While there are many oil and gas companies to invest in, there are some that stand out among the rest as the best energy stocks to buy. ConocoPhillips, NextEra Energy, Ring Energy and Brookfield are just some of the companies that you can choose from. Before investing in a company, make sure you carefully review its fundamentals.
Ring Energy
Ring Energy stock is outperforming the market in recent weeks, so investors should take a look at its earnings outlook as a guide to future performance. Because it includes recent revisions to earnings estimates as well as current consensus earnings forecasts, the earnings outlook can be a useful indicator of the company’s prospects. The earnings estimates revisions are strongly correlated with stock price movements in the near future. The Zacks Rank measures recent changes to earnings estimates and is a reliable gauge.
Ring Energy, an independent company in energy, focuses its efforts on developing and acquiring high-quality oil assets from the Permian. It has had a short history of growth but its share price has increased by more than 70% in the past year. Unfortunately, the company lost 7.7% in June.
ConocoPhillips
ConocoPhillips, which has a market capital of $122.1 billion is well-positioned to profit from any increase in oil prices. The company has natural gas and oil production in more then 15 countries. Its production is almost equally split between natural gas and oil. Its integrated oil business allows for it to maximize its production while also lowering its costs. It also has a free cash flow that allows it maintain its dividend.
It is important to invest in companies that have strong dividends, if you wish to make a profit from the energy sector. While this might not be the most lucrative investment, you'll earn an excellent yield. In this market, the dividend yield is 3.8% which is quite good. In addition, the company's share price has risen more than double in just the last five years.
NextEra Energy
NextEra Energy is a publicly traded utility company with an impressive portfolio of assets. The company is one among the most important utilities in America, having a $153 billion market capitalization. Its assets include Florida Power and Light and Gulf Power Company. In addition to providing electricity to customers in larger cities and smaller towns, it also owns Carolinas Power & Light Company.
NextEra Energy is one of the largest energy companies in the world, and is unique among its peers in that it is not involved in the traditional oil and gas industry. The company is a prime example of how companies can increase profits using renewable energy.
Brookfield
Brookfield Energy is one of the world's largest investors in renewable power. Its corporate headquarters are located in Toronto, Canada. Brookfield Asset Management has approximately 60% ownership of the shares. Its portfolio of renewable power assets includes wind, solar, and hydropower. Brookfield Renewable Partners L.P. Brookfield Energy Company, Brookfield Wind Energy, and Brookfield Energy Company are some of its subsidiaries.
Brookfield Renewables leads the private ownership of critical power assets. Brookfield Renewables will have a 1,200 megawatt operating portfolio, which will be enhanced by a 1,300 gigawatt renewable development platform. Brookfield Energy's global leadership in distributed generation will be further strengthened by the investment.
TC Energy
TC Energy has a large pipeline network in both the United States of America and Canada. It is well-positioned to take advantage of the growing LNG export sector and enjoys steady cash flows, regardless how macroeconomic conditions change. Current stock yield is 5.31%. Since 2000, the dividend has been increasing every year. Investors looking for energy stocks with high yield and stable cash flows will find this stock a good choice.
TC Energy is able to generate cash flow through its large portfolio of capital project. This will help increase its revenues. The company currently holds $7 billion worth projects and has $20 billion in secured capital plans for 2024. TC Energy has more than $100 billion of assets and is in a strong position to increase its cash flow and improve financial results. The government regulates 95% of the comparable EBITDA.