Finding Value Stocks In Energy

Finding Value Stocks In Energy

Article Summary

  • Oil will balance itself and trend higher as growth kicks in from depressed prices and eats into oversupply concerns.
  • Devon Energy, Pioneer Natural Resources and Southwestern Energy are a few onshore drillers that have stronger balance sheets to weather the storm.
  • Alternatively solar stocks have seen selling pressure due to lower energy prices creating a potential value play in the sector.

If there’s one thing experienced investors know, it’s that volatility and panic creates opportunities.

Thanks to the global oil crash, volatility has spiked erratically since the fall of last year. From mid-October, the VIX has broken above 20 four times. Once in October, once in December, and now twice in January. The uncertainty regarding the direction of oil prices and the duration of the fall has impacted the broader indices, although the most notable change has occurred in energy stocks…


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