Based in Houston, Texas, ConocoPhillips (COP) is a global leader in the energy sector, specializing in the exploration, production, transportation, and marketing of crude oil, natural gas, and natural gas liquids. With a market cap of $132.51 billion, ConocoPhillips is a prominent player in the oil and gas industry. Competing fiercely with other energy giants, ConocoPhillips' main rivals include ExxonMobil (XOM) and Chevron Corporation (CVX), renowned for their extensive global operations and significant influence in the energy market.
Companies worth $10 billion or more are generally considered "large-cap" stocks, and ConocoPhillips exemplifies this category, signifying its substantial size, stability, and dominance in the energy sector. COP has strengthened its market leadership and growth through strategic exploration, technological advancements, and efficient resource management. By adapting to market changes and environmental challenges, the company maintains its resilience and reinforces its position as a key player in the competitive and volatile global energy industry.
COP shares are trading 16.4% below their 52-week high of $135.18, which they hit on Apr. 12. COP has seen a 2% decline over the last three months compared to the 1.5% returns seen in the Energy Select Sector SPDR Fund (XLE) during the same period.
Over the longer term, COP shares have declined 2.6% YTD while gaining 8.8% over the past 52 weeks. In comparison, the XLE has seen a 7.8% gain in 2024 and an increase of 11.2% over the past year.
To confirm the recent bearish price trend, COP has been trading below its 50-day moving average since early May and below its 200-day moving average since late May.
ConocoPhillips reported its Q1 results on May 2. While the company exceeded Wall Street's EPS estimates, it missed the revenue consensus, leading to a 1.7% decline in its stock and a continued downtrend. The company posted a net income of $2.55 billion, or $2.15 per share. Adjusted earnings were $2.03 per share, surpassing the expected $1.99 per share. However, revenue fell short at $14.48 billion, below the forecasted $14.72 billion.
Highlighting the contrast in performance, COP's competitor, Exxon Mobil, has outperformed COP and Energy with a gain of 12.8% on a YTD basis.
Despite COP stock's recent underperformance, analysts maintain a positive outlook on its prospects. The stock has a consensus rating of 'Strong Buy' from 22 analysts in coverage. The mean price target of $142.86 reflects a 26.1% premium over current levels.
On the date of publication, Rashmi Kumari did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
