Occidental Petroleum's stock soared 5.01% in pre-market trading on Thursday, driven by a combination of better-than-expected quarterly earnings, rising oil prices, and a significant corporate debt management action.

The energy producer reported fourth-quarter adjusted earnings per share of 31 cents, significantly surpassing analyst estimates of approximately 17 cents. This earnings beat was achieved despite a decline in revenue to $5.11 billion from $5.64 billion a year earlier.

Concurrently, oil prices were rising in early trading due to escalating geopolitical tensions between the U.S. and Iran, which boosted the broader energy sector. Furthermore, Occidental announced the commencement of cash tender offers for up to $700 million aggregate principal amount of certain outstanding senior notes and debentures, a move aimed at managing its debt profile. The positive sentiment was also supported by Mizuho raising its price target on the stock to $67 from $64.