Major integrated energy company ConocoPhillips is another one of Weiss' favorite integrated stocks thanks to its ambitious plans to return cash flow to shareholders.
"The company's restructuring program continues to move forward," Argus Research analysts say in a report. ConocoPhillips wants to return 40% of its cash flow to shareholders every year and has gone through a multi-year restructuring program as part of its efforts to reach this goal.Last year, ConocoPhillips sold assets worth $7 billion and shares in Russian oil giant Lukoil worth $8 billion, reduced debt by $5 billion, and according to Weiss, improved the profitability of its upstream business on a per barrel basis. In first quarter 2011, ConocoPhillips completely exited its Lukoil position and has plans to dump another $5 billion to $10 billion in assets in 2011 and 2012. "As with its previous transactions, management is targeting those assets that have relatively higher associated costs, which should benefit margins, cash flow and net income per barrel," the Argus equity research team said. Weiss has a buy view and $95 target on the stock.
Select the service that is right for you!COMPARE ALL SERVICES
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
- 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 + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV