Glenmede Investment Management LP has announced a reduction in its stake in Exxon Mobil Corporation (NYSE: XOM) by 2.1% during the third quarter of 2023. According to its recent Form 13F filing with the Securities and Exchange Commission (SEC), the fund now holds 1,338,613 shares of the oil and gas giant after selling 29,053 shares in the period. This adjustment means Exxon Mobil represents 0.7% of Glenmede’s investment portfolio, placing it as the 28th largest position within the fund. The value of Glenmede’s holdings in Exxon Mobil stood at approximately $150,929,000 as indicated in the filing.
Several other institutional investors have also adjusted their positions in Exxon Mobil. Vanguard Group Inc. increased its holdings by 0.3% during the second quarter, now owning a total of 431,058,875 shares worth $46.47 billion. Norges Bank made a significant move by purchasing a new stake valued at around $6.16 billion during the same period. Franklin Resources Inc. raised its position by 7.4% in the third quarter, owning 38,728,643 shares valued at $4.37 billion. Similarly, Capital Research Global Investors increased its stake by 0.4%, now holding shares worth $3.79 billion. Charles Schwab Investment Management Inc. also lifted its stake by 3.5%, bringing its total to approximately $3.61 billion.
As of now, institutional investors and hedge funds own approximately 61.80% of Exxon Mobil’s stock.
Insider Transactions and Market Sentiment
In related news, Vice President Darrin L. Talley sold 2,150 shares of Exxon Mobil on March 2, 2024, at an average price of $157.82, totaling $339,313. Following this transaction, Talley retained ownership of 18,204 shares valued at about $2.87 million. Over the last 90 days, insiders have sold a total of 16,380 shares worth $2.23 million, indicating a modest insider ownership of only 0.03%.
Recent developments in the geopolitical landscape have positively influenced investor sentiment towards Exxon Mobil. Oil prices surged amid the escalating conflict in Iran, raising expectations for increased revenue and margins among major integrated oil companies, including Exxon. Analysts from firms such as Piper Sandler have raised Exxon’s price target to $186 and upgraded their rating to “overweight,” a move likely to attract further investment.
Market analysts are also optimistic about Exxon’s fundamentals. The Energy Information Administration (EIA) projects higher average oil prices for 2026, which could support earnings growth from Exxon’s production in regions like the Permian Basin and Guyana. Exxon has reiterated ambitious growth targets of a 13% earnings per share compound annual growth rate (CAGR) through 2030 while expanding its carbon capture capacity.
Analyst Ratings and Stock Performance
Analysts have offered mixed ratings for Exxon Mobil. Bank of America raised its price target from $135 to $151, maintaining a “neutral” rating. In contrast, Zacks Research upgraded Exxon from a “strong sell” to a “hold” rating. Morgan Stanley adjusted its price objective downward from $137 to $134 while keeping an “overweight” rating. Royal Bank of Canada set its target at $150 with a “sector perform” rating. The consensus among analysts shows that nine have rated the stock as a “Buy,” eight as “Hold,” and one as “Sell,” with an average rating of “Hold” and a consensus price target of $146.
On March 1, 2024, Exxon Mobil’s shares opened at $156.29, reflecting a market capitalization of $651.20 billion. The company reported a price-to-earnings (P/E) ratio of 23.36 and a PEG ratio of 1.26. The stock has fluctuated between a 12-month low of $97.80 and a high of $159.60.
Exxon Mobil also announced a quarterly dividend of $1.03 per share, paid on March 10, 2024, representing an annualized dividend of $4.12 and a dividend yield of 2.6%. The company’s dividend payout ratio currently stands at 61.58%.
Exxon Mobil Corporation is a prominent player in the integrated oil and gas sector, involved in all facets of the energy value chain, from exploration and production to refining and marketing. The company’s extensive operations include the sale of well-known brands such as Exxon, Mobil, and Esso, as well as the production of petrochemicals for various applications.
