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Occidental Petroleum (NYSE:OXY) inched 0.71% decrease on Tuesday, forward of the announcement of its fourth-quarter outcomes on February 14th, after market shut.
On common, the corporate is predicted to submit a quarterly EPS of $0.69 (-57.1% Y/Y) and a income of $6.87B.
“The oil market is influenced by geopolitical risks and well-supplied oil stocks, leading to indecision among investors. But I think it’s a temporary headwind for OXY and the energy sector,” stated SA Analyst Danil Sereda.
Even after adjusting for the acquisition of CrownRock, the OXY inventory is 25% undervalued, in accordance with calculations, the analyst added.
In December, Occidental introduced the acquisition of CrownRock and its important Permian Basin belongings in a deal valued at round $12B, aiding the corporate to spice up its onshore portfolio and generate quick free money stream accretion.
In its earlier quarterly outcomes, OXY’s EPS of $1.18 and income of $7.4B considerably beat the consensus estimates however have been decrease in comparison with final 12 months on account of softer realized costs for crude oil, and pure gasoline liquids.
Recently, Occidental Petroleum (OXY) was the most-shorted vitality inventory, with 50.1M shares offered brief as of January 12, or 5.73% of the shares float.
Over the final 2 years, OXY has overwhelmed EPS estimates 50% of the time and has overwhelmed income estimates 50% of the time.
Over the final three months, EPS estimates have seen zero upward revisions and 17 downward. Revenue estimates have seen zero upward revisions and 6 downward.