Chevron and Enterprise Products Partners Present High-Yield Investment Opportunities
Written by Emily J. Thompson, Senior Investment Analyst
Source: Fool
- Energy Transition Reality: The global shift towards cleaner energy is becoming more realistic, indicating that the demand for oil and natural gas will persist, potentially making high-yield stocks like Chevron (CVX) and Enterprise Products Partners (EPD) attractive for income investors.
- Chevron's Advantage: With a 4.6% dividend yield and a history of 38 consecutive annual increases, Chevron's integrated energy model helps mitigate volatility in the energy sector, making it a strong dividend choice.
- Stability of Enterprise Products Partners: Offering a 6.8% dividend yield with 27 consecutive annual distribution increases, Enterprise operates in the midstream segment, avoiding commodity price risks, which makes it suitable for conservative investors.
- Investment Recommendation: As the global approach to energy transition softens, investors may consider Chevron for direct exposure to energy prices or Enterprise Products Partners to maximize income while minimizing risk.
CVX
$150.53+Infinity%1D
Analyst Views on CVX
Wall Street analysts forecast CVX stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for CVX is 177.50 USD with a low forecast of 158.00 USD and a high forecast of 204.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
16 Analyst Rating
13 Buy
3 Hold
0 Sell
Strong Buy
Current: 149.800
Low
158.00
Averages
177.50
High
204.00
Current: 149.800
Low
158.00
Averages
177.50
High
204.00
About CVX
Chevron Corporation is an integrated energy company. The Company produces crude oil and natural gas; manufactures transportation fuels, lubricants, petrochemicals and additives; and develops technologies that enhance its business and industry. The Company’s segments include Upstream and Downstream. Upstream operations consist primarily of exploring for, developing, producing and transporting crude oil and natural gas; liquefaction, transportation and regasification associated with LNG; transporting crude oil by major international oil export pipelines; processing, transporting, storage and marketing of natural gas; carbon capture and storage; and a gas-to-liquids plant. Downstream operations consist primarily of the refining of crude oil into petroleum products; marketing crude oil, refined products, and lubricants; manufacturing and marketing of renewable fuels, and transporting of crude oil and refined products by pipeline, marine vessel, motor equipment and rail car.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
