Chevron – Morgan Stanley says Exxon and Chevron shares will keep rallying as earnings top expectations
A sign is posted in front of a Chevron gas station on July 31, 2020 in Novato, California.
Justin Sullivan | Getty Images
Chevron and Exxon Mobil should beat earnings estimates for the second quarter and see their shares rise even more, according to Morgan Stanley.
The energy stocks have gained 31% and 56%, respectively, in 2021 as the U.S. economy has reopened and global oil prices have rebounded. West Texas Intermediate crude was above $72 a barrel on Wednesday, up more than 49%.
Morgan Stanley analyst Devin McDermott projected the two oil giants would post second-quarter earnings comfortably above consensus estimates, saying in a note that the results should also push future estimates higher.