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!

5 Stocks the Pros Love This Summer

Stocks in this article: BLK C CELG CVX TU

Chevron

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

Get Adobe Flash player

Oil and gas supermajor Chevron ( CVX) may seem like a surprising name to see on institutional investors list of most-loved stocks. After all, the energy sector has been struggling to keep pace with the S&P 500 this year, and in the aggregate, funds had a net decrease in their energy holdings. But Chevron wasn't a decrease -- funds picked up around 4 million shares this year, hardly conviction buying but buying nonetheless.

>>5 Stocks With Big Insider Buying

Chevron owns proven reserves of 11.3 billion barrels of oil equivalent and produces around 2.6 million barrels each day, enough to make it the No. 2 oil company in the country. But all of that is less important in a market that's valuing quality above all else. Instead, Chevron's best-in-breed balance sheet likely has something to do with all of the portfolio managers who've been buying shares. At last count, the firm boasted a $3.2 billion net cash position.

The oil business isn't about instant gratification, which means that all of the high-dollar exploration efforts that Chevron has been investing in over years past (when oil was at peak pricing) are only just starting to pan out. Obviously, it takes a lot of oil and gas to materially impact sales for a firm with CVX's scale, but the firm has many pots on the fire. Hefty exposure to liquids should have an even more dramatic impact on sales if oil prices resume their upward trajectory in 2013.

I also featured Chevron recnetly in " 5 Big Trades for a Ping-Pong Market."

To see these stocks in action, check out the Summer 2013 Institutional Buys portfolio on Stockpickr.



-- Written by Jonas Elmerraji in Baltimore.

RELATED LINKS:



Follow Stockpickr on Twitter and become a fan on Facebook.

At the time of publication, author had no positions in stocks mentioned.

Jonas Elmerraji, CMT, is a senior market analyst at Agora Financial in Baltimore and a contributor to TheStreet. Before that, he managed a portfolio of stocks for an investment advisory returned 15% in 2008. He has been featured in Forbes , Investor's Business Daily, and on CNBC.com. Jonas holds a degree in financial economics from UMBC and the Chartered Market Technician designation.

6 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!

Markets

DOW 17,804.80 +26.65 0.15%
S&P 500 2,070.65 +9.42 0.46%
NASDAQ 4,765.38 +16.9840 0.36%

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