Chevron Expects Higher Q1 Profits Amid the Middle East Conflict

Chevron Corporation (NYSE:CVX) is included among the 15 Best Blue Chip Stocks to Buy Now.

Chevron Corporation (NYSE:CVX) manufactures and sells a range of high-quality refined products, including gasoline, diesel, marine and aviation fuels, premium base oil, finished lubricants, and fuel oil additives.

Chevron Corporation (NYSE:CVX) revealed on April 9 that it expects its Q1 upstream earnings to grow by $1.6 billion and $2.2 billion ​from the previous quarter, driven by the soaring oil prices amid the US-Iran war. The conflict has choked around a fifth of the global crude oil supply, leading to an over 65% jump in prices since the beginning of the year.

That said, Chevron Corporation (NYSE:CVX) expects the timing ​effects ⁠tied to hedging and accounting to cut its earnings and operating cash flow, excluding working capital, by $2.7 billion to $3.7 billion ​after tax. However, the company expects this impact to reverse in the future.

Chevron Corporation (NYSE:CVX) also sees its Q1 2026 output to fall by as much as 6% compared to the previous quarter, driven mainly by the downtime at Kazakhstan’s Tengizchevroil project, as well as disruptions in the Middle East. The company expects its net production to average ​3.8 million to ⁠3.9 million boe/day in the first quarter, down from 4.05M boe/day it delivered in Q4 2025.

With a robust annual dividend yield of 3.78%, Chevron Corporation (NYSE:CVX) was recently included in our list of the 15 Best High Yield Energy Stocks to Buy Right Now.

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