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
TheStreet Open House

5 Stocks Endowment Funds Are Buying in 2012

Stocks in this article: XOMVWOEWZTRIPDMND

Exxon Mobil

Content on this page requires a newer version of Adobe Flash Player.

Get Adobe Flash player

The biggest position increase for last quarter came from oil giant Exxon Mobil (XOM) -- endowments saw the market value of their Exxon holdings increase by $93.13 million last quarter.

A big part of that performance came from oil prices in the last quarter: with crude prices sitting in the triple-digits for a sustained period, those elevated prices are having a direct effect on Exxon's profitability. That's helped to spur a 20% rally in shares over the last six months.

As an integrated supermajor, Exxon has its hands in everything from pumping oil and gas out of the ground to transporting, refining, and retailing gasoline on the other end of the process. By having a hand in every step in the process, Exxon generates bigger profits than it otherwise would -- and while margins for integrated firms are lower than you'd see at pure E&P names, margins for each step of the process are actually higher than they'd be at an independent firm.

Exxon has been making big bets on natural gas in the past few years, absorbing XTO Energy to dramatically increase the gas mix in Exxon's production. While that has been a headwind in the last couple of years as natgas prices struggle to hold their ground, it could become a massive tailwind as consumers look to substitute costly oil with a cheaper energy alternative.

Exxon is a huge company, but investors shouldn't count out growth because of size alone.

I also featured Exxon, one of 9 Gold, Oil Stocks That Rise on Bad News, recently in " 5 Stocks Primed for Bigger Dividends."

2 of 6

Check Out Our Best Services for Investors

Action Alerts PLUS

Jim Cramer and Stephanie Link reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

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
Stocks Under $10

Jim Cramer's protégé, 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
Try it NOW
Try it NOW
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

Jim Cramer's protégé, 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
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

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

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
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!
DOW 16,380.93 +0.52 0.00%
S&P 500 1,899.70 +12.94 0.69%
NASDAQ 4,304.7750 +46.3370 1.09%

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