4.4 • 3K Ratings
🗓️ 28 May 2022
⏱️ 27 minutes
🧾️ Download transcript
While the broad stock market has been plunged, energy has proven to be a rare safe haven. Warren Buffett has increased his stake in his energy investments by billions over the past year, but this industry runs in cycles. Nick Sciple and Jim Mueller go over the fundamentals of energy investing and discuss:
- The complex connection between oil prices and what you pay at the pump
- Which legacy energy companies are meaningfully moving to green energy
- A 19th-century food processor that has an interesting strategy in renewable diesel
Stocks mentioned: BP, XOM, SHEL, CVX, PSX, TPIC, VLO, BEP, TTNDY, DAR
Additional resource: https://www.fool.com/investing/stock-market/market-sectors/energy/
Host: Nick Sciple
Guest: Jim Mueller
Producer: Ricky Mulvey
Engineers: Rick Engdahl, Dan Boyd
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0:00.0 | Renewables I think are going to be a long time feature and a long time growth trend, but |
0:06.5 | as far as the oil majors go, of course they've been notorious for denying climate change |
0:11.6 | and they've even lobbied actively against efforts to mitigate it, but a sum I think |
0:15.5 | are finally seeing the light. |
0:17.4 | But maybe not all of them. |
0:24.6 | I'm Chris Hill and that was Motley Fool's Senior Analyst Jim Mueller. |
0:29.1 | This year Warren Buffett has increased his stake in energy investments by billions. |
0:34.7 | Those of us with a little less cash may be wondering if this is a place to start adding. |
0:40.4 | Today Jim is joined by Nick Cypill to talk about the connection between oil and gas prices, |
0:46.0 | how major oil companies are investing in renewables, and how investors like us can think about |
0:51.2 | allocation in this very cyclical industry. |
1:01.2 | In 2020 oil futures plunged into negative territory. |
1:04.9 | However in 2021 energy was the top performing sector in the S&P 500 by far, and energy |
1:10.8 | has exceeded that performance so far in 2022. |
1:14.2 | Here's a beginner's guide to investing in energy if you're eyeing those returns, maybe |
1:17.6 | if you're trying to copy Warren Buffett or if you're looking for a safe haven amid today's |
1:22.0 | market volatility. |
1:23.0 | I'm Nick Cypill here today with Jim Mueller. |
1:25.4 | Jim, how you doing? |
1:26.4 | How are you doing Nick? |
1:27.4 | I'm glad to be here. |
1:29.6 | Great to be back here with you as well here on the podcast. |
... |
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