By now, many investors/readers have heard the statistic: if ExxonMobil's 2007 revenue of $390.2 billion were listed as GDP, it would rank as the 31st largest nation in the world, in purchasing power parity terms.

It's easy to criticize Exxon (NYSE: XOM). When you're the world's largest integrated oil company in a world that's increasingly seeing both the financial and environmental costs of oil, it's hard not to be criticized. Moreover, Exxon, like other oil companies, may face additional operational constraints regarding fossil fuels, moving forward -- particularly if the Democratic party wins the White House in 2008. Further, it's not entirely clear that the company will remain a leading provider of energy when that energy becomes primarily renewable and alternative.

However, even assuming a phase-out of most oil use in 30-40 years, that still leaves at least a decade (or more) of earnings potential for XOM, and the company has the operational expertise to deliver. Arguably the best-managed oil company, XOM also is the top refiner of gasoline globally (40 refineries in 20 countries) and third-largest domestically in the United States, the biggest auto market in the world. Most people know about its 35,000 retail gasoline stations, but XOM also supplies fuel to more than 700 airports and 200 ports.

Further, in the immediate years ahead, look for Exxon to benefit from impressive liquefied natural gas revenue growth. The Reuters F2007/F2008 EPS consensus estimates for XOM are $7.03/$7.34.

The risks? Moderating oil prices and a slow-growth (or perhaps worse) U.S. economy in 2008 clearly cuts at XOM's results, and the company is likely to book a $750-$800 million charge for Cerro Negro project assets, if Venezuela's expropriation is not changed by the International Center for Settlement of Investment Disputes.

The First Call mean rating for XOM is: Buy. [17 firms.] Mean 2008 target: $99.10. [high: $105, low: $87.]

Stock Analysis: ExxonMobil is a moderate-risk stock not suitable for low-risk investors. Don't buy XOM if your portfolio already contains an adequate integrated oil component. Investors with an investment horizon longer than two years should be rewarded from XOM's shares. Sell / Stop Loss: $63.