Stock Price & Analysis

Buy OXY stock as it has a 22.93% upside potential based on analyst targets and positive insider activity. Sell OXY stock if you are risk-averse due to high debt levels and near-term uncertainty in oil prices.

OXY stock is predicted to reach $62 in 2025, driven by positive analyst sentiment, increased drilling opportunities, and strong cash flow from recent acquisitions. Analysts have set an average target price of $58.96, with some expecting up to $64. Recent expansions in oil and gas drilling and Berkshire Hathaway's increased stake further support this outlook.

The S1 support level for OXY Stock is $47.53 ,The R1 resistant level for OXY Stock is $50.05.

As of the end of day on 2025-04-01, the price of OXY Stock was $49.21.

The target price for OXY Stock according to analyst rating is 58.11, with the highest price target at 77.00 and the lowest at 45.00. Analysts have a Hold rating on OXY Stock overall.

The market cap of OXY is $46.2B.

Analysis and Insights

Valuation Metrics:

• P/E Ratio: OXY's P/E ratio of 19.04 is higher than the industry average, indicating potential overvaluation compared to peers.
• EV/EBITDA: The EV/EBITDA ratio of 6.09 suggests a premium valuation, which may not be justified by its current earnings growth.
• Price/Sales (PS): The PS ratio of 2.3 reflects moderate valuation, though it is slightly above historical averages for energy stocks.
• Price/Book (PB): The PB ratio of 1.77 is relatively low, indicating that the stock may still offer some value.

Market Sentiment and Analyst Ratings:

• Analyst Consensus: OXY has a mixed analyst consensus, with a Hold rating from Barclays and Citi, while Raymond James maintains a Buy rating. The average analyst target price of $58.96 implies a 22.93% upside from current levels.
• Insider Activity: Positive insider sentiment, with increased buying activity, including a significant purchase by Berkshire Hathaway, suggests confidence in the stock's potential.

Recent News and Events:

• Drilling Expansion: The Trump administration's plan to expand oil and gas drilling in Alaska is expected to benefit OXY, potentially increasing its reserves and revenue.
• Market Trends: The overall U.S. market appears overvalued, with the Buffett Indicator and P/E Model suggesting caution. However, OXY's exposure to expanded drilling opportunities could offset some valuation concerns.

Conclusion:

While OXY's valuation metrics like P/E and EV/EBITDA suggest it may be slightly overvalued, the positive insider activity and potential upside from analyst targets indicate that the stock is not significantly overpriced. The expansion of drilling opportunities further supports its growth potential, making it a moderate-risk investment.

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.

OXY stock is predicted to reach $80 to $100 by 2030, driven by potential oil price stability and debt reduction efforts. Analysts expect moderate growth despite near-term headwinds.

OXY has a total of 12570 employees.