By Paul Sankey
Published on May 20, 2022 at 10:47 AM
Strategy Session was back to the round table stock discussion. It was sufficiently enjoyable that we will now have a monthly round table on stock ideas. Next week we have Tourmaline, week after Bob McNally. In between, Memorial Day is a week Monday, check the whites in your wardrobe and start yelling at the pool guy’s voicemail. Companies mentioned last night: Long Inventory E&P’s. We discussed oil volatility and beta skew as oil holds over […]
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By Paul Sankey
Published on May 18, 2022 at 8:37 AM
Re-iterate Price Target: Valero $150/share by June 30th. Re-iterate Overweight all US refiners. Illustrating Valero $190/share argument. This is a time of year when the weekly Department of Energy US oil data is crucial: it will be released at 10:30am today. We see an emerging crisis in US oil product markets, depending on how much of that crisis we export to Atlantic Basin markets. It will be a battle of demand destruction: who blinks first […]
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By Paul Sankey
Published on May 15, 2022 at 3:56 PM
Happy Sunday in May, Never a bad thing. Fog this morning has lifted. Aramco results this morning rounded out a week when it became the largest stock in the world by market capitalization, surpassing Apple (not by free float, the Saudi government owns 94%). It generated an enormous profit in a quarter when Brent averaged just about $100/bbl (actually $99.53/bbl Q1 average). Refining earnings, as well as continued huge upstream earnings, will be even […]
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