The higher price target reflects the rebound in crude oil prices from their February lows and the firm's belief that Chevron's dividend, which yields about 4.1%, is secure and sustainable, Barron's reports.
Last month, CEO John Watson said the decline in the company's 2016 first quarter earnings was driven by the 35% plunge in crude oil prices.
"However, he said that the company was taking steps to improve results by lowering operating expenses, improving work flow efficiencies, and reducing capital spending. It also plans additional asset sales in 2016 and 2017," Argus wrote in a note, cited by Barron's.
In April, Chevron reported an adjusted net loss of 39 cents per share for the first quarter, wider than analysts' expectations for a loss of 18 cents per share. Revenue fell 31% to $23.55 billion and missed analysts' estimates of $21.43 billion.
But, the company has completed work on a number of major projects, which should boost cash flow in the coming quarter, Argus said.
Shares of Chevron closed lower by 0.46% to $100.75 on Tuesday.
The energy company is based in San Ramon, CA.
Separately, TheStreet Ratings Team has a "Hold" rating with a score of C on the stock.
The primary factors that have impacted the rating are mixed. Among the primary strengths of the company is its solid financial position based on a variety of debt and liquidity measures that we have evaluated.
But, the team also finds weaknesses including a generally disappointing performance in the stock itself, feeble growth in the company's earnings per share and deteriorating net income.
Recently, 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: CVX