May 25, 2021
Markets have been turbulent over the last month but overall 2021 couldn’t be going much better. However, energy funds have not gotten the media's attention, but things should change. Energy stocks make up only 2.85% of the S&P capitalization down from 6.95% two decades ago, but since the oil crisis at the onset of the pandemic, they have performed well. It is the leading sector in the S&P since 2021 but still lags from 2019 and 2015 peaks, meaning there is room to grow. If one looks at a forward price to earnings it may not look great for energy stocks, but instead, look at Wall Street consensus expected earnings growth, where energy leads the bunch. Staple names like ConocoPhillips and Phillips 66 are included, but big buy ratings for Green Plains Inc., Bonanza Creek Energy Inc., and Climarex Energy Co., which have the highest 12-month potential upside.
FINSUM + Magnifi: Traditional energy demand will be high this summer and the sector could look to find itself back in the position it was in 2015.
Magnifi is changing the way we shop for investments, with the world’s first semantic search engine for finance that helps users discover, compare and buy investment products such as ETFs, mutual funds and stocks. As of May 2021, 350,000+ users with $500+ Billion in Assets Under Influence, have used Magnifi over 2,000,000 times. Try it for yourself today.
This blog is sponsored by Magnifi. The information and data are as of the publish date unless otherwise noted and subject to change. This material is provided for informational purposes only and should not be construed as individualized investment advice or an offer or solicitation to buy or sell securities tailored to your needs. This information covers investment and market activity, industry or sector trends, or other broad-based economic or market conditions and should not be construed as investment research or advice. Investors are urged to consult with their financial advisors before buying or selling any securities. Although certain information has been obtained from sources believed to be reliable, we do not guarantee its accuracy, completeness or fairness. Past performance is no guarantee of future results. This content may not be reproduced or distributed to any person in whole or in part without the prior written consent of Magnifi. [As a technology company, Magnifi provides access to tools and will be compensated for providing such access. Magnifi does not provide brokerage or custody services.]