These Top Oil Stocks Plan to Sit Back and Cash In on Higher Crude Prices
Oil prices have moved sharply higher in recent months. The price of West Texas Intermediate (WTI), the primary U.S. oil benchmark, was recently above $90 a barrel. That's a more than 30% gain in the last three months and comfortably above its $65 to $80 a barrel trading range over the past year.
Higher crude prices typically entice oil companies to ramp up their drilling activities to increase production. However, that's not what leading oil companies Devon Energy (NYSE: DVN) and Occidental Petroleum (NYSE: OXY) are planning. They expect to keep a lid on spending. That would enable them to produce even more free cash flow that they'll likely return to shareholders.
Devon Energy expects its total capital spending to be between $3.6 billion and $3.8 billion this year. That's over $1 billion more than it spent in 2022. The main factors fueling that increase are inflation and the impact of two acquisitions.
Source Fool.com
Occidental Petroleum Corp. Stock
The stock is one of the favorites of our community with 21 Buy predictions and 2 Sell predictions.
As a result the target price of 70 € shows a positive potential of 20.13% compared to the current price of 58.27 € for Occidental Petroleum Corp..
