Chevron Stock at Record High: Is It Too Late to Buy?

Chevron's stock price has surged by about 35% this year and is now nearing its record high, but investors are wondering if it's too late to buy in.

The oil giant's shares have recovered most of the losses incurred during the summer selloff, with a current price of $205.27. Morgan Stanley recently increased its target price for Chevron to $218 from $210, citing renewed hopes for a clean reopening of the Strait of Hormuz and a subsequent rise in crude prices.

However, analysts at Barclays trimmed their target to $208, which has created some uncertainty among investors. The average Street target now sits around 6% above the current price, suggesting that Chevron's stock may not have much room for growth.

Chevron's financial performance in Q2 was impressive, with earnings per share of $6.11 beating expectations and revenue exceeding forecasts by 16%. The company also achieved a record U.S. production level of 2.1 million barrels per day and met its cost target six months ahead of schedule.

The future of Chevron's stock largely depends on the price of crude oil, which has been volatile in recent times. If crude prices remain stable or rise further, Chevron's stock may continue to perform well. However, a decline in oil prices could lead to significant losses for investors who have already bought into the stock at current levels.