Exxon’s CEO Is Positioning the Company to Operate Profitably for ‘Decades to Come’

(Luke Johnson/Bloomberg)

This article is an excerpt from “Amazon and 9 More Stocks to Buy for 2026,” published on Dec. 12, 2025. To see the full list, click here.

Exxon Mobil is the gold standard in the global energy business—and an update to the company’s five-year corporate plan this past week highlighted its strengths. Exxon now sees 13%-plus compound annual growth in earnings per share through 2030—up from the prior target of about 10%.

This assumes Brent crude averages $65 a barrel in real terms. That could be difficult if oil prices stay weak—Brent is now around $61—but oil has been an outlier as commodities like gold, silver, and copper have rallied. The long-term oil and gas supply picture looks positive, and global demand is still rising despite growth in renewable energy.

CEO Darren Woods is positioning the company to operate profitably for “decades to come.” The stock, now around $120, trades for 16 times projected 2026 earnings and yields 3.4%. Exxon Mobil has raised its dividend for 43 consecutive years, and the payout looks safe even if crude falls to $40 a barrel.

Morgan Stanley analyst Devin McDermott is bullish with a $137 target, citing “peer-leading cash flow and earnings growth” and the company’s diversified model, including refining and chemicals.

Write to Andrew Bary at andrew.bary@barrons.com