Key Points in This Article: Exxon Mobil's (XOM) Q2 earnings beat expectations despite a profit decline due to lower oil prices, highlighting its resilience through record production.
For nearly the same price, nuclear will generate far more power — and a lot more headaches.
Hess (HES) witnessed a jump in share price last session on above-average trading volume. The latest trend in earnings estimate revisions for the stock suggests that there could be more strength down the road.
HES exits Suriname's offshore Block 59, capping years of risky exploration after XOM and EQNR pulled out earlier.
The arbitration decision on Exxon Mobil's right of first refusal is imminent. Retail shareholders are disadvantaged by Hess's limited information disclosure during the prolonged acquisition timeline. Guyana production growth, driven by new FPSOs, is rapidly increasing Hess's value and future earnings potential.
The arbitrators in a legal dispute between Exxon Mobil and Hess have reached a decision related to a major oilfield project in Guyana, according to two sources familiar with the matter, with the ruling determining whether Chevron can move forward with its planned acquisition of Hess.
Hess (HES) has an impressive earnings surprise history and currently possesses the right combination of the two key ingredients for a likely beat in its next quarterly report.
Hess Midstream offers value whether Chevron acquires it or not; both scenarios are beneficial for shareholders at current prices, supporting my Buy rating. If Chevron acquires Hess, I expect them to pursue Hess Midstream, likely paying a premium. If the Chevron-Hess deal fails or Chevron divests Bakken assets, Hess Midstream remains slightly undervalued based on my DCF model and stable long-term contracts.
The HES stock climbs 13% in six months, beating sector peers as disciplined costs and Guyana growth fuel investor optimism.
HESM offers a secure 7.4% yield, strong contract protections, and resilient fee-based revenue, making the recent sell-off overdone despite legal headlines. The CLR lawsuit targets Hess Corp, not Hess Midstream, and poses no legal or contract risk to HESM's stable, long-term agreements running through 2033. HESM's robust balance sheet, active buybacks, and expected 7% annual distribution growth support an attractive ~14% long-term total return.
Hess (HES) reported earnings 30 days ago. What's next for the stock?
Occidental Petroleum and Hess Corporation are strong operators in the oil and gas industry. OXY currently has the edge over HES with a higher dividend yield and lower valuation.