Best energy stock for June 2022

The energy sector is made up of companies focused on the exploration, production and marketing of oil, gas and renewable resources around the world. Energy sector stocks include upstream companies that primarily explore oil or gas reserves, such as Devon Energy Corporation. Downstream companies include Marathon Petroleum Corporation, which refines and processes oil and gas products to supply customers. The biggest players in the industry are Chevron Corporation and ExxonMobil Corporation.

Russia’s aggression in Ukraine has pushed up oil and gas prices. Brent crude rose more than 100 100 a barrel, its highest level since 2014. In response to the attack, Germany shut down the Nord Stream 2 gas pipeline project, which was expected to double the flow of Russian gas into Germany.

The energy stock-energy select sector represented by an exchange-traded fund (ETF) has surpassed the dramatically broader market in the SPDR ETF (XLE), posting a total return of 64.3% over the last 12 months compared to the Russell 1000 Index -7.0%. . The performance numbers of this market and all the figures in the table below are as of May 20, 2022.

Below are the top three energy stocks with the best price, fastest growth and maximum speed

These are energy stocks with a minimum 12-month trailing price-to-earnings (P / E) ratio. Since profits can be returned to shareholders as dividends and buybacks, a lower P / E ratio shows that you are paying less for every dollar of profit.

Best price energy stocks
Price ($) Market Capitalization (Market Cap) ($ B) 12-month trailing P / E ratio
Marathon Petroleum Corporation (MPC) 96.56 52.2 5.6
APA Corporation (Water) 41.66 14.1 5.8
Diamondback Energy Inc. (FANG) 130.28 23.1 4.3

Source: YCharts

  • Marathon Petroleum Corporation: Marathon is a crude oil refining company. Serving customers across the United States, the company refines, supplies, transports and sells petroleum products.
  • APA Corporation: APA is an oil and gas exploration and production company. It operates in the United States, the western desert of Egypt, and the North Sea in the United Kingdom. It also has the opportunity to explore Suriname offshore. The company announced in mid-March that it had closed two transactions, creating a net income of about $ 1 billion. On March 7, the company’s affiliates sold operating assets in the Delaware Basin for about $ 805 million. On March 11, a subsidiary of APA sold 4 million shares of Kinetic Class A common stock for a net profit of 22 224 million.
  • Diamondback Energy Inc.: Diamondback Energy is an independent oil and natural gas company. It focuses on the acquisition, development and exploration of coastal oil and natural gas reserves in the Permian Basin. The company recently announced that it has agreed to acquire publicly held general units representing the limited stakeholder interests in Rutler Midstream LP, which it does not already own. As of May 13, 2022, Rottler refers to a 17.3% premium on all-stock transactions for common units, based on the closing price of Rutler’s general units and Diamondback’s common stock.

These are the top energy stocks ranked by a growth model based on companies weighing 50/50 of their recent quarterly year-over-year (YOY) percent revenue growth and recent quarterly YOY earnings-per-share (EPS) growth. . Both sales and revenue are important factors in a company’s success. Therefore, ranking companies by only one incremental metric makes them more susceptible to quarterly accounting inconsistencies (such as tax law changes or restructuring costs) that may make one figure or another generally unrepresentative of the business. Companies with quarterly EPS or revenue growth of over 2,500% were excluded as external.

Fast growing energy stocks
Price ($) Market Cap ($ B) EPS increase (%) Revenue growth (%)
Marathon Oil Corporation (MRO) 27.26 19.3 1,380 49.6
Coterra Energy Inc. (CTRA) 30.69 24.7 138.7 265.0
ConocoPhillips (COP) 105.02 135.8 485.3 80.8

Source: YCharts

  • Marathon Oil Corporation: Marathon Oil is an independent energy company focused on oil and gas exploration and production. The company’s operations are based on four major U.S. resources – Eagle Ford, Bacon, Stack / Scoop and Permian – as well as operations in Equatorial Guinea. Marathon Oil announced in late April that its board of directors had approved a quarterly dividend of 8 0.08 per share, representing an estimated 15% increase from the company’s last quarterly base dividend. The dividend is payable to record holders on June 10, 2022, and May 18, 2022.
  • Coterra Energy Inc .: Coterra Energy is an independent oil and gas exploration and production company whose operations are concentrated in the Permian Basin, Marseilles Shell and Anaderco Basin.
  • ConocoPhillips: ConocoPhillips is an independent energy company engaged in the exploration and production of oil and natural gas. The company explores, produces and transports crude oil, natural gas, natural gas liquids (NGL), liquefied natural gas and bitumen.

This is the energy stock which had the highest total return in the last 12 months.

Energy stocks with the most momentum
Price ($) Market Cap ($ B) 12-Month Total Return (%)
Devon Energy Corporation (DVN) 69.92 46.2 195.5
Occidental Petroleum Corporation (OXY) 63.26 59.3 154.4
Marathon Oil Corporation (MRO) 27.26 19.3 139.8
Russell 1000 N / A N / A -7.0
Power Selection Sector SPDR ETF (XLE) N / A N / A 64.3

Source: YCharts

  • Devon Energy Corporation: Devon Energy is an independent oil and natural gas exploration and production company. Its activities focus on five main regions: Delaware Basin, Eagle Ford, Anaderco Basin, Powder River Basin and Williston Basin. The company announced in early May that its board of directors had approved a fixed-plus-variable dividend of 1.27 per share, representing a 27% increase from the previous quarter. The dividend is payable to shareholders on record as of June 30, 2022, and June 13, 2022. Devon Energy also said it was expanding its share repurchase activities by 25% to $ 2.0 billion. The program was extended to May 4, 2023.
  • Occidental Petroleum Corporation: Occidental Petroleum is an oil and gas exploration and production company. The company explores and produces oil, NGL and natural gas. It transports and stores oil and natural gas and produces basic chemicals and vinyl.
  • Marathon Oil Corporation: See above for company details.

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