Chevron Corporation (NYSE:CVX) is included among the Top 15 Growth Stocks for Long-Term Investors.
Chevron Corporation (NYSE:CVX) operates as an integrated energy company, meaning it participates in all major stages of the oil and gas value chain. Its upstream operations focus on the production of oil and natural gas, the midstream segment is responsible for transportation, and the downstream division refines these resources into final products such as gasoline and chemicals. Each part of the business performs differently depending on the phase of the energy cycle.
Chevron Corporation (NYSE:CVX) has built one of the most durable portfolios in the energy sector, with production costs among the lowest in the industry: around $30 per barrel this year. This profitability allows the company to maintain healthy cash flows even when oil prices are low. Recently completed expansion projects, ongoing cost-cutting efforts and the Hess merger are expected to add up to $12.5 billion in annual free cash flow beginning next year. The Hess acquisition has also strengthened Chevron’s long-term prospects, extending its production and cash flow growth well into the 2030s.
At the same time, Chevron Corporation (NYSE:CVX) is advancing low-carbon energy projects, including its recent move into the lithium business, which is expected to further support the company’s already growing dividend profile. CVX has been rewarding investors with growing dividends for the past 38 consecutive years. It currently offers a quarterly dividend of $1.71 per share for a dividend yield of 4.59%, as of October 12.
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Disclosure: None.