3 Big Oil and Gas Stocks Shaking After Earnings

Exxon Mobil Corporation (NYSE:XOM) reported higher profit for the third quarter as revenue showed growth. Net income for Exxon Mobil Corporation rose to $10.33 billion ($2.13 per share) vs. $7.35 billion ($1.44 per share) in the same quarter a year earlier. This marks a rise of 40.5% from the year earlier quarter. Revenue rose 35.7% to $125.33 billion from the year earlier quarter. XOM was about in line with expectations as the mean analyst estimate of $2.11 per share. It beat the average revenue estimate of $113.56 billion.

“ExxonMobil’s results for the third quarter of 2011 reflect a continued commitment to operational integrity, disciplined investing and superior project execution. Third quarter earnings of $10.3 billion were up 41% from the third quarter of 2010, reflecting higher crude oil and natural gas realizations and improved refining margins. Earnings for the first nine months of 2011 were $31.7 billion, up 49% over the first nine months of 2010. In the third quarter, capital and exploration expenditures were $8.6 billion, and reached a record level of $26.7 billion for the first nine months of the year as we continue pursuing new opportunities to meet growing energy demand while supporting economic growth, including job creation. Oil-equivalent production decreased 4% compared to the third quarter of 2010. Excluding the impacts of entitlement volumes, OPEC quota effects and divestments, production was in line with 2010. The Corporation distributed over $7 billion to shareholders in the third quarter through dividends and share purchases to reduce shares outstanding.”

Competitors to Watch: Chevron Corporation (NYSE:CVX), BP plc (NYSE:BP), ConocoPhillips (NYSE:COP), Marathon Oil Corporation (NYSE:MRO), Hess Corp. (NYSE:HES), TOTAL S.A. (NYSE:TOT), Suncor Energy Inc. (NYSE:SU), Repsol YPF, S.A. (REPYY), and Petroleo Brasileiro SA (NYSE:PBR).

Occidental Petroleum Corporation (NYSE:OXY) reported net income above Wall Street’s expectations for the third quarter. Net income for Occidental Petroleum Corporation rose to $1.77 billion ($2.17 per share) vs. $1.19 billion ($1.46 per share) in the same quarter a year earlier. This marks a rise of 49% from the year earlier quarter. OXY beat the mean analyst estimate of $1.95 per share.

Stephen I. Chazen, President and Chief Executive Officer, said, “The third quarter 2011 domestic production was 436,000 BOE per day, the highest in Occidental’s history, and total sales were 743,000 BOE per day. We continue to generate strong financial results with cash flow from operations of $8.6 billion for the first nine months of 2011 and annualized ROE of 20 percent.”

Competitors to Watch: ConocoPhillips (NYSE:COP), Chevron Corporation (NYSE:CVX), Exxon Mobil Corporation (NYSE:XOM), Marathon Oil Corporation (NYSE:MRO), Hess Corp. (NYSE:HES), Eni S.p.A. (NYSE:E), Williams Companies, Inc. (NYSE:WMB), Double Eagle Petroleum Co. (NASDAQ:DBLE), Southwestern Energy Co. (NYSE:SWN), and EQT Corporation (NYSE:EQT).

Cameron International Corporation (NYSE:CAM) reported net income above Wall Street’s expectations for the third quarter. Net income for the oil and gas equipment and services company rose to $164.5 million (67 cents per share) vs. $148.7 million (61 cents per share) in the same quarter a year earlier. This marks a rise of 10.6% from the year earlier quarter. Revenue  rose 10.4% to $1.69 billion from the year earlier quarter. CAM reported adjusted net income of 78 cents per share. By that measure, the company beat the mean estimate of 74 cents per share. It fell short of the average revenue estimate of $1.81 billion.

Chief Executive Officer Jack B. Moore said that the year-over-year revenue increase was due to gains in the Drilling & Production Systems (NYSE:DPS) and Valves & Measurement (V&M) segments. He noted that EBITDA margins were up for the Company sequentially. Both the DPS and V&M segments drove these margin improvements. Total orders were $2.0 billion for the quarter, up from $1.48 billion in the third quarter of 2010, for an increase of 35%. “We are pleased at the pace of orders for the quarter, particularly with the strength of our shorter cycle businesses”, Moore commented, “In fact, this represents our third highest orders quarter in Cameron’s history”. Surface systems, Distributed Valves, Process Valves and Measurement had record quarterly orders. Subsea saw a 15% increase sequentially.

Competitors to Watch: FMC Technologies, Inc. (NYSE:FTI), T-3 Energy Services, Inc. (NASDAQ:TTES), National-Oilwell Varco, Inc. (NYSE:NOV), Dril-Quip, Inc. (NYSE:DRQ), Flotek Industries, Inc. (NYSE:FTK), Baker Hughes Incorporated (NYSE:BHI), Lufkin Industries, Inc. (NASDAQ:LUFK), Oil States Intl., Inc. (NYSE:OIS), Halliburton Company (NYSE:HAL), and Bolt Technology Corp. (NASDAQ:BOLT).

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