How Big Are Returns in Chevron Corporation (CVX)?

Investors will get their next glimpse of CVX’s Q4 earnings on February 01. Analysts are forecasting revenue to climb 33.6 percent to $50.3B in the next fiscal quarter, while earnings are seen soaring by nearly 233.33 percent to $2.4 per share. History has shown that shares in Chevron Corporation have gone down on 19 different earnings reaction days and are predicted to add 0.01 percent when the company reports upcoming earnings. In last reported earnings results, it earned $2.11 per share, better than the $2.06, adjusted, expected by Thomson Reuters consensus estimate. Revenue was $44B, worse than the $46.9B analysts expected. Earnings are estimated to increase by 125.4 percent this year, 11.42 percent next year and continue to increase by 58.26 percent annually for the next 5 years.

Chevron Corporation (CVX) will probably climb 23.8 percent over the next 12 months, according to price target estimates compiled by finviz. Meanwhile, they have set a $160-month high price target. This represents a whopping 36.47 percent increase from where shares are trading today. The 12-month median price target assigned by the analysts stands at $141, which represents a return potential of 20.27 percent when compared to the closing price of the stock of $117.24 on Tuesday, December 04. The lowest price target for the stock is $128 — slightly more than 9.18 percent from CVX’s current share price.

The stock is currently hovering around the first support level of $115.84. Below this, the next support is placed in the zone of $114.44. Till the time, the CVX stock trades above this level, bulls have nothing to fear. On momentum oscillators front, ‘RSI’ has touched 48.02 on daily chart, which may remain a cause for concern. If the price breaks below $114.44 level on closing basis, then we may see more profit booking and the stock may show further weakness. On the flipside, hitting the $119.86 mark may result into a pull-back move towards $122.49 level.

On 4th of December, Chevron Corporation (NYSE:CVX) shares ended lower after a volatile session. The shares dropped -3.43 points or -2.84 percent at $117.24 with a heavy trade volume of 8.098 million shares. After opening the session at $120.6, the shares went as high as $121.09 and as low as $117.065, the range within which the stock’s price traded throughout the day. The firm is left with a market cap of $224 billion and now has 1.91 billion shares outstanding. Chevron Corporation (CVX) stock has gained 2.19 percent of market value in 21 trading days.

CVX stock has a trailing 3-year beta of 1.11, offering the possibility of a higher rate of return, but also posing more risk. The portion of a company’s profit allocated to each outstanding share of common stock was $6.36 a share in the trailing twelve months. The stock’s value has fallen -6.35 percent year to date (YTD) against a decline of -2.98 percent in 12 month’s time. The company’s shares still trade -12.43 percent away from its 1-year high of $133.88 and 9.02 percent up from 52-week low of $107.54. The average consensus rating on the company is 2, on a scale where 5 equates to a unanimous sell rating. In short, the mean analyst recommendations are calling this stock a buy.

Shares of Chevron Corporation (CVX) are trading at a P/E ratio of 18.11 times earnings reported for the past 12 months. The industry CVX operates in has an average P/E of 16.46. Its P/E ratio went as low as 11.07X and as high as 36.62 over the 5-year span. Further, it is sporting a 1.44 on the Price-to-Sales ratio. Compare this with the industry average P/S of 0.79. 40.9 percent is the gross profit margin for Chevron Corporation and operating margin sits at 8.4 percent. Along with this, the net profit margin is 9.1 percent.

Let’s take a look at some insider activity at Chevron Corporation (NYSE:CVX) and see the pattern. The earliest insider trade took place on 11/29/2018. Johnson James William parted with a total of 9.5 thousand shares of company at average share price of $118.59. The total for the sales was set at $1.13 million. After this transaction, the Executive Vice President account balance stood at 17.37 thousand shares. The stock lost -1.14 percent since that insider sale. On 10/11/2018, Johnson James William, Executive Vice President, sold 4.75 thousand shares at a price per share of $119.97. This removed 569.86 thousand shares from the insider’s fortune and the stock saw a -2.28 percent retreat in value since the news became public. This transaction left 17.37 thousand shares in the Executive Vice President account.

On 09/13/2018, Executive Vice President Johnson James William performed a sale transaction worth $551 thousand. This sale at $116 each has eliminated 4.75 thousand shares from the insider’s portfolio position. Meanwhile, shares have recorded 1.07 percent increase since the transaction was reported. The insider now is left with 17.37 thousand shares remaining in the account. Johnson James William, who performs the Executive Vice President job, sold 4.75 thousand shares for $589.95 thousand. The disposal occurred on 07/12/2018 was priced at $124.2 per share. The share price plunged -5.6 percent since the reporting date. Johnson James William now left with a stake of 17.33 thousand CVX stock worth $2.03 million after the insider selling.