Exxon stock downgraded ahead of earnings

on Jan 3, 2024
  • Mizuho analyst downgraded Exxon stock to "neutral" today.
  • Nitin Kumar defended his view in a research note on Wednesday.
  • Exxon stock is currently down nearly 15% versus its 52-week high.

Follow Invezz on Telegram, Twitter, and Google News for instant updates >

Exxon Mobil Corp (NYSE: XOM) has gained about 5.0% over the past three weeks but a Mizuho analyst says it’s time to stop buying this energy stock.

Exxon stock lost its buy rating at Mizuho

Copy link to section

Nitin Kumar downgraded the oil and gas behemoth this morning to “neutral” and lowered his price target to $117.

The analyst turned dovish on Exxon stock primarily because he expects oil prices “to be range bound in 2024” until international travel trends and global demand gets clearer.

Mizuho’s call arrives just days before Exxon Mobil Corp is scheduled to report its financial results for the first quarter. Consensus is for it to earn $2.07 a share versus $3.4 per share a year ago.

$XOM is currently down nearly 15% versus its 52-week high.

Featured Broker

Looking to invest?

Invest globally in stocks, options, futures, currencies, bonds and funds from a single unified platform, with our highest-rated broker.


Kumar expects estimates to be revised down

Copy link to section

Nitin Kumar is convinced that the global economy will slow down this year which will weigh on oil demand. His research note reads:

Are you looking for fast-news, hot-tips and market analysis? Sign-up for the Invezz newsletter, today.

Although OPEC+ continues to be supportive of the oil markets by constraining supply, fears of slower demand recovery and resilient non-OPEC supply have been a headwind in our view.

He expects the Wall Street to eventually revise its estimates down for earnings and cash flow of Exxon Mobil Corp. The Mizuho analyst also downgraded Occidental Petroleum today to “neutral”.

Interestingly, though, the firm remains bullish on Chevron Corp that it, in fact, sees as a “top pick” in the energy space for the current year.


Copy expert traders easily with eToro. Invest in stocks like Tesla & Apple. Instantly trade ETFs like FTSE 100 & S&P 500. Sign-up in minutes.


eToro offers real assets only, no CFD products. eToro USA LLC and eToro USA Securities Inc.; Investing involves risk, including loss of principal; Not a recommendation.

Get demo account
ExxonMobil USA Energy & Power North America Stock Market Trading Ideas World