6 Analysts Assess Hess: What You Need To Know

In the preceding three months, 6 analysts have released ratings for Hess HES, presenting a wide array of perspectives from bullish to bearish.

The following table summarizes their recent ratings, shedding light on the changing sentiments within the past 30 days and comparing them to the preceding months.

The 12-month price targets assessed by analysts reveal further insights, featuring an average target of $176.33, a high estimate of $205.00, and a low estimate of $152.00. Surpassing the previous average price target of $170.50, the current average has increased by 3.42%.

Interpreting Analyst Ratings: A Closer Look

The analysis of recent analyst actions sheds light on the perception of Hess by financial experts. The following summary presents key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts adapt their recommendations to changing market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their response to recent developments related to Hess. This information provides a snapshot of how analysts perceive the current state of the company.
• Rating: Gaining insights, analysts provide qualitative assessments, ranging from 'Outperform' to 'Underperform'. These ratings reflect expectations for the relative performance of Hess compared to the broader market.
• Price Targets: Understanding forecasts, analysts offer estimates for Hess's future value. Examining the current and prior targets provides insight into analysts' changing expectations.

Analyzing these analyst evaluations alongside relevant financial metrics can provide a comprehensive view of Hess's market position. Stay informed and make data-driven decisions with the assistance of our Ratings Table.

Stay up to date on Hess analyst ratings.

Get to Know Hess Better

Hess is an independent oil and gas producer with key assets in the Bakken Shale, Guyana, the Gulf of Mexico, and Southeast Asia. At the end of 2023, the company reported net proved reserves of 1.4 billion barrels of oil equivalent. Net production averaged 391 thousand barrels of oil equivalent per day in 2023, at a ratio of 74% oil and natural gas liquids and 26% natural gas.

Hess's Economic Impact: An Analysis

Market Capitalization: Exceeding industry standards, the company's market capitalization places it above industry average in size relative to peers. This emphasizes its significant scale and robust market position.

Positive Revenue Trend: Examining Hess's financials over 3 months reveals a positive narrative. The company achieved a noteworthy revenue growth rate of 2.62% as of 31 December, 2023, showcasing a substantial increase in top-line earnings. When compared to others in the Energy sector, the company excelled with a growth rate higher than the average among peers.

Net Margin: Hess's net margin lags behind industry averages, suggesting challenges in maintaining strong profitability. With a net margin of 13.72%, the company may face hurdles in effective cost management.

Return on Equity (ROE): The company's ROE is below industry benchmarks, signaling potential difficulties in efficiently using equity capital. With an ROE of 4.69%, the company may need to address challenges in generating satisfactory returns for shareholders.

Return on Assets (ROA): The company's ROA is below industry benchmarks, signaling potential difficulties in efficiently utilizing assets. With an ROA of 1.75%, the company may need to address challenges in generating satisfactory returns from its assets.

Debt Management: With a high debt-to-equity ratio of 1.07, Hess faces challenges in effectively managing its debt levels, indicating potential financial strain.

How Are Analyst Ratings Determined?

Analyst ratings serve as essential indicators of stock performance, provided by experts in banking and financial systems. These specialists diligently analyze company financial statements, participate in conference calls, and engage with insiders to generate quarterly ratings for individual stocks.

Some analysts publish their predictions for metrics such as growth estimates, earnings, and revenue to provide additional guidance with their ratings. When using analyst ratings, it is important to keep in mind that stock and sector analysts are also human and are only offering their opinions to investors.

This article was generated by Benzinga's automated content engine and reviewed by an editor.