NEW YORK (TheStreet) -- Shares of Exxon Mobil Corp. (XOM) are slightly lower in pre-market trade at $95.25 after it was reported that Exxon is suspending cooperation with Russia's state-owned company Rosneft on offshore drilling in the Arctic due to sanctions, sources told the daily Kommersant, Reuters reports.
Rosneft and its head Igor Sechin were among the targets of the sanctions, imposed over Moscow's role in the Ukrainian conflict, which has claimed the lives of more than 3,000 people, Reuters noted.
On Saturday, Rosneft said it had made an oil discovery jointly with ExxonMobil and that the two had successfully completed drilling of a well in the Kara Sea oil province, where oil reserves are estimated to be comparable to those of Saudi Arabia, according to Reuters.
TheStreet Ratings team rates EXXON MOBIL CORP as a Buy with a ratings score of B-. TheStreet Ratings Team has this to say about their recommendation:
"We rate EXXON MOBIL CORP (XOM) a BUY. This is driven by some important positives, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its revenue growth, attractive valuation levels, good cash flow from operations, increase in net income and largely solid financial position with reasonable debt levels by most measures. We feel these strengths outweigh the fact that the company shows low profit margins."