Analyst Says He Likes ExxonMobil (XOM) Amid 'Stealth' Energy Trade

We recently published 10 Stocks to Watch Ahead of Q3 Earnings Season. Exxon Mobil Corp (NYSE:XOM) is one of the stocks that Wall Street analysts are discussing these days.

In the ‘Final Trades’ segment on CNBC, Jim Lebenthal, a partner at Cerity Partners, said that he likes Exxon Mobil Corp (NYSE:XOM). Here is what the analyst said:

“Exxon Mobil Corp (NYSE:XOM), I know I spoke about it earlier earlier. There’s a stealth trade going on in energy.”

ClearBridge Dividend Strategy stated the following regarding Exxon Mobil Corporation (NYSE:XOM) in its second quarter 2025 investor letter:

“We also significantly increased our position in Exxon Mobil Corporation (NYSE:XOM), as commodity weakness weighed on the shares, providing a compelling opportunity. Commodity prices are cyclical but the change underway at Exxon Mobil is secular. The company is simultaneously lowering its cost per barrel and reducing its emissions intensity while growing its production. This is a powerful combination that puts the company in its best position in decades. Exxon Mobil is positioned to deliver double-digit returns, even without any improvement in oil prices. If stagflation occurs, Exxon Mobil’s returns should be even higher, while most other stocks will come under pressure, providing a sturdy portfolio hedge.”

While we acknowledge the potential of XOM as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the best short-term AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.