Chevron shares rose roughly 3.3% Monday morning as Brent crude climbed back near $85 per barrel after Iran placed conditions on restoring shipping traffic through the Strait of Hormuz, reviving geopolitical risk that had faded the prior week. The integrated energy giant reported second-quarter earnings of $12.1 billion, with production reaching approximately 4 million barrels of oil equivalent per day, including a record 2.08 million barrels from the U.S. Upstream earnings hit $8.2 billion and downstream profit climbed to $4.9 billion, supported by U.S. refineries processing more than 1 million barrels per day, another record. Chevron returned $6.5 billion to shareholders through dividends and buybacks during the quarter. GuruFocus notes the stock trades at $192.63, about 21.87% above its GF Value estimate of $158.06, leaving little room for disappointment if oil prices weaken.
Chevron CorpIran's conditions on Hormuz shipping revive geopolitical risk, lifting oil prices and Chevron's stock.
