Green energy stocks have been a hot space for investors recently. The strength comes thanks in part to the flood of Environmental, Social and Governance (ESG) investors, rising oil prices and Joe Biden’s victory as the next President of the United States. President-Elect Biden is very focused on a green initiative plan, which bodes well for energy stocks.
If you’re looking to snap up shares of energy stocks, I urge you to tap the brakes. The reality is not all energy stocks are strong buys right now. After using my proprietary formula to sort through nearly 5,000 stocks, I found 25 energy stocks I wouldn’t touch with a ten-foot pole. Take a look below…
| Symbol | Company | Quantitative Grade | Fundamental Grade | Total Grade |
|---|---|---|---|---|
| ARLP | Alliance Resource Partners, L.P. | F | C | F |
| BP | BP p.l.c. Sponsored ADR | F | D | F |
| COP | ConocoPhillips | F | F | F |
| CVI | CVR Energy, Inc. | F | D | F |
| CVX | Chevron Corporation | F | D | F |
| CXO | Concho Resources Inc. | F | D | F |
| CZZ | Cosan Limited Class A | F | D | F |
| E | Eni S.p.A. Sponsored ADR | F | D | F |
| GPRK | GeoPark Ltd | F | D | F |
| HFC | HollyFrontier Corporation | F | D | F |
| MPC | Marathon Petroleum Corporation | F | D | F |
| MRO | Marathon Oil Corporation | F | D | F |
| MUR | Murphy Oil Corporation | F | F | F |
| NRP | Natural Resource Partners L.P. | F | D | F |
| OXY | Occidental Petroleum Corporation | F | D | F |
| PBF | PBF Energy, Inc. Class A | F | F | F |
| PSX | Phillips 66 | F | D | F |
| SBR | Sabine Royalty Trust | F | C | F |
| SU | Suncor Energy Inc. | F | D | F |
| TALO | Talos Energy, Inc. | F | D | F |
| VET | Vermilion Energy Inc. | F | C | F |
| VIST | Vista Oil & Gas, S.A.B. de C.V. Sponsored ADR Class A | F | D | F |
| VLO | Valero Energy Corporation | F | D | F |
| XOM | Exxon Mobil Corporation | F | D | F |
| YPF | YPF SA Sponsored ADR Class D | F | D | F |
Data as of 01/12/21. For the latest grades, be sure to use my Portfolio Grader tool.
If you own any of these stocks, you may want to consider selling them now. The truth of the matter is there are better, high-quality stocks out there that are ripe for the picking. If you’re not sure where to start, I recommend taking a look at my Portfolio Grader. It grades nearly 5,000 stocks with my proprietary formula and will tell you if it’s a Strong Buy or Strong Sell. It’s a handy investing tool to keep in your back pocket when you’re building your portfolio.
Sincerely,
Louis Navellier