Hess Corporation (HES), based in New York, is a major player in the global oil and gas industry. With a market cap of $46.33 billion, a significant market presence, and a diverse portfolio, HES explores and produces oil, natural gas, and petrochemicals. Committed to sustainability and environmental stewardship, HES invests in cutting-edge technologies and practices to reduce its environmental footprint and enhance the safety and well-being of its employees and the communities it serves.
Companies valued at $10 billion or more are generally considered "large-caps," and Hess Corporation fits this criterion perfectly, signifying its substantial size, stability, and influence in the energy sector. HES continually advances the energy industry, focusing on responsible oil and gas extraction practices and cutting-edge technologies to enhance production while minimizing environmental impact.
HES shares are trading 10.4% below their 52-week high of $167.75, which they hit on Oct.19, 2023. HES has seen a marginal gain over the last three months compared to the marginal decline seen in the Dow Jones Industrial Average ($DOWI) during the same period.
In the long term, HES is up 4.3% on a YTD basis, and the shares have gained 14.3% over the past 52 weeks. In comparison, the Dow is up 4.6% in 2024 and 16.9% over the past year.
HES has been trading below its 50-day moving average since late May to confirm the recent bearish price trend. It has also crossed its 200-day moving average downward recently.
HES stock surged on Apr. 25 following a strong Q1 earnings report, driven by increased oil and gas prices and higher oil equivalent production volumes. The company reported earnings of $972 million, or $3.16 per share, surpassing Wall Street expectations. Analysts had predicted earnings of $1.73 per share. The company reported revenues of $3.34 billion, exceeding the anticipated $2.93 billion forecasted by analysts.
Highlighting the contrast in performance, one of HES' industry participants, Marathon Oil Corporation (MRO), has outperformed both HES and DOWI, with a 19% gain on a YTD basis.
Despite HES' outperformance compared to DOWI, analysts are moderately optimistic about its prospects. The stock has a consensus rating of "Moderate Buy" from 16 analysts in coverage. The mean price target of $170.86 reflects a 13.6% premium over current levels.
On the date of publication, Rashmi Kumari did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
