Energy stocks are doing well right now as crude oil continues to move higher. It’s not a great thing for motorists or American consumers to see gasoline or energy costs eating in to their budgets, but if you can’t beat ‘em … join ‘em! Buying energy stocks could be your best hedge against rising fuel costs.
I watch more than 5,000 publicly traded companies with my Portfolio Grader tool, ranking companies by a number of fundamental and quantitative measures. And this week, I identify seven energy stocks to buy.
Here they are, in alphabetical order. Each one of these stocks gets an “A” or “B” according to my research, meaning it is a “strong buy” or “buy.”
China Petroleum & Chemical (NYSE:SNP) – commonly referred to as Sinopec — is an energy and chemical company that operates in China, as its name suggests. In the last year, SNP stock has gained 1%. Sinopec stock gets an “A” grade for cash flow, and a “B” grade for return on equity. For more information, view my complete analysis of SNP stock.
Ecopetrol (NYSE:EC) is involved with the exploration, production, refining, transportation, storage, distribution and selling of hydrocarbons. Ecopetrol stock has gained 54% in the last 12 months. EC stock gets a “B” grade for sales growth, a “B” grade for operating margin growth, an “A” grade for earnings momentum, an “A” grade for the magnitude in which earnings projections have increased over the past months, and an “A” grade for return on equity. For more information, view my complete analysis of EC stock.
Enbridge (NYSEL:ENB) transports and distributes energy across North America, and has watched its stock value jump 25% since this time last year. Enbridge stock gets an “A” grade for sales growth, a “B” grade for the magnitude in which earnings projections have increased over the past months, and a “B” grade for return on equity. For more information, view my complete analysis of ENB stock.
Enterprise Products Partners (NYSE:EPD) works with consumers of natural gas, natural gas liquids, crude oil, refined products and certain petrochemicals. Since last April, Enterprise stock has gained 15%, compared to smaller gain by the broader markets. EPD stock gets a “B” grade for sales growth, an “A” grade for operating margin growth, a “B” grade for earnings momentum, an “A” grade for earnings growth, an “A” grade for its ability to exceed the consensus earnings estimates on Wall Street, an “A” grade for the magnitude in which earnings projections have increased over the past months, and a “B” grade for return on equity. For more information, view my complete analysis of EPD stock.
Kinder Morgan Energy (NYSE:KMP) is involved with approximately 29,000 miles of pipelines and 180 pipeline terminals. KMP stock is up 10% in the last year. KMP stock gets a “B” grade for earnings growth, an “A” grade for earnings momentum, and a “B” grade for the magnitude in which earnings projections have increased over the past months. For more information, view my complete analysis of KMP stock.
Kinder Morgan (NYSE:KMI) owns 11% of the limited partner interests of the Kinder Morgan Energy Partners but is a wholly different stock. This is also a buy. In the last 12 months, KMI stock is up 31%. KMI stock gets an “A” grade for return on equity. For more information, view my complete analysis of KMI stock.
TransCanada (NYSE:TRP) works with natural gas pipelines, oil pipelines and energy. TransCanada rounds out the list with a 3% gain in the past year. TRP stock gets a “B” grade for operating margin growth, and a “B” grade for earnings growth. For more information, view my complete analysis of TRP stock.
Get more analysis of these picks and other publicly-traded stocks with Louis Navellier’s Portfolio Grader tool, a 100% free stock-rating tool that measures both quantitative buying pressure and eight fundamental factors.
