NEW YORK ( TheStreet) -- ConocoPhillips (COP - Get Report) plan to spin off its refining operations is sparking discussion about who could be next, and what the move means for the rest of the industry.
There's already chatter that another integrated oil major like ExxonMobil (XOM - Get Report) may now follow suit. At the same time, there are implications for stocks in the independent E&P space as well as the oil refiners.
Here are a few of the trading read-throughs Wall Street was discussing after the ConocoPhillips' surprise.
Argus Research analyst Phil Weiss noted that ConocoPhillips CEO James Mulva said on the Thursday conference call that ConocoPhillips will be keeping its dividend policy in place. The stock is currently offering a dividend yield of 3.3% and if it maintains that policy as a smaller, stand-alone E&P company, the yield could rise to over 4%, Argus Research estimates."No one is close to that in the independent E&P space," Weiss said. As an example, he cited the dividend yield of 1.8% offered by Occidental Petroleum (OXY) as high among independents currently. He added Chesapeake Energy (CHK) as another example, with a 1.2% yield. "ConocoPhillips may not get some of the same growth-oriented investors that flock to other E&Ps, but income investors would find something not available in other E&Ps," Weiss said.