Topic: How To Invest

Wall Street Stock Forecaster Hotline – Friday, January 5, 2024

Article Excerpt

CHEVRON CORP., $150.40, New York symbol CVX, remains s a buy for the Resources portion of your portfolio. Through your shares, you tap the operations of the second-largest integrated oil producer in the U.S. by revenue. That’s after ExxonMobil (New York symbol XOM). Due to regulatory changes in California, the company plans to scale back its spending on some of its oil-producing properties in the state. However, it plans to keep operating them for many more years. As well, Chevron will now have to pay the abandonment and decommissioning costs on offshore properties in the Gulf of Mexico that it had previously sold. That’s because the buyers recently declared bankruptcy. As a result, the company expects to record between $3.5 billion and $4.0 billion in writedowns and other special charges in the three months ended December 31, 2023. These are non-cash items, so they will have no impact on its cash flow, which totalled $8.9 billion, or $4.74 a share, in the third quarter…