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Chevron, Exxon To Report Earnings On Friday: Here's What To Expect

This week has been one of the biggest earnings weeks of the year, with goliaths such as Apple, Facebook and Google reporting.

On Friday, there are still a few notable companies to report earnings. Chevron (NYSE: CVX) and ExxonMobil (NYSE: XOM) report earnings before the market opens on Friday.

What to expect from Chevron: Oil prices have risen steadily since the beginning of the year, as demand for fuel has increased dramatically. For three consecutive days this week, crude oil prices have risen, indicating a bullish sign for the oil and gas industry.

Bull Case: Increased demand, as well as the increased price of oil, could propel Chevron to beat estimates and help the company give positive guidance looking forward. More people are driving to work, more people are flying on planes thus increasing the demand and price of oil.

According to Oilprice.com, the United States is leading the demand for oil, as recovery here is outpacing many other countries throughout the world.

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Bear Case: Despite high prices and demand for oil, it could be hard for Chevron to maintain its current revenue. The COVID recovery optimism in the United States is not matched in many other countries around the world.

Oil producers worldwide are worried about India, where COVID-19 is now worse in the country than it has been at any point in the pandemic. India is a huge market for oil producers, with a population of more than 1.3 Billion people.

This uncertainty, coupled with Biden’s clean-energy plans, could make it tough for Chevron moving forward.

Estimates call for Exxon to report earnings of 59 cents per share on revenue of $55.2 billion. For Chevon, 95 cents on revenue of $30.9 billion.

© 2021 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.

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