Nice IBD report from yesterday.
Exxon Mobil, IBD Stock Of The Day, Fires Up New Buy Signals
KIT NORTON04:32 PM ET 06/28/2022
Exxon Mobil XOM
$ 91.50
$2.47  2.77%  4%
IBD Stock Analysis
Exxon reclaims 50-day line, breaks steep downtrendHeld up better than other oil and gas stocks in recent sell-offEarnings, sales booming amid high energy prices
Composite Rating
99/99
Industry Group Ranking
8/197
Emerging Pattern
Pullback
* Not real-time data. All data shown was captured at 12:43PM EDT on 06/28/2022.
Exxon Mobil ( XOM) is Tuesday's IBD Stock Of The Day as the energy giant moves above its 50-day line intraday, breaking a recent downtrend and flashing some buy signals.
The Irving, Texas, based multinational is diversified across much of the petroleum industry spectrum. Operations range from exploration and production of crude oil and natural gas to refining and marketing fuels and petrochemicals. Exxon is one of the largest publicly traded companies in the energy sector.
For much of 2022, oil and gas companies have consistently outperformed the market. Exxon Mobil along with other gas and oil companies, including Chevron ( CVX) and Shell ( SHEL), has posted strong profits in 2022. That growth has been due largely to the price of gasoline, which has outpaced the fast-rising costs of other goods and services.
XOM has received criticism in recent weeks from President Joe Biden. The White House has accused major oil and gas companies of restraining refining levels, sending gasoline prices even higher. Industry officials point out that refining is running near full capacity.
Exxon Mobil's revenue in the first quarter increased by 53% to $90.5 billion. Earnings soared 218% to $2.07 per share. Wall Street predictions for XOM's second-quarter include $2.94 earnings per share and $91.5 billion in revenue, according to FactSet.
Exxon Mobil Stock XOM was up 2.8% to 91.50 during Tuesday's market trading, just above the 50-day line and just breaking a short, steep downtrend. Shares rose as high as 93.24 intraday, briefly clearing its 21-day line as well. Investors could use a move back above Tuesday's high as an early entry. But they may want to see XOM stock move sideways for a while and form a new base before trying to step in.
Exxon Mobil stock has held up much better than other oil and gas plays, many of which are now rebounding from 200-day lines.
XOM stock also is back above an 89.90 buy point cleared in May. It's technically still valid, though investors may want to focus on the 50-day line and downtrend.
Exxon stock could be starting to work on a new base here, but there is risk, according to MarketSmith analysis.
If XOM stock closes below Tuesday's intraday low of 90.55, investors may want to exit, especially with shares clearly turned back at the 50-day line.
Exxon Mobil has a best-possible Composite Rating of 99. Meanwhile, it has a 97 Relative Strength Rating, an exclusive IBD Stock Checkup measurement for share price movement with a 1 to 99 score, with 99 tops. The rating shows how a stock's performance over the last 52 weeks holds up against all the other stocks in IBD's database. The EPS rating is 78.
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