Juanmonino
Chevron Corp. (NYSE:CVX) has not been able yet to rebound from the sharp valuation haircut the oil company suffered in April, leading to a 5% dividend yield that is now available to passive income investors.
Though crude oil
Chevron: Buy In Before The Rebound
Summary
- Chevron's 5% dividend yield and robust profitability make it an attractive opportunity for passive income investors amid recent valuation declines.
- Production growth from new global projects is expected to offset lower crude oil prices and support a 25% profit increase in 2025.
- The stock's lack of price recovery signals unrealized upside potential, with a 14.2x 2026e profit multiple and the highest growth rate among peers.
- Despite risks from further oil price drops, Chevron's strong cash flow and dividend growth justify a Buy rating at current levels.
A financial researcher and avid investor with a keen eye for innovation and disruption, as well as growth buy-outs and value stocks. Keeping an eye on the pace of high tech and early growth companies, I write about current events and the biggest news surrounding the industry, and strive to provide readers with ample research and investment opportunities.
Analyst’s Disclosure:I/we have a beneficial long position in the shares of CVX either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.
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