This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

7 Oil and Gas Stocks to Sell Now: Navellier

Stocks in this article: PBR BP TOT E TS RIG SWN

The following commentary comes from an independent investor or market observer as part of TheStreet's guest contributor program, which is separate from the company's news coverage.

NEW YORK ( InvestorPlace) -- Oil investments have been on the rise as crude prices have skyrocketed. Unfortunately, not all oil and gas stocks are created equal. Here are seven major oil investments you should sell immediately and replace with better crude stocks if you want to profit from expensive gas prices:

Petrobras: Integrated oil and gas company Petrobras (PBR) is the first energy stock worth selling, having watched its stock price drop -12% over the past 12 months, compared to gains +11% for the Dow Jones and S&P 500 each. After regaining in the start of 2011, this stock has seen another drop of -4% in the last two weeks. Not exactly a leader among oil and gas investments.

BP: While BP (BP) may have rebounded from its terrible summer performance following the Gulf oil spill, this stock is still down -20% in the last year. More recently, BP stock has sunk another -2% in the last 30 days. Analysts are projecting earnings to be 19 cents lower than the EPS posted this quarter last year, making it stand out as a lackluster oil and gas stock.

  • Related Article: 7 Small Cap Stocks with +7% Yields
  • Total S.A.: International oil and gas company Total S.A. (TOT) may have had a solid start to 2011, but since the first week in March, this stock has fallen -4%. More dismal numbers are found in this oil company's financial statement, where it recently reported a quarterly earnings growth of -2%.


    ENI S.p.A.: Since the middle of February, ENI S.p.A. (E) has watched its stock value diminish -4%, much like other stocks on this list. As consumers start switching off their heaters from this winter, the stock price of this oil, gas and power generation company should continue to trend down.

  • Related Article: 5 Nuclear Stocks to Buy Despite Japan Crisis
  • Tenaris S.A.: Holding company Tenaris S.A. (TS) may have had a strong finish to 2010, but is down -6% in 2011, compared to gains by the broader markets. Potential buyers of oil and gas stocks also place a priority on dividends, and with a yield of just over +1%, this investment is not much to hang your hat on.

    Transocean Ltd.: Offshore drilling service provider Transocean Ltd. (RIG) is down -2% over the past 12 months, despite gains toward the end of 2010. More recently, RIG has seen its stock value drop -3% since the beginning of March. Most importantly, experts are projecting EPS of just 89 cents, compared to an actual EPS of $2.22 this quarter last year.

  • Related Article: 3 Ways to Invest in the World's Most Dangerous Places
  • Southwestern Energy: While things may look good for Southwestern Energy (SWN) at first glance, experts are projecting EPS to be 9 cents lower than the actual EPS reported this quarter last year. Likewise, in its last income statement, SWN reported quarterly earnings growth of -5%. These down earnings numbers should make any potential investor wary.

    >>To see these stocks in action, visit the 7 Oil and Gas Stocks to Sell Now portfolio on Stockpickr.

    As of this writing, Louis Navellier did not own a position in any of the stocks named here.

    One of Wall Street's renowned growth investors, Louis Navellier is the editor of four investing newsletters: Emerging Growth (formerly known as MPT Review), Blue Chip Growth, Quantum Growth and Global Growth. His longest-running publication, Emerging Growth, has a track record of beating the market nearly 3 to 1. Navellier is the author of a BusinessWeek bestseller, "The Little Book That Makes You Rich," and the chairman and founder of Navellier & Associates, Inc.

    Select the service that is right for you!

    COMPARE ALL SERVICES
    Action Alerts PLUS
    Try it NOW

    Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

    Product Features:
    • $2.5+ million portfolio
    • Large-cap and dividend focus
    • Intraday trade alerts from Cramer
    • Weekly roundups
    TheStreet Quant Ratings
    Try it NOW
    Only $49.95/yr

    Access the tool that DOMINATES the Russell 2000 and the S&P 500.

    Product Features:
    • Buy, hold, or sell recommendations for over 4,300 stocks
    • Unlimited research reports on your favorite stocks
    • A custom stock screener
    • Upgrade/downgrade alerts
    Stocks Under $10
    Try it NOW

    David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

    Product Features:
    • Model portfolio
    • Stocks trading below $10
    • Intraday trade alerts
    • Weekly roundups
    Dividend Stock Advisor
    Try it NOW

    Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

    Product Features:
    • Diversified model portfolio of dividend stocks
    • Alerts when market news affect the portfolio
    • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
    Real Money Pro
    Try it NOW

    All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

    Product Features:
    • Real Money + Doug Kass Plus 15 more Wall Street Pros
    • Intraday commentary & news
    • Ultra-actionable trading ideas
    Options Profits
    Try it NOW

    Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

    Product Features:
    • 100+ monthly options trading ideas
    • Actionable options commentary & news
    • Real-time trading community
    • Options TV
    To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
    Submit an article to us!

    Markets

    DOW 18,030.21 +6.04 0.03%
    S&P 500 2,081.88 -0.29 -0.01%
    NASDAQ 4,773.4720 +8.0480 0.17%

    Brokerage Partners

    Rates from Bankrate.com

    • Mortgage
    • Credit Cards
    • Auto

    Free Newsletters from TheStreet

    My Subscriptions:

    After the Bell

    Before the Bell

    Booyah! Newsletter

    Midday Bell

    TheStreet Top 10 Stories

    Winners & Losers

    Register for Newsletters
    Top Rated Stocks Top Rated Funds Top Rated ETFs