Is Now a Good Time to Invest in Oil and Gas Companies?

4min Snip

00:00

Play full episode

Summary

Transcript

Episode notes

Oil and gas companies are often used as sources of a dividend income. If things get really bad, they might start cutting their dividend. The last time we saw a big surge up in oil and gas prices, the sheel boom was waiting in the wings to pour a lot of additional supply on to the market. But i think that this kind of misaliment in supplyang demand is more of a longer term problem. To truly fix it with marginal new supply, will really need some of more of these longer cycle investments to take place.

While the broad stock market has been plunged, energy has proven to be a rare safe haven. Warren Buffett has increased his stake in his energy investments by billions over the past year, but this industry runs in cycles. Nick Sciple and Jim Mueller go over the fundamentals of energy investing and discuss: - The complex connection between oil prices and what you pay at the pump - Which legacy energy companies are meaningfully moving to green energy - A 19th-century food processor that has an interesting strategy in renewable diesel

Stocks mentioned: BP, XOM, SHEL, CVX, PSX, TPIC, VLO, BEP, TTNDY, DAR

Additional resource: https://www.fool.com/investing/stock-market/market-sectors/energy/

Host: Nick Sciple Guest: Jim Mueller Producer: Ricky Mulvey Engineers: Rick Engdahl, Dan Boyd

Learn more about your ad choices. Visit megaphone.fm/adchoices