Wednesday, January 12, 2011

Chevron (NYSE:CVX) Estimates Raised on Lower FX, Derivative Losses

Citing lower-than-expected losses from FX and derivatives, Barclay raised their EPS estimates on Chevron (NYSE:CVX) for the fourth quarter of 2010.

Barclays said, "We believe CVX's 4Q10 interim update (1/11/11) will have a slightly positive impact on the stock, with consensus estimates likely to be raised from the current level. Although production came in only broadly in line with our expectation, we raise our estimate due to lower-than-expected FX and derivative losses as well as somewhat better R&M margin indicators...We increase our 4Q10 EPS estimate to $2.50 per share, compared to our previous estimate of $2.30 per share and consensus of $2.33 per share. We maintain our 2011 EPS estimate of $11.35 per share."

Barclays reiterates an "Overweight" rating on Chevron, which was trading at $92.46, up $0.63, or 0.69 percent. Barclays has a price target of $113 on Chevron.

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