#1 - Exxon Mobil (NYSE:XOM)
The first sector that you may consider investing in is the energy sector. And if you’re looking to invest in oil stocks, Exxon Mobil (NYSE: XOM) is an attractive choice.
Theoretically, rising interest rates should cause energy prices to come down as demand weakens. And as oil prices come down, there’s no profit in drilling.
That’s true at the beginning of a downturn. But history shows that oil prices usually find a floor relatively quickly. That’s because the economy doesn’t move without oil and oil derivatives. And that means that oil prices usually are among the first to come back when the economy starts to recover regardless of what’s happening with interest rates.
That’s one reason to keep XOM stock in your portfolio. Another is that the company is well-positioned to be profitable even if oil prices are in the $60-dollar range. That makes Exxon Mobil’s dividend, which yields 3.24% at this time, extremely safe. And since the company has increased the dividend for 40 consecutive years, investors are likely to benefit from higher dividend payments in the future.
About Exxon Mobil
Exxon Mobil Corporation engages in the exploration and production of crude oil and natural gas in the United States and internationally. It operates through Upstream, Energy Products, Chemical Products, and Specialty Products segments. The Upstream segment explores for and produces crude oil and natural gas.
Read More - Current Price
- $121.11
- Consensus Rating
- Moderate Buy
- Ratings Breakdown
- 11 Buy Ratings, 8 Hold Ratings, 1 Sell Ratings.
- Consensus Price Target
- $129.95 (7.3% Upside)
