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Buy These Recently Upgraded Energy Stocks Amid Crude Oil Supply Chain Fears
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Tensions in the Middle East surrounding the conflict between Israel and the Palestinian movement/militia group Hamas have led to Iran calling for the restriction of oil supplied to the region by Muslim nations in a bid to support Palestine.
In correlation, WTI Crude Oil spiked roughly +2% today to around $88 a barrel. With disruptions in the global oil supply chain looking inevitable, we point to several energy stocks that were recently added to the Zacks Rank #1 (Strong Buy) list today.
Engaged in the exploration and production (E&P) of natural gas and crude oil, APA is one of the leading independent energy companies in the world. APA has the ability to reap higher profits amid global oil supply disruptions with operations in the U.S., U.K, and Egypt which is intertwined in the border flow of the Israel-Hamas dispute.
Earnings Estimate Revisions
Over the last 60 days, APA’s fiscal 2023 and FY24 earnings estimates have climbed 11% and 17% respectively. Very compelling considering APA’s stock is down -8% this year but has soared +371% over the last three years and currently trades at an attractive 9X forward earnings multiple.
Marathon Oil’s stock will certainly be one to watch in terms of strong price performances that could continue with oil prices likely to rise in the near future. To that point, shares of MRO are up a modest +6% YTD and have skyrocketed +623% in the last three years.
Earnings Estimate Revisions
As a leading integrated E&P company, rising earnings estimates support the notion that Marathon Oil’s stellar performance can continue. In the last two months, FY23 EPS estimates have spiked 14% with FY24 estimates soaring 18%. Furthermore, MRO trades attractively at 10.5X forward earnings.
Rounding out the list, oilfield and equipment services provider Weatherford International is worthy of investors' consideration. Notably, Weatherford’s stock has soared +85% this year and is now up an astonishing +637% over the last three years.
Earnings Estimate Revisions
While earnings estimates are modestly higher in the last 60 days what is most intriguing is Weatherford’s bottom line expansion. Fiscal 2023 earnings are now anticipated at $4.84 per share surging from EPS of $0.86 a share last year. More impressive, FY24 earnings are expected to pop another 35% with Weatherford’s stock trading at a reasonable 19.9X forward earnings multiple considering its very expansive growth.
Image Source: Zacks Investment Research
Bottom Line
With tensions in the Middle East starting to mount and disrupt the global oil supply chain the strong price performances of these Zacks Oils & Energy sector stocks could continue. Rising earnings estimates appear to correlate with such making now a great time to buy.
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Buy These Recently Upgraded Energy Stocks Amid Crude Oil Supply Chain Fears
Tensions in the Middle East surrounding the conflict between Israel and the Palestinian movement/militia group Hamas have led to Iran calling for the restriction of oil supplied to the region by Muslim nations in a bid to support Palestine.
In correlation, WTI Crude Oil spiked roughly +2% today to around $88 a barrel. With disruptions in the global oil supply chain looking inevitable, we point to several energy stocks that were recently added to the Zacks Rank #1 (Strong Buy) list today.
APA (APA - Free Report)
Engaged in the exploration and production (E&P) of natural gas and crude oil, APA is one of the leading independent energy companies in the world. APA has the ability to reap higher profits amid global oil supply disruptions with operations in the U.S., U.K, and Egypt which is intertwined in the border flow of the Israel-Hamas dispute.
Earnings Estimate Revisions
Over the last 60 days, APA’s fiscal 2023 and FY24 earnings estimates have climbed 11% and 17% respectively. Very compelling considering APA’s stock is down -8% this year but has soared +371% over the last three years and currently trades at an attractive 9X forward earnings multiple.
Image Source: Zacks Investment Research
Marathon Oil (MRO - Free Report)
Marathon Oil’s stock will certainly be one to watch in terms of strong price performances that could continue with oil prices likely to rise in the near future. To that point, shares of MRO are up a modest +6% YTD and have skyrocketed +623% in the last three years.
Earnings Estimate Revisions
As a leading integrated E&P company, rising earnings estimates support the notion that Marathon Oil’s stellar performance can continue. In the last two months, FY23 EPS estimates have spiked 14% with FY24 estimates soaring 18%. Furthermore, MRO trades attractively at 10.5X forward earnings.
Image Source: Zacks Investment Research
Weatherford International (WFRD - Free Report)
Rounding out the list, oilfield and equipment services provider Weatherford International is worthy of investors' consideration. Notably, Weatherford’s stock has soared +85% this year and is now up an astonishing +637% over the last three years.
Earnings Estimate Revisions
While earnings estimates are modestly higher in the last 60 days what is most intriguing is Weatherford’s bottom line expansion. Fiscal 2023 earnings are now anticipated at $4.84 per share surging from EPS of $0.86 a share last year. More impressive, FY24 earnings are expected to pop another 35% with Weatherford’s stock trading at a reasonable 19.9X forward earnings multiple considering its very expansive growth.
Image Source: Zacks Investment Research
Bottom Line
With tensions in the Middle East starting to mount and disrupt the global oil supply chain the strong price performances of these Zacks Oils & Energy sector stocks could continue. Rising earnings estimates appear to correlate with such making now a great time to buy.