Estabrook Capital Management Lowers Chevron Stake to $11.9 Million

Estabrook Capital Management has reduced its investment in Chevron Corporation (NYSE: CVX) by 2.4% during the second quarter of 2023, according to a recent filing with the Securities & Exchange Commission. The firm now holds 83,100 shares of the oil giant, valued at approximately $11.9 million. This adjustment follows the sale of 2,002 shares, positioning Chevron as the 15th largest holding in Estabrook’s portfolio, making up about 1.8% of their investments.

Other institutional investors have also altered their stakes in Chevron in recent months. Solitude Financial Services increased its stake by 8.2%, now owning 25,325 shares valued at $3.6 million after acquiring an additional 1,913 shares. Similarly, Shell Asset Management Co. raised its holdings by 21.4%, bringing its total to 51,115 shares worth $7.3 million after purchasing 9,002 shares. Additionally, Mutual Advisors LLC boosted its investment by 7.3%, now holding 88,759 shares valued at $13.7 million following the purchase of 6,058 shares.

Costello Asset Management INC reported an impressive rise in its Chevron stake by 26.9%, now owning 16,694 shares worth $2.39 million. In the first quarter, Jones Financial Companies Lllp increased its position by 25.7%, holding 697,011 shares valued at $115.9 million. Collectively, institutional investors and hedge funds own approximately 72.42% of Chevron’s stock.

Chevron Stock Performance and Dividend Announcement

On the trading front, Chevron shares opened at $151.21 on Friday. The stock has experienced a one-year low of $132.04 and a high of $168.96. Current metrics show a market capitalization of $304.46 billion, a price-to-earnings ratio of 19.46, and a debt-to-equity ratio of 0.16. The company also recently announced a quarterly dividend of $1.71 per share, set to be paid on December 10, 2023, to shareholders recorded by November 18, 2023. This dividend reflects an annualized amount of $6.84 and a yield of 4.5%, with a payout ratio of 96.20%.

In a notable insider transaction, John B. Hess, a director at Chevron, sold 275,000 shares on November 20, 2023, at an average price of $150.75, amounting to a total value of $41.5 million. Post-transaction, Hess retains ownership of 1,128,045 shares, valued at approximately $170.1 million, a reduction of 19.60% in his ownership.

Analysts’ Perspectives on Chevron

Chevron has garnered attention from various analysts in recent weeks. Bank of America raised its target price for Chevron shares from $170.00 to $185.00 and assigned a “buy” rating. Scotiabank upgraded its price objective from $160.00 to $165.00, while TD Cowen increased its target from $150.00 to $155.00, suggesting a “hold” rating. Conversely, Piper Sandler decreased its target from $171.00 to $169.00, maintaining an “overweight” rating.

Overall, ten investment analysts have rated Chevron as a “buy,” nine have given a “hold” rating, and four have suggested a “sell.” As of now, Chevron has a consensus rating of “hold” with an average price target of $165.58, according to data from MarketBeat.

Chevron Corporation, through its subsidiaries, engages in integrated energy and chemical operations both in the United States and internationally. The company operates in two segments: upstream and downstream, focusing on exploration, production, and transportation of crude oil and natural gas, among other activities.