Energy stocks are trading at a relatively cheap valuation in September 2024, primarily due to lower oil prices. However, the pullback offers shareholders an opportunity to buy the dip and benefit from outsized gains when market sentiment improves. One such energy stock that's a part of Warren Buffett’s Berkshire Hathaway (BRK.A) equity portfolio is Occidental Petroleum (OXY).
Valued at $46.15 billion by market cap, Occidental Petroleum is engaged in acquiring, exploring, and developing oil and gas properties in the U.S., Middle East, Africa, and Latin America. It has three primary business segments, namely: Oil and Gas, which explores, develops, and produces oil (CLV24) and condensate, natural gas liquids, and natural gas (NGZ24); Chemical, which manufactures and markets basic chemicals, including chlorine, caustic soda, calcium chloride, and ethylene, among others; and Midstream and Marketing, which gathers, processes, transports, stores, and markets oil, condensate, NGLs, and natural gas.
