J.P. Morgan analyst Arun Jayaram has maintained their neutral stance on OXY stock, giving a Hold rating today.
Arun Jayaram’s rating is based on Occidental Petroleum’s strong financial performance in the first quarter of 2025, which included a significant reduction in debt and better-than-expected free cash flow. The company also reported positive developments in its Oman operations, contributing to its financial success. However, Jayaram expressed concerns about Occidental’s ability to meet its full-year guidance due to potential risks associated with U.S. operating costs and production volumes, particularly in the Gulf of Mexico.
The second quarter guidance was slightly below expectations, with lower production volumes anticipated, which could impact overall performance. Additionally, while Occidental’s cost reduction initiatives are promising, the need for increased production in the latter half of 2025 presents a challenge. These mixed signals led Jayaram to maintain a Hold rating, reflecting both the positive financial achievements and the uncertainties in meeting future targets.
In another report released today, Barclays also maintained a Hold rating on the stock with a $48.00 price target.
Based on the recent corporate insider activity of 55 insiders, corporate insider sentiment is positive on the stock. This means that over the past quarter there has been an increase of insiders buying their shares of OXY in relation to earlier this year.