Hess stock price target maintained at $173 by UBS ahead of 2Q25 results

Investing.com - UBS maintained its Buy rating and $173.00 price target on Hess Corp . (NYSE:HES), currently trading at $143.03 with a market capitalization of $44 billion, as the oil company approaches its second-quarter 2025 earnings report on July 23. InvestingPro data shows the company maintains a "GREAT" financial health score, with analyst targets ranging from $136 to $191.

The investment bank expects strong performance across Hess’s asset portfolio in what could potentially be the company’s final quarterly update as a standalone entity.

UBS noted that following recent investor meetings with Hess in London, both event-driven and fundamental investors appear to be leaning toward expectations of a favorable ruling in the Chevron-Hess arbitration case.

The firm maintains its forecast that the Chevron-Hess transaction will close in the third quarter of 2025, representing a significant milestone for the company.

UBS continues to see a 3:1 risk/reward ratio for Hess shares, with the arbitration outcome serving as the key catalyst for the stock’s performance.

In other recent news, Hess Corporation reported first-quarter earnings and revenue that surpassed analyst expectations. The company posted adjusted earnings of $1.81 per share, exceeding the consensus estimate of $1.73, while revenue reached $2.94 billion, above the anticipated $2.85 billion. Hess maintained stable production levels, with net production at 476,000 barrels of oil equivalent per day, similar to the previous year. The company anticipates second-quarter production to be between 480,000 and 490,000 barrels per day. Additionally, UBS raised its price target for Hess to $173 from $163, maintaining a Buy rating, citing a positive outlook for the company’s operations in Guyana. UBS also noted a reduced downside risk for Hess, with a revised downside case valuation of $126 per share. In another development, Hess declared a quarterly dividend of 50 cents per share, with a record date of June 16, 2025, and a payment date of June 30, 2025. This announcement is part of Hess’s ongoing commitment to return value to its shareholders.

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