Chevron Corporation (NYSE:CVX) stock is up on Wednesday as the company is expanding its operations into Libya.
This move comes amid a generally positive sentiment in the energy sector, which is outperforming broader market indices.
Details
Chevron’s subsidiary, Chevron Business Development EMEA Ltd., has been designated as a winning bidder in Libya’s 2025 Bid Round for Contract Area 106, located in the Sirte Basin.
This follows the signing of a Memorandum of Understanding with Libya’s National Oil Corporation on January 24, 2026, aimed at evaluating development and exploration potential in the region.
The company expressed excitement about entering Libya, highlighting the country’s significant proven oil reserves and its historical production capabilities.
Chevron aims to leverage its technical expertise to support Libya’s energy sector while expanding its own portfolio in North Africa and the Eastern Mediterranean.
Technical Analysis
The broader market is experiencing mixed performance, with the Energy sector leading gains at 2.78% while major indices like the Nasdaq are slightly down. This indicates that Chevron’s rise may be more aligned with sector-specific momentum rather than overall market trends.
Chevron is currently trading 8.2% above its 20-day simple moving average (SMA) and 18.4% above its 100-day SMA, demonstrating strong short-term and long-term strength. Over the past 12 months, shares have increased 18.34% and are positioned closer to their 52-week highs than lows.
The RSI is at 74.70, indicating that the stock is in overbought territory, while the MACD is above its signal line, suggesting bullish momentum. The combination of an overbought RSI and bullish MACD indicates that while the stock is currently strong, it may be due for a pullback.
- Key Resistance: $190.00
- Key Support: $152.50
Earnings & Analyst Outlook
Chevron Corporation is slated to provide its next financial update on May 1, 2026.
- EPS Estimate: $1.51 (Down from $2.18 YoY)
- Revenue Estimate: $46.76 billion (Down from $47.61 billion YoY)
- Valuation: P/E of 27.5x (Indicates premium valuation)
Analyst Consensus & Recent Actions: The stock carries a Buy Rating with an average price target of $173.71. Recent analyst moves include:
- Wells Fargo: Overweight (Raises Target to $204.00) (Feb. 2)
- Morgan Stanley: Overweight (Lowers Target to $174.00) (Jan. 23)
- Barclays: Equal-Weight (Raises Target to $166.00) (Jan. 21)
Valuation Insight: While the stock trades at a premium P/E multiple, the strong consensus and rising estimates suggest analysts view the growth prospects as justification for the current valuation.
Benzinga Edge Rankings
Below is the Benzinga Edge scorecard for Chevron, highlighting its strengths and weaknesses compared to the broader market:
- Value: 76.52 — The stock is trading at a reasonable valuation compared to peers.
- Momentum: 68.38 — Indicates positive momentum but not exceptionally strong.
The Verdict: Chevron’s Benzinga Edge signal reveals a solid position in the market with a strong Value score of 76.52. While the Momentum score of 68.38 suggests positive movement, it indicates that the stock is performing well but may not be at the peak of its potential.
Top ETF Exposure
- iShares Core High Dividend ETF (NYSE:HDV): 6.99% Weight
- First Trust Morningstar Dividend Leaders Index Fund (NYSE:FDL): 8.88% Weight
- SPDR S&P North American Natural Resources ETF (NYSE:NANR): 7.58% Weight
Significance: Because CVX carries such a heavy weight in these funds, any significant inflows or outflows for these ETFs will likely force automatic buying or selling of the stock.
CVX Price Action: Chevron shares were up 1.61% at $185.20 at the time of publication on Wednesday. The stock is trading at a new 52-week high, according to Benzinga Pro data.
Photo by Adwo via Shutterstock
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