Chevron is a Buy, it has been punished enough (Barrons)

https://www.barrons.com/articles/buy-chevron-stock-price-pick-1783ee4a?mod=

Buy Chevron Stock. It’s Been Punished Enough for Earnings and the Hess Deal.
By
Andrew Bary
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Updated November 4, 2023 / Original November 3, 2023

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In less than a year, Chevron has gone from being Wall Street’s favorite Big Energy company to a show-me story. Investors who buy the stock now should end up liking what they see.

Chevron stock (ticker: CVX) has fallen 17% in 2023, making it the worst performer by far among the half-dozen global super majors this year. Exxon Mobil (XOM), by comparison, is down just 2% this year, and the Energy Select Sector SPDR exchange-traded fund (XLE) is about flat.

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Most of the drop has come during the past few weeks after a disappointing earnings report that included news of a surprise delay in the development of a key oil field in Kazakhstan, while Chevron’s $60 billion deal to buy Hess (HES), an independent energy producer, not only failed to excite investors but was seen as a sign of weakness by some.

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4 replies (most recent on top)

Yes, market timing is a prudent strategy and always works.

The only “gotcha” you’ll hear is Chevron or your stockbroker telling you that when you realize it’s all too late. Granted that CXV has been and is still a good dividend stock, but holding it longterm is not a savvy investment. Getting in and out of CVX at peak and low periods is the way to go. My career at Chevron lasted 31 years. I invested well in my 401k and one strategy that worked great for me was buying and selling my company stock on a regular basis. Sometimes holding on to it for a year or more and at other times buying and selling my positions up to 4 times a year. The US and global markets can change quickly, and CVX stock is not that much different. Don’t buy and hold, that’s a bad bet.

Its very difficult to grow as an oil company when you cant discover oil. Buying out other companies at a premium to current market price does not sound like a great way to grow shareholder equity.

Chevron stock is a solid dividend payer. That's the only reason to buy the stock. Only buy as a "growth" stock if you're willing to hold for 20 years (i.e., employees). Only "gotcha" now is whether you're going to have your job for another 20 years.

Thread regarding Chevron Corp. layoffs

Chevron is a Buy, it has been punished enough (Barrons)

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