Spring, Texas-based Exxon Mobil Corporation (XOM) engages in the exploration and production of crude oil and natural gas in the United States and internationally. With a market cap of $446.1 billion, the company operates through Upstream, Energy Products, Chemical Products, and Specialty Products segments.

Companies worth $200 billion or more are generally described as "mega-cap stocks." Exxon Mobil fits right into that category, with its market cap exceeding this threshold, reflecting its substantial size and influence in the oil and gas industry. Its wide range of offerings, coupled with its worldwide network of oil and gas exploration sites, makes it stand out from its competitors.

XOM touched its all-time high of $126.34 on Jul. 10, 2024, and is currently trading 19.2% below that peak. Meanwhile, XOM has declined 8.3% over the past three months, outperforming the Energy Select Sector SPDR Fund’s (XLE) 10.3% dip during the same time frame.

XOM has outperformed the energy sector over the longer term as well. XOM stock has declined 13.2% over the past six months and 11.1% over the past 52 weeks, compared to XLE’s 14.2% dip over the past six months and 11.6% fall over the past year.

To confirm the downturn, XOM has also traded below its 50-day and 200-day moving averages since early April.

On May 2, XOM stock grew marginally following its mixed Q1 earnings release. The company’s total revenues and other income rose marginally year-over-year to $83.1 billion but failed to meet the Street’s estimates. Its non-GAAP net income for the quarter declined 6.2% from the prior year’s quarter to $7.7 billion, mainly caused by a significant decline in industry refining margins, weaker crude prices, lower base volumes from strategic divestments, and higher expenses from growth initiatives. However, despite declining 14.6% from its year-ago value to $1.76, XOM’s adjusted EPS successfully beat the consensus estimates by 1.2%.

Meanwhile, Exxon’s peer BP p.l.c.’s (BP) stock has declined marginally over the past six months, outperforming XOM. However, over the past year, BP has tanked 22.6% and has lagged behind XOM.

Among the 24 analysts covering the XOM stock, the consensus rating is a “Moderate Buy.” Its mean price target of $122.69 suggests a robust 20.2% upside potential from current price levels.