Chevron Corporation [NYSE:CVX]: Analyst Rating and Earnings
Pro stock market traders often keep their attention pointed at what top market analysts have to say regarding a potential equity investment. For Chevron Corporation [CVX] currently, the latest-available mean analyst rating is for the fiscal quarter that will end in December. On average, stock market experts give CVX an Outperform rating. Its stock price has been found in the range of 100.22 to 130.39. This is compared to its latest closing price of $122.14.
Wall Street analysts provide their ratings on a scale of 1 to 5, and the current average score for Chevron Corporation [CVX] is sitting at 1.91. This is compared to 1 month ago, when its average rating was 1.82.
For the quarter ending in Mar-19 Chevron Corporation [CVX] generated $35.2 billion in sales. That’s 7.75% lower than the average estimate of $38.16 billion as provided by Wall Street analysts. The three indicators above suggest that on the whole, this stock is not presenting an attractive investment option, as there are too many red flags that don’t point to a high-value ROI.
Keep your eyes peeled for this company’s upcoming financial results publication, which is slated for Fri 26 Jul (In 71 Days).
Fundamental Analysis of Chevron Corporation [CVX]
Now let’s turn to look at profitability: with a current Operating Margin for Chevron Corporation [CVX] sitting at +8.68 and its Gross Margin at +14.52, this company’s Net Margin is now 8.80%. These metrics indicate that this company is not generating as much profit, after accounting for expenses, compared to its market peers.
This company’s Return on Total Capital is 7.29, and its Return on Invested Capital has reached 5.10%. Its Return on Equity is 9.80, and its Return on Assets is 5.84. These metrics show a mixed bag, which means that this investment’s attractiveness can be quickly increased or decreased in the short term, depending on future updates CVX financial performance.
Turning to investigate this organization’s capital structure, Chevron Corporation [CVX] has generated a Total Debt to Total Equity ratio of 22.30. Similarly, its Total Debt to Total Capital is 18.23, while its Total Debt to Total Assets stands at 13.57. Looking toward the future, this publicly-traded company’s Long-Term Debt to Equity is 18.59, and its Long-Term Debt to Total Capital is 15.20. This company has a healthy balance between its debt and its current holdings, suggesting it is a reliable investment due to its ability to leverage debt in an efficient way.
What about valuation? This company’s Enterprise Value to EBITDA is 7.56 and its Total Debt to EBITDA Value is 1.02. The Enterprise Value to Sales for this firm is now 1.63, and its Total Debt to Enterprise Value stands at 0.15. Chevron Corporation [CVX] has a Price to Book Ratio of 1.34, a Price to Cash Flow Ratio of 6.80 and P/E Ratio of 16.70. These metrics all suggest that Chevron Corporation is more likely to generate a positive ROI.
Shifting the focus to workforce efficiency, Chevron Corporation [CVX] earns $3,266,811 for each employee under its payroll. Similarly, this company’s Receivables Turnover is 10.44 and its Total Asset Turnover is 0.63. This publicly-traded organization’s liquidity data is also interesting: its Quick Ratio is 1.04 and its Current Ratio is 1.25. This company, considering these metrics, has a healthy ratio between its short-term liquid assets and its short-term liabilities, making it a less risky investment.
Chevron Corporation [CVX] has 1.89B shares outstanding, amounting to a total market cap of $231.12B. Its stock price has been found in the range of 100.22 to 130.39. At its current price, it has moved by -7.35% from its 52-week high, and it has moved 20.54% from its 52-week low.
This stock’s Beta value is currently 0.98, which indicates that it is more volatile that the wider market. This stock’s Relative Strength Index (RSI) is at 50.21. This RSI score is good, suggesting this stock is neither overbought or oversold.
Conclusion: Is Chevron Corporation [CVX] a Reliable Buy?
Shares of Chevron Corporation [CVX], on the whole, present investors with both positive and negative signals. Wall Street analysts have mixed reviews when it comes to the 12-month price outlook, and this company’s financials show a combination of strengths and weaknesses. Based on the price performance, this investment is somewhat risky while presenting reasonable potential for ROI.