Exxon Mobil Corporation(XOM) - Stock detail

Exxon Mobil Corporation

US
XOM
Exxon Mobil Corporation(Listing date: 03/25/1920)

Exxon Mobil Corporation was incorporated in New Jersey in 1882. The company's main businesses include the exploration and production of crude oil and natural gas; the manufacturing, trading, transportation and marketing of crude oil, natural gas, petroleum products, petrochemicals and a wide variety of specialty products; and the pursuit of lower-emission business opportunities including carbon capture and storage, hydrogen, lower-emission fuels and lithium.

AI Value AnalystHold
Overall Rating3.7/10
Generated at:2026-06-03 17:40:50
Analysis based on real data from 5 financial reports covering periods from 2025-03-31 to 2026-03-31. Data includes quarterly financial statements and market price information as of 2026-06-03. Note: A critical inconsistency was identified in the forward P/E calculation where the annualized EPS used does not align with reported Q1 EPS, requiring recalibration of valuation targets.
Overview

Exxon Mobil Corporation (XOM) is a leading global integrated oil and gas company with a strong business model and solid balance sheet. However, recent data shows significant pressure on quarterly profitability with declining year-over-year earnings growth, and current valuation multiples do not offer a significant margin of safety. The stock appears to be trading at a level that balances these near-term challenges with the company's underlying strengths.

Valuation
3/10
Profitability
3/10
Financial health
5/10
Operation Advice
  • New money may find better entry points on weakness, while existing shareholders could maintain their position for income and long-term exposure to the energy sector, awaiting a clearer recovery in earnings momentum.
  • A reasonable near-term trading range is $145 - $165.

Valuation

P/E TTM
23.60
P/E LYR
17.59
P/B MRQ
2.62
P/S TTM
--
AI Analysis
  • The stock may be fully valued to slightly overvalued based on trailing earnings, with the market potentially anticipating a recovery. Valuation metrics show a forward P/E of 17.59x, trailing P/E of 23.60x, P/B ratio of 2.62x, and P/S ratio of 1.89x.
  • The Forward P/E (Dynamic) is 17.59x, calculated based on annualized earnings from the latest quarter.
  • The Trailing P/E (TTM) is 23.60x, which is higher as it incorporates the higher profits from the previous year.
  • For a large-cap integrated oil major, a P/E in the high-teens to low-20s can be considered within a historical range, though the forward multiple suggests the market has already priced in an earnings decline.
  • The P/B ratio is 2.62x. Given the company's ROE of 9.73%, this implies a Price/Book to ROE ratio of approximately 0.27, which is not particularly cheap.
  • The P/S ratio (TTM) is 1.89x. This metric is less affected by earnings volatility and provides a view of the stock's valuation relative to its revenue base.
  • The stock has traded between $141.97 and $176.41 over the last 60 days of provided data.
  • Based on the forward P/E of 17.59x and considering the earnings pressure, a reasonable near-term trading range is $145 - $165.
  • Using the only consistent earnings figure provided (TTM EPS implied by P/E TTM: 152.53 / 23.60 = ~$6.46), a target using a P/E of 20x-22x suggests a range of $129 - $142.
  • The current price of $152.53 is near the midpoint of the recent 60-day range but above the upper end of the recalibrated target range based on TTM EPS.
  • This suggests the stock may be fully valued to slightly overvalued based on trailing earnings, with the market potentially anticipating a recovery.
Valuation trend

Profitability

ROE TTM
9.73%
Net margin
5.25%
Gross margin
39.16%
Total revenue
85.14B
AI Analysis
  • Recent profitability metrics indicate significant pressure with sharp declines in net income and margins. The company reported a year-over-year decline in Net Income of -45.77% in Q1 2026, and trailing twelve-month metrics show respectable but declining ROE and ROA.
  • Recent Quarter (Q1 2026): The company reported a sharp year-over-year decline in Net Income of -45.77% to $4.18B, despite a slight revenue increase of 2.42%.
  • Both Gross Profit (-8.27%) and Net Margin (5.25% vs 9.66% in Q1 2025) contracted severely.
  • Trailing Twelve Months (TTM): The annualized profitability metrics show a Return on Equity (ROE) of 9.73% and a Return on Assets (ROA) of 5.60%.
  • These are respectable but have declined from the levels reported in the full-year 2025 results (ROE: 11.03%, ROA: 6.39%).
  • The last five reported periods show a consistent pattern of declining year-over-year growth in revenue, gross profit, and net income.
  • This highlights challenges in maintaining prior-year profit levels.
Profitability
2025Q12025Q22025Q32025Q42026Q1
ROE TTM--5.62%8.52%11.03%9.73%
Earnings
2025Q12025Q22025Q32025Q42026Q1
Total revenue83.13B164.64B249.93B332.24B85.14B

Financial health

Debt/Asset
43.80%
Current ratio
1.04
Quick ratio
0.77
Cash ratio
0.77
AI Analysis
  • The company's financial health shows mixed signals with stable leverage but tight liquidity. The balance sheet appears stable with manageable debt, but the current and quick ratios indicate liquidity concerns that warrant monitoring.
  • Liquidity: The current ratio of 1.04 indicates the company can just cover its short-term obligations with its short-term assets.
  • The quick ratio of 0.77 is below 1, suggesting a reliance on inventory or other less liquid current assets to meet immediate liabilities, which is a point of concern for liquidity.
  • Leverage: The debt-to-asset ratio of 43.80% is at a reasonable level for a capital-intensive industry like oil and gas.
  • It indicates a balanced use of debt and equity financing without excessive leverage.
  • Overall Health: The balance sheet appears stable with manageable debt, but the tight liquidity ratios warrant monitoring, especially in a volatile commodity price environment.
Leverage
2025Q12025Q22025Q32025Q42026Q1
Debt/Asset40.30%39.69%40.96%40.62%43.80%
Liquidity
2025Q12025Q22025Q32025Q42026Q1
Current ratio1.241.251.141.151.04