Earnings Preview: Chevron

| About: Chevron Corporation (CVX)

Chevron (NYSE:CVX) is expected to report Q1 earnings before the market open on Friday, April 27 with a conference call scheduled for 11:00 am ET.


Analysts are looking for EPS of $3.26 on revenue of $72.42B. The consensus range is $2.92-$3.51 for EPS, and $56.32B-$95.1B for revenue, according to First Call. After reporting disappointing Q4 earnings results, it gave FY12 production guidance of 2,680 Mboe/d. During its interim update, the company said its Q1 results will be higher than its Q4 results, with both upstream and downstream earnings expected to improve. The company cited higher crude oil prices, lower operating expenses, and improved refining. At a recent interview on CNBC, CEO John Watson said demand destruction is happening now and that there is a limit to what OPEC can do. Investors will look to hear if the company provides any more color on the oil market in 2012 as the volatility in Iran continues. The company should also provide an update on its drilling operations in Nigeria and Brazil in the aftermath of the rig fire and oil spill, respectively.

Analyst Views

Chevron was upgraded to Buy at Deutsche Bank, citing benefit expectations from U.S. crude prices. Barclays' also said the company's shares are undervalued