxon Mobil's investments in refining capacity could drive significant earnings growth by 2027, but this potential may already be reflected in the current share price.
The analyst from RBC Capital Markets believes that Exxon Mobil's growth potential is already priced into the current share price. This suggests that while the company's prospects are positive, there may not be significant upside potential for the stock in the short term.
CONFIDENCE 85
IMPORTANCE 75
RELEVANCE 100