How ExxonMobil's Long-Term Strategy Offers Stability Amid Volatility

Exxon Mobil Corporation XOM is kick-starting 10 large energy projects, spanning oil, gas, chemicals and low-carbon solutions this year. The large integrated energy player has estimated that the projects will add more than $3 billion in earnings by 2026, significantly enhancing its bottom line. The developments reflect XOM’s strong focus on generating money for the long term while investing in high-quality projects.Among the key projects, XOM’s new chemical plant in China is worth mentioning. The integrated energy giant touted it as the most complex project to date, which was built faster and cheaper than expected, and will be capable of supplying valuable chemical products to the Chinese market directly. Importantly, since the plant is located within the country, the facility will be free from tariffs and trade barriers.  Another key highlight is ExxonMobil’s initiatives in the United States, particularly its expansion of advanced plastic recycling operations in Baytown, TX.   The developments reflect XOM’s plan to grow steadily through innovations, technology and scale. Thus, by investing and building in areas with high demand and low cost, the energy major will be capable of generating handsome earnings even when the business environment turns tough.Advantageous Projects of BP & CVXBP plc BP and Chevron Corporation CVX are two other integrated energy giants with several advantageous projects.On the first-quarter 2025 earnings call, BP mentioned the commencement of three key oil and gas projects — one in Trinidad (Cypre), another in Egypt (Raven infill) and a third off the coast of Mauritania and Senegal (GTA project). BP expects the projects to produce a combined total of 100,000 barrels of oil and gas per day. Notably, these advancements are part of BP’s broader program of increasing its total oil and gas output by 250,000 barrels per day by the year 2027.Coming to Chevron’s story, the energy major’s Ballymore oil field in the Gulf of Mexico has commenced pumping oil. CVX added that the project will eventually add 300,000 barrels per day. Moreover, Chevron has a key natural gas project located off the coast of Cyprus.XOM’s Price Performance, Valuation & EstimatesShares of XOM have gained 1.6% over the past year, outpacing the 2% decline of the composite stocks belonging to the industry. Image Source: Zacks Investment ResearchFrom a valuation standpoint, XOM trades at a trailing 12-month enterprise value to EBITDA (EV/EBITDA) of 6.92X. This is above the broader industry average of 4.19X. Image Source: Zacks Investment ResearchThe Zacks Consensus Estimate for XOM’s 2025 earnings hasn’t been revised over the past seven days. Image Source: Zacks Investment ResearchXOM stock currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.Zacks Names #1 Semiconductor StockIt's only 1/9,000th the size of NVIDIA which skyrocketed more than +800% since we recommended it. NVIDIA is still strong, but our new top chip stock has much more room to boom.With strong earnings growth and an expanding customer base, it's positioned to feed the rampant demand for Artificial Intelligence, Machine Learning, and Internet of Things. Global semiconductor manufacturing is projected to explode from $452 billion in 2021 to $803 billion by 2028.See This Stock Now for Free >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report BP p.l.c. (BP): Free Stock Analysis Report Chevron Corporation (CVX): Free Stock Analysis Report Exxon Mobil Corporation (XOM): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks