Chevron has set a capital budget of $14 billion for 2021 and says it is focused on higher returns. I said in March that Chevron was liquidating itself. A month later I worried about its dividend. The dividend worries are gone for the short term. The Noble deal extends the life of Chevron’s most profitable fields. Chevron still has positive free cash flow. If global oil prices firm next year that dividend still looks safe.
The question is how long that can continue. Chevron is whistling past the carbon graveyard, electric vehicle use is increasing, and nation states are taking more control over their markets. Income investors can buy Chevron for 2021 but need to pay close attention. If that dividend comes under renewed threat, get out.
Source: InvestorPlace
Related Articles:
- Are Storm Clouds Gathering For These High-Yielding Securities?
The Dividend Looks Safe for Chevron Stock Through 2021
Posted by D4L | Monday, January 04, 2021 | ArticleLinks | 0 comments »- Charlie Munger's 10 Rules for Investment Success
________________________________________________________________
Subscribe to:
Post Comments (Atom)
~
Popular Posts Last 30 Days
-
If you're worried about inflation rearing its ugly head next year, you should probably worry about more likely catastrophes, such as bei...
-
As a relatively new blogger, the one thing that has stood out in my mind is the number of Canadian bloggers in the areas that I am most inte...
-
When a company pays a dividend, it's a good thing for shareholders. When a company consistently pays a dividend every quarter, it's ...
-
If you've been holding back from investing in your future just because you don't have a lot of extra cash to spare, I've got gre...
-
If you are looking for high-yield dividend stocks that can beat the market, you might want to check out these three companies. They all have...
-
If you are here to build a portfolio that thrives in all seasons, consider dividend stocks. They can generate steady returns and provide sta...
-
My top financial goal is to eventually become financially independent. The foundation of my strategy is to make investments that produce an ...
-
One way to achieve financial freedom is to create passive income, or income that does not depend on your active involvement beyond a certain...
-
The company's remarkable consistency and low-risk business model make it a "first-choice investment opportunity," according to...
-
Since 1926, dividends have contributed approximately 32% of the total return for the S&P 500, while capital appreciations have contribut...
0 comments
Post a Comment
Post a Comment
Note: Only a member of this blog may post a comment.