Occidental Petroleum finalized the $9.7 billion sale of its Oxychem chemicals division in the latest quarter, marking one of the largest asset sales in its history. The move significantly bolstered liquidity and reduced leverage, positioning the company to allocate cash toward debt repayment and shareholder distributions.

Following the divestiture announcement, the 12-month average analyst price target climbed to $51 from $47.83, with the highest forecast reaching $57. Analysts attributed the upgrades to improved balance sheet metrics and confidence in stable production from core U.S. onshore operations.

Investors anticipate fourth-quarter results to show stable output despite softer crude prices, with management commentary expected on capital discipline and free cash flow generation. The strengthened financial position from the Oxychem sale may set the stage for increased share buybacks or dividend hikes in 2026.