Chevron Tumbles 0.24% Despite Overweight Rating Bolstered by Hess Acquisition and 43rd Market Liquidity Rank

August 4, 2025 saw Chevron (CVX) trading with a 0.24% decline, closing at $152.80 on a trading volume of 1.53 billion, ranking 43rd in market liquidity. The stock remains near its fair value level with a $308 billion market cap and 19.3 P/E ratio. Recent strategic moves and earnings updates are shaping investor sentiment around the energy giant.

Morgan Stanley resumed coverage of Chevron with an Overweight rating and $174 price target, citing the completed $174 price target, citing the completed acquisition of Hess Corporation as a catalyst. The deal is expected to enhance Chevron’s growth potential and portfolio longevity, with analysts forecasting 5% cash flow growth from 2025-2030. The bank highlighted Chevron’s leading free cash flow dynamics into 2026, which it views as a key differentiator despite slower organic growth compared to peers.

Second-quarter results showed mixed performance. While Chevron exceeded EPS estimates at $1.77, revenue fell short at $44.82 billion. Operational metrics, including 3,396 thousand barrels of oil equivalent per day production, supported positive sentiment. The company anticipates full-year production to align with guidance, excluding Hess volumes, reinforcing its operational resilience amid economic challenges.

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