#2 - Occidental Petroleum (NYSE:OXY)
If inflation trends higher, rising oil prices are likely to be a key driver. Although oil prices have remained range-bound since 2022, many analysts predict that crude oil prices could reach or exceed $100 per barrel between 2025 and 2030, citing a resurgent global economy and geopolitical concerns as factors that will boost global demand.
That means oil stocks should be on your radar, and Occidental Petroleum Co. (NYSE: OXY) is one of the top names to consider. Beyond the potential for higher oil prices, the company's strong cash flow—which has accelerated even with oil prices trading in a distinct range—is a compelling reason to invest. Occidental has also shown its commitment to shareholders by using this cash flow for share repurchases, providing direct value to investors.
That undoubtedly caught the attention of Warren Buffett, who made Occidental Petroleum one of his preferred stocks over the last five years. And OXY stock has become more attractive as a defensive play since it began increasing its dividend after cutting it sharply in 2020.
About Occidental Petroleum
Occidental Petroleum Corporation, together with its subsidiaries, engages in the acquisition, exploration, and development of oil and gas properties in the United States, the Middle East, and North Africa. It operates through three segments: Oil and Gas, Chemical, and Midstream and Marketing. The company's Oil and Gas segment explores for, develops, and produces oil and condensate, natural gas liquids (NGLs), and natural gas.
More about Occidental Petroleum- Current Price
- $48.85
- Consensus Rating
- Hold
- Ratings Breakdown
- 7 Buy Ratings, 12 Hold Ratings, 2 Sell Ratings.
- Consensus Price Target
- $61.55 (26.0% Upside)
