NEW YORK (TheStreet) -- Oil continues to slide, with WTI crude at $40.01 per barrel in early afternoon trading on Monday, yet bulls remain optimistic.

Raymond James Equity Research Analyst Pavel Molchanov believes there will be a more than 50% increase in the price of oil in the next five months.

"We're looking for oil in the 60s by the end of the year, because everybody is trying to cut spending, cut drilling activity as much possible," Molchanov said on CNBC's "Squawk on the Street."

The austerity in the in the oil market causes Molcahnov to believe that "it is essentially impossible for the global oil market to grow supply." 

"That's just the reality and oil supply cannot grow with oil below probably 55, 60 bucks a barrel," Molcahnov noted.

Additionally, Molcahnov commented on Exxon Mobil (XOM) - Get Report stock, calling it "the last energy stock that people should own if they are bullish on the commodity."

"Exxon is a great stock when oil prices are going down. Because of its chemical and refining overweight. It is a terrible stock traditionally when oil is in a bull market," Molcahnov added.

Shares of Exxon Mobil are down 3.25% to $85.98 in early afternoon trading today. 

Separately, TheStreet Ratings team rates Exxon Mobil as a "hold" with a ratings score of C.

The primary factors that have impacted TheStreet Ratings team's 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, TheStreet Ratings also finds weaknesses including feeble growth in the company's earnings per share, poor profit margins and weak operating cash flow.

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.

You can view the full analysis from the report here: XOM

Image placeholder title