3 Top Oil Stocks to Buy for the Long Haul

Oil demand is predicted to increase through 2040, even as its share in the overall global energy supply wanes. The reason is that the world needs an "all of the above" energy strategy if it hopes to satisfy demand increases arising from emerging-market economies. That means there's ample runway for oil drillers like Chevron (NYSE: CVX), Suncor (NYSE: SU), and ConocoPhillips (NYSE: COP), to keep rewarding dividend-focused investors. Here's why each one could be a solid addition to your portfolio.

Chevron, with a market capitalization of $245 billion, is probably the least exciting of this trio. But that also makes it a good option for risk-averse investors. For starters, the company's business is highly diversified, with operations spanning from oil drilling to refining and chemicals, providing balance to its cash flows in a historically volatile industry.

Also, Chevron has one of the strongest balance sheets among its integrated-energy peers, with an industry-leading debt-to-equity ratio of just 0.28. And, despite the industry's ups and downs, the San Ramon, CA-based company has increased its dividend annually for over three decades, making it a Dividend Aristocrat. The yield is a generous 4.2% today.

Source Fool.com