Stock Price & Analysis

Based on the provided data and current market conditions, here's a concise analysis for OXY:

Technical Analysis

The stock is currently showing weakness, trading at $50.34 with a -2% decline in energy producers amid broader market gains. The stock has formed a bearish pattern, trading below its 20-day moving average of $50.43.

Fundamental Analysis

Recent Analyst Actions The most recent analyst actions show mixed sentiment:

• Truist Securities maintained Hold rating with PT raised to $58 (Jan 13, 2025)
• Piper Sandler maintained Hold with PT lowered to $51 (Dec 19, 2024)
• Mizuho maintained Hold with PT lowered to $70 (Dec 16, 2024)

Key Challenges

1. Oil Price Pressure: The company faces headwinds from declining oil prices, with crude prices falling more than -2% to a 1-week low.
2. Market Position: OXY's stock has underperformed both the S&P 500 and Energy Select Sector SPDR Fund over the past year.

Positive Factors

1. Upcoming Earnings: Q4 earnings expected on February 18, 2025, with analysts projecting $0.65 per share.
2. Asset Optimization: The company has been divesting non-core assets, raising approximately $1.7 billion.

Conclusion Given the current technical weakness, oil price pressures, and mixed analyst sentiment, selling OXY at current levels appears to be the prudent action. The stock is likely to face continued pressure from broader energy sector challenges and market uncertainty.

Based on the provided data and market context, here is the price prediction for OXY stock in 2025:

OXY stock is expected to reach $57-60 by end of 2025 due to margin optimization initiatives and successful debt reduction efforts. The company's improved drilling efficiency in Permian and DJ basin operations (10-20% cost reduction) combined with strategic asset divestitures should help offset near-term oil price pressures. However, ongoing macro headwinds including China's peak oil demand concerns and potential oversupply risks could limit further upside.

The S1 support level for OXY Stock is $49.72 ,The R1 resistant level for OXY Stock is $52.77.

As of the end of day on 2025-01-24, the price of OXY Stock was $49.25.

The target price for OXY Stock according to analyst rating is 60.67, with the highest price target at 78.00 and the lowest at 51.00. Analysts have a Moderate Buy rating on OXY Stock overall.

The market cap of OXY is $46.3B.

Based on the provided data and context, I'll analyze whether OXY is overvalued.

Valuation Analysis OXY's forward P/E ratio has decreased from 18.66 to 14.09 over the past three quarters, showing improving valuation metrics. The EV/EBITDA ratio has also improved from 6.83 to 6.35, indicating better operational efficiency.

Operational Performance The company's gross margin expanded from 32.47% to 38.25% over recent quarters, demonstrating improved operational efficiency. However, net margin declined slightly from 17.16% to 15.89%, suggesting some pressure on bottom-line profitability.

Analyst Sentiment Recent analyst actions show mixed sentiment. Truist Securities raised their price target from $56 to $58, while maintaining a Hold rating. The median analyst price target suggests a potential upside of around 10-15% from current levels.

Balance Sheet Strength The debt-to-equity ratio increased from 63.77% to 76.24%, indicating higher leverage. However, the company maintains adequate liquidity with a current ratio around 1.0.

Conclusion Based on these metrics, OXY is not overvalued at current levels. The declining forward P/E ratio, improving operational margins, and reasonable EV/EBITDA multiple suggest fair valuation, especially considering the company's improving operational efficiency despite some margin pressures.

Occidental Petroleum Corporation is an international energy company with assets primarily in the United States, the Middle East, and North Africa. The Company is an oil and gas producer in the United States, including a producer in the Permian and DJ basins, and the offshore Gulf of Mexico. It operates through three segments: oil and gas, chemical and midstream and marketing. The oil and gas segment explores for, develops, and produces oil (which includes condensate), natural gas liquids (NGL) and natural gas. The chemical segment primarily manufactures and markets basic chemicals and vinyls. The midstream and marketing segment purchases, markets, gathers, processes, transports, and stores oil (which includes condensate), NGL, natural gas, carbon dioxide (CO2) and power. The midstream and marketing segment provides flow assurance and maximizes the value of its oil and gas. It also optimizes its transportation and storage capacity and invests in entities that conduct similar activities.

Based on the provided data and market analysis, here is the price prediction for OXY stock by 2030:

OXY stock is projected to reach approximately $75-80 per share by 2030, driven by the company's successful margin optimization initiatives and strategic acquisitions like CrownRock. However, near-term headwinds including potential oil price pressures and global demand concerns could create volatility through 2025-2026 [1,4]. The company's focus on cost reduction and operational efficiency improvements, which have already expanded operating margins by 328 basis points since Q1 2023, will help support long-term value creation.

OXY has a total of 12570 employees.