TD Cowen Cuts Occidental Petroleum (NYSE:OXY) Price Target to $68.00

Occidental Petroleum (NYSE:OXY) shares have been under pressure in recent months due to concerns over the company's debt levels and its exposure to volatile oil prices.

TD Cowen analyst TJ Schultz reiterated an Underperform rating on Occidental Petroleum and lowered the price target to $68 from $75, implying a potential downside of 28% from the last closing price of $95.41.

The analyst believes that the company's leverage remains a concern, especially in the current environment of rising interest rates.

"We believe that OXY's leverage remains a concern, especially given the uncertain outlook for oil prices and the company's near-term debt maturities," Schultz said in a note to clients.

Occidental Petroleum has a large amount of debt due in the next few years, and the company's ability to refinance this debt at favorable rates is uncertain.

In addition, the company's exposure to volatile oil prices is a concern.

Oil prices have been volatile in recent months, and there is no guarantee that they will remain at current levels.

If oil prices decline, Occidental Petroleum's earnings and cash flow will be negatively impacted.

The analyst recommends that investors avoid Occidental Petroleum shares due to the company's leverage and exposure to volatile oil prices.