Chevron Q3 profit tops estimates on higher crude realizations

Overview

• U.S. oil and gas giant's Q3 adjusted EPS beat analyst expectations

• Q3 earnings rose sharply from a year ago, driven by higher margins and crude realizations

• Company set record U.S. refinery throughput and expanded acreage in Venezuela

Outlook

• Chevron plans to invest $7 bln in Venezuela joint ventures over five years for production growth

• Company aims to more than double Venezuela production over five years

• Chevron plans to reduce Bakken midstream costs by about 50% to boost competitiveness

Result Drivers

• HIGHER MARGINS - Co said increased margins on refined product sales contributed to higher earnings

• CRUDE REALIZATIONS - Higher crude oil realizations supported earnings growth, per co

• RECORD U.S. REFINERY THROUGHPUT - Co achieved record crude unit throughput at U.S. refineries with utilization near 98 percent

Company press release:

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 24 "strong buy" or "buy", 3 "hold" and 1 "sell" or "strong sell"

• The average consensus recommendation for the integrated oil & gas peer group is "buy"

• Wall Street's median 12-month price target for Chevron Corporation is $232.00, about 0.2% above its October 29 closing price of $231.46

• The stock recently traded at 15 times the next 12-month earnings vs. a P/E of 12 three months ago

Reuters Recommended Reads

• Oct 28 - TotalEnergies buys 25% stake in Chevron-run US offshore leases

• Oct 28 - Phillips 66 posts record quarterly profit on refining strength

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)