Chevron (NYSE:CVX) shares are trading higher during Monday's premarket session as U.S.-Iran tensions dashed hopes for a lasting Middle East peace deal.

As of early today, West Texas Intermediate (WTI) crude oil price surged 5.72% to $88.65, and Brent crude oil price increased 4.70% to $94.63.

US-Iran Tensions Flare Again

This weekend, Iran had declared the Strait of Hormuz reopened, but by Saturday, vessel traffic through the key shipping lane was restricted again, with state media saying the U.S. "did not fulfill their obligations."

Trump warned Sunday he would "knock out every single Power Plant, and every single Bridge, in Iran" if Tehran did not agree to Washington's terms to end the conflict, with the fragile ceasefire set to expire this week."

This led to a sharp increase in oil prices and rattled investor confidence heading into a pivotal week of earnings. Energy (XLE) is up 1.49%, making the sector one of the few bright spots in early trading.

Strategic Asset Swap in Venezuela

Last week, Chevron agreed to an asset swap with Petroleos de Venezuela (PDVSA) to strengthen its heavy oil position in Venezuela.

Under the deal, Chevron will increase its stake in Petroindependencia to 49% and gain rights to develop the Ayacucho 8 area near the Petropiar project in the Orinoco Oil Belt.

Earnings & Analyst Outlook

The countdown is on: Chevron is set to report earnings on May 1, 2026 (confirmed).

  • EPS Estimate: $1.40 (Down from $2.18 YoY)
  • Revenue Estimate: $51.29 Billion (Up from $47.61 Billion YoY)
  • Valuation: P/E of 27.8x (Indicates premium valuation relative to peers)

Analyst Consensus & Recent Actions: The stock carries a Buy Rating with an average price target of $196.27. Recent analyst moves include:

  • BNP Paribas: Upgraded to Outperform (Target $174.00) (April 17)
  • RBC Capital: Outperform (Raises Target to $220.00) (April 13)
  • Wells Fargo: Overweight (Raises Target to $222.00) (April 9)

JPMorgan analyst Arun Jayaram expects the restoration of the company's "key upstream and downstream profit drivers" to be likely to provide "a strong foundation for earnings growth" over the remainder of the year, backed by elevated commodity prices and refining margins.

The war in Iran is likely to affect Chevron far less than its peers, he added. But it's worth noting that major oil producers, like Chevron, are facing significant disruptions that offset potential gains. According to Bloomberg, Chevron lost about 6% of its global production in the first quarter. 

Benzinga Edge Rankings

Below is the Benzinga Edge scorecard for Chevron, highlighting its strengths and weaknesses compared to the broader market:

  • Momentum: Bullish (Score: 70.45) — The stock is holding up better than many names despite recent choppiness.
  • Value: Bullish (Score: 76.02) — Screens as relatively attractive on valuation factors versus the broader market.
  • Growth: Bullish (Score: 73.23) — Growth metrics are coming in stronger than many large-cap peers.

The Verdict: Chevron's Benzinga Edge signal reveals a strength-tilted profile, with Momentum, Value, and Growth all scoring above 70. That lines up with Monday's premarket resilience in Energy, but the chart still needs to repair short-term momentum after slipping below the 20-day trend.

CVX Stock Price Activity: Chevron shares were up 1.36% at $186.50 during premarket trading on Monday, according to Benzinga Pro data.

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