From Yahoo Finance: 2025-05-24 03:29:00

Morgan Stanley analyst Joe Laetsch maintained a Hold rating on Phillips 66 (PSX) with an unchanged price target of $122 due to recent shareholder disagreements and execution concerns over financial targets.

At the annual meeting on May 21, Phillips 66 elected two nominees backed by activist investor Elliott Management, reflecting a willingness to improve operations. Despite efforts, the company has struggled to improve its refining EBITDA margin.

The analyst notes a lack of consensus among board members on strategic decisions, slowing operational improvement. Phillips 66 is an integrated energy provider with diverse business segments, but the analyst remains cautious amid uncertainty.

While Phillips 66 has potential, the analyst believes other AI stocks offer greater promise. For those seeking high returns with limited risk, explore alternatives beyond PSX.

Read more: Morgan Stanley Stays Cautious on Phillips 66 (PSX) Due to Strategic Issues