Evercore ISI raises its price target on 2 main oil stocks

Evercore ISI raised its price target on Chevron and Exxon Mobil

Evercore ISI raised its price target on two big names in oil today. Specifically, the company distributed bullish notes to Chevron Corporation (NYSE: CVX) in the form of increasing his target price to $ 135 from $ 130, while increasing his target price on Exxon Mobil Corporation (NYSE: XOM) at $ 75 from $ 67. Analysts were already mostly bullish on CVX, with 11 of 16 coverage calling it a “buy” or better entering today. However, the brokerage group is not as sold on XOM, with 10 “keep” ratings or worse, versus five “buy” recommendations.

Looking at Chevron stock’s chart performance lately, the stock has rebounded off long-term support from the 320-day moving average in mid-September and quickly hit its close-to-close high. two-year-old at $ 113.17 in yesterday’s session. In fact, over the past month, CVX managed to tack by almost 18%.

Meanwhile, XOM has also had a decent month. The stock managed to break the 80-day moving average pressure in late September and is now up 17% month-over-month. While the stock will face the $ 64 level if it is to regain its June 25 annual high just north of here, the stock is posting an impressive 89% year-over-year return.

The option pits for everyone have tilted lower lately, meaning that an unwinding of that pessimism could push both stocks higher. On the International Securities Exchange (ISE), Cboe Options Exchange (CBOE) and NASDAQ OMX PHLX (PHLX), Chevron stock shows a 50-day put / call ratio that ranks above 70% of reads of last year, while Exxon’s Mobil stock 50-day sales / call volume ratio sits in the 88th percentile slightly higher of its 12-month range.

Steve R. Hansen

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