Occidental Petroleum Corp Reports Narrowed Fourth‑Quarter Loss Amid Market Volatility

Occidental Petroleum Corp (NYSE: OXY) released its fourth‑quarter earnings on February 18, 2026, announcing a net loss attributable to common shareholders of $68 million, or $0.07 per share. The figure represents a modest improvement over the prior year’s comparable period, reflecting a combination of stronger commodity prices, cost‑control measures, and a more favorable operating mix.

Earnings Context

The loss narrowed to $68 million from a larger deficit in the same quarter last year, signaling that Occidental’s cost‑management initiatives are beginning to pay off. While the company remains unprofitable on a quarterly basis, the margin improvement is a positive signal for investors who have watched the oil and gas producer’s financial trajectory over the past months. The company’s price‑earnings ratio of 33.29 places it at a premium relative to the broader energy sector, underscoring the market’s expectation of continued upside once production and pricing conditions normalize.

Market Conditions

The announcement came as U.S. equity futures were climbing ahead of the Federal Reserve’s January meeting minutes, reflecting a broader market optimism that has also buoyed energy shares. Occidental’s stock closed at $45.94 on February 16, 2026, comfortably above its 52‑week low of $34.78 but still shy of the 52‑week high of $52.58 recorded in February 2025. The company’s market capitalization of approximately $45.4 billion positions it as a significant player in the U.S. energy landscape, with operations spanning exploration, production, refining, and petrochemical manufacturing.

Operational Highlights

Occidental’s business model remains diversified across multiple segments:

  • Crude oil and natural gas exploration, development, and production form the core of its upstream operations.
  • Gathering, treating, processing, transporting, storing, trading, and marketing activities provide integrated midstream services for crude oil, natural gas, NGLs, condensate, and CO₂.
  • The company also generates and markets power and manufactures a range of basic chemicals, vinyls, and performance chemicals, adding a downstream dimension to its portfolio.

These integrated capabilities have helped Occidental manage volatility in commodity prices and supply chain disruptions, contributing to the narrowed loss reported for the quarter.

Forward Outlook

While the company remains cautious about its short‑term earnings outlook, management emphasized that the ongoing focus on operational efficiency and asset optimization is expected to continue generating incremental value. With the energy transition underway, Occidental’s involvement in CO₂ handling and carbon‑related services could open new revenue streams as regulatory and environmental pressures increase.

Investors will likely watch for the next quarterly report to gauge whether the trend of narrowing losses persists and whether the company’s strategic initiatives translate into sustained profitability.