Deutsche Bank Upgrades ExxonMobil (XOM) to Buy; Bull Case for Dividend Yield Race
Tweet
Share
E-mailGet Alerts XOM Hot Sheet
Price: $118.52 --0%
Rating Summary:
19 Buy, 18 Hold, 1 Sell
Rating Trend:
Up
Today's Overall Ratings:
Up: 7 | Down: 10 | New: 6
Rating Summary:
19 Buy, 18 Hold, 1 Sell
Rating Trend:
Up
Today's Overall Ratings:
Up: 7 | Down: 10 | New: 6
Join SI Premium – FREE
Deutsche Bank upgraded ExxonMobil (NYSE: XOM) to Buy with a price target of $100.00.
Deutsche analyst, said, "Bull case: if XOM pursues dividend competition with 3.1% yielding Chevron (NYSE: CVX), as CEO Tillerson implied at the March 2012 analyst meeting, we would expect a 33% increase in XOM’s dividend over the next year; giving it top slot on cash return to shareholders in our coverage for 2013 (3.1% dividend, 4.2% buyback). But we doubt that this genuine AAA credit, on which the CDS traded richer than the US government during the 08/09 financial crisis, will get to yield over 3%. Rather, we believe a 33% div increase would generate at least 15% share price appreciation as the market holds XOM’s dividend yield at our target 2.5% 2013e."
For an analyst ratings summary and ratings history on ExxonMobil click here. For more ratings news on ExxonMobil click here.
Shares of ExxonMobil closed at $85.45 yesterday.
Deutsche analyst, said, "Bull case: if XOM pursues dividend competition with 3.1% yielding Chevron (NYSE: CVX), as CEO Tillerson implied at the March 2012 analyst meeting, we would expect a 33% increase in XOM’s dividend over the next year; giving it top slot on cash return to shareholders in our coverage for 2013 (3.1% dividend, 4.2% buyback). But we doubt that this genuine AAA credit, on which the CDS traded richer than the US government during the 08/09 financial crisis, will get to yield over 3%. Rather, we believe a 33% div increase would generate at least 15% share price appreciation as the market holds XOM’s dividend yield at our target 2.5% 2013e."
For an analyst ratings summary and ratings history on ExxonMobil click here. For more ratings news on ExxonMobil click here.
Shares of ExxonMobil closed at $85.45 yesterday.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- EasyJet Plc. (EZJ:LN) (ESYJY) PT Raised to GBP750 at BofA Securities
- Texas Roadhouse (TXRH) PT Raised to $168 at Deutsche Bank
- JMP Securities Starts The RMR Group Inc. (RMR) at Market Perform, 'Pure-Pay'
Create E-mail Alert Related Categories
Analyst Comments, Analyst EPS Change, Analyst EPS View, Analyst PT Change, Dividends, UpgradesRelated Entities
Deutsche Bank, DividendSign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!
