energy stocks to invest in2011
Energy Stocks to Invest in 2012
In the modern world, energy production has become a crucial aspect of any economy, so much so, that it is connoted to be the fire power of a said economy as it defines the rate of growth and development. Here is a list of some of the best energy stocks to invest in 2012.
- Fossil oil and natural gas are the largest contributors to logistics and all kinds of transport facilities. Apart from that, they also contribute to some of the thermal energy production plants or plants which run on internal combustion engines. Thus the sales of fossil oil are quite assured and well projected, however the initial investment that you would need to purchase these stocks is quite large, as the prices of such stocks are already quite high in the market.
- Coal substantially contributes to the production of thermal energy. This stock would give you a low, yet steady inflow of dividends and the yield value. That is, the sales value, plus all dividends received, would give you a substantial profit, but it won't be sky-high.
- Green chip companies are the ones which contribute to the production of electric energy through eco-friendly and non-exhaustible avenues. Currently, these companies have a low share value and quite a low dividend payment. However, these share prices and the values of dividends are expected to rise, owing to the many green initiatives and also the energy crisis that we are quickly stepping into.
- Next off, power generation companies tend to have the maximum dividend and market values for shares. Purchasing the stock and selling it for profit always tends to be quite difficult. Though once you buy the stock, you will find that the annual dividend is excellent.
- Find out, to whom the company caters. This is a genuine lead that would take you to the biggest profit-making energy companies. For example, a company supplying energy and electricity to the silicon valley, is always bound to make a great deal of money. Simply due to the fact that the silicon valley entirely depends upon the supply of electricity.
- Secondly, look at what the company sells. Direct electricity, diesel or gas tends to be more profitable, why? That's because a large population of people need it and are ready to pay for it, which means assured sales.
- Thirdly, check the production features of the company. How does it produce, what is the annual output, what is the annual sale, etc. A very swift relation between the production and sales usually indicates that the company will give a fantastic yield for its shares.
- Last, but not the least, you can also check other analytical data such as the inward cash flow, past market performance of the stock and also some of the projects and developments which are being initiated by the company. It must be noted that such developments can substantially affect the stock value of any energy company, due to the fact that projects serve to be revenue earners for more than a decade. Check out the P/E ratio, dividend percentage, yield percentage and market capitalization of the company, along with the debt to equity ratio.
- Yanzhou Coal Mining Co.
- Natural Resource Partners
- Alliance Resource Partners L.P.
- Penn Virginia Resource Partners L P
- Walter Energy Inc.
- Cloud Peak Energy Inc.
- Exxon Mobil Corporation
- Chevron Corporation
- Petroleo Brasileiro SA
- Statoil ASA
- Marathon Oil Corporation
- Questar Corporation
- YPF SA
- Legacy Reserves LP
- BP plc
- VOC Energy Trust
- CREDO Petroleum Corporation
- Occidental Petroleum Corporation
- EQT Corporation
- PetroChina Company Limited
- Apache Corporation
- RAM Energy Resources Inc.
- Genesis Energy L.P.
- Kinder Morgan Management LLC
- Mitcham Industries Inc.
- Schlumberger Limited
- Halliburton Company
- Magellan Midstream Partners L.P.
- Plains All American Pipeline L.P.
- Core Laboratories N.V.