Shares of Chevron Corp. (NYS:CVX) climbed 1.1% in premarket trading Friday, after the oil giant swung to a second-quarter profit and reported revenue that beat expectations, with free cash flow reaching the highest in two years. The company plans to resume stock repurchases in the third quarter, at an annual rate of $2 billion to $3 billion a year. Chevron reported net income of $3.08 billion, or $1.60 a share, after a loss of $8.27 billion, or $4.44 a share, in the year-ago period. The FactSet consensus for earnings per share was $1.59. Total revenue nearly tripled to $37.60 billion from $13.49 billion, above the FactSet consensus of $36.33 billion. Free cash flow was $5.2 billion, topping expectations of $4.8 billion. The company's U.S. upstream business swung to earnings of $1.4 billion from a loss of $2.1 billion a year ago, while U.S. downstream business earned $776 million after losing $988 million last year. Worldwide net oil-equivalent production rose 5% to 3.13 million barrels per day. The stock has slipped 0.5% over the past three months through Thursday, while the SPDR Energy Select Sector ETF (PSE:XLE) has gained 1.6% and the Dow Jones Industrial Average (DOW:DJIA) has advanced 3.6%.
July 30, 2021, 6:15 a.m. EDT