Chevron Attracts Value Buyers and Short Sellers of Its Out-of-the-Money Puts for Extra Income

Chevron (CVX) stock has been upgraded by 2 major buy-side firms, given its 4.0% dividend yield and low P/E multiple. Value buyers are attracted to CVX stock, given its defensive qualities. This includes shorting its out-of-the-money puts for extra income.

I discussed this in my May 19 article, “Chevron Stock Is Off Since Its Q1 Earnings, But Its 3.92% Yield And Low P/E Make It Attractive.” At the time, CVX stock was at $154.01 as of May 18, but now as of June 1, 2023, CVX stock is slightly lower at $152.16 per share.