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Exxon Mobil's Strong Q2 Results And Production Gains Offset By Economic Concerns: Analysts Cautiously Optimistic

Exxon Mobil Corporation (NYSE:XOM) shares are trading lower today. The sector might be moving amid overall market weakness due to economic slowdown concerns following recent U.S. data, which could negatively impact demand. Last week, the company reported second-quarter revenue of $93.060 billion, beating the consensus of $90.987 billion, and adjusted EPS of $2.14, surpassing the $2.01 estimate. Truist Securities analyst Neal Dingmann writes that Exxon is already benefiting from the Pioneer acquisition, with Permian production nearly doubling to 1.2 mmboepd and potential operational efficiencies from the combined assets. Additionally, Guyana production reached a record over 630 mbpd, surpassing the current FPSO capacity. The analyst adds that despite potential efficiencies, the company's free cash flow yield might only be in the ...