Argus Says That It is Time To Finally Upgrade Chevron (NYSE:CVX) Stock


Chevron (NYSE:CVX) Stock Upgrade

Shares of Chevron (NYSE:CVX) were raised by expert analysts from Argus from a Hold rating to a much more attractive Buy rating in a note issued to investors and clients on Wednesday morning. Argus after the upgrade has a $100.0 target PPS on shares, and their target PPS implies a possible upside of 7.81%.

From a total of 22 analysts covering Chevron Corporation (NYSE:CVX) stock, 11 rate it a ”Buy”, 2 a “Sell”, and 12 a ”Hold”. This means that 44% of the ratings are positive. The highest target price is $122 while the lowest target price is $65. The mean of all analyst targets is $98.86 with a 4.41% above today’s ($92.74) stock price. Chevron Corporation was the topic of 27 analyst reports since August 4, 2015 according to the firm StockzIntelligence Inc. JP Morgan maintained shares on December 15 with “Overweight” rating. Credit Suisse maintained shares with “Neutral” rating and $100 target share price in a report from a November 2. Cowen & Co maintained CVX stock in a recent report from December 15 with “Outperform” rating. Barclays Capital maintained the rating on October 12. Barclays Capital has a “Equal-Weight” rating and a $96 price target on shares. Finally, Citigroup upgraded the stock to “Buy” rating in a report issued on a December 2.

The stock increased 3.82% or $3.41 on December 16, striking $92.74. Approximately 2,381 shares of stock traded hands. Chevron Corporation (NYSE:CVX) has declined 13.87% since May 13, 2015 and is downtrending. It has underperformed by 11.25% the S&P500.

The overall sentiment of institutions has decreased to 0.81 in Q2 2015. Its down 0.32, from 1.13 in 2015Q2. The ratio is negative, as 118 institutions have sold all the shares of Chevron Corporation that they owned while 760 funds have taken shares off the table. 70 funds have purchased shares for the first time while 645 added to their positions. These institutions now hold 1.15 billion shares or 1.28% more than the 1.14 billion shares they owned in 2015Q2.

The Fund Adams Natural Resources Fund Inc. currently is holding shares equating to 10.08% of its total portfolio in Chevron Corporation representing a total of 743,200 shares. Another fund,R. G. Niederhoffer Capital Management Inc, is holding a total of 22,700 shares equating to 8.84% of their holdings. Additionally, Reservoir Operations L.P. has a 170,319 share stake in Chevron Corporation which represents 6.84% of their total portfolio. The Fund, Lakeshore Capital Llc, based out of Alabama, has also built up a stake in the stock, which represents a total of 6.79% of their total portfolio. Finally American Investment Services Inc., a fund which is based in the state of Massachusetts reported a total holdings of 143,149 shares.

Chevron Corporation manages its investments in subsidiaries and affiliates. The company has a market cap of $168.12 billion. The Firm operates through two divisions: Upstream and Downstream. It has 20.15 P/E ratio. Upstream activities consist primarily of exploring for, developing and producing natural gas and crude oil; processing, liquefaction, transportation and regasification associated with liquefied natural gas (LNG); transporting crude oil through international oil export pipelines; transporting, storing and marketing natural gas, and operating a gas-to-liquids plant.

According to Zacks Investment Research, “Chevron is the fifth-largest integrated energy company in the world. Headquartered in San Ramon, California, and conducting business in approximately 180 countries, this highly competitive corporation is engaged in every aspect of the oil and natural gas industry, including exploration and production; refining, marketing and transportation; chemicals manufacturing and sales; and power generation.”