Seeking Alpha

Cowen remains bullish on five top oil refiners

  • Last week's surprise move by the U.S. government to allow the export of condensate products hit the refining sector hard, but the analyst team at Cowen remains bullish on top refiners, believing actual crude exports are highly unlikely and there is no change to the spirit of the law.
  • Cowen remains bullish for the longer term and sees potential for a meaningful feedstock advantage for U.S. refiners emerging later this year, with U.S. crude production inflecting at 9M bbl/day and Gulf Coast imports baselining at 2.8M-3M bbl/day.
  • Cowen's five favorite refiners are MPC, PBF, TSO, VLO, WNR; the condensate export issue took a toll on the stocks, and investors can buy some of them as much as 15% cheaper than two weeks ago.
Comments (6)
  • PalmDesertRat
    , contributor
    Comments (3318) | Send Message
     
    and PSX?
    30 Jun 2014, 10:58 AM Reply Like
  • arthur_bishop1972
    , contributor
    Comments (2617) | Send Message
     
    Yeah...no PSX?!?!??

     

    I guess they're just dead in the water.
    30 Jun 2014, 12:48 PM Reply Like
  • chopchop0
    , contributor
    Comments (3792) | Send Message
     
    even they aren't, you should be. PSX is pure greatness. Refining plus so much more.
    30 Jun 2014, 12:53 PM Reply Like
  • mttmartin
    , contributor
    Comments (263) | Send Message
     
    PSX is a pretty big refiner to exclude.
    30 Jun 2014, 01:44 PM Reply Like
  • Matthew Davis
    , contributor
    Comments (4229) | Send Message
     
    So why the huge drop today? I thought the exporting was limited to only 2 companies.
    1 Jul 2014, 01:35 AM Reply Like
  • mttmartin
    , contributor
    Comments (263) | Send Message
     
    @Mathew Davis, are you investing or day trading? A couple of days means nothing, especially with refiners. Oil stocks are the second most volatile stocks after materials in the market. Refiners are the most volatile of the oils. Buy XOP,IEO, or PXI. These are etfs that have exploration and production in them as well. Refiners as well. More conservative, buy XLE, or just buy Chevron or Exxon.
    1 Jul 2014, 11:36 AM Reply Like
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