ExxonMobil vs BP

ExxonMobil and BP p.l.c. are compared here to illuminate differing business models, financial performance, and market context. This page provides a neutral, accessible overview of strategies, operations, and sector positioning to help readers understand how each company navigates energy markets. Educational content, not financial advice.

ExxonMobil and BP p.l.c. are compared here to illuminate differing business models, financial performance, and market context. This page provides a neutral, accessible overview of strategies, operatio...

Comparison Snapshot

Key Financial Metrics

XOM

Metric

BP

$578.37B

Market Cap

$99.34B

-4.22%

Potential Profit

7.51%

Buy

Analyst Rating

Buy

Why It's Moving

ExxonMobil Crushes Q4 Earnings with Record Production, Powering Ahead Despite Oil Slump

Record 4.7 million barrels/day full-year production—highest in 40 years—drove margins higher via Permian records at 1.8 million barrels/day and Guyana exceeding 700,000 gross barrels/day.
Completed 10 key projects adding $3 billion in 2025 earnings, including early Yellowtail startup in Guyana and new facilities like Singapore Resid Upgrade for high-value products.
$20 billion in 2025 buybacks plus 4% dividend hike to $1.03 quarterly reinforce 43-year growth streak, signaling robust capital returns amid cost savings of $15.1 billion since 2019.

Sentiment:

🐃Bullish

BP Shares Surge on Oil Price Rebound and Aggressive Buyback Momentum

Brent oil rallied from $60 lows on US-Iran strike risks, Chinese stockpiling, and cold weather lifting gas prices, easing pressures on BP's refining margins.
BP expanded January buybacks to $750 million quarterly and transacted own shares on February 2, signaling strong capital returns to counter oil volatility.
Upcoming February 10 earnings forecast EPS growth to $0.57, up 29.55% year-over-year, with analysts eyeing positive revisions amid sector tailwinds.

Sentiment:

🐃Bullish

ExxonMobil Crushes Q4 Earnings with Record Production, Powering Ahead Despite Oil Slump

Record 4.7 million barrels/day full-year production—highest in 40 years—drove margins higher via Permian records at 1.8 million barrels/day and Guyana exceeding 700,000 gross barrels/day.
Completed 10 key projects adding $3 billion in 2025 earnings, including early Yellowtail startup in Guyana and new facilities like Singapore Resid Upgrade for high-value products.
$20 billion in 2025 buybacks plus 4% dividend hike to $1.03 quarterly reinforce 43-year growth streak, signaling robust capital returns amid cost savings of $15.1 billion since 2019.

Sentiment:

🐃Bullish

BP Shares Surge on Oil Price Rebound and Aggressive Buyback Momentum

Brent oil rallied from $60 lows on US-Iran strike risks, Chinese stockpiling, and cold weather lifting gas prices, easing pressures on BP's refining margins.
BP expanded January buybacks to $750 million quarterly and transacted own shares on February 2, signaling strong capital returns to counter oil volatility.
Upcoming February 10 earnings forecast EPS growth to $0.57, up 29.55% year-over-year, with analysts eyeing positive revisions amid sector tailwinds.

Sentiment:

🐃Bullish

Investment Analysis

ExxonMobil

XOM

Pros

ExxonMobil has a strong balance sheet with a low debt-to-capitalization ratio of 13.4%, providing resilience in uncertain environments.
The company has a consistent dividend growth history, having increased dividends for over 40 consecutive years.
ExxonMobil shows strong profitability metrics including a normalized return on equity near 13% and a return on invested capital above 11%.

Considerations

ExxonMobil is trading at a premium valuation with a higher EV/EBITDA multiple compared to peers, which could limit upside potential.
Technical indicators offer mixed signals, including recent short-term sell signals on some moving averages.
Energy demand uncertainty and tariff concerns pose risks to ExxonMobil's business outlook.

BP

Pros

BP offers a higher dividend yield of approximately 6.5%, attractive for income-focused investors.
The company benefits from a diversified business model with notable downstream operations that can offset upstream volatility.
BP has shown some bullish technical indicators recently and is supported by a range of carbon-related products and services addressing the energy transition.

Considerations

BP’s balance sheet is weaker, with a significantly higher debt-to-capitalization ratio near 43%, increasing financial risk.
BP's dividend history is less stable, including a cut during the 2020 pandemic, reflecting vulnerability to demand shocks.
BP’s stock shows higher volatility and larger historical drawdowns than ExxonMobil, indicating greater risk.

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