It's been a long, long time since the oil and gas industry has faced such a severe downturn. To see the stress these companies are under right now, you need only look at ExxonMobil (NYSE:XOM). For decades, ExxonMobil has been the stoic oil and gas company investing through the cycle with incredible consistency. Yet on the company's most recent conference call, we actually heard it talk about investing more conservatively in this down cycle.
Shares of ExxonMobil are down 22% from their highs in 2014. While there are reasons to think ExxonMobil is one of the best in the business and a great investment in a down market, there are still reasons ExxonMobil's stock could fall even more than it already has. Here are three reasons shares could fall further: 1. Continued low oil price environment, Downstream earnings may not be the savior it was in previous quarters and Cash flow is getting really tight.
Source: Motley Fool
Related Articles:
- 8 Select High-Yield S&P 500 Dividend Stocks
- A Winning Investment Strategy
- 7 Dividend Stocks With A 20% Yield In 20 Years
- 5 Industrial Strength Dividend Growth Stocks With Yields In Excess Of 3%
- Finding Low Risk Dividend Stocks
________________________________________________________________
Subscribe to:
Post Comments (Atom)
Popular Posts Last 30 Days
-
Showing resilience during a tough week was a group of stocks that has not been heard from much in the past two years. A group that has been ...
-
Anxiety over the European debt crisis and distrust in the markets drove volatility in global stock markets to dizzying heights in 2011. The ...
-
In bull markets, dividends become more or less irrelevant. When the Dow Jones Industrial Average traded above 14,000 in 2007, very few stoc...
-
There have been a lot of business cycles over the past five decades, ups and downs through which it takes astute leadership to survive and t...
-
Whether you are looking to supplement your income or looking to build wealth over very long periods of time, dividend stocks that can reliab...
-
This BDC remains a "Strong Buy". It has a diversified investment portfolio with considerable NII-upside. Shares sell for a premium...
-
A safe yield and solid growth prospects are a must for any investor in real estate investment trusts -- and this company not only has these ...
-
The S&P 500 might be on one of its strongest bull runs ever, but there are several solid dividend stocks out there that haven't quit...
-
Dividend payers have long had a reputation as stodgy companies that can pay a reliable income but whose stocks don't move too fast. Here...
-
These stocks need to achieve the right balance between dividend payment and the re-investment of profits. This ensures that the dividend is ...
0 comments
Post a Comment
Post a Comment