Chevron And 2 More Oil Stocks To Watch

Oil prices recently climbed above US$106 as Iran threatened more tanker attacks in the Strait of Hormuz, reminding investors how quickly energy supply can be disrupted. When shipping routes look fragile, global fuel costs can react sharply, and large US oil and gas producers often sit at the center of that story. This article highlights three leading US-listed energy stocks from our global producers screen.

The three stocks below are a small sample from our global producers screen. The full filter surfaced 32 more oil and gas companies with equally compelling narratives that are not covered here. If you want to identify your own high-conviction ideas in this space, head straight to the Oil and Gas screener to filter and analyze the full set of listed producers.

Chevron (CVX)

Chevron sits near the front of this Oil and Gas screen because its upstream oil and gas fields feed a large global production engine. Downstream refining, chemicals and renewables round out the portfolio and help turn those barrels and molecules into cash.

Chevron runs a broad energy and chemicals business across oil, gas, LNG, refining and renewables. The clearest tie to this Oil and Gas theme comes from its upstream production arm. Upstream in the United States generated about US$52.6b in revenue and international upstream around US$55.1b, alongside sizeable US$82.5b and US$78.8b contributions from US and international downstream operations. The group’s scale is reflected in its roughly US$427.1b market cap.

"Record production growth, especially in the Permian and from the Hess acquisition in areas such as Guyana and the Bakken, now sits on top of capital and drilling programs that aim to keep Permian volumes around 1 million barrels per day with lower CapEx per barrel. This supports future revenue and free cash flow."

What matters now is how one pressure point in that growth and cost equation ultimately feeds through to margins and long term cash generation.

That margin question is exactly what the full narrative for Chevron unpacks, separating short term shocks from longer term cash engine trends that many investors may be overlooking.

Devon Energy (DVN)

Devon Energy is a pure play on the Oil and Gas theme, with onshore drilling and production across major US shale basins driving its story for investors focused on real barrels and molecules, not just paper exposure to commodity prices.

Devon Energy focuses entirely on oil, natural gas and NGL exploration and production in US shale basins, generating about US$18.8b from this segment alone, all within the United States, and the stock carries a market value of roughly US$57.7b.

"Devon Energy's expanding application of AI tools from drilling and completions into autonomous artificial lift on more than 1,000 wells, along with broader deployment across legacy Coterra wells, is expected to keep lowering unit operating costs and sustaining capital efficiency improvements that support operating margins and free cash flow."

The real test now is how one evolving cost side advantage ultimately shapes Devon Energy’s ability to turn future volumes into durable cash returns.

That cash conversion puzzle is exactly what the full narrative for Devon Energy unpacks, revealing how Devon Energy’s cost curve, volume profile and payout ambitions could be quietly accelerating or stalling the story.

ExxonMobil Holdings (XOM)

ExxonMobil Holdings is a global integrated energy giant where the upstream oil and gas business anchors its place in this Oil and Gas screen, even as fuels, chemicals and specialty products add sizeable scale across the rest of the group.

Upstream exploration and production in the United States generated about US$57.9b of revenue and non US upstream about US$54.1b, while Energy Products brought in roughly US$333.9b worldwide and Chemical and Specialty Products together added around US$55.6b, supporting a business valued at about US$715.8b.

"Strong production growth from high return assets in Guyana and the Permian Basin remains central, with upstream volumes outside the Middle East at the highest level in more than two decades and the Permian at over 1.8 million oil equivalent barrels per day, which supports future revenue and earnings per barrel."

The real swing factor is whether one emerging constraint on ExxonMobil Holdings' cost base quietly changes the path for margins and long term cash generation.

That margin path is exactly what the full narrative for ExxonMobil Holdings maps out, highlighting where ExxonMobil Holdings could see earnings power accelerating or quietly stalling from here.

Seeking Fresh Alternatives Beyond Oil?

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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