Top energy stocks
Oil is among the most volatile commodities on earth. Oil prices have been in the news with price of a barrel going as low as $30 in the early 2016. The International Energy Agency predicts that the oversupply will end in late 2017. So, this is actually a lifeline of hope for consumers and it should boost the price of oil. Indeed, oil rose above $50 per barrel, in the early 2017.
The question is, will the oil prices rise, or will they fall despite positive predictions? The point is that these companies are dependent on the oil prices, which fluctuate a lot.
EOG Resources Inc. (EOG): EOG is headquartered in Houston, Texas and has a market cap of nearly $56 billion. EOG has a focus on crude and, to a lesser extent, natural gas extraction. EOG has been working on its income losses for the past four quarters, and appears to be ready to profit. There is space for growth due to the fact that the company applies big data to drilling technology.
First Solar Inc.: It is a firm that specializes in solar energy which was found in 2012. Te company has worked through ups and downs and in the recent years, has shown the capacity of great growth. It has a market cap of $3.47 billion. There is a chance of volatility, but investors who see the larger picture can choose this as an option.
Covanta Holding Corp.: Covanta Holding Corp provides waste management services to the United States and Canada. They have plants that burn the waste and generate electricity. It burns approximately 20 million tons of waste and recycles 50,000 tons of metal. The company has a solid track record and is on the way of reaping profits this year. It also has been slowly increasing its portfolio with various new innovations, all of which should give a positive impact this year.
The main point of the energy sector is that investors can only reap rewards over time. They have to sit tight, and wait out all the ups and downs of this volatile market. It is also important to keep your portfolio as diversified as possible when it comes to investing in energy stocks. Predictions are positive for the oil sector this year, with many predicting a huge profit coming up.
