This is my monthly update on Energy Companies .
Let’s see which companies are still undervalued and which ones are out of my radar. Some of them reached their fair value and some other stopped to satisfy my parameters.
For new readers , my preference go toward undervalued large companies with good competitive advantage (MOAT), solid balance sheet, low debt and healthy in cash flow.
- Large Cap Energy Companies
- Competitive advantage (Moat) ≥ narrow
- Low Debt
- Positive FCF
- Positive EPS Forecast
- Trading lower than their Price/Fair Value (Morningstar DCF model)
- P/E or Fwd P/E ≤ benchmark (MSCI Energy Index)
- Dividend Yield ≥ 2%
Good reading , and do your own due diligence before investing. Thanks
(Source : Morningstar , Yahoo Finance , Finviz, MSCI )