Can CVX sustain its earnings momentum into 2025?

**Chevron's (CVX) prospects for sustaining its earnings momentum into 2025 appear positive**, based on several key factors:

1. **Strong Financial Performance**: CVX's recent financials show robust net income and revenue growth. The company reported a net income of $3.26 billion and total revenue of $52.23 billion for the most recent quarter. The diluted EPS grew by 50.82% to $1.84.

|code|Ticker|Name|Date|Net Income YoY|Total Revenue YoY|Diluted EPS YoY|market_code|
|---|---|---|---|---|---|---|---|
|CVX|CVX.N|Chevron|2024 Q1|-15.957607872823617|-4.089146142184947|-14.161849710982652|169|
|CVX|CVX.N|Chevron|2024 Q2|-26.04860186418109|4.6731839005235605|-24.0625|169|
|CVX|CVX.N|Chevron|2024 Q3|-31.41113653699466|-6.3073224852071|-28.735632183908045|169|
|CVX|CVX.N|Chevron|2024 Q4|45.296477931341954|10.69520983467571|50.819672131147556|169|

|code|Ticker|Name|Date|Net Income YoY|Net Income|market_code|
|---|---|---|---|---|---|---|
|CVX|CVX.N|Chevron|2024 Q1|-15.957607872823617|5.551E9|169|
|CVX|CVX.N|Chevron|2024 Q2|-26.04860186418109|4.443E9|169|
|CVX|CVX.N|Chevron|2024 Q3|-31.41113653699466|4.496E9|169|
|CVX|CVX.N|Chevron|2024 Q4|45.296477931341954|3.259E9|169|

|code|Ticker|Name|Date|Total Revenue YoY|Total Revenue|market_code|
|---|---|---|---|---|---|---|
|CVX|CVX.N|Chevron|2024 Q1|-4.089146142184947|4.8716E10|169|
|CVX|CVX.N|Chevron|2024 Q2|4.6731839005235605|5.1181E10|169|
|CVX|CVX.N|Chevron|2024 Q3|-6.3073224852071|5.0669E10|169|
|CVX|CVX.N|Chevron|2024 Q4|10.69520983467571|5.2226E10|169|

|code|Ticker|Name|Date|Diluted EPS YoY|Diluted EPS|market_code|
|---|---|---|---|---|---|---|
|CVX|CVX.N|Chevron|2024 Q1|-14.161849710982652|2.97|169|
|CVX|CVX.N|Chevron|2024 Q2|-24.0625|2.43|169|
|CVX|CVX.N|Chevron|2024 Q3|-28.735632183908045|2.48|169|
|CVX|CVX.N|Chevron|2024 Q4|50.819672131147556|1.84|169|

2. **Free Cash Flow and Dividend Policy**: Chevron has been aggressively returning value to shareholders, with a record $27 billion in cash returns in 2024. The company aims to increase its free cash flow by $6-$8 billion by 2025, and it plans to maintain annual buybacks between $10 billion and $20 billion.
3. **Strategic Initiatives**: CVX is focusing on growing its upstream assets, with expectations to add $10 billion in annual free cash flow by 2026. Key projects include the integration of PDC Energy and the development of its Guyana assets.
4. **Operational Efficiency and Cost Management**: Chevron is enhancing operational efficiency and reducing costs, which could lead to improved margins and cash flow. The company has also announced leadership changes to enhance organizational efficiency.
5. **Market Position and Outlook**: Despite short-term volatility, the global energy market is expected to grow, particularly in the LNG sector, which aligns with Chevron's strategic focus. The company's diversified portfolio and strong market presence in the Permian Basin and Gulf of Mexico position it well for long-term growth.

In conclusion, Chevron's solid financials, strategic initiatives, and commitment to shareholder returns suggest that it is well-positioned to sustain its earnings momentum into 2025. However, investors should monitor the company's execution of strategic plans and the impact of market fluctuations on its performance.