Welcome to Episode #43 of the Zacks Market Edge Podcast.
Every week, host and Zacks stock strategist, Tracey Ryniec, will be joined by guests to discuss the hottest investing topics in stocks, bonds and ETFs and how it impacts your life.
In this episode, Tracey is joined by Sheraz Mian, Zacks Director of Research and a former oil analyst, to discuss the hottest stocks in the energy sector.
Crude has fallen 20% from its recent highs and is now considered to be in a bear market. The fall in oil prices has scared energy investors. The energy stocks are weak.
Is now the time to be buying?
Not all oil stocks are the same, however.
Tracey and Sheraz’s give their top oil stock picks for the rest of 2016 (and, in some cases, even beyond.):
1. The big integrated oils are still attractive. Exxon (XOM - Free Report) and Chevron (CVX - Free Report) are two standouts despite weak second quarter earnings results. Find out which one is Sheraz’s favorite on the podcast.
2. Like risk? The E&Ps are your play. Look for companies with strong balance sheets. Sheraz likes Pioneer Natural Resources (PXD - Free Report) and Occidental (OXY - Free Report) while Tracey has been watching Whiting Petroleum (WLL - Free Report) .
3. There are opportunities in the transports such as the MLPs. Sheraz’s top pick is Enterprise Products (EPD - Free Report) .
4. What about the service companies? Are they still too risky with crude at $40?
Tracey and Sheraz also discuss the difference between short term energy investors and those with long term time horizons.
What else should you know about the oil stocks?
With crude on the move, don’t miss a minute of this week’s podcast.
Tracey Ryniec is the Value Stock Strategist for Zacks.com. She is also the Editor of the Insider Trader and Value Investor services. You can follow her on twitter at @TraceyRyniec and she also hosts the Zacks Market Edge Podcast on iTunes.