<div id="readability-page-1"><div><ul> <li>Occidental Petroleum recently announced the divestment of its Chemicals division to reduce debt by around US$6.5 billion and lower annual interest expenses by about US$350 million, coinciding with favorable U.S. sanctions on Russian oil companies supporting crude prices.</li> <li>This move has enhanced investor optimism surrounding Occidental’s financial strength, while exposure to changing oil prices remains a core consideration for the company's outlook.</li> <li>We'll look at how Occidental's balance sheet improvements and shifting oil fundamentals influence its forward-looking investment narrative.</li> </ul><p>These 16 companies survived and thrived after COVID and have the right ingredients to survive Trump's tariffs. Discover why before your portfolio feels the trade war pinch.</p><h2>Occidental Petroleum Investment Narrative Recap</h2><p> To invest in Occidental Petroleum, shareholders need to be comfortable with significant oil price exposure, balanced by a thesis that global oil demand and effective debt reduction will support long-term value. The recent divestment of the Chemicals division meaningfully improves leverage and interest costs but does little to insulate Occidental from the largest short-term driver and risk: persistent oil price volatility. </p> <p> Among this month's announcements, the progress on the STRATOS Direct Air Capture facility stands out. While Occidental aims to position itself for future growth through carbon solutions, the company’s near-term results and share price remain closely tied to oil market dynamics and how quickly balance sheet measures can offset commodity-driven swings. </p> <p> By contrast, investors should be aware that even with strengthened finances, Occidental’s sensitivity to sudden oil market downturns is still considerable… </p> <p>Read the full narrative on Occidental Petroleum (it's free!)</p><p>Occidental Petroleum's narrative projects $29.0 billion in revenue and $3.7 billion in earnings by 2028. This requires 2.2% yearly revenue growth and a $2.0 billion earnings increase from $1.7 billion today.</p><p>Uncover how Occidental Petroleum's forecasts yield a $50.48 fair value, a 23% upside to its current price.</p><h2>Exploring Other Perspectives</h2><figure><img height="476" src="https://imageproxy.pbkrs.com/https://images.simplywall.st/company/36f2463a-aabe-4f54-923b-bb481d036cab/chart/community-fair-value?x-oss-process=image/auto-orient,1/interlace,1/resize,w_1440,h_1440/quality,q_95/format,jpg" width="746" original-src="https://imageproxy.pbkrs.com/https://images.simplywall.st/company/36f2463a-aabe-4f54-923b-bb481d036cab/chart/community-fair-value"/><figcaption>OXY Community Fair Values as at Nov 2025</figcaption></figure> <p> Fair value estimates from 25 Simply Wall St Community members span US$31.19 to US$63.64. While opinions diverge, oil price dependence remains the key swing factor for Occidental’s performance, so consider a range of market perspectives. </p><p>Explore 25 other fair value estimates on Occidental Petroleum - why the stock might be worth 24% less than the current price!</p><h2>Build Your Own Occidental Petroleum Narrative</h2><p>Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.</p><ul><li>A great starting point for your Occidental Petroleum research is our analysis highlighting 3 key rewards and 4 important warning signs that could impact your investment decision.</li><li>Our free Occidental Petroleum research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Occidental Petroleum's overall financial health at a glance.</li></ul><h2>Ready For A Different Approach?</h2><p>Right now could be the best entry point. These picks are fresh from our daily scans. Don't delay:</p><ul><li>Explore 28 top quantum computing companies leading the revolution in next-gen technology and shaping the future with breakthroughs in quantum algorithms, superconducting qubits, and cutting-edge research.</li><li>We've found 22 US stocks that are forecast to pay a dividend yield of over 6% next year. See the full list for free.</li><li>Uncover the next big thing with financially sound penny stocks that balance risk and reward.</li></ul> <p><em> This article by Simply Wall St is general in nature. <strong>We provide commentary based on historical data     and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice.</strong> It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your     financial situation. We aim to bring you long-term focused analysis driven by fundamental data.     Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.     Simply Wall St has no position in any stocks mentioned.</em></p></div></div>

<p>Occidental Petroleum has announced the sale of its Chemicals division to reduce debt by approximately $6.5 billion and lower annual interest expenses by $350 million. This strategic move has improved investor sentiment regarding the company's financial stability, although it remains vulnerable to oil price fluctuations. The company projects $29 billion in revenue and $3.7 billion in earnings by 2028, with a fair value estimate of $50.48, indicating a potential 23% upside from its current price. Investors should consider the significant oil price exposure when evaluating Occidental's investment outlook.</p>

Does Occidental’s Chemicals Sale and Debt Cut Shift the Investment Outlook for OXY?