Chevron (CVX) will likely report a sequential decline in Q3 earnings due to costs tied to its Hess acquisition, UBS Securities said in a note emailed Monday.

UBS expects adjusted earnings per share of $1.65 for Q3, down from $1.77 in the prior quarter, and sees limited new operational or strategic updates ahead of the company's Nov. 12 Analyst Day. The firm said updates on upstream volume growth, Hess integration, capital spending, and returns will likely be outlined at that event.

Upstream earnings for Q3 are projected to rise to $3.07 billion from $2.73 billion in Q2 as production likely increases to 3.97 million barrels of oil equivalent per day, while downstream income should hold steady at around $714 million, according to the note.

Chevron will release its Q3 results on Oct. 31.

UBS trimmed its 2026 and 2027 adjusted earnings before interest, taxes, depreciation, and amortization estimates by 5% and 3%, respectively, following a modest oil price deck revision, but maintained its buy rating and $197 price target.

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