NEW YORK (TheStreet) -- Shares of Exxon Mobil (XOM) - Get Report are sliding 0.79% to $90.81 in late-afternoon trading on Wednesday, ahead of the company's fiscal 2016 second quarter results, due out Friday before the market open.
Wall Street is expecting earnings of 64 cents per share on revenue of $60.23 billion. Last year, Exxon reported earnings of $1 per share on revenue of $74.11 billion for the same quarter.
The company has a strong drilling presence, but its refining margins are weak, MarketWatch reports.
"I will be curious to see whether (Exxon's) execution in downstream is enough to help them generate profits," Stewart Glickman, S&P Global Market analyst, told MarketWatch.
Exxon's results are coming after the discovery of a new drilling location near Guyana and a $2.5 billion deal to acquire InterOil (IOC), which it expects to close in September.
Exxon is an Irving, TX-based energy company.
Separately, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author. TheStreet Ratings has this to say about the recommendation:
We rate EXXON MOBIL CORP as a Hold with a ratings score of C. The primary factors that have impacted our rating are mixed - some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its reasonable valuation levels, largely solid financial position with reasonable debt levels by most measures and solid stock price performance. However, as a counter to these strengths, we also find weaknesses including feeble growth in the company's earnings per share, poor profit margins and weak operating cash flow.
You can view the full analysis from the report here: XOM