| Marathon Oil Makes List of Five Big Oil Stocks to Buy As OPEC+ Nations Cut Supply Marathon Oil Corporation (NYSE: MRO) has benefited from a recent rally in the price of oil to become the top commodity recommendation in Skousen's Five Star Trader advisory service. In early November, dividend-paying Marathon Oil is expected to report annual earnings of $4.75 per share, up more than 200%, on revenues of $8.3 billion, climbing 52%, Skousen wrote to his subscribers. Houston-based Marathon Oil is "dirt cheap," selling for a price-to-earnings (P/E) ratio of 7.2, Skousen wrote. It has a price-to-earnings to growth ratio (PEG) of only 0.61. compared to the U.S. Oil and Gas industry's 0.51, according to Zacks Research. Anything less than one is considered excellent, Skousen added. A trailing 12-month (TTM) PEG ratio equals the P/E ratio divided by its growth for the past 12 months. The PEG ratio is aimed at giving a more complete picture of a company's prospects than just a P/E ratio alone. Marathon Oil is up 15.78% since Skousen recommended the position in his Five Star Trader advisory service on Aug. 14. BoA Global Research wrote that risks to Marathon Oil shares include oil and gas prices, a possible correction in refining profit margins, significant delays to the company's new upstream projects that are critical to its production targets, as well as other factors. 
Chart courtesy of www.stockcharts.com Shell is One of Five Big Oil Stocks to Buy as OPEC+ Nations Cut Supply Shell plc (NYSE: SHEL), a multinational oil and gas company headquartered in London, England, beat earnings estimates by 5% when reporting quarterly results on Oct. 27. The company's earnings and production businesses were strong but its liquefied natural gas (LNG) operation, which involves trading, came in slightly weak, said Michelle Connell, who leads Portia Capital Management, of Dallas, Texas. Connell pointed out a shareholder-noteworthy announcement of a 15% increase in Shell's dividend that will begin in 2023. It marks a reversal from when the company cut its dividend in 2020 to clean up its liabilities, she added. While the dividend cut initially was viewed negatively, it gave the company room to expand its green energy business, Connell said. Shell also announced it will begin a $4 billion share buyback. While this is not definitively a signal that the shares are cheap, it does telegraph that the company's management does not consider the shares "too expensive" at this point, Connell continued. Shell is the world's fourth-largest oil company in the world, following the largest three: Saudi Aramco, Exxon Mobil and Chevron. Of these four, Connell called Shell the "most environmentally friendly." 
Chart courtesy of www.stockcharts.com Shell is targeting net-zero emissions by 2050, while Saudi Aramco, Exxon Mobil and Chevron are considered to be "very damaging" to the environment, Connell counseled. Plus, Shell will be building the largest green hydrogen plant in the European Union (EU), Connell added. "Most oil stocks have appreciated so much this year that it's difficult to buy them a discount," Connell said. "However, Shell is selling at a significant discount to Exxon and some of its competitors." For example, Shell's current price-to-earnings (P/E) ratio is 4.86, while ExxonMobil's current P/E is 9.12. The difference may stem from Shell being viewed by some investors as a pure European Union play, while Exxon and Chevron are seen as U.S. energy stocks, Connell said. 
Michelle Connell heads Portia Capital Management, of Dallas, Texas. ConocoPhillips Is One of Five Big Oil Stocks to Buy as OPEC+ Nations Cut Supply BofA's price objective of $140 per share on ConocoPhillips (NYSAE: COP) assumes $80 Brent and $75 West Texas Intermediate (WTI) long-term prices. The investment firm also assume long-term Henry Hub natural gas at $4.25.
Risks to BofA's price objective are an uncertain oil and gas price and margin environment, significant delays to new upstream projects critical to its production targets and challenges in capturing the price environment due to cost pressures such as operating expenses, capital expenditures and taxation. Outperformance could occur through increased oil prices and cuts to capital expenditures, BofA wrote. 
Chart courtesy of www.stockcharts.com Bivalent COVID-19 Booster Vaccines Could Help Sustain Oil Demand A new bivalent COVID-19 booster in the United States offers protection against the omicron BA.5 variant, now the predominant strain of the virus. As a resident of Maryland, I arranged to receive the new booster after the state's health department called me and informed me of the new booster's availability at pharmacies near my house. Even though I obtained the vaccine on Oct. 16, there still are an additional 200-plus million Americans, who are eligible, but have not yet gained the protection offered by the latest booster. COVID cases and deaths can hurt supply and demand for oil stocks, so availability of a new booster to enhance the vaccine's efficacy could help protect from the virus. Cases in the country totaled 97,423,583, as deaths hit 1,070,138, as of Oct. 28. America has amassed the most COVID-19 cases and deaths of any nation. Worldwide COVID-19 deaths totaled 6,587,818, as of Oct. 28, according to Johns Hopkins. Global COVID-19 cases reached 629,740,541. Roughly 80.1% of the U.S. population, or 266,031,472, have received at least one dose of a COVID-19 vaccine, as of Oct. 27, the CDC reported. People with at least the primary doses total 226,933,827, or 68.4%, of the U.S. population, according to the CDC. The United States also has given a bivalent COVID-19 booster vaccine to 22,197,891 people who are age 18 and up, accounting for 8.6% of the U.S. population in that age range. The five big oil stocks to buy as OPEC+ nations cut supply seem positioned for free cash flow growth, regardless of whether President Biden opposes their share buybacks. Despite high inflation, Russia's continued attacks in Ukraine and rising recession risk after 0.75% rate hikes by the Fed in June, July and on Sept. 21, the five big oil stocks to buy as OPEC+ nations cut supply appear posed to avoid geopolitical pitfalls in the coming months. | 
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