There’s no getting away from it—energy keeps our world moving forward. The kind of energy we use might change, but the fact that we need it doesn’t.
If you’re looking to add to your stock portfolio, you might be considering some energy stocks. If you are, these energy stocks could be a good choice to invest in during 2019.
Why Invest in Energy?
Energy is always in high demand. We use it now more than ever, and the need for it will only increase.
The next time you experience a power outage, take a good look around. You won’t have a running refrigerator, be able to cook a meal or do a load of laundry. You won’t be able to charge your phone or use your internet to find the power company’s phone number.
There’s nothing like not having any energy to make you realize how much you need it. That’s all well and good—but you might be asking yourself why you should be investing in it.
Energy is an extremely valuable market segment. In fact, the sale of energy accounts for a significant chunk of the world’s annual gross domestic product. It’s currently at 10 percent—and it’s only expected to continue to grow.
The International Energy Agency expects the need for energy to rise by 30 percent over the next two decades. As the demand and price of energy continue to rise, the returns from investments in energy have consistently been above-average.
With the clear expectation that this trend will continue, investing in energy for your future is a safe bet.
1. Chevron Corporation
With 135 years in the business, no one can argue that Chevron is new to the game. It’s California’s largest oil producer, and runs the two biggest oil refineries in California as well. If you’re looking for a proven performer, Chevron will fit the bill.
After a slump in energy prices during the 2014-2016 years, Chevron rallied. In just a few months, stock prices rose dramatically during 2017. With projections that indicate profits per share will nearly double by 2020, Chevron continues to be a good investment.
Need a little more convincing before you bite the bullet? You can see how Chevron has been performing for yourself here.
2. Schlumberger Limited
Schlumberger supplies the equipment needed in the oil and gas industry. With 100,000 employees working in over 85 countries, it is a leader in the industry.
Schlumberger is committed to advancing technology relevant to the energy field, and to sustainability. With 80 years of history, Schlumberger is ready and able to adapt to the changes happening in the energy industry.
With Schlumberger’s performance falling in line with the projected analysis, Schlumberger is a good choice for an energy stock. If you’re looking for a reliable company with the potential for continued growth, this could be the one.
If you’d like to see how Schlumberger has performed lately, click here.
3. Devon Energy Corporation
A company focused on oil and natural gas, Devon Energy Corporation operates out of Canada and the United States.
Devon Energy Corporation’s stance on sustainability means there’s room for the stock to continue to grow in value. With shares currently undervalued, and a promising plan through 2020, this could be a stock worth investing in.
Want to see how Devon is doing in the stock market? You can click here to see how the company has been performing.
4. Kinder Morgan
Kinder Morgan is involved with over 85,000 miles of pipelines. The pipelines are responsible for transporting crude oil, natural gas, gasoline, and more.
One of the largest companies in North America dealing with energy infrastructure, Kinder Morgan strives to be ethical and responsible. With environmental, health, and safety concerns at the forefront, this is a company that will continue to grow.
The best part about investing in a company like Kinder Morgan? The company is charging for a service that’s not linked to the current price of oil or gas. This allows for a more steady growth trajectory—and less chance of loss during any market upheaval.
To see how Kinder Morgan has been doing recently, you can check in with them here.
5. Jagged Peak Energy
Feeling adventurous? Ready to have a little faith? If you aren’t faint of heart, Jagged Peak Energy may be the stock for you.
An experienced investor can tell you that Jagged Peak Energy recently had a bad year. They would also tell you not to let that be the deciding factor when weighing whether or not to buy stock.
With a 182 percent, year-over-year improvement, Jagged Peak Energy is one to watch. If you’d like to pick up a well-priced stock with the potential to yield a high return, this may be for you.
If you decide to go with Jagged Peak Energy, keep in mind that this one is a work in progress. If you’re looking to this energy company to round out your portfolio, expect it to be a longer-term commitment.
To find out what’s been happening with Jagged Peak Energy lately, you can check in on them here.
You’re probably familiar with BP. Maybe you’ve even filled up at a BP gas station recently. With over 150 years of history, BP has evolved—and is committed to accommodating ever-growing energy needs.
With recent year-over-year earnings climbing to 71 percent, BP is a solid investment. Analysts expect this upward trend to continue.
In the wake of the oil spills in the Gulf of Mexico, BP has taken an interest in alternative energy. While still invested in traditional energy, BP is looking toward future energy use to diversify. As a stockholder, that means you’ll have access to the best of both worlds.
BP is focused on safety and the continued evolution of energy and its use. If you’re looking for a viable energy stock to add to your portfolio, it may be this one.
If you want to see what’s been going on with BP’s stock of late, you can see for yourself here.
7. Pioneer Natural Resources
This Texas-based company may be flying under your radar. It doesn’t have the name recognition and lengthy history of some other energy companies, but it’s still a valuable asset.
Pioneer Natural Resources has consistently pulled in a respectable net income. With little in the way of debt and a business plan that includes lessening transportation costs, potential return is high.
If you’re looking to move beyond the regular players while choosing your energy stock, consider Pioneer Natural Resources. For more information on how Pioneer Natural Resources has been performing in the market, click here.
Valero is another name you’re probably used to seeing on gas station signs. Named for the Alamo and established in 1980, Valero is much more than just a place to fill up.
With 10,000 employees, Valero is the largest independent refiner in the world. Valero ranks 31st on the Fortune 500 list—and has the capacity to refine 3.1 million barrels a day. Like other energy companies, Valero took a hit during the 2014-2016 years.
According to analysts though, the per-share price is expected to nearly double in the next year. That could easily make Valero your next big thing. If you’d like to see more on how Valero has been performing, you can check in here.
9. EOG Resources
One of the largest crude oil and natural gas companies in the United States, EOG Resources prioritizes profitability. Where other companies have moved to focus on upping production amount, EOG Resources is still focused on the bottom line.
EOG Resources’ year-over-year price has risen over 40 percent. Back near the pre-2014 highs, EOG Resources is expected to continue outperforming competitors. If you’re looking for a stock that consistently performs well, this is one for you.
Interested in how EOG Resources has been doing in the market lately? You can see that, and more, here.
ExxonMobil is one of the largest companies in the world, formed during the 1999 merger between Exxon and Mobil. Headquartered in Texas, ExxonMobil has the complicated past of fuel companies that have been around for a while.
It also has a global reach and a diversified business. Looking for a company that’s able to weather any changes happening in the energy industry? ExxonMobil is one that can.
A decent debt-to-revenue ratio and an upswing in the market leaves ExxonMobil a company worth looking into. Would you like more information on how ExxonMobil has been performing? You can see the numbers here.
11. Enbridge Energy Partners
Established in the early 1990s, Enbridge Energy Partners is a diversified organization. Enbridge deals with both the harvesting of crude oil and liquid petroleum, as well as transportation and storage.
Enbridge is coming off a down year, meaning now’s the time to buy. Despite the underperformance—due to a cash-flow issue—things are looking up. If you want to get in on a long-term performer for less money, this could be the one.
To see more about how Enbridge has been doing in the market before you commit, you can check out recent numbers here.
12. Profire Energy
If you haven’t heard of them, Profire Energy is a company that works in oilfield technology.
Specializing in burner-management systems, Profire Energy is another energy company that provides a service not attached to current fuel prices. This allows for a more steady performance track without the outside variables other energy companies are faced with.
Recently, the analysis suggested Profire Energy was hitting their bottom. Expecting stock prices to continue to climb, you’ll want to buy in now while the getting is good. Don’t anticipate that waiting means you’ll catch a better price.
Want to see how Profire Energy is doing in the market? You can click here for more information.
13. Pattern Energy Group
Maybe you’ve had enough of the traditional energy stock options and you’re looking to take the leap into renewable energy. If that’s the case, Pattern Energy Group is a good choice for you.
With plans for future acquisitions and steady performance, Pattern Energy Group is a safe choice for an evolving field. You may find you cover your bases better by choosing both traditional and nontraditional energy stocks.
If you’re interested in seeing how Pattern Energy Group has been performing in the market lately, click here.
14. Atlantica Yield
Atlantica Yield is another company that deals in renewable energy. Generating energy through solar and wind collection, Atlantic Yield has done well over the past four years.
Outperforming initial analysts’ expectations, it’s anticipated that stock in Atlantica Yield will only continue to rise. With a year-over-year increase of 583.3 percent expected, this is a stock to invest in.
Want to know more about what’s happening with Atlantica Yield? You can see how they’ve been doing in the market here.
15. NextEra Energy Partners
NextEra Energy Partners is the world’s largest utility company. And it’s based right here in America.
Working in wind, solar, nuclear, and other alternative energy sources, NextEra is committed to bringing green energy to North America. In fact, NextEra generates more wind and solar energy than any other company in the world.
With plans to continue growing—expecting to spend $40 billion on infrastructure through 2020–you can anticipate stock prices will rise. Consistently performing well, there are many reasons to add NextEra Energy Partners to your buy list.
If you’d like to find out more about how NextEra has been performing recently, you can see that here.
Investing in energy is investing in the future. You may find traditional energy companies are the best fit for your stock portfolio.
Or, you may find you’re more interested in companies that deal with alternative energy sources. Either way, there’s an energy company out there for you.
If you’ve been wondering which stocks you might pick up for 2019, look no further. At least one of these companies will have the shares you need. Now, you’ll just need to make the final selections and commit to your new portfolio additions.