Chevron Corp (CVX US)

We recently looked at US energy giant Exxon Mobil (XOM US) and this morning following further stellar gains by the ASX energy stocks we thought it was an opportune time to reiterate these thoughts by a brief glance at the $US398bn goliath Chevron Corp (CVX US). There seems to be no relief in sight for consumers as fuel prices rise, this week we’ve already seen European gas prices surge, stocks struggle and the Euro make new lows following the news that Russia has halted gas flows via a major pipeline – this whole situation looks likely to get worse before it improves.

• We like CVX ~$US160 targeting around 20% upside into Christmas.
• While we often say “never say never” it’s unlikely we will be cutting our energy exposure in the near future.
• We currently own Woodside (WDS) and Exxon Mobil (XOM US) in the traditional energy space and Paladin (PDN) for Uranium exposure.