Investing Topics: Energy Stocks

Big Oil is Back

By Roger S. Conrad on Oct. 1, 2018

I became a shareholder of Chevron Corp (NYSE: CVX) when it acquired the former Texaco, which I believe was the first stock I ever bought. I was fresh out of business school and made an investment in Texaco’s dividend reinvestment plan, and I’m happy to report that I literally make more in dividends every year than my original investment. I expect to pass the whole thing on to my kids, hopefully many years from now with the account at a much higher level.

Energy: In the Early Stages of a Bull Market

By Elliott H. Gue on Sep. 14, 2018

For the broader market, we’ve long followed a concept we call the “volatility smile.” Simply put, broader stock market volatility is high early in the stages of a bull market, falls to low levels in the middle of a major rally and then rises again in the latter stages of a bull market. And, of course, volatility usually rises sharply during a bear market.

Yieldcos Reboot

By Roger S. Conrad on Feb. 17, 2018

The Lifelong Income Portfolio has migrated to sister-product Deep Dive Investing’s Idea Vault. For our Portfolio readers, we run through additional Idea Vault members that may be of interest.

Getting Pumped Up

By Elliott H. Gue on Jan. 26, 2018

Whereas pricing power remains a dream deferred in the onshore US drilling market, pressure-pumping operators have pushed through significant price increases.

The Case for Energy Stocks in 2018

By Elliott H. Gue on Jan. 26, 2018

Energy stocks are off to a strong start this year, and we expect the S&P 500 Energy Index to be among the top third of S&P 500 sectors in terms of total returns this year.

Two Reasonable Values Even in a Bull, Bull World

By Roger S. Conrad on Jan. 10, 2018

Even in a bull market that’s gone this high for this long, value and opportunity can be found. Here are two energy companies that offer strong businesses but haven’t yet convinced other investors of their full worth.

International Politics Don’t Slow These Companies

By Roger S. Conrad on Dec. 21, 2017

Energy politics aren’t just a US phenomenon affecting US people and companies. These Canadian and Australian companies are finding opportunity as they push forward with business plans in times of low prices and challenging politics.

A Changing of the Guard in Midstream MLPs

By Roger S. Conrad on Dec. 18, 2017

We understand investors’ pessimism toward MLPs. Including distributions, the Alerian MLP Index has performed poorly this year. Although sentiment toward midstream MLPs remains weak, the doom and gloom gives savvy investors an opportunity to lock in above-average yields on high-quality names that stand to benefit as US onshore oil and gas production takes market share over time.

Making Moves

By Elliott H. Gue on Dec. 10, 2017

Our bullish outlook for the energy and financial sectors support higher buy targets for three of our Wealth Builders. We also swap our lone consumer-discretionary position for a name that offers a better risk-reward proposition.

One Company, Three Powerful Business Lines

By Elliott H. Gue on Dec. 5, 2017

The break-neck volatility of the past few years and the likelihood of shorter cycles in the energy sector argue for diversification into secular growth stories that depend less on commodity prices and timing your entry and exit points.