XOM - Exxon Mobil Corporation
72.77 -0.05 (-0.07%)
After hours: 6:25PM EDT
| Previous Close | 73.17 |
| Open | 72.65 |
| Bid | 72.77 x 1300 |
| Ask | 72.82 x 900 |
| Day's Range | 72.33 - 72.97 |
| 52 Week Range | 64.65 - 87.36 |
| Volume | 6,801,530 |
| Avg. Volume | 10,967,206 |
| Market Cap | 308.109B |
| Beta (3Y Monthly) | 1.21 |
| PE Ratio (TTM) | 17.55 |
| EPS (TTM) | 4.15 |
| Earnings Date | Oct 31, 2019 - Nov 4, 2019 |
| Forward Dividend & Yield | 3.48 (4.76%) |
| Ex-Dividend Date | 2019-08-12 |
| 1y Target Est | 80.59 |
- Zacks
Permian Oil Production Growth to Continue: 5 Stocks in Focus
Production from the Permian Basin of Texas and New Mexico is set to climb by 71,000 barrels per day to a record of about 4.485 million barrels per day in October.
- GuruFocus.com
6 Large-Cap Stocks With High Dividend Yields
Exxon Mobil tops the list Continue reading...
- Zacks
Stock Market News For Sep 18, 2019
Benchmarks closed in the positive territory on Tuesday as crude oil prices dropped as impact on Saudi Aramco???s attack faded.
- InvestorPlace
Exxon Stock Offers a Safe and High-Yielding Dividend
Exxon Mobil (NYSE:XOM) stock hasn't exactly been a barn-burner this year, up only 7%. Much of its recent gains came from the recent spike in oil prices due to the Saudi oil field attacks.Source: Michael Gordon / Shutterstock.com This conflict is good for XOM stock. Most of its earnings come from its upstream operations -- selling oil and gas it discovers in the U.S. and abroad. For example, $3.26 billion of Exxon's $3.13 billion in total earnings this past quarter came from upstream earnings. Its downstream and chemical earnings just covered up corporate level losses.In effect, higher oil and gas prices will lead to higher Exxon Mobil cash flow. XOM stock will do well if the prices of oil and gas remain high over the next year.InvestorPlace - Stock Market News, Stock Advice & Trading TipsFor example, the West Texas Intermediate spot price is still down almost 15% in the past year. This is after the 15% spike on Sept. 16 and subsequent 5% fall the next day. So, in effect, Exxon stock will do well if the tension stays high in the Middle East.But even if this scenario does not last, Exxon Mobil will continue to produce massive amounts of cash flow. In the first half of 2019, Exxon produced $14.4 billion of what it calls "Cash Flow from Operations and Asset Sales." * 7 CBD Stocks to Buy That Are Still Worth Your Investment Dollars This is more than enough to cover the dividends XOM stock pays. Exxon's dividends cost only $7.2 billion in the first half. This is 50% of the Cash Flow from Operations and Asset Sales. What to Expect With XOM StockExxon stock's 4.7% dividend yield is well covered by cash flow. The dividend also acts as a huge buffer for XOM stock on the downside. The market cannot keep a stock like XOM down when investors know its large dividend will not be cut.Moreover, the investments Exxon has made in oil and gas ventures will continue to produce massive cash flow. That will allow Exxon to raise the dividend in the future. For example, it recently increased its quarterly dividend from 82 cents per share to 87 cents this year, a 6% increase. In the past five years, Exxon's dividend per share has grown at a rate of 5.6% annually.But what about the upside for XOM stock? Upside Oil VolatilityThe U.S. still needs to import oil from outside its borders despite the increase in internal production in the past few years. Most of its imports come from Canada and Saudi Arabia.CNBC reported recently that the Saudi strike took out just 5% of world production, although its production fell 50%. It pointed out a Goldman Sachs report that if the outage lasted more than six weeks the price would rise significantly. The same would happen if there is a military escalation as a result - oil prices would go much higher.As you might suspect, this would be mostly good for Exxon stock, as most of its earnings come from upstream operations. Higher oil prices would result in higher cash flow to Exxon.Exxon Mobil does not have any upstream oil and gas production in Saudi Arabia, according to its latest 10-K annual report. However, Exxon does have one downstream operation in Saudi Arabia. This represents just 200 of its global 4,724 KBD (thousands of barrels per day) in oil and gas production. Exxon also two chemical plants in Saudi Arabia. These are no more than about 35% of its total chemical production. Therefore if the conflict widens militarily, Exxon's would oil and gas production would not be crippled. Bottom Line on Exxon Mobil StockExxon stock will benefit over the long term if oil and gas prices rise or supplies get caught up in a conflict. The dividend looks to be not only safe but will likely increase 5% to 6% annually. Exxon Mobil's cash flow more than covers its dividend expenses.Investors should look at Exxon stock as a safe, high-dividend-yield play in the energy sector. It could benefit greatly from an elevated oil and gas price rise over the next year.As of this writing, Mark Hake, CFA does not hold a position in any of the aforementioned securities. Mark Hake runs the Total Yield Value Guide which you can review here. The Guide focuses on high total yield value stocks and was launched on August 30. Subscribers during September receive a 20% discount, plus a two-week free trial. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 7 CBD Stocks to Buy That Are Still Worth Your Investment Dollars * 5 Stocks to Buy With Great Charts * 5 Goldman Sachs Stocks to Buy with Over 20% Upside Potential The post Exxon Stock Offers a Safe and High-Yielding Dividend appeared first on InvestorPlace.
- Rigzone.com
Exxon Again Looks to Sell Australia Assets
Exxon Mobil Corp. is again trying to sell its oil and gas operations in southeast Australia as part of a move to shed assets and boost shareholder returns.
- Investopedia
Quiet Market Shows Frayed Nerves Ahead of Fed Statement
A narrow trading range combined with an increase in the volatility index as investors appear poised to move money from stocks to bonds.
- InvestorPlace
Dow Jones Today: Oil Slides, Investors Wait on Fed
Nearly as rapidly as oil prices spiked Monday, they violently retreated Tuesday amid talk that Saudi Arabia will be able to restore production from weekend drone strikes faster than was previously expected.Source: rafapress / Shutterstock.com Oil stood in the way of market upside yesterday and the commodity's Tuesday tumble did not provide much in the way of relief, indicating that many market participants are taking a wait-and-see approach to what comes out of the Federal Reserve meeting Wednesday. * 7 Momentum Stocks to Buy On the Dip Even before the rate cut news, the Fed was making headlines today, stepping into the repo market by buying $53.2 billion in securities to ease a sudden spike in short-term interest rates.InvestorPlace - Stock Market News, Stock Advice & Trading Tips"The turmoil in the repo market caused a key benchmark for policy makers -- known as the effective fed funds rate -- to jump to 2.25%, an increase that, if left unchecked, could have started impacting broader borrowing costs in the economy," according to Bloomberg.Regarding the Fed's plans for interest rates, it appears likely that a rate cut of 25 basis points will be unveiled tomorrow, but after that, the central bank could be on pause for the rest of this year.With that in mind, traders pushed the Nasdaq Composite higher by 0.40% while the S&P 500 rose by 0.26%. The Dow Jones Industrial Average added 0.13%. In late trading, just 12 of the Dow's components were pointed higher and just four of those names were up 1% or more. Trade TalkWhat was surprising about the logy performances notched by stocks today was that President Donald Trump made some encouraging comments about the potential for a trade deal with China. Perhaps it was the broad time frame that the president gave that kept stocks from rallying. Aboard Air Force One heading to California, Trump told members of the media that a trade deal could happen soon or around the time of the 2020 election.That broad timeline wasn't enough to really jolt tariff-sensitive Dow stocks higher. For example, Apple (NASDAQ:AAPL) and Nike (NYSE:NKE) were sporting negligible gains in late trading, and most of the rest of the day's Dow winners were either defensive stocks or companies that are not heavily dependent on China as a source of revenue.Speaking of China, there was some good news on that front for at least one Dow component today. Boeing (NYSE:BA) was the blue chip index's leader, gaining about 1%, after the aerospace giant boosted its China demand forecast.The company said it expects China to purchase 8,090 passenger jets through 2038, up from a prior forecast of 7,690 planes through 2037. Those new orders will also be a boon to Boeing's services business, which is becoming an important driver of top- and bottom-line growth for the firm. Dow OffendersUnfortunately, Tuesday's Dow offenders is larger than we'd like to see. Exxon Mobil (NYSE:XOM) and Chevron (NYSE:CVX) can be excused due to the aforementioned drop in oil prices.Home Depot (NYSE:HD) lost about half a percent after Guggenheim analyst Steven Forbes cut his rating on the home improvement retailer to "neutral" from "buy." Forbes said the company's current investment initiatives could pay off over the long run, but over short-term, those spending plans could crimp margins."Bottom line, we find it difficult to see a path to earnings before interest and taxes margin expansion in 2020 as both a) investment spending and b) the associated D&A drag are poised to ramp," said the analyst.In what is likely a case of profit taking after major run high, Caterpillar (NYSE:CAT) traded lower today after entering the day with a gain of more than 15% over the past month. The machinery maker has been highlighted as one of the names that could benefit from higher oil prices, so that factor was at play to the downside. Bottom Line on Dow Jones TodayToday's market action wasn't all that surprising when considering the backdrop riskier assets are contending with. The pullback in oil prices could be a positive because there's always a sweet spot for oil companies and consumers. High gas prices could pinch consumer spending, something that would be a detriment to the broad economy, so today's oil retreat is, in a broader context, a positive.The Fed probably obliges with a rate cut tomorrow, but the devil will be in the details regarding how many more times this year the central bank will ease. If the tone isn't to investors' liking, riskier assets could be roiled.Todd Shriber does not own any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 7 Momentum Stocks to Buy On the Dip * 7 Dow Titans Breaking Higher * 5 Growth Stocks to Sell as Rates Move Higher The post Dow Jones Today: Oil Slides, Investors Wait on Fed appeared first on InvestorPlace.
- Zacks
Oil & Gas Stock Roundup: Energy Transfer's Acquisition, ExxonMobil's Guyana Oil Find & More
Midstream biggie Energy Transfer (ET) said on Monday it would buy SemGroup (SEMG) for $5.1 billion. Meanwhile, supermajor ExxonMobil (XOM) confirmed its 14th oil discovery off the coast of Guyana.
- Market Realist
BP Stock: Should You Buy It Now?
BP (BP) stock rose 3.9% on Monday due to higher oil prices. The drone attack on Saudi Arabia’s oilfield increased WTI crude oil by about 13%.
- Bloomberg
Will Purdue’s Bankruptcy Engulf Its Owners?
(Bloomberg Opinion) -- The bankruptcy of Purdue Pharma LP lays bare a distinction that the internet is making it more and more difficult to maintain: that between a company and the people who own or founded it.The Sackler family owns Purdue Pharma, the maker of the opioid OxyContin, which has contributed to a crisis that has resulted in the deaths of hundreds of thousands of Americans. There are numerous charges and more than 2,000 lawsuits against the company and its owners, and some recent joint settlements. The company has now declared bankruptcy, and wants to give control of Purdue to a trust run by the states, cities and counties that have filed suit against it.But what about the personal fortune of the Sacklers, estimated at $13 billion or more? Under traditional corporate theory, there is a clear distinction between the assets of the corporation and those of the owners. The limited liability company can go under, but the assets of the company owners are safe — just as, say, holding shares of Volkswagen in your mutual fund did not expose you to any personal liability for the automaker’s actions in falsifying emissions data.It turns out that this distinction is harder to uphold, if only in the eyes of the public, when a single family owns and runs a company. Last week New York State alleged that the Sackler family drained at least $1 billion from Purdue for the purpose of avoiding penalties against the corporation and thus shielding its wealth. If it looks like the Sackler family was trying to avoid legal penalties and fines, there will be strong political pressure, possibly backed by public opinion, to go after those additional funds.More generally, if a company is endangered by lawsuits, and the suits are not settled, its owners have a rationale to extract money from the company and stash it far away. But doing so will elicit a legal and public response, and the distinction between the personal and the corporate will not always be respected.Consider the Federal Trade Commission’s recent settlement with Facebook, under which some of founder Mark Zuckerberg’s personal assets are potentially on the line if Facebook does not respect its privacy agreements with the federal government. Some FTC commissioners suggested harsher treatment yet for Zuckerberg’s personal assets.Or, to give another example, Senator Elizabeth Warren has been promoting the notion of personal criminal liability for corporate CEOs if the firms engage in wrongdoing. Her bill would extend corporate liability beyond the company itself, and of course most CEOs of major companies are also shareholders to some extent. Maybe the goal is to punish these individuals in their roles as executives rather than as shareholders. But such penalties would blur these distinctions in the mind of the public — and eventually, perhaps, under the law.So how does the internet matter in all this? First, social media is very effective at drumming up outrage, and negative news seems to have a longer lifespan than positive news. The media’s pre-existing negative bias has been amplified, creating further animosity against any actual or supposed corporate villain.More important, social media personalizes agency — in effect, making it easier to accuse particular individuals of wrongdoing. Mark Zuckerberg, Jeff Bezos, and the Koch brothers all have images or iconic photos that can be put into a social media post, amplifying any attack on their respective companies. It is harder to vilify Exxon, in part because hardly anyone can name its CEO (Darren Woods, since 2017), who in any case did not create the current version of the company. Putting the Exxon logo on your vituperative social media post just doesn’t have the same impact. With Bill Gates having stepped down as Microsoft CEO in 2000, it is harder to vilify that company as well.This personalization of corporate evil has become a bigger issue in part because many prominent tech companies are currently led by their founders, and also because the number of publicly traded companies has been falling, which means there are fewer truly anonymous corporations. It’s not hard to imagine a future in which the most important decision a new company makes is how personalized it wants to be. A well-known founder can spark interest in the company and its products, and help to attract talent. At the same time, a personalized company is potentially a much greater target.The more human identities and feelings are part of the equation, however, the harder it will be to keep the classic distinction between a corporation and its owners. As the era of personalization evolves, it will inevitably engulf that most impersonal of entities — the corporation.(Corrects second paragraph to say that hundreds of thousands of deaths have resulted from the opioid crisis, not the opioid OxyContin, in article published Sept. 16.)To contact the author of this story: Tyler Cowen at tcowen2@bloomberg.netTo contact the editor responsible for this story: Michael Newman at mnewman43@bloomberg.netThis column does not necessarily reflect the opinion of the editorial board or Bloomberg LP and its owners.Tyler Cowen is a Bloomberg Opinion columnist. He is a professor of economics at George Mason University and writes for the blog Marginal Revolution. His books include "Big Business: A Love Letter to an American Anti-Hero."For more articles like this, please visit us at bloomberg.com/opinion©2019 Bloomberg L.P.
- Reuters
CEO of Canada's Imperial Oil to retire, successor named
Imperial Oil Ltd's chief executive officer, Rich Kruger, will retire in December after being at the helm since 2013, the Canadian oil sands producer said on Tuesday. The Calgary-based company, majority-owned by Exxon Mobil Corp , named Brad Corson as his successor. Corson, an Exxon veteran who joined the U.S. oil major in 1983, will assume the role of president immediately and become chairman and CEO after Kruger's departure.
- Zacks
Energy Transfer Boosts Midstream Services Via SemGroup Buyout
Energy Transfer's (ET) acquisition of SemGroup will make it a stronger midstream service provider in the United States.
- Zacks
ExxonMobil Strikes Oil Offshore Guyana for the 14th Time
ExxonMobil's (XOM) Tripletail-1 well, which is drilled at a depth of 2,003 meters of water, is located about five kilometers northeast of the Longtail discovery.
- InvestorPlace
Tuesday’s Vital Data: Halliburton, Exxon Mobil and American Airlines
U.S. stock futures are trading lower as investors prepare for the next Federal Reserve rate decision. The market is currently pricing in a 64% probability of a quarter-point rate cut during tomorrow's meeting. The current target rate is 2% to 2.25%.Source: Shutterstock Ahead of the bell, futures on the Dow Jones Industrial Average are down 0.27%, and S&P 500 futures are lower by 0.20%. Nasdaq-100 futures have shed 0.16%.Trading in the options pits has been remarkably consistent of late with call volume leading the way every single day. Once again, traders favored calls pushing total volume north of 21.5 million. Put volume, meanwhile, climbed to 16.2 million matching recent average levels.InvestorPlace - Stock Market News, Stock Advice & Trading TipsThe distance between calls and puts narrowed at the CBOE, however, with the single-session equity put/call volume ratio jumping to a two-week high at 0.68. The rise wasn't enough to halt the ongoing decline in the 10-day moving average, though. It fell to another two-month low at 0.61.Options traders swarmed energy stocks Monday. Halliburton (NYSE:HAL) and Exxon Mobil (NYSE:XOM) were two of the largest players among the top four. American Airlines (NYSE:AAL) fell 7.3% on its highest volume session since January.Let's take a closer look: Halliburton (HAL)Surging oil prices set the tone Monday. And energy stocks were the biggest beneficiary. Traders pushed aggressively into Halliburton shares throughout the session, creating its highest volume session in four years, with over 36.5 million shares traded. * 10 Recession-Resistant Services Stocks to Buy The one-day 11% rally provided a much-needed boost to HAL stock, powering it above its 50-day moving average and a key descending trendline. While much work remains before its intermediate- and long-term trends turn higher, the rapid turnabout is beckoning to bottoming fishers.The energy sector is one of the only areas that has wholly sat out the latest stage of the bull market. Traders can use the 200-day moving average near $26 as HAL stock's next target.On the options trading front, traders came after calls with a vengeance. Activity ballooned to 530% of the average daily volume, with 125,386 total contracts traded; 82% of the trading came from call options alone.The increased demand drove implied volatility higher on the day to 49% placing it at the 75th percentile of its one-year range. With premiums now juiced, short options strategies are the way to go. I like naked puts into weakness if you believe HAL could be bottoming. Exxon Mobil (XOM)As the king of the oil field, Exxon Mobil was an obvious target for traders chasing energy stocks. However, it's behavior was far less bullish or exciting than that seen in the smaller names. While many companies saw their shares gap and run (a breakaway gap), XOM stock was sold aggressively right at the open and gave back about half of its gains.It finished the day only up 2.3%. Perhaps the trouble lied with the location of its gap. XOM jumped directly into the 200-day moving average, which has had a history of rejecting its prior rally attempts. The stock had already run ahead of the gap, so maybe this was a case of running too far too fast. Whatever the reason, XOM stock will need some backing and filling before mustering the strength to take out the 200-day.The options trading mirrored Halliburton's with calls dominating the day. Total activity zoomed to 413% of the average daily volume, with 125,482 contracts traded. Calls added 84% to the session's sum.Implied volatility rallied on the day but remains low at 22% or the 25th percentile of its one-year range. Premiums are pricing in daily moves of $1.01 or 1.4%. American Airlines (AAL)The perception that higher oil prices are a headwind for airlines was on full display. While energy stocks soared, airlines soured. American Airlines dropped 7.3% amid massive distribution giving back all of last week's gains in a single session. * 7 Momentum Stocks to Buy On the Dip AAL stock was making strides, pushing above its 50-day moving average and turning its short-term trend higher. Unfortunately, Monday unwound it all, pushing the chart back into bearish territory. Until $30 can be reclaimed, bulls should probably shop elsewhere.On the options trading front, calls outpaced puts despite the thrashing. Activity climbed to 241% of the average daily volume, with 95,155 total contracts traded. Calls accounted for 61% of the day's tally.Implied volatility rose to 41% or the 31st percentile of its one-year range. Premiums are now pricing in daily moves of 71 cents or 2.6%.As of this writing, Tyler Craig didn't hold a position in any of the aforementioned securities. Check out his recently released Bear Market Survival Guide to learn how to defend your portfolio against market volatility. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 7 Momentum Stocks to Buy On the Dip * 7 Dow Titans Breaking Higher * 5 Growth Stocks to Sell as Rates Move Higher The post Tuesday's Vital Data: Halliburton, Exxon Mobil and American Airlines appeared first on InvestorPlace.
- Investing.com
Stocks - U.S. Futures Slip as Geopolitical Risk, Fed Eyed
Investing.com - U.S. futures were slightly lower on Tuesday as heightened geopolitical risk and fading hopes for an interest rate cut from the Federal Reserve weighed on sentiment.
- Zacks
Exxon Mobil (XOM) Gains As Market Dips: What You Should Know
Exxon Mobil (XOM) closed the most recent trading day at $73.73, moving +1.5% from the previous trading session.
- ETF Trends
What’s Going On With The ESG Explosion
During CNBC's "ETF Edge" segment on Monday, host Bob Pisani explored more of what Environmental, Social, and Governance (ESG) represents. It involves looking for companies meeting positive standards or corporate responsibility, but there was more to look into during the segment, with help from Luke Oliver, Head of Index Investing, Americas, at DWS. As DWS has its own suite of ESG ETFs, Oliver was able to add to the conversation concerning environmental and socially responsible ETFs involving various companies.
- InvestorPlace
Stock Market Today: Crude Oil Rockets; Now What?
Oil prices are exploding higher on the day, with crude oil up 13% from its close on Friday. That obviously made big headlines in the stock market today, but it's not propelling energy stocks higher in the manner that many had expected.By now, many of you have likely read about the background story. For those that haven't, this is the short-but-sweet scoop. A drone strike rattled Saudi Arabia over the weekend, forcing the country to cut its oil production in half.InvestorPlace - Stock Market News, Stock Advice & Trading TipsThe move is equivalent to about 5 million barrels per day, or roughly 5% of the world's daily production.Here's where things get tricky though. Reports say that the production cut is mostly a precautionary measure and that most of that output should be back online within 48 hours.At first, many believed the attack was carried about Yemen's Houthi rebels. Now it is alleged that Iran is behind the attack, which would significantly ratchet up tensions in the Middle East and potentially implicate a response from other nations outside of it (including the United States). Oil's Big ImplicationsNow you know the backstory on why oil prices are surging. But the implications are incredibly far reaching. * 7 Tech Stocks You Should Avoid Now First, where can oil prices go? Let's keep one thing in mind: Oil prices are back to where they were in June. We're still notably away from the April highs and down significantly year-over-year. So while some may suggest that there's enough supply in the market to keep a lid on oil prices, the charts suggest there could easily be more upside.Impacting supply is a few different factors. The first, can Saudi Arabia actually get a majority of production back online in as little as two days, or is it a save-face move ahead of the eventual Saudi Aramco IPO? Second, will the U.S. and other oil-rich nations make up the difference? While 5 million barrels per day is admittedly a lot of oil, between the rest of the Organization of Petroleum Exporting Countries and the U.S., it seems like most of this deficit could be covered.Will President Donald Trump help eradicate a shortage in supply? He seems eager to, tweeting about tapping into the country's strategic oil reserves and fast-tracking pipeline permits. Lastly, will conflicts be ongoing and will tensions remain high in the Middle East? If the answer is yes, then not only are future supply disruptions possible, but energy investors will price in a risk premium to the oil market.Should we see a big spike in oil prices that sustains for months on end, that may have negative implications going into the fourth quarter and holiday seasons. The last thing consumers need -- both here in the U.S. and globally -- is a substantial rise in gas prices that persists into 2020.Finally, a bulk of Saudi Arabia's production goes to Asia. What implications could that have on China's economy, which is already feeling pressure from the trade war? Energy Stocks Make Big MovesSo far, the spike in oil has had a hit-and-miss impact on the energy sector. The Energy Select Sector SPDR Fund (NYSEARCA:XLE) climbed "just" 3.4% on the day. However, the VanEck Vectors Oil Services ETF (NYSEARCA:OIH) jumped 8.6% in the stock market today.Exxon Mobil (NYSE:XOM), which makes up 23% of the XLE, climbed a lackluster 1.5% on the day. Chevron (NYSE:CVX) makes up 22% of the ETF and jumped just over 2%. It's becoming clear why the XLE showed such little life on the day now.Others were more pronounced, though. Schlumberger (NYSE:SLB) jumped 5.3%, while Halliburton (NYSE:HAL) climbed almost 11% on the day. These are the top two holdings in the OIH, by the way.Occidental Petroleum (NYSE:OXY), BP (NYSE:BP) and Pioneer Natural Resources (NYSE:PXD) climbed 6%, 3.9% and 6.5%, respectively.Let's see if we can get more follow through in energy stocks this week, and what oil prices do over the next few days and weeks. Movers in the Stock Market TodayIt wasn't just energy stocks posting big moves on the day. General Motors (NYSE:GM) fell more than 4% after the United Automobile Workers, comprising 50,000 members, went on a nation-wide strike. It impacts 33 production plants and 22 warehouse facilities. JPMorgan analyst Adam Jonas said it will cost GM 3 cents in earnings per share per day, but that proper inventory management and pricing changes can help offset those losses. He likes GM as a buy-the-dip candidate.Despite winning the streaming rights for the renowned hit "Seinfeld," Netflix (NASDAQ:NFLX) shares were flat on the day. While some may question who wants to watch such an old show, just remember that "Friends" is one of Netflix's top shows. It will lose "Friends" in 2020, along with its other top performer, "The Office"). Unfortunately though, the five-year "Seinfeld" deal won't start until 2021.Shares of MGM Resorts International (NYSE:MGM) were up 2.1% after reports surfaced that Blackstone (NYSE:BX) is in talks to buy the Bellagio and MGM Grand. However, those discussion appear to be ongoing, as no deal has been reached yet (or may be reached at all, for that matter).Bret Kenwell is the manager and author of Future Blue Chips and is on Twitter @BretKenwell. As of this writing, Bret Kenwell did not hold a position in any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Recession-Resistant Services Stocks to Buy * 7 Hot Penny Stocks to Consider Now * 7 Tech Stocks You Should Avoid Now The post Stock Market Today: Crude Oil Rockets; Now What? appeared first on InvestorPlace.
- InvestorPlace
Dow Jones Today: Geopolitical Risk Returns
Geopolitical risk returned in significant fashion Monday, but fortunately, it didn't involve President Donald Trump and his Twitter (NYSE:TWTR) account. As widely reported over the weekend, drone strikes against Saudi Aramco production facilities knocked about 5% of global daily output offline.Source: ymgerman / Shutterstock.com A Yemeni militant group claimed credit for the attack, but the White House is pointing the finger at Iran, and Saudi Arabia believes it has conclusive proof that the weapons used in the attack were Iranian-made.The kingdom is now racing to restore lost production at the impaired facilities, and while some output can be restored quickly, it will likely be weeks before all that lost production is back online.InvestorPlace - Stock Market News, Stock Advice & Trading Tips * 7 Tech Stocks You Should Avoid Now "While President Donald Trump hasn't directly blamed Iran for the attacks, Secretary of State Michael Pompeo has," reports Bloomberg. Two U.S. officials said the location of the damage and weapons used suggest the attack was not launched by the Houthis, who have been fighting the Saudi-led coalition in Yemen for four bruising years.Amid tensions in the Middle East, the Nasdaq Composite fell 0.28% while the S&P 500 dropped 0.31%. The Dow Jones Industrial Average slipped 0.52%, snapping its winning streak at eight days. In late trading, just seven of the Dow's 30 components were higher.Not surprisingly, Dow's big winners on the day were its two energy components - Exxon Mobil (NYSE:XOM) and Chevron (NYSE:CVX). The two largest U.S. oil companies each gained more than 2% to start the week.This scenario is really easy to explain: lost Saudi supply will boost demand for U.S. oil exports. The U.S. already exports 3 million barrels of crude per day, a figure that could swell to 4 million barrels due to attacks in Saudi Arabia. Apple Stock, AgainYes, Apple (NASDAQ:AAPL) sure does get a lot of run in this space, but usually with good reason. Today, the stock was one of the steadier non-energy names in the Dow, gaining 0.53% on some potentially good news regarding the recently unveiled iPhone 11. Remember that at last Tuesday's new product launch, Apple unveiled three new iPhones - the iPhone 11, the iPhone 11 Pro and the iPhone 11 Pro Max."We think there is inherent upside to Sept-qtr EPS given AAPL isn't staggering their launches but announcing all the three products simultaneously," said Evercore ISI analyst Amit Daryanan in a recent note. "This we think will have a positive impact to revenues and EPS in the sept-qtr, though depending on the reception of these products it may be more of a pulling in of revenues from Dec-qtr." Bearish Dow CommentaryShares of Dow component JPMorgan Chase (NYSE:JPM), the largest domestic bank by assets, slid almost 1% after an analyst said investors shouldn't expect JPM to keep up its lengthy out-performance of the broader financial services group. Long one of the best-performing large-cap names in the S&P 500's third-largest sector weight, JPM is up 23% this year.In a note out today, James Mitchell of Buckingham Research lowered his rating on JPM to "neutral" from "buy," noting the stock is pricey relative to rivals."After materially outpacing the peer group in recent years, [JPMorgan Chase] shares now trade at nearly a 30% premium on a [price-to-earnings] basis," said the analyst. "Much of the fundamental outperformance is being priced in." Dow Jones Bottom LineTensions in the Middle East and subsequent rises in oil prices do make for compelling headlines, but these types of events are usually short-lived. Moreover, the energy sector's weight, one largely controlled by the aforementioned Exxon and Chevron, has been declining in broader domestic equity benchmarks, so it's unlikely there's enough heft in the energy patch to lead the market higher.Indeed, there are other issues for investors to consider over the near-term. For example, China released three economic data points overnight, all of which came in lower than expected. Those were industrial production, retail sales, and fixed asset data.Additionally, the Federal Reserve meets later this week and with talk that some politically vital states are seeing economic softness, the Fed could be compelled to oblige the White House with another rate cut.Todd Shriber does not own any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Recession-Resistant Services Stocks to Buy * 7 Hot Penny Stocks to Consider Now * 7 Tech Stocks You Should Avoid Now The post Dow Jones Today: Geopolitical Risk Returns appeared first on InvestorPlace.
- Yahoo Finance
Attack on Saudi Arabia's oil infrastructure 'may have been an overstep': expert on Iran
Iran denies any role in the attack on Saudi Arabia's oil infrastructure but analysts say evidence points to Iran and they are calling for a response that may include military action against Iran.
- InvestorPlace
5 Top Stock Trades for Tuesday: SLB, XOM, KL
Equity markets were relatively quiet on Monday, which is perhaps surprising given that crude oil prices rocketed higher. The commodity jumped more than 13% after a drone strike in Saudi Arabia over the weekend. Here are some top stock trades to watch this week. Top Stock Trades for Tomorrow No. 1: Schlumberger (SLB)Shares of Schlumberger (NYSE:SLB) are up over 5% on the day and could rally even further should demand for crude oil remain strong. On the charts, though, SLB stock is running into an important level. InvestorPlace - Stock Market News, Stock Advice & Trading Tips$40 was support from February until May, when share prices broke down. In July, $40 was a tough level of resistance that forced SLB back to new lows. It has been a tough ride for shareholders. However, with Monday's gap up, shares are above the 200-day moving average. If they can reclaim $40, the 38.2% level near $43.50 is on the table. Above $44 and the 50% retracement is possible. On the downside, see that SLB stays above prior downtrend resistance (the blue line). Top Stock Trades for Tomorrow No. 2: Exxon Mobil (XOM)Like SLB, Exxon Mobil (NYSE:XOM) isn't getting quite the same boost that crude oil is, up "just" 1.6% near the close on Monday. * 7 Tech Stocks You Should Avoid Now From here, bulls will want to make sure XOM stock stays above the 200-day moving average and the 61.8% retracement at $73.33. If it can, the 50% retracement near $76 is on the table, with the next upside target being June/July resistance at $77.If support gives way, I want to see XOM hold up above prior downtrend resistance. Clearing downtrend resistance is a big setup for a lot of down-and-out energy names. Now it needs to stick. Top Stock Trades for Tomorrow No. 3: Kirkland Lake Gold (KL)After last week's retreat, gold is on the move higher again. That's giving a boost to Kirkland Lake Gold (NYSE:KL), which is up 4.3% on the day. However, that's well off the highs near $45. Shares are near a key point on the charts. Should KL close below $42, it will lose short-term support (black line) and uptrend support (blue line). That could open it up to a test of the 200-day moving average.What bulls really need to see is for this support level to hold, and for KL stock to reclaim the 50-day moving average. If it can, it puts $50-plus on the table. Top Stock Trades for Tomorrow No. 4: ServiceNow (NOW)The setup in ServiceNow (NYSE:NOW) is pretty straightforward. Support at $250 held, as shares work on reclaiming the 20-day moving average. If it does, it puts downtrend resistance (blue line) on the table, with a test of $270 as the next upside target above that. However, if the 20-day or downtrend resistance rejects NOW, see that $250 again holds as support.If it fails, a test of the 200-day moving average is likely. Top Stock Trades for Tomorrow No. 5: DowWe've kept an eye on Dow (NYSE:DOW) thanks to that big dividend yield. However, more recently it's been the bullish price action.After bottoming out around $40 last month, shares have been quick to reclaim both the 20-day and 50-day moving averages. Further, Dow stock has also reclaimed the key $47 level. That puts $52 on the table now. On a pullback, I would love to see the $47 level now act as support. However, the 50-day also attracted buyers on two consecutive pullback days (blue box) earlier this month. So that mark is the must-hold for now, in my view. Bret Kenwell is the manager and author of Future Blue Chips and is on Twitter @BretKenwell. As of this writing, Bret Kenwell did not hold a position in any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Recession-Resistant Services Stocks to Buy * 7 Hot Penny Stocks to Consider Now * 7 Tech Stocks You Should Avoid Now The post 5 Top Stock Trades for Tuesday: SLB, XOM, KL appeared first on InvestorPlace.
- InvestorPlace
3 Great Ways to Invest in Energy Today
Volatility is striking the oil markets after attacks in Saudi Arabia forced the country to cut its oil output by 50%. Crude oil opened up 10% this morning -- lighting a fire under the energy sector. Today we'll look at three ways to invest in energy stocks. They should all benefit from continued uncertainty in the oil markets."An oil processing facility at Abqaiq and the nearby Khurais oil field was attacked on Saturday, knocking out 5.7 million barrels of daily crude production or 50% of the kingdom's oil output," Yun Li reported for CNBC.On the heels of the news, Brent crude futures saw their largest intra-day rise on record, lifting 19.5%.InvestorPlace - Stock Market News, Stock Advice & Trading TipsThe energy sector has been one of the weakest performers this year, so higher oil prices could provide a much-needed boost to what has otherwise been a dismal showing. * 7 Tech Stocks You Should Avoid Now Let's look at three ways to invest in energy that should benefit from heightened anxiety in the Middle East. Energy ETFs to Buy: United States Oil Fund (USO)Source: ThinkorSwimSource: ThinkorSwimThe most direct route available for speculating on crude oil is via the United States Oil Fund (NYSEARCA:USO). Because it owns oil futures, USO does a great job of tracking short-term movements in the energy markets. Up 13.6% since this morning, USO is back to the $13 range for the first time since November 2018.Implied volatility is also spiking at the open to 49%, or the 60th percentile of its one-year range. The juicy premiums and USO's low price tag make naked puts a compelling trade here.If you think the risk remains to the upside for oil, then sell the Oct $12 puts for 40 cents. Consider it a bet that USO stays above $12. If it does, you'll capture the 40 cent premium. SPDR S&P Oil & Gas Exploration & Production ETF (XOP)Source: ThinkorSwimSource: ThinkorSwimIf you're not trading oil directly, then you're looking for derivative plays. And that brings us to energy stocks. Rather than picking individual companies, you could play the entire space via a diversified exchange-traded fund like the SPDR S&P Oil & Gas Exploration & Production ETF (NYSEARCA:XOP). XOP holds a variety of energy companies involved in exploration and production. Like USO, its cheaper price tag makes XOP an excellent target for options selling.This morning, XOP is jumping 11.3% to a two-month high. While much work remains before the longer-term downtrend reverses, I do like how the fund now sits above the 50-day and 20-day moving averages. * 10 Stocks to Sell in Market-Cursed September Implied volatility is booming this morning, reflecting a sharp increase in the premiums available for options sellers. If you're willing to bet oil uncertainty keeps XOP aloft, then sell the Oct $23 puts for 50 cents. Energy Stocks to Buy: Exxon Mobil (XOM)The final route available to profit from the oil spike is to pick an individual energy stock. Exxon Mobil (NYSE:XOM) is the biggest in the space and offers a lower volatility avenue for speculation. Just look at today's movement for proof. While USO is up 13.6% and XOP is up 11.3%, XOM stock is only rising 2.2%.Exxon offers a lower beta path for traders. This morning's jump carried XOM directly into overhead resistance at the 200-day moving average. And thus far, the ceiling is holding firm. The stock is dropping slightly as I type and now below it's day high of $75.18.While some backing and filling may be needed to digest this morning's move, the downside should be limited as long as uncertainty keeps oil prices higher.If you think XOM stock still sits above $72.50 in a month, then sell the Oct $72.50/$67.50 bull put spread for 80 cents.As of this writing, Tyler Craig didn't hold a position in any of the aforementioned securities. Check out his recently released Bear Market Survival Guide to learn how to defend your portfolio against market volatility. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Recession-Resistant Services Stocks to Buy * 7 Hot Penny Stocks to Consider Now * 7 Tech Stocks You Should Avoid Now The post 3 Great Ways to Invest in Energy Today appeared first on InvestorPlace.
- Yahoo Finance Video
Trump admin bars California from setting auto emissions rules
The Trump White House escalates its battle with California. Yahoo Finance's Julie Hyman, Adam Shapiro, Rick Newman, and Patrick DeHaan - GasBuddy Head of Petroleum Analysis.
- Yahoo Finance Video
Saudi oil shutdown won't impact gas prices like in the past: Global Energy Institute President
Attacks on Saudi Arabia's oil facilities wiped out half of the country's oil capacity. That's roughly 5% of global daily oil production. But U.S. Chamber of Commerce's President of the Global Energy Institute, Marty Durbin, says the impact is not as big as in the past due to an uptick in American oil and gas production. He joins Yahoo Finance's Akiko Fujita to discuss.
