Woodside Energy Group Ltd (ASX:WDS) declined 1.6% on Friday, closing at A$25.48, mirroring a broader market retreat. The S&P/ASX 200 index fell roughly 2% during the session, reflecting a risk-off sentiment among investors.
Commodity and Equity Markets Diverge
While equities faced pressure, oil prices moved higher. Brent crude futures rose 0.74% to settle at $68.05 per barrel, supported by geopolitical tensions involving Iran. U.S. West Texas Intermediate crude also gained, finishing at $63.55. Analysts noted the "Iran risk premium" provided temporary support, but cautioned that the oil rebound appeared fragile.
This dynamic presents a mixed picture for energy producers like Woodside. Higher crude prices typically bolster cash flows, but the company's stock remains susceptible to broader market sell-offs when funds reduce positions across sectors.
Investor Attention Turns to February 24
The market's focus is now firmly on Woodside's upcoming financial report scheduled for Tuesday, February 24. The release will include the full-year 2025 results, dividend details, and crucial forward guidance.
Acting CEO Liz Westcott and CFO Graham Tiver are set to host an investor briefing teleconference following the release. A key area of scrutiny will be the company's production forecast for 2026.
Woodside has previously indicated that 2026 output is expected to dip due to planned maintenance, including a major turnaround at the Pluto LNG facility, and a revised timeline for the first production from the Scarborough project, now anticipated later in the year.
As markets reopen, traders will weigh these company-specific factors against the volatile backdrop of oil prices and overall risk appetite.
