Houston, Texas-based Phillips 66 (PSX) is a renowned energy manufacturing and logistics company with operations in the U.S., U.K., Germany, and globally. Valued at $59.3 billion by market cap, it operates through Midstream, Chemicals, Refining, and Marketing and Specialties (M&S) segments. The leading energy company is expected to announce its fiscal second-quarter earnings for 2024 before the market opens on Tuesday, Jul. 30.
Ahead of the event, analysts expect PSX to report a profit of $3.29 per share, down 15% from $3.87 per share in the year-ago quarter. The company beat the consensus estimates in two of the last four quarters while missing on two occasions. In the previous quarter, Phillips 66’s EPS declined 54.9% year over year to $1.90, missing the consensus estimate by 7.3%.
For fiscal 2024, analysts expect PSX to report EPS of $10.47, down 33.8% from $15.81 in fiscal 2023. However, its fiscal 2025 EPS is expected to rise 26.1% annually to $13.20.
PSX stock has surged 39.1% over the past 52 weeks, outperforming the S&P 500 Index’s ($SPX) 25.8% returns and the S&P 500 Energy Sector SPDR’s (XLE) 13.3% gains over the same time frame.
Phillips 66's sound momentum over the past year can be attributed to robust revenue growth bolstered by elevated crude oil prices and operational enhancements. However, on April 26, the stock plummeted 3.7% following the release of its Q1 earnings report. Despite surpassing the topline estimates, the decline was primarily driven by earnings miss, attributed to lower refining margins and increased costs associated with a renewable conversion project at their Rodeo refinery.
Analysts’ consensus opinion on Phillips 66 stock is reasonably bullish, with a “Moderate Buy” rating overall. Out of 18 analysts covering the stock, 11 advise a “Strong Buy” rating, one analyst suggests a “Moderate Buy,” and six recommend a “Hold.”
The average analyst price target for PSX is $154.62, indicating a 10.6% potential upside from the current piece levels.
On the date of publication, Kritika Sarmah 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.
