New York, January 30, 2026, 10:58 (EST) — Regular session underway.
- XOM dropped in early trading following Exxon’s fourth-quarter earnings report.
- The company continued its buyback program and highlighted increased production levels.
- With crude climbing past $70 a barrel, oil traders are focused on Sunday’s OPEC+ meeting.
Exxon Mobil shares fell Friday despite the company topping quarterly earnings estimates. A rare loss in its chemicals division weighed on sentiment. By 10:43 a.m. EST, the stock was down 0.7% to $139.52, after fluctuating between $135.49 and $140.30.
The report arrives as oil giants scramble to show they can protect cash returns despite rough patches in the cycle. Exxon has focused heavily on boosting production and refining, but chemicals remain a sore spot.
Oil prices are adding to market jitters. Brent crude hovered around $72 a barrel, marking its highest level since August, as bets grew that OPEC+ will hold off on raising output in March, sources said ahead of Sunday’s meeting. (Reuters)
Exxon reported quarterly earnings of $6.5 billion, or $1.53 per share. Strip out certain items, and that jumps to $7.3 billion, or $1.71 per share. Operating cash flow hit $12.7 billion, with free cash flow at $5.6 billion—cash remaining after expenses. The company returned $9.5 billion to shareholders, including $5.1 billion in share buybacks. Exxon confirmed it plans to buy back $20 billion in shares through 2026, announced a quarterly dividend of $1.03 per share, and forecasted capital spending between $27 billion and $29 billion for 2026. (Exxon Mobil Corporation)
Exxon reported full-year net production at 4.7 million oil-equivalent barrels per day, its highest in over four decades, with fourth-quarter output hitting 5.0 million. The chemicals division swung to an adjusted loss of $11 million, even as refining profits rose. Biraj Borkhataria of RBC Capital Markets noted this underscores the deep challenges facing the chemicals sector. CEO Darren Woods told CNBC that Exxon’s outstanding Venezuela balance is “not material,” adding that legal safeguards would play a key role before any potential return. (Reuters)
Chevron, Exxon’s top U.S. rival, also exceeded fourth-quarter profit forecasts on Friday and highlighted Venezuela as a potential growth area, drawing focus to how major players are allocating capital amid firm crude prices. Chevron CEO Mike Wirth said the company is prepared to assist Venezuela in “building a better future” if given the chance. (Reuters)
The catch for Exxon is that the downstream boost can vanish quickly. Refining margins, usually measured by crack spreads—the difference between crude oil and products like gasoline and diesel—tend to shrink when demand drops.
Chemicals remain a weak spot. Continued pressure on prices from new capacity means the sector’s rebound from loss to profit could stretch out longer than investors expect.
In oil markets, the recent rebound carries a geopolitical twist. Should OPEC+ ramp up supply unexpectedly, or tensions over Iran ease, crude prices might pull back, stripping some of the sector’s current support.
Sunday, Feb. 1, stands out as the next key date when OPEC+ will decide on March production levels. Investors in Exxon will be focused on whether the company adjusts its buyback tempo or spending approach as Q1 kicks off.
