Has OXY Finally Hit The Bottom?

Summary:

  • OXY trades at ~$51, with a target of $60, reflecting an 18% upside, anchored by Fibonacci resistance levels.
  • An RSI of 27.46 signals oversold conditions, potentially undervaluing OXY; no immediate reversal is expected due to bearish sentiment.
  • Occidental achieved record production in Q2 2024, with $1.3 billion in free cash flow before working capital adjustments.
  • The recent strategic acquisition of CrownRock assets enhances OXY’s portfolio, boosting high-margin production and operational efficiency.
  • OXY aims to reduce $3.8 billion in debt by Q3 2024, reinforcing financial stability and future growth potential.

Vibrant Sunset Sky Behind an Offshore Oil Drilling Rig off the Coast of Orange County, California

Jeremy Poland

Investment Thesis

Despite a 20% price drop since our last coverage, Occidental Petroleum’s (NYSE:OXY) technical indicators suggest short-term weakness. The RSI signals the stock is oversold, and the declining Volume Price Trend (VPT) indicates lower trading volume as the


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