Recent News
Exxon (XOM) gets slammed in a report by the Union of Concerned Scientists for disinformation campaign knowledge. See Reuters Article In Exxon's response they admit, "While there is more to learn on climate science, what is clear today is that greenhouse gas emissions are one of the factors that contribute to climate change, and that the use of fossil fuels is a major source of these emissions. " |
Home 
Ethanol-Biofuels XTO Energy (XTO): A Good Pick?
Ethanol-Biofuels XTO Energy (XTO): A Good Pick?
| XTO Energy (XTO): A Good Pick? |
| Written by Miranda Marquit | |||
| Tuesday, 30 September 2008 12:26 | |||
If you are looking into energy stocks (which are rather volatile right now, what with all the oil fluctuations), it can be difficult to decide what to go with. ExxonMobile (XOM) and Chevron (CVX) seem a little expensive -- even if they are gaining along with the rest of the stock market. This is part of the reason that some investors like XTO Energy (XTO).
Photo: d70focus, Creative Commons, Flickr XTO has a very low price right now and, while it has had ups and downs like other stocks on the market (especially energy stocks), it is pretty close to the same price now that it was at the beginning of the year -- perhaps a little higher. But one of the reasons that XTO is among the more potentially steady energy stocks has to do with its strategy. Stock Trading To Go points this out about XTO Energy: XTO possesses oil and gas reserves in geopolitically safe areas. Market value of their natural reserves exceeds $60 per share and a high amount of 2009 production has been hedged at energy prices that are higher than prevails today. Therefore, XTO offers excellent value with limited exposure to volatile commodity prices.However, if you are interested in environmentally-friendly investing, any energy stock is going to be dicey, and XTO is no different. The company relies mainly on fossil fuels, and does very little in the way of diversifying to alternative energy investment. The company offers platitudes about limiting environmental impacts, but it really is hard to give a company steeped in fossil fuels an environmental stamp of approval. At any rate, XTO does produce fewer wells, but through an approach that combines the processes of drilling new wells and completing the reservoirs, oil is obtained more efficiently. The bottom line is that XTO offers some possibility in energy investing and could offer decent returns. Disclosure: I do not own oil stocks. Site disclaimer.
|
|||
| Last Updated on Sunday, 05 October 2008 21:55 |
Latest Postings
- Energy Stocks Got a Boost Monday
- 12 Interesting Things I Learned at The Feast
- In a Warming World Coastal Forests Are the Only Defense
- FDA Approvals and What They Mean to You
- What Happens to the Stock Market if Obama Becomes the CEO of America?
- Global Bailouts Will Lead to Global Inflation: How to Play It
- Global Bailouts Will Lead to Global Inflation: How to Play It
- Orbit Gum: Whiter Teeth Plus Gout and Heart Disease
- Exxon Mobil (XOM) Works On Its Eco Image
- Bush's Final Legacy: Stealth Tort Reform
- Amendment 58 in Colorado Seeks to End Subsidies for Big Oil
- Have the Numbers Gotten Too Big to Understand?
- Why Paulson Can't Clean Up the Pollution on Wall Street
- Will the Real David Icke Please Sit Down
- Beyond Growth: The Wealth of Community
- Big Oil Falls with the Stock Market
- The Rebirth of the System: From Caterpillar to Butterfly
- Pain Relief Without Addiction
- Why I Like Obama on Energy
- The Feast: Social Innovation Conference
- Vaccination Side Effects, Sponsored by Merck
- We Won!!!
- Reframe It: Reading Between the Lines
- The Next Great Pandemic
- Tesoro (TSO) Fights California Ethanol Mandate