PSX US S&P 500Russell 1000 Earnings call
Phillips 66 (PSX) · Q2 2026 results and valuation
Share price: $258.68 · 2026-11-11
Results Q2 2026 vs Q1 2026 · previous quarter · published 5 Aug 2026 and 29 Apr 2026
Revenue up 56.7% on the previous quarter. Management sounded about as positive as a typical company call, in its script and in answers to analysts.
Only a basic analysis is available for this company at the moment.
1 · Numbers
+56.7%
Revenue vs Q1 2026
Outlook given
Revenue 51.00B vs 32.54B
Against the same quarter last year (Q2 2025) it is +53.1%, so it is not just seasonal.
2 · How management spoke
Typical
Less upbeat than 64% of company calls
Answers to analysts: upbeat, in line with the script.
Similar to last call.
3 · What stood out
Figure
PSX ended the quarter with total debt of $20.6 billion and net debt of $16.5 billion, affecting financial flexibility.
Valuation
Is Phillips 66 undervalued?
Reverse DCF on net income from the last full fiscal year (no meaningful free cash flow: a bank, insurer or a year of negative cash flow) (2025-12-31), grown for 10 years, discounted back, plus a terminal value. “Implied growth” is the rate the current price assumes.
At −8.0% growth a year (3-year revenue growth), the model's fair value is $17.08 a share — the stock trades 1415% above it. Today's price assumes 18.1% growth a year.
Current price
$258.68
close of 2026-11-11
Market implies growth of iThe yearly free-cash-flow growth, for the next 10 years, that today’s share price already assumes. If you believe the company grows faster than this, the stock is cheap under this model; slower, and it is expensive.
+18.1% for 10 yrs
Fair value / share
$17.08
Buy below
$12.81
Price vs fair value
Overvalued >200%
Price vs buy-below price
Overvalued >200%
Read between the lines
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Guidance
PSX updated its guidance for Corporate and Other costs to be between $325 million and $350 million.
Source quote
“We anticipate Corporate and Other costs to be between $325 million and $350 million.”
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Guidance
PSX expects net debt to be less than $16 billion by the end of the year based on current consensus estimates.
Source quote
“And using current consensus estimates, we expect net debt to be less than $16 billion by the end of this year.”
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Fading
Midstream results decreased due to lower volumes from winter storm burn and lower margins, while Chemicals results increased due to higher polyethylene margins.
Source quote
“Midstream results decreased mainly due to lower volumes, largely due to impacts from winter storm burn, lower margins associated with customer... Total company adjusted earnings were $200 million. In Chemicals, results increased mainly due to higher polyethylene margins....”
Tone
How upbeat the language was, compared with other companiesiTone counts positive minus negative finance words, adjusted for length. Executives mostly speak positively, so the labels compare each call with every company's latest call: “typical” is the middle third, “very upbeat” the top tenth, “cautious” the bottom tenth.. Dot: Q2 2026. Ring: Q1 2026.
Script and answers carried a similar tone, so the script's message held up under questioning.
Sentences that drove the tone
“We set our 50% target, but we also committed to dramatically improve Refining performance to roll up DCP and create a wellhead to market presence and to improve Refining, grow...”
“In Corporate and Other, the pretax loss decreased primarily due to lower net interest expense and employee-related costs.”
“Our teams continue to find new ways to maximize value through improving operations, increasing yields, expanding margins and lowering costs.”
Full figures
USD · SEC EDGAR XBRL (10-Q, period end 2026-06-30)
| Metric | Q2 2026period end 2026-06-30 | Q1 2026period end 2026-03-31 | Change | Q2 2025 | YoY |
|---|---|---|---|---|---|
| Revenue | 51.00B | 32.54B | +56.7% | 33.32B | +53.1% |
| Gross profit | 7.34B | 3.32B | +120.8% | 4.25B | +72.9% |
| Net income | 3.85B | 207.0M | +1758.5% | 877.0M | +338.7% |
| EPS | 9.55 | 0.51 | +1772.5% | 2.15 | +344.2% |
| P/E today 15.4 | 9.6 | 18.0 | −8.4 | 28.3 | −18.7 |
Topics
Most discussed now
- Safety, reliability and operational excellence remain at the center of everything Phillips 66 does.
- Over the past 2 years, Phillips 66 has increased fractionation capacity to over 1 million barrels per day and achieved greater than...
- Phillips 66's complete wellhead to market system allows it to move products across its integrated value chain and offers customers…
- This is a core strategic priority, and Phillips 66 expects to increase share repurchases in the second half of this year.
- Phillips 66 expects to achieve its debt target, while also returning greater than 50% of net operating cash flow to shareholders...
Faded since Q1 2026
- Fading Phillips 66 had a use of operating cash flow of $2.3 billion.
- Fading Phillips 66 had a big working capital use in the first quarter.
- Dropped Phillips 66 has pipeline connectivity to some of the lowest cost and most reliable hydrocarbon corridors in the world.
- Dropped You've seen limitations for producers in Asia that, frankly, some countries in Asia are selectively moving hydrocarbons away from...
Latest announcements
Official filings, newest first.
- Director or officer change · SEC 8-K
- Material agreement; New financial obligation · SEC 8-K
- Results of operations · SEC 8-K
- Shareholder vote results · SEC 8-K
- Results of operations · SEC 8-K
- Results of operations · SEC 8-K
- Material agreement; New financial obligation · SEC 8-K
- Director or officer change · SEC 8-K