Published on 15 Mar 2024 on Insider Monkey via Yahoo Finance
11 Oversold Energy Stocks You Can Buy Right Now
In this article, we discuss 11 oversold energy stocks you can buy right now. To skip the detailed analysis of the energy industry, go directly to the 5 Oversold Energy Stocks You Can Buy Right Now.
The energy sector recently experienced some of the most eventful and volatile years. However, from pandemic lows to Russia-Ukraine war highs, one thing remains constant, which is the global transition toward renewable energy due to the climate crisis. In our article about the fastest growing energy companies in the US, we reported that global energy investments rose to $2.8 trillion in 2023, and over 60% of those investments were made toward the renewable energy industry. This puts a bullish view on renewables because these investments were made despite the high borrowing rates. If the Federal Reserve decides to cut interest rates early, the investments could increase significantly.
Conventional energy or fossil fuels have been highly affected by geopolitical tensions around the world, including the war in the Middle East, which puts sector analysts in a tough spot. In 2022, oil majors such as Exxon Mobil Corporation (NYSE:XOM), TotalEnergies SE (NYSE:TTE), and Chevron Corporation (NYSE:CVX) posted record profits, which dropped significantly in 2023. Nevertheless, the companies still managed to rack up billions, especially in the third quarter of the year due to the Israel-Hamas conflict and Russia and OPEC’s announcement of production cuts.