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Occidental Petroleum Corporation (OXY - Free Report) is scheduled to release third-quarter 2022 results on Nov 8. In the last reported quarter, the company delivered an earnings surprise of 7.9%.

Let’s discuss the factors that are likely to get reflected in the upcoming quarterly results.
 

Factors to Consider

Occidental’s third-quarter earnings are expected to have benefited from share repurchases initiated in the last quarter. The repayment of outstanding debts would reduce capital servicing cost and boost margins.

Strong production from domestic assets may have given a boost to total production volumes in the quarter. However, lower sulfur prices are likely to have impacted the midstream business in the third quarter.
 

Expectations

The Zacks Consensus Estimate for third-quarter earnings per share and total revenues are pegged at $2.48 per share and $9.35 billion, reflecting a year-over-year increase of 185% and 37.3%, respectively.
 

What Our Quantitative Model Predicts

Our proven model does not conclusively predict an earnings beat for Occidental this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of an earnings beat. This is not the case here, as you see below. 

Occidental Petroleum Corporation Price and EPS Surprise

Occidental Petroleum Corporation price-eps-surprise | Occidental Petroleum Corporation Quote

Earnings ESP: Occidental’s Earnings ESP is -1.77%.

You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Zacks Rank: Occidental currently carries a Zacks Rank #3.

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