Better Buffett Oil Stock: Occidental Petroleum vs. Chevron
Energy stocks have finally come back down to earth. After a red-hot start to the year, oil and gas companies have seen their stock prices slashed as commodity prices (particularly natural gas prices in the U.S.) have fallen in recent weeks. Nevertheless, the energy sector has been the best-performing sector year to date, as the major market indexes remain mired in correction or bear market territory.
Warren Buffett is still bullish on energy and continues to increase his exposure to the sector. So let's examine two of the legendary investor's energy holdings -- Occidental Petroleum (NYSE: OXY) and Chevron (NYSE: CVX) -- to see which is the better investment.
Occidental has absolutely ripped higher in 2022. At its peak on May 26, the stock traded at $70.86 -- a year-to-date return of 144% in less than five months. Since then, the stock is down about 10%. Yet, there's no doubt that Buffett sees this pullback as a buying opportunity. His Berkshire Hathaway (NYSE: BRK.A) (NYSE: BRK.B) bought another 12 million Occidental shares last week, bringing Berkshire's total position in the company to 175.4 million shares -- 18.7% of its total shares.
Source Fool.com
