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5 Great Analyst Picks To Buy Now For Profits In 2013

5 Great Analyst Picks To Buy Now For Profits In 2013

Exxon Mobil (XOM) is a stalwart integrated oil company that offers very little risk to its investors. Exxon Mobil is the largest publicly owned oil company in the world, with stable earnings and a very consistent stock price that has remained between $67 to $87 over the past 52 weeks.

Currently at the year to date low of about $81, Exxon Mobil stock has stayed steady in the mid $80 range since the beginning of 2012. In the five months since January, investors have pushed Exxon shares against the apparent price ceiling of $87 no less than seven times. Along with the Standard & Poor’s assessment of low qualitative risk, Exxon Mobil deals out a healthy dividend rate of $2.28 per share. Given these factors, I believe Exxon Mobil has prepared itself for sustainable growth. Coupled with the nature of oil and gas prices as summer approaches, I think Exxon Mobil is a valuable stock to own.

Due to regulation from the US Environmental Protection Agency, oil companies like Exxon Mobil must use a special blend of gas for the summer season, putting a cap on vapor pressure in gasoline. Oil refineries often are forced to shut down at the beginning of the season so they can adjust the refinery to the new blend of gasoline they need to produce. This temporarily lowers the supply of oil, and thus gasoline produced by companies like Exxon Mobil. As driving vacation season comes with summer, the demand for gasoline increases in the United States and the final outcome is a rise in the price of gasoline.To continue reading, click here.

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