**Exxon Mobil says higher gasoline prices should boost profits **

Exxon Mobil expects higher gasoline prices to boost fourth-quarter earnings $700 million to $1.1 billion from the third quarter.

ExxonMobil said Thursday it expects higher gasoline prices to boost fourth-quarter earnings $700 million to $1.1 billion from the third quarter.

The energy giant wrote in a filing with the Securities and Exchange Commission that the increase in natural gas liquids prices is expected to add $400 million to $800 million. Exxon said changes in chemicals margins would take $600 million to $800 million of gains, changes in unsettled derivatives would add $500 million to $1.1 billion and changes in refining margins would have a neutral to negative impact of $200 million.

Shares were recently trading at $61.08, up 0.47%.

Morningstar analyst Allen Good quotes a fair value of $76, which gives the company plenty of time.

"Exxon's combination of earnings potential growth and cash flow performance is unparalleled in the industry," he wrote earlier this month. In light of this and the company's discount to fair value estimates, Good said, "We continue to view Exxon as the best choice among integrated oil and gas companies."

"ExxonMobil helped ease concerns about capital discipline by expanding its previous annual investment forecast from $20 billion to $25 billion for another two years, through 2027.

"The company provided a precise spending direction in 2022, but the waterfall was in this range, marking a $16 billion increase in 2021, with increased upstream development and reclamation, revocation of downstream projects and chemicals was suspended for 2020 . However, higher investment spending was expected in 2022, leaving the extension to 2027 as the important take.

Source

Weil, D. (2021, December 31). Exxon Mobil Says Rising Gasoline Prices Should Boost Earnings. TheStreet. Retrieved December 31, 2021, from https://www.thestreet.com/investing/exxon-mobil-gasoline-prices-earnings?puc=yahoo&cm_ven=YAHOO