Warren Buffet’s Choice That Inflation Is Coming
This is a piece of data that Warren Buffett covered a few days ago in her analysis of what does the 8.9M scandal mean
In the past, if Warren Buffett made a scandal, Occidental’s stock price showed a fairly steep rise, so it is highly likely to do so again this time.
Warren Buffett has a flat price of $53.14, but now Occidental is $51.30, and he’s still in negative territory. So with oil prices going up to 77, is that enough.
If you look at the sectoral valuations, the energy sector is ranked in every aspect of P/E, P/B, EV/EBITDA. It’s not the second or third place, but the last place means that energy companies are undervalued compared to their performance..
I don’t know if oil prices will go to $80 or so, but oil companies think that keeping 75 to 80 would be pretty good, including Occidental.
Figure 3.
The energy sector, which has been hated every time, has risen to 2.8% since the 25th year, showing its first ranking.
As there is UPSIDE RISK, which can also increase inflation as oil prices rise, crude oil stocks are expected to serve as a good HEDGING for inflation.
※ For your information, Warren Buffett owns 28% of Oxy’s common stock, which is incomparable to the preferred stock. Even if you get an 8% dividend from a preferred stock, it’s really nothing compared to a general stock that’s losing money, so it’s wrong that it’s different from the average ant.
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