ConocoPhillips Stock Drops Despite Market Gains: Key Takeaways

ConocoPhillips (COP) stock dropped 1.51% at $94.17, lagging the S&P 500's 0.14% gain. The energy company's stock has dropped 1.39% in the past month, falling short of the Oils-Energy sector's gain of 2.89%. ConocoPhillips is set to release its earnings on August 7, 2025, with an expected EPS of $1.38 and revenue of $14.7 billion. The Zacks Rank system shows a 0.21% rise in the Zacks Consensus EPS estimate, and the company currently boasts a Forward P/E ratio of 15.36 and a PEG ratio of 2.58.

ConocoPhillips (COP) reported its first-quarter 2025 earnings on May 8, 2025, with earnings per share (EPS) of $2.23, adjusted EPS of $2.09, and cash provided by operating activities of $6.1 billion. The company's stock, however, dropped 1.51% to $94.17, lagging the S&P 500's 0.14% gain. This underperformance comes despite the company's strong financial results and increased production.

The Houston-based energy company reported a 487 thousand barrels of oil equivalent per day (MBOED) increase in total company production to 2,389 MBOED, driven by higher volumes and partially offset by increased operating costs and lower prices. Lower 48 production increased by 115 MBOED or 5% from the same period a year ago, with significant contributions from the Permian, Eagle Ford, and Bakken regions.

ConocoPhillips also announced a second-quarter ordinary dividend of $0.78 per share, payable June 2, 2025, and a full-year capital expenditures guidance of $12.3 to $12.6 billion, down from the prior guidance of approximately $12.9 billion. The company maintained its full-year production guidance while lowering its full-year adjusted operating cost guidance to $10.7 to $10.9 billion.

The stock's recent performance reflects the broader sector dynamics, with the Oils-Energy sector gaining 2.89% over the past month, despite COP's 1.39% decline. Investors are anticipating ConocoPhillips' earnings release on August 7, 2025, with an expected EPS of $1.38 and revenue of $14.7 billion. The Zacks Rank system shows a 0.21% rise in the Zacks Consensus EPS estimate, with the company currently boasting a Forward P/E ratio of 15.36 and a PEG ratio of 2.58.

ConocoPhillips' strong first-quarter results highlight the company's ability to navigate a volatile macro environment and deliver consistent financial performance. However, the stock's recent underperformance may be a reflection of broader market sentiment or sector-specific factors. Investors should closely monitor the company's earnings release and other developments to better understand its future prospects.

References:
[1] https://www.businesswire.com/news/home/20250508066084/en/ConocoPhillips-announces-first-quarter-2025-results-and-quarterly-dividend