Occidental Petroleum continues gains for seven straight sessions

Occidental Petroleum (NYSE:OXY) continued gains for a seventh straight session as the stock closed 0.27% higher, at $55.91 on Monday.

The Texas-based oil and gas company gained 9.27% over the course of the last six trading days. The stock has lost 6.13% so far this year, compared to over 20% gain in the broader S&P 500 Index.

OXY is up 8% over the past one month. The stock closed 1.77% higher, at $55.76 on Friday.

Oil prices have jumped after Iran launched missiles against Israel last week, a move considered to be a significant escalation of Middle East tensions that may ultimately threaten global crude supplies from the region.

Occidental’s subsidiary, 1PointFive was awarded $36M in funding from the U.S. Department of Energy last week for development of its carbon dioxide sequestration hubs, weeks after the company was awarded a $500M funding to support development of the South Texas Direct Air Capture Hub.

Reflecting on the recent positive trend, analysts remain optimistic regarding the stock. Seeking Alpha’s Quant rating has given the stock a HOLD, and has given it a score of 3.07 out of 5, with an A in profitability, and a D- in momentum.

Looking at the Wall Street community, 9 out of 27 analysts recommend BUY and above, 17 recommend HOLD while one recommends a STRONG SELL.

Seeking Alpha analysts share the same view and have rated the stock a HOLD.

Analyst Danil Sereda believes longer-term investors should continue to add to their long positions as the company “is building the infrastructure for a strong future with its business strategy and improvements”.

“OXY should take advantage of lower crude oil and transport costs between the Permian and the Gulf Coast, which management expects to translate into $300 million-$400 million in annualized savings,” Sereda added.